Which coverage is designed to cover losses from interruptions due to mechanical breakdowns of equipment?

The coverage specifically designed to address losses from interruptions caused by mechanical breakdowns of equipment is Business Income Coverage. This type of coverage is intended to protect a business's income when it is unable to operate normally due to a covered loss, including interruptions from equipment failures.

When a business experiences an interruption due to a mechanical breakdown, it can lead to a significant loss of revenue, since operations may halt or slow down. Business Income Coverage compensates for this lost income, allowing the business to maintain its financial stability while repairs or replacements occur.

In contrast, Extra Expense Coverage is focused on reimbursing additional costs incurred to continue operations during a period of disruption. Contingent Business Income Coverage protects against income loss from a supplier or customer being unable to conduct business due to a covered loss, and General Liability Coverage protects against claims of bodily injury or property damage to third parties, rather than interruption of business income. Therefore, Business Income Coverage is the most relevant option for losses specifically related to equipment mechanical breakdowns.