The LED display on the kitchen range is blinking again, yet the old battery-operated clock seems to be working just fine. How many times have you had to reset clocks on microwaves, alarms, digital cable boxes and other devices due to a brief moment of power interruption?
We don’t often think about momentary power interruptions or how they affect our everyday lives. In business or production process-related industries, the effects of these interruptions may be particularly disastrous and very costly.
Momentary power problems, sometimes called “dirty power,” can damage sensitive electrical equipment. That damage is a leading cause of lost time for businesses, as equipment is down and under repair. A momentary outage can occur within a thousandth of a second because of storms, lightning, wind and electrical pole line accidents.
Our increased reliance on sophisticated equipment and electronic technology means that harmonic distortion of electrical current, voltage variations from sags or swells, momentary power interruptions, spikes, conditions where three-phase power operates in single phase and other power supply issues can damage electrical equipment.
Equipment breakdown insurance can cover the cost to replace damaged circuit boards, motherboards, drive boards and other sensitive electrical components caused by dirty power. Make sure your agent recommends equipment breakdown coverage for electronic circuitry that does not require proof of physical damage to the board itself. If a suspected damaged board is replaced and the equipment functions as it did prior to the loss, replacement should be sufficient proof of a damaged board.
Business is continuously changing, becoming less mechanical or labor intensive and more technology or electronic driven. Equipment breakdown protection is more valuable than ever before. Computerized production machines such as CNC lathes, commercial printing equipment or any machine using microprocessors are particularly sensitive to dirty power and electrical fluctuations, both of which are leading sources of equipment breakdown.
Speak to your local, independent insurance agent about equipment breakdown coverage to protect your business from dirty power issues. Ask your agent about your insurance company’s loss prevention services. They may recommend voltage suppressors or consultation with engineers or equipment manufacturers for solutions to minimize the damaging effects of dirty power.
Coverages described here are in the most general terms and are subject to actual policy conditions and exclusions. For actual coverage wording, conditions and exclusions, refer to the policy or contact your independent agent.