Machinery breakdown insurance, risk management and prevention in Serbia


This paper analyses the machinery breakdown insurance, which provides insurance protection of the machines, as well as of complex industrial system and equipment. The insurance includes failures which may occur in the process of production. Special attention is paid to the contents of the insurance contract, its subject, the risks, the dangers that are excluded from insurance, the way of assessing the value of insured items, as well as the method of determining the amount of the premium. The traditional way of insurance is used, which means covered risks and insurance of machinery within the property insurance on the principle „all risks”, the stock insurance due to breakage of machines which can cause damage. The author has also pointed out the importance of risk management and prevention, as a way of minimizing potential hazards, but some of which can significantly depend on the decision of the insured about what level of coverage he wants to obtain from the insurer.
The study used inductive-deductive and comparative-legal method, with the analysis of a number of policy conditions of different insurance companies.

Ilkić Zoran