Plant & Machinery Insurance covers the plant and its machineries in factories, workshops, industries etc against accidental and physical losses in the course of operation. The payments cover the cost to repair or replace the affected machinery, which is covered at work or rest, while on any job site owned by a third party and even when dismantled or reassembled for maintenance. It covers all different types of machinery used for handing material or construction.

The policy covers the machinery while they are in operation or at rest or even while being dismantled for the purpose of cleaning or overhauling or while being shifted within the premises or during subsequent re-erection.

Generally, Property or Fire insurance policies would not cover any losses due to machinery breakdown or plant failure.