Real-World Scenarios in Which Equipment Breakdown Coverage Can Help
If you’re asking yourself, “when would I need equipment breakdown coverage?“ there are many cases when this insurance can really pay off. For instance, suppose a new stackable washer and dryer set experienced damage due to a power surge. As a result, neither unit is working at all.
Or, suppose a high-voltage power surge was sent through the neutral line of your electrical system — and now your smart home hub is damaged beyond repair. In both cases, with this important additional insurance, you’d be covered. After paying your deductible, your expenses would be covered up to the equipment breakdown endorsement's limit.
Is the Cost to Repair or Replace Home Equipment Expensive?
From kitchen appliances to heating and cooling systems, the cost of equipment in your home adds up quickly — simply replacing an HVAC system can cost up to $4,500. Imagine if a power surge were to damage multiple pieces of equipment in your home. Would you be prepared to pay the repair or replacement costs? Most homeowners don’t protect against this kind of unexpected event. But equipment breakdown coverage is an easy way to make sure you’re financially protected.
What’s the Difference Between Equipment Breakdown Coverage and a Home Warranty?
If you’re weighing your options against other policies, there’s a big difference between equipment breakdown coverage vs. a home warranty. First off, the premium for a home warranty is much more expensive, sometimes ranging above $500 annually. Contrast that with a $30 additional expense to your existing homeowners premium, and the difference is obvious. Secondly, you’ll still probably have to pay for a service visit and then a deductible before your coverage is active with a home warranty. And those extra costs can start to add up quickly. Equipment breakdown coverage helps keep more money in your pocket and offers great protection too.
Learn More About Equipment Breakdown Coverage
Want to learn more about equipment breakdown coverage? Connect with your American Family Insurance agent to find out how you can add this protection to your current homeowners insurance policy, and gain peace of mind that you’re protecting all the things you work so hard for.
Additional Coverages to Further Protect Your Home: