Equipment Breakdown2017-07-18T16:11:44+00:00

Equipment Breakdown

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Although you might take them for granted, you probably depend on several major equipment systems to keep your home comfortable. You might assume that your homeowners policy would cover the cost of repairs to these systems should they break down. But the fact is that mechanical breakdown is not a covered cause of loss under most traditional homeowners policies.

Equipment Breakdown Coverage for Homeowners is an affordable way to protect these valuable systems.

Equipment Breakdown Coverage for Homeowners provides coverage for equipment that is built-in, or permanently attached, to the home; transmits or utilizes energy; or has contents that are under vacuum or pressure.

Examples of covered equipment

  • Central Air conditioning systems
  • Back-up generators
  • Ventilation systems and fans
  • Chair lifts and elevators
  • Boilers and water heaters
  • Electric power panels
  • Furnaces, heat pumps, heaters, solar heaters
  • Central vacuums
  • Well pumps
  • Pool and spa equipment

Examples of what is NOT covered equipment

  • Supporting structure, cabinet or compartment
  • Insulating material associated with “covered equipment”
  • Sewer piping, buried vessels or piping forming a part of a fire protective sprinkler system
  • Water piping other than boiler feed water piping, boiler condensate return piping or water piping forming a part of a refrigerating or air conditioning system
  • Kitchen or laundry appliances, other than those permanently installed, including but not limited to refrigerator, dishwasher, oven, stove, clothes washer or clothes dryer
  • Electronic entertainment or computer equipment, including by not limited to television or stereo equipment or any electronic component used with such electronic entertainment or computer equipment

View some examples of losses covered by Homeowners Equipment Breakdown Coverage.

Warranties are Not Enough

Warranties and service contracts can offer some coverage for home equipment, but they can be expensive. Warranty contracts can also have restrictions on the types of equipment, parts and labor to be covered. And these contracts generally exclude breakdowns resulting from installation error, improper maintenance and other external events, which can cost thousands to repair.

Equipment Breakdown Coverage for Homeowners is designed for the larger losses that can present a significant financial burden to homeowners, not everyday maintenance issues resulting from wear and tear. Please contact your local agent for more information about the differences between this product and warranty products.

Examples of Losses Covered for Homeowners Equipment Breakdown Coverage


  • Overuse of a heat pump system caused internal damage to the compressor. Replacement cost of the compressor and the refrigerant including labor cost was $8,008.
  • Deep well pump mechanism burned out cutting off the home water supply. Repair required excavation, removal of well pump and related piping to complete the replacement. Total loss was $5,035.

Built-in Equipment

  • A built-in oven required repairs due to broken electronic controls as a result of an electrical short. Repair cost was $934.
  • Replacement of a counter mounted dishwasher was necessary due to control device failure. Repair was not viable. Cost to replace the dishwasher was $1,537.
  • A permanently installed wine chiller failed after the compressor burned out. Cost to replace the unit was $3,060.

Boilers and Water Heaters

  • The failure of the water level control device in a cast iron boiler resulted in the burner continuing to burn and boil out all the water in the vessel. The boiler cracked as a result of the low water cut off failure. Cost of replacement was $5,000.
  • An oil furnace suffered a cracked heat exchanger and needed to be replaced. The replacement cost was $3,500.


  • Central air conditioning system sustained electrical burnout. Total cost to replace the system was $10,024.
  • A security gate motor burned out due to an internal electrical short. Cost to repair the motor was $1,750.
  • A bathroom spa system was found to have internal electrical burnout of the controls and wiring. The cost of repairs was $7,435.

Air Conditioning

  • The compressor on an air conditioning system seized up due to lack of lubrication and needed to be replaced. Replacement cost of the compressor was $2,448.
  • A heating and air conditioning unit sustained cracked coils, resulting in replacement of the unit. Total loss was $9,650.
  • An air conditioning unit’s evaporator coil cracked, resulting in direct physical damage to the air conditioning unit. The cost to complete the repairs was $869.
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