Engineering : Business Interruption

This insurance is an optional cover that could be taken up to supplement the Machinery Breakdown Insurance.

This scheme protects the loss of gross profits and/or increased cost of working due to a continuing interruption to business caused by a breakdown covered under the Machinery Breakdown Insurance. The interruption usually comes in the form of time spent in arranging repairs, awaiting delivery of repaired or replacement parts (sometimes from overseas), starting up the plant and re-activating the business.

With increasingly sophisticated machinery and longer delivery periods from manufacturers, any such interruption is a cause of great concern to the owners especially when the cash flow dries up, standing charges are not met, wages and creditors remain to be paid and shareholders looking for a profit, the protection provided by this Insurance are ideally suitable.