Optima Insurance Brokers Pvt. Ltd.



Commercial Buildings, Offices, Malls, Factories, Warehouses etc. and their contents are exposed to Acts of God, fire, explosions, riots etc. Property Insurance protects a policy holder from financial repercussions of losses to assets like buildings, plants & machinery, stocks, electronic equipment etc.

Machinery Breakdown Insurance


This policy is suitable for every industry which operates on machines and for whom breakdown of plant and machinery is of serious consequence. Monetary costs involved for restoration of machine to its original state are covered by the machinery (breakdown) insurance policy.

Salient Features

The policy offers cover against loss or damage to the plant and machinery due to sudden and unforeseen reasons whilst the machinery is at work or at rest caused by:

  • Faulty material, design, construction or erection.
  • Vibration, mal-adjustment, mal-alignment
  • Defective lubrication, loosening of parts, stress, molecular fatigue, heating, centrifugal force, explosion/implosion.
  • Electrical faults and failures.
  • Failure of connected machinery or protective devices.
  • Lack of skill/carelessness of the operators.
  • Falling, impact, collision and the like
  • Obstruction or entry of foreign bodies into the machine

Extra Covers

Additional expenses required to repair & restore the damaged machinery like overtime, express freight, surrounding property, third party liability, additional customs duty, air freight can be covered on payment of necessary additional premium.


In case of partial loss, all expenses necessary for restoration of the affected machinery will be paid to the extent insured in the policy. Claims will be paid in full provided the machine is adequately insured. Depreciation is not applied except for parts with limited life or which are subject to wear and tear. Excess at 1% of sum insured shall be deducted from all claims. Where the repair cost exceeds the cost of the machine, loss will be dealt on ‘total loss basis ‘ i.e claim will be settled for the depreciated cost of the machine as on the date of loss.


Premium is charged on the reinstatement value of individual machinery. The machine as a whole should be insured. Premium rates depend on the type of machine; the industry in which it is used and its value. Discounts are offered based on factors such as stand-by facilities, spares available and claims experience provided the value of all machinery at a particular location exceeds Rs.10 crores.


A duly filled in proposal form along with a schedule giving full details of the machinery required to be insured along with its reinstatement value is necessary. All the machinery should be in good working condition at the time of taking insurance. Selection of critical equipment is permitted but the machine needs to be insured as a whole.

Optima’s core group has more than 100 man-years of experience in insurance. Our experience has trained us in reading the fine print of insurance policies, understanding it and applying it for the benefit of our clients.

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Corporate Office

M6, M Block Market, Greater Kailash-II, New Delhi-110 048
+91-11-40 50 51 52, +91-11-40 50 51 53

Registered Office

M4, Greater Kailash-II, New Delhi-100 048

IRDA Registration Number 326  |  CIN : U66030DL2000PTC103603  |  Category : Direct Broker (Life and Non-Life)  |  License period : 22-03-21 to 21-03-24
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