What Is Equipment Breakdown Coverage?

Name: Equipment Breakdown
Uploaded: 2024-02-27T15:15:10-05:00
Duration: 1 min 19 s
Description: What exactly is Equipment Breakdown? Watch this video to learn more about this helpful addition to your policy!

What Is Equipment Breakdown Coverage for Homeowners?

Equipment breakdown coverage helps cover your repair or replacement costs if your appliances or electronics have a mechanical or electrical breakdown. It also provides coverage if you want to make “green” upgrades, paying up to 125% of your cost to replace any covered equipment with items that are similar, but more energy efficient or environmentally friendly.

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Updated: 05/29/2026

Read Time: 3 minutes

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Key Takeaways

Equipment breakdown coverage helps safeguard your home’s major systems and appliances, like furnaces, HVAC units, refrigerators and water heaters from sudden mechanical or electrical breakdowns.
Coverage helps pay to repair or replace damaged equipment due to losses like food spoilage or damage from power surges. But it doesn’t cover all cases of damage, like normal wear and tear.
Equipment breakdown coverage is an optional, often low‑cost add‑on to your homeowners policy. It’s ideal if you want extra protection from expensive system failures.

What Does Equipment Breakdown Insurance Cover?

Equipment breakdown coverage can be added to your homeowners insurance policy to help protect you from sudden mechanical, electrical or pressure system failures in your home. It typically helps cover:

Heating and air conditioning (HVAC) systems
Furnaces and boilers
Refrigerators and freezers
Washing machines and dryers
Dishwashers
Water heaters
Home security systems
Riding lawn mowers
Pool equipment
Well pumps
Smart home devices and home entertainment systems

Equipment breakdown coverage with AARP^® Home Insurance from The Hartford can help cover these costs:

Repair or replacement of damaged equipment
Food and beverage spoilage due to a covered breakdown
Damage caused by power surges when electricity gets restored
Temporary repairs

What Does Equipment Breakdown Coverage Not Cover?

While equipment breakdown coverage provides broad protection for sudden mechanical and electrical failures, there are situations it won’t cover. Typical exclusions include:

Normal wear and tear: Gradual deterioration of equipment over time
Rust, corrosion or decay: Damage caused by aging or environmental exposure
Cosmetic damage: Dents, scratches or other damages that don’t affect function
Pre-existing conditions: Equipment that was already broken or malfunctioning before the policy began

Important:

Review your homeowners policy for a complete list of exclusions or call The Hartford at 877-422-2345 to speak with a representative.

What Is an Example of an Equipment Breakdown Claim?

Say you lose power in a storm, including your refrigerator. When electricity gets restored, a power surge causes permanent damage to your fridge, so you’re unable to use it. Plus, you’re now left with spoiled food. Equipment breakdown coverage can help pay to repair or replace your refrigerator and its contents, since they were damaged as part of the covered loss too.

Is Homeowners Equipment Breakdown Coverage Right for Me?

If your home relies on appliances and systems like an HVAC unit, refrigerator or water heater, and replacing any one of them out of pocket would be a financial burden, then equipment breakdown coverage can be a worthwhile addition to your homeowners insurance policy.

Consider adding this coverage if:

You own multiple major appliances that would be expensive to repair or replace
Your home has an aging HVAC system, furnace or water heater
You want protection beyond what a standard homeowners insurance policy provides
You’re interested in upgrading to energy-efficient equipment if something breaks down

Keep in mind that insurance coverage availability varies by state and is optional for an extra premium.

Small Business Owner?

You can add equipment breakdown coverage for your business to an existing Business Owner’s Policy (BOP) to help protect you from unexpected equipment breakdowns.

How Much Does Equipment Breakdown Coverage Cost?

Equipment breakdown coverage is one of the most affordable home insurance endorsements you can add to your policy for around $25 to $50 per year. Plus, if you’re 50 or older, you’ll be eligible for exclusive benefits and home insurance discounts with AARP Home Insurance from The Hartford.

Green Upgrade Benefit:

With The Hartford’s equipment breakdown insurance, you can get up to 125% of the costs covered if you upgrade covered equipment to more efficient or environmentally friendly options.

How Is Equipment Breakdown Insurance Different From Home Warranties?

Home warranties are different from equipment breakdown insurance in terms of how they are purchased, what they cover and how much they typically cost.

	Equipment Breakdown Coverage	Home Warranty
What It Is	Add-on endorsement to your homeowners insurance	Separate service contract
What It Covers	Sudden mechanical or electrical failures	Normal wear and tear
Annual Cost	~$25 to $50 a year	~$300 to $600 a year
Where You Buy It	Through your insurance provider	From a warranty company

How To Add Equipment Breakdown Coverage to Your Policy

Adding equipment breakdown coverage to your homeowners insurance policy from The Hartford is simple:

Get a quote: Enter your zip code, start your quote and add an equipment breakdown coverage endorsement.
Call a representative: Speak with one of The Hartford’s representatives at 877-422-2345 to get a quote. Already a policyholder? Call us at 800-423-0567 so we can update your policy.

Equipment Breakdown

What exactly is Equipment Breakdown? Watch this video to learn more about this helpful addition to your policy!

Frequently Asked Questions About Equipment Breakdown Coverage

What Types of Equipment Does Equipment Breakdown Coverage Cover?

Equipment breakdown coverage provides protection for your home’s major systems or common appliances, such as:

Heating and air conditioning (HVAC) systems
Furnaces and boilers
Refrigerators and freezers
Washing machines and dryers
Dishwashers
Water heaters
Home security systems
Riding lawn mowers
Pool equipment
Well pumps
Smart home devices and home entertainment systems

Can I Add Equipment Breakdown Coverage to a Condo or Renters Insurance Policy?

Yes. With AARP Home Insurance from The Hartford, equipment breakdown coverage can be added to your renters or condo insurance policy, helping to safeguard the appliances you are responsible for.

What Is Standard Equipment Breakdown Coverage?

Equipment breakdown coverage is an optional home insurance coverage that helps cover common home appliances from covered losses. Coverage includes the mechanical or electrical breakdown of things like furnaces and HVAC systems but doesn’t include damage from normal wear and tear.