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iMGA Homeowners (HOA/HOA+), Dwelling (TDP1/TDP3) and MobileHome policies underwritten by San Antonio Indemnity Company will now  automatically include Equipment Breakdown coverage.

Since our competitors are talking double digit rate increases due to the historic storm losses in Texas, we decided that we would cling to our guns, Bibles, and pickups and keep true to our mission of being simple and different.

As such, we kept our rate changes low while adding this valuable additional coverage to help you better explain an increase to  your customers. This coverage will be included automatically – adding coverage for losses due to electrical, mechanical or pressure systems failures, subject to a $500 deductible.

We will continue to follow up with more educational materials about this exciting new addition over the next few weeks. This coverage will be included on new quotes for policies effective  8/15 and all renewals effective 10/1/2011 and later. True to our mission, here is a quick and easy overview:

The modern home contains many expensive systems and appliances that can benefit from Equipment Breakdown coverage. These include:

  • Clothes Washers and Dryers
  • Computer Equipment
  • Dishwashers
  • Freezer Units
  • Garbage Disposals
  • Heat Pumps
  • High Efficiency Home Heating and Central A/C Systems
  • High Energy Electrical Service Panels
  • Home Security Systems
  • Kitchen Refrigerators
  • Lighting and Home Environment Monitoring
  • Microwaves
  • Ovens
  • Sump Pumps
  • Surround Sound Systems
  • Swimming Pool Equipment
  • Televisions (Plasma, LCD, etc)
  • Water Heaters
  • Well Water Pumps

Basically, if it uses electric power, it is most likely subject to Equipment Breakdown.

Even items that you typically think of as disposable; such as, garage door openers, exhaust/ceiling fans, DVD players and much more, could benefit from this coverage as a result of an electrical power surge since the deductible is per-occurrence not per item.

In addition to the direct cost to repair or replace covered items, Equipment Breakdown coverage also provides for loss of use, cleanup and removal, and even additional costs for replacement with upgraded “green” items.

We are very excited about offering this fantastic coverage enhancement to our policyholders, especially since we’re including the coverage for no separate charge – all our customers with the San Antonio Indemnity Company HOA/HOA+, TDP1/TDP3 and MobileHome policies will have it automatically.

If you are a Texas Independent Insurance Agent who does not already represent iMGA and you’d like to be able to offer this coverage to your clients, contact us today.

Failed air conditioners, leaking boilers, overheating electrical panels, and short-circuited well pumps – see these and many more Equipment Breakdown coverage examples.

Do you get tired of telling your customers that an appliance breakdown is not a covered claim?   Equipment Breakdown coverage available on selected iMGA Homeowners (HOA/HOA+), TDP1, TDP3 and MobileHome policies is so unexpected and unique that we need to show you examples of the loss scenarios. You can now tell you customers, “yes, this claim is covered!”.

A family of four awakened early to get ready for work and school only to find they had no water! Their home’s water was supplied by an on-site deep-well pump. The service company suspected the 230-volt pump motor short-cir- cuited to ground pulled it from the well to assess its condition. Upon inspec- tion, it was determined the cost to repair the pump was greater than the cost to replace it. This hardworking family was grateful for homeowners equip- ment breakdown coverage. After deductible, the policy paid the $1,260 cost to replace the pump.

A couple welcomed their newborn daughter into the world and looked for- ward to bringing her home. While they had prepared their home for their newest addition, they weren’t prepared for the unexpected failure of the air conditioning system during a heat wave! A service contractor informed the couple the compressor experienced an internal mechanical failure and needed to be replaced. Fortunately, the house was protected by home- owners equipment breakdown coverage, and the policy paid $2,800 after deductible—an unexpected expense the new family was relieved it didn’t have to pay out of pocket.

A gas fired boiler was leaking water. It was determined that the boiler’s low water fuel cut-off failed, causing the boiler to overheat. The boiler could not be repaired due to its age, so replacement was necessary. After the deductible, their Homeowners Equipment Breakdown Insurance paid them $5,200 to replace the boiler.

A 200 amp electrical panel overheated, causing an overload condition which damaged its six circuits. It was determined that the electrical panel needed to be replaced. After the deductible, their Homeowners Equipment Breakdown Insurance paid them $1,625 to replace the panel.

A family’s Central Heating and Air Conditioning system stopped working. Examination of the unit revealed that a power surge had burned out both the compressor and fan motor. The system was replaced as it was not cost effective to repair the old system. After the deductible, their Homeowners Equipment Breakdown Insurance paid them $2,150 to replace the system.

Dad was in the den working on his computer while the kids gathered in the family room to watch a movie. Suddenly, a short-circuit at a nearby substation caused a power surge that damaged their home theater components and the computer. After the deductible, their Homeowners Equipment Breakdown Insurance paid them $1,637 for their loss.

A domestic water 230-volt deep well pump short-circuited to ground. Upon being pulled from the well to determine its condition, it was concluded that cost to repair the motor was greater than the cost of replacement, and their Homeowners Equipment Breakdown Insurance paid $1,850 for replacement and an additional $186 for loss of use after application of the deductible.

An air conditioning system suffered an ice buildup in the evaporator due to a cracked compression fitting. The ice plugged the condensate drain causing water to flow into the control cabinet, short-circuiting the solid state controls for the air conditioning system and furnace. After the deductible, their Homeowners Equipment Breakdown Insurance paid $2,800 to replace the system.

Oh, and the price? It’s $0 – Equipment Breakdown is included automatically – there’s no separate charge!

Don’t get caught without this valuable protection – talk to your Texas Independent Insurance Agent about getting an iMGA policy with Equipment Breakdown coverage. Or if you’d prefer, complete the form and we’ll refer you to the nearest iMGA agent.

If you are a Texas Independent Insurance Agent who does not already represent iMGA and you’d like to be able to offer this coverage to your clients, contact us today.

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