Cooler Compressor Burnout
A walk-in cooler or beverage refrigeration unit fails overnight, causing extensive spoilage of dairy, drinks, and fresh food.
Coverage
Equipment Breakdown Insurance for Convenience Stores
Keep your coolers running, your POS live, and your inventory safe when essential store machines fail.
Powered byMcKinney & Co.Trusted insurance for 40+ years
28 statesWhere we write policies, and growing
30+A-rated carriers compared
20+ yearsProtecting c-stores and gas stations
500+Store owners covered
Equipment breakdown insurance for convenience stores protects against internal mechanical or electrical failures to systems you use on a daily basis. A commercial property policy will cover any damage done to the exterior of the building as a result of fire, storm, or theft. Equipment breakdown steps in when the equipment has internal failure. This policy offers essential protection at a fairly low cost in comparison to the possible huge financial losses it will avoid.
What's covered
What Equipment Breakdown Covers
When internal components short-circuit, burn out, or freeze up, equipment breakdown coverage steps in. It helps the business cover the costs of necessary repairs or replacements and lost goods due to disruption. Some typical examples of coverage are:
Know the gaps
What It Doesn't Cover
This is pure mechanical and electrical breakdown coverage. It does not cover external risks to your property or common issues related to property maintenance. Key exclusions include:
Do you need it
Who Needs Equipment Breakdown Insurance
This policy will be useful for almost all store owners. Today's retail outlets depend entirely on refrigeration systems, computer registers, and climate systems to keep them open. So, does insurance cover a broken cooler automatically? These are not covered under standard property policies.
Financial consequences of sudden breakdowns result in lost goods, expensive emergency repairs, and retail revenue. Considering the modest premium cost, securing POS system breakdown insurance and refrigeration coverage is essential for protecting your daily operational cash flow.
Pricing
What Equipment Breakdown Insurance Costs
Adding equipment breakdown coverage to a convenience store policy typically costs between $200 and $500 per year ($17 to $48 per month). Your actual premium is based largely on the age, operating condition, and total replacement value of your store machinery. The overall risk of food spoilage to your inventory also affects the final price.
Check out our extensive guide to compare costs of overall convenience store insurance.
What a claim looks like
Example Claim
During the night, a main refrigeration unit's compressor fails due to no supervision to check the rising temperature. By morning, there has been $8,000 in damage to frozen and refrigerated stock caused by heat, and $3,000 in emergency compressor repairs. Equipment breakdown coverage will cover the lost perishable stock as well as replacement of unit parts. Your policy also reimburses the full financial loss of the spoiled stock.
How it fits
How It Fits With Your Other Coverage
Breakdown coverage is supplemental to your initial coverage and is available for equipment breakdowns. It is not to be confused with your main commercial property insurance. Commercial property covers physical damage from perils outside the building, such as fire, wind, and theft. A breakdown in equipment is when something goes wrong in the system, such as electrical faults or mechanical seizures. If you know the cause of the damage, you'll know which policy is interesting to play on.
The power of choice
We shop 30+ A-rated carriers so you don't have to.
- Travelers
- The Hartford
- Chubb
- Liberty Mutual
- Nationwide
- Zurich
- CNA
- Progressive
- Philadelphia Insurance
- Berkshire Hathaway GUARD
- biBerk
- AmTrust
- Employers
- Grange Insurance
- Columbia Insurance
- Encova
- Admiral Insurance Group
- Attune
- Coterie
- ERGO NEXT
- AmWINS
- CRC Group
- RT Specialty
- Burns & Wilcox
- Jencap
- Bass Underwriters
- Jimcor Agencies
- CharityFirst
Common questions
Frequently Asked Questions
Isn't a broken cooler already covered by my property insurance?
If it was not destroyed by something else such as a fire or a windstorm. A standard property insurance policy excludes coverage for a cooler that fails to cool because of electrical or mechanical problems inside the unit. Equipment breakdown coverage is needed to cover internal failure repairs.
Does this cover normal equipment aging?
No. Machines that break down due to old age or neglected routine maintenance are excluded. Coverage is for sudden, unexpected mechanical and electrical failure, not for normal wear and tear over time.
Get Covered
Protect your refrigeration, register systems, and store stock against sudden mechanical and electrical failures. Get a custom-made coverage estimate for your store from Insure C-Store today. Ensure continuous operation and protect your bottom line before unexpected downtime strikes.