A Complete Guide to Farmers Insurance Equipment Breakdown Coverage

Suffering an equipment breakdown can lead to costly repairs and replacements for homeowners. Most standard home insurance policies exclude mechanical and electrical breakdowns, leaving you unprotected. That’s why Farmers Insurance offers Equipment Breakdown coverage to fill this gap for customers. This guide will explain what the coverage includes, how it works, what’s covered, and why it’s an important add-on for your home insurance policy.

What is Farmers Equipment Breakdown Coverage?

Farmers Equipment Breakdown coverage provides protection in the event of sudden and accidental mechanical or electrical breakdown of equipment in your home. It covers the cost to repair or replace items like major appliances, electronics, HVAC systems, and more.

Key highlights include:

• Covers electrical and mechanical breakdowns
• Applies to a wide range of home systems and equipment
• Pays for repairs, replacement costs, and additional expenses
• Fills gaps left by warranties and standard insurance
• Available as an endorsement for Farmers home insurance customers

Without this coverage, you’d be responsible for the full cost of repairs or replacement in the event of an equipment failure. This can easily run $1,000-$10,000 depending on the device.

What Does Farmers Equipment Breakdown Cover?

Farmers Equipment Breakdown covers breakdowns to the following types of equipment located in or within 1,000 feet of your insured home:

• Major appliances like refrigerators, stoves, dishwashers, washers/dryers
• Home electronics like TVs, computers, tablets, headphones
• Heating and cooling systems like furnaces, heat pumps, central air
• Water heaters, boilers, and home plumbing systems
• Well pumps, septic systems, and swimming pool equipment
• Home security systems and generators
• Permanently installed lighting, fans, vacuum systems
• And more!

It provides both repair cost reimbursement and replacement cost coverage depending on the terms of your specific policy.

What Breakdown-Related Expenses are Covered?

In addition to covering equipment, Farmers breakdown coverage also pays for a number of other important expenses including:

• Spoilage: Up to $10,000 for food spoilage due to refrigeration/freezer accidents
• Additional Living Expenses: Pays for temporary increases in costs if your home is unlivable during repairs
• Expediting Expenses: Cost of temporary repairs or to expedite permanent repairs/replacement
• Environmental Upgrades: Additional costs for replacing with more energy efficient or eco-friendly equipment
• Business Interruption: Lost business income if you operate a home business and suffer an equipment breakdown

This provides complete protection that goes beyond just the equipment itself.

Key Benefits and Advantages of Farmers Breakdown Coverage

Farmers Equipment Breakdown coverage provides homeowners with the following key benefits:

• Broad equipment coverage: Single policy covers all major systems instead of multiple warranties

• Protection from costly repairs: Average claim is $5,000+ which you’d otherwise pay out-of-pocket

• Coverage for surge damage: Electrical surges are a major equipment killer often excluded by warranties

• Food spoilage reimbursement: Up to $10,000 for spoiled food due to refrigerator/freezer breakdowns

• Pays regardless of cause: Covers breakdowns from power surges, faulty installation, lack of maintenance, etc.

• Fast claims service: Farmers has an A+ rating for claims handling according to the Better Business Bureau

• Added peace of mind: Knowing you’re protected from unpredictable and costly breakdowns

• Affordable premiums: Average annual cost is only $50 – $150 depending on your policy limits

Equipment breakdown insurance gives homeowners affordable peace of mind knowing costly repairs and replacements are covered.

What’s NOT Covered by Farmers Equipment Breakdown?

While the Farmers coverage is comprehensive, there are some exclusions to be aware of. The policy does not cover breakdowns caused by or resulting from:

• Normal wear and tear or gradual deterioration
• Corrosion, rust, or sediment buildup
• Improper installation, repair, or maintenance
• Misuse, negligence, or intentional acts
• Lightning, windstorm, hail (unless separate rider)
• War, nuclear hazard, and intentional/dishonest acts

Damage from common insured perils like fire, theft, or vandalism would be covered under standard home insurance.

Who Needs Equipment Breakdown Coverage?

This coverage is valuable protection for all homeowners given the prevalence of breakdown risks. It’s especially important for:

• Homes with high-end appliances, electronics, and systems
• Homes heated/cooled by heat pumps, boilers, or central air
• Homes with appliances over 10 years old and out of warranty
• Homes with swimming pools, home offices, and other amenities
• Any homeowner wanting to avoid unpredictable repair bills

Even with warranties and service contracts, the Farmers coverage provides important gap protection you can’t afford to go without.

How Much Does Farmers Equipment Breakdown Insurance Cost?

The cost for adding Farmers Equipment Breakdown coverage is relatively low compared to the protection and peace of mind it provides. Some average costs include:

• $50 annually for $5,000 equipment coverage
• $75 annually for $10,000 equipment coverage
• $100 annually for $25,000 equipment coverage

Factors like your coverage limit, claims history, and deductible will impact your premium cost. Farmers agents can provide quotes specific to your property and needs. The small upfront premium is well worth avoiding thousands in repair costs down the road.

How to File a Farmers Equipment Breakdown Claim

If you suffer a covered equipment breakdown, here is the process to file a claim with Farmers:

1. Document damage with photos/video if possible.

2. Contact your Farmers agent or call 800-435-7764 to report the loss.

3. Provide equipment details, repair estimates, and any other documentation.

4. Farmers will send an adjuster to inspect damage and evaluate the claim.

5. Once approved, you can have repairs done or submit receipts for reimbursement.

6. Farmers will issue payment for covered losses minus your policy deductible.

Farmers works to process claims quickly and reimburse you for covered breakdowns after your deductible. Having breakdown coverage in place makes the process much easier.

Get Farmers Equipment Breakdown Protection

Unexpected equipment breakdowns happen all too often, leaving homeowners to pay costly repair and replacement bills out-of-pocket. Adding comprehensive Equipment Breakdown coverage through Farmers Insurance closes this concerning gap in standard home insurance policies.

For affordable peace of mind, contact a Farmers agent today to add this valuable coverage and protect your home systems and appliances from any covered mechanical or electrical failure.