Published: 08-Nov- 2011 | Product Category: Property Insurance
| Comments: 0
After years of working hard to increase efficiency in your organization, the opportunities for incremental profit growth may look all but exhausted. There is one area, however, that many businesses overlook: efficient and cost-effective equipment maintenance management.
About Equipment Maintenance
Equipment service agreements are a multi-billion dollar industry in the United States. Equipment manufacturers make significant profits on equipment service agreements, in addition to product sales. Some of the maintenance agreements purchased by your organization may not be the most cost effective. Simply stated, your company’s guaranteed-cost service agreements may be delivering big profits for the service providers at the expense of your bottom line.
Equipment maintenance (EM) management can help business managers analyze, control, and reduce their total equipment maintenance costs. You have the opportunity to help improve your company’s profit picture with equipment maintenance.
EM is designed to protect your equipment 24 hours a day, seven days a week. The program provides for repairs and preventative maintenance work performed on covered equipment.
About The Program Administrators
Marsh works closely with three of the industry’s top-tier providers: MVP, Specialty Underwriters, and The REMI Group. Combined these organizations have nearly 50 years experience placing and servicing equipment maintenance service contracts. All are "A" rated by A.M. Best and each offer an established team of professionals dedicated to providing solutions to meet your equipment maintenance needs.
- Potential cost savings of 15 percent to 35 percent.
- Provides clients with a financially guaranteed equipment maintenance budget—no "surprise" costs.
- Program options are available to suit individual client needs:
- First Dollar Expense—Reimbursement or "Pay on behalf of"
- Self-Insured Retentions
- Engineering/technical support for sourcing replacement parts at reduced cost.
- Reimbursement of in-house maintenance or repair.
- One contract with one renewal date.
- Retain control over your maintenance, including the vendor of choice and the timing of the service event.
- Companies are free to use their current service provider or any desired vendor for each maintenance event.
- Administrative soft costs reduced using online tracking and management reports.
- Consolidated analysis of equipment reliability and operational costs to support strategic equipment procurement process and equipment life cycle management.
- Targeted, accurate, timely reports and information: real-time access to account scheduling, reports, claims status, and more.
- Comprehensive supporting documentation and detailed online reports for each service event help you accurately evaluate and manage equipment and vendor performance.
- Program summary reports offer a broad view, providing analysis of trends in program operation and the monitoring of overall costs associated with repair and maintenance activity.
Rate this Article
Leave a Comment