Dave Heynen No Comments

Equipment Breakdown Coverage has been available on our policies for just over 10 years now. 

What started out as an unknown “add on” coverage has proven itself to be a very valuable addition to any farm or homeowners policy, as it covers the following items and many more:

  • Air Conditioners
  • Furnaces
  • Refrigerators
  • Dishwashers
  • Generators
  • Heat Pumps
  • Irrigation Systems
  • Water Heaters

In the first year we offered it, we had 3 claims.  

So far this year we have already had over 75 claims.  

Let’s go over some of the basics of this coverage.

There are actually two ways to add this coverage to your policy. 

The first option is to add it to your Farmers Mutual policy.  This coverage is actually provided by a company named Mutual Boiler Re.  They are based out of Malvern, Pennsylvania, and are experts in handling this type of coverage.  

Through a partnership with our reinsurance company Grinnell Mutual, we have the ability to provide this coverage on any farm, home, or dwelling fire policy.  

The claims are submitted by our mutual, and adjusted over the phone by Mutual Boiler Re.  This process may seem a little complicated, however, we have found that this has actually worked very smoothly over the years.  

If you ever have a question on your claim, you can call in to our claims manager, Jerry Keizer, at 712-439-1722 and he will be able to help you. 

The second way is to add this coverage to your IMT personal or farm liability insurance.  

This will require that you have an IMT liability policy.  This coverage is provided by a company named Hartford Steam Boiler in partnership with IMT.  The claims will be handled by Hartford Steam Boiler

Both Mutual Boiler RE and IMT provide a very similar coverage.  

Why add this policy?

It fills a gap.

Mechanical failure is not covered under your Farmers Mutual policy.  

This policy will cover mechanical failure on appliances and home or farm equipment that utilize electricity.  

So, this equipment breakdown coverage fills that gap nicely.  

Here's a review of how you can get equipment breakdown coverage

Equipment Breakdown Insurance Summary

Provided by Farmers Mutual Insurance 

Option 1: Add to Farmers Mutual Policy

  • Delivered Through: Farmers Mutual
  • Claims Handled by: Mutual Boiler Re
  • Covers Equipment on Farms, Homes, or Outbuildings
  • Average Cost per Year: $40-$100
  • Deductible: usually $500

Option 2: Add to IMT Liability Policy

  • Delivered Through IMT Insurance
  • Claims Handled by: Hartford Steam Boiler
  • Covers Equipment on Farms, Homes, or Outbuildings
  • Average Cost per Year: $40-$100
  • Deductible: usually $500


The cost of the coverage depends on whether it is for a farm or home, but the price range is typically between $40 and $100 per year.  The deductible can vary as well, but is typically $500.   

If you have any questions about this coverage, or would like to add it.  Please contact your current Farmers Mutual Insurance agent, or see our agent locator to find an agent near you!  

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