The Boiler Inspection and Insurance Company of Canada launches new equipment breakdown insurance coverages for small businesses

The Boiler Inspection and Insurance Company of Canada (HSB BI&I) has launched a new comprehensive equipment breakdown insurance package – All Systems Go Plus, with new TechAdvantage coverages, designed for small businesses in Canada.

Launched last week, the All Systems Go with TechAdvantage enhancements provides unlimited coverage for direct damage, business interruption/extra expense, spoilage and service interruption, as well as protection against data breach/cyber risks and identity theft – all in one package, said background information from HSB BI&I. There is no limit of insurance applicable to direct damage, spoilage, business interruption/extra expense or service interruption for qualified risks, HSB BI&I noted.

Direct damage covers cost to repair or replace equipment damaged by a covered breakdown or electronic circuitry impairment, the information said. Business interruption/extra expense covers income or extra expense loss due to an interruption resulting from a breakdown; spoilage coverage related to contamination of food or other perishables following a breakdown, including coverage for perishable goods damaged by service interruption; and service interruption extends income and extra expense to breakdown of equipment owned by a supplier contracted to provide a service listed in the policy.

Other coverages, among others, include:

• Data restoration – for data that is lost or damaged due to a breakdown, to $25,000;
• Hazardous substances – extra cost to repair or replace covered property contamination by hazardous substances released due to a breakdown, to $100,000;
• Brands and labels – pays for the cost of removing labels or stamping of salvaged merchandise, to $100,000;
• Data compromise (optional) – pays for notification expense and case management services for individuals affected by a data breach, to $50,000 annual aggregate; and
• Identity recovery (optional) – coverage for the insured affected by identify theft, to $15,000 annual aggregate.

As an example, HSB BI&I said, a school presented a claim for lost electronic student records. An investigation determined that the school’s cloud computing provider experienced a mechanical breakdown to one of its hard drives (data restoration: $35,000). Another example: an online retailer experienced a sudden shutdown of its website; the problem was isolated to a motherboard in a computer server. A visual examination revealed no evidence of detectable physical damage, but when the motherboard was replaced, the server and website were restored (direct damage: $1,200; business interruption: $18,000).

The full list of coverages is available at http://bit.ly/2fi0bnk.

HSB BI&I, a part of Munich Re that offers equipment breakdown and specialty insurance products and services,  launched All Systems Go Plus  in 2013; TechAdvantage was launched in April 2016.