Loss of Profit following Machinery Breakdown

In most cases, the loss of gross profit arising from damage to machinery far exceeds the cost of repair or replacement. This policy covers against loss of gross profit following indemnifiable damage to machinery.

Coverage

The policy covers loss of Gross Profit following an indemnifiable accident (the cover usually follows that of the machinery breakdown policy) and is measured on the reduction in turnover compared to the same period in the last twelve months and applying the Rate of Gross Profit. Cover also extends to include Additional Expenditure reasonably incurred to minimise the loss of Gross Profit. The costs of non productive wages can be included either as treating them as a standing charge, or taking out more specific covers such as Dual Wages. Professional accountants' charges to produce certified details for the Insured's presentation of a claim can be included.