Company directors are becoming increasingly aware of just how important it is to carry out adequate, predictive, preventive and corrective maintenance of their plant and machinery.

Firstly, it is the best way to guarantee the efficiency and reliability of the machinery and equipment, since correct maintenance will minimise the numbers of breakdowns and consequently the loss of production time.

On the other hand, because it is required by the Insurance Policies contracted, since these exclude any claims where the instructions issued by the manufacturer of the machinery regarding inspections and maintenance have not been complied with.

It is important to highlight how it is vital that the personnel handling the machines are qualified and expert and thoroughly familiar with both the maintenance manuals as well as the manuals for their operation, shutdown and start up.

Moreover, whenever the maintenance work is carried out by third parties, that is to say by personnel from outside the company, it is essential that they respect the safety rules established by the company, since it has been proven that many losses occur during the course of the maintenance operations carried out by third parties.

Likewise, we would like to stress how it is important for the most sophisticated and critical machinery of the company (the generators, transformers, turbines….) that maintenance agreements are entered into with the manufacturers of the same.  This will guarantee that you will be treated with priority in the case of a loss event and will have replacement parts available in the short term, thereby allowing you to reduce the Consequential Losses.

Thinking that if you have a maintenance contract for an important piece of machinery means that you no longer need to insure it is a serious mistake, since the Policy and the contract are complementary, and one is not a substitute for the other.

In fact, a maintenance contract is never going to cover any loss events caused by negligence on the part of the personnel, which is one of the common causes of claims, nor is it going to cover the Consequential Losses brought about by an interruption in the production as a consequence of a breakdown.

These two very important scenarios can be covered by a Machinery Breakdown Policy and its corresponding cover for Consequential Losses caused by Machinery Breakdown.

The advice of VANTEVO CLAIMS ADVISORS is that for important machines that are manufactured to order, maintenance contracts are entered into in addition to contacting a Policy, which in the event of a breakdown will guarantee a rapid repair undertaken with all the warranties.