Electronic equipment insurance keeps business online

The amount of electronic equipment in many businesses is skyrocketing, as is our reliance on

it. It’s not uncommon for employees to have a desktop computer, a smart phone and a work

laptop or tablet on the go at once.

Like traditional machinery breakdown insurance, electronic equipment insurance covers the

cost of breakdown repair– typically for computers but sometimes for machinery

incorporating computer chips.

Depending on the policy, cover can be extended to include the cost of reprogramming and

reinstalling files, electronic data restoration and more.

Equipment items which, not that long ago, were the height of sophistication now seem quaint

– pagers, for example, and dot matrix printers. Early personal computers and “brick” mobile

phones are even becoming collector’s items.

Typewriters, carbon copies, rolodexes, telexes, overhead projectors, adding machines, slides

in carousels and those machines that printed multiple copies of documents in strongly-scented

purple ink are all distant memories.

At the same time, prices for computers have plummeted over the years a search of vintage

computer ads online clearly shows. One 1984 ad trumpets a computer with 256KB of

memory for a mere $4,999. Bargain! An old Apple ad boasts: “Of the 235 million people in

America, only a fraction can use a computer.”

However, while prices have fallen, the number of computers and other electronics continues

to growleaving businesses significantlyexposed in the event of a power surge or other

equipment failure.

Insurance has moved with the times, with electronic equipment cover changing as technology

evolves.

For some particularly valuable equipment, insurers may require a regular maintenance

program be in place as a condition of cover.

It is worth noting that cover for electronic equipment is distinct to cover for cyber risks,

although there can be some cross-over depending on the policies involved.

Cyber risks insurance is all about helping businesses protect themselves against cyber

criminals, data loss and the potential ramifications – for example, a privacy breach can cause

immense reputational harm as well as financial damage, and require both technical and public

relations “fixes”.

Cybercrime is said to cost the Australian economy over $1 billion a year, with cyber

criminals starting to hack small businesses in order to “piggyback” into the systems of the

larger businesses they deal with.

Cyber cover is a relatively recent product and, as with any policy, a careful reading of the

policy can pay off. Some insurers offer financial recompense and also support from a crisis

response team who work to restore client operations in the event of an incident.

Both electronic equipment insurance and cyber cover should be considered if your business

relies on computers.

The above advice is general advice and has not taken into account your personal

circumstances.

Here the author, James, writes this content aboutelectronic equipment insurance. If you have

any query about services, visit our website http://www.ebminsurance.com.au/ or feel free to

call us on 1300 467 873