Steam boiler explosions are covered under which type of insurance policy?

Steam boiler explosions are specifically addressed under an equipment breakdown policy. This type of insurance is designed to provide coverage for the failure of equipment due to various causes, including mechanical or electrical breakdowns, which encompasses incidents like steam boiler explosions.

These policies are essential for businesses that rely on machinery, as they protect against significant financial losses that can arise from equipment failure, such as repair costs and loss of income while the equipment is inoperable. Unlike the other options, which cover different types of risks—like natural disasters or regulatory compliance—an equipment breakdown policy directly targets the risks associated with the operation of machinery, making it the appropriate choice for coverage against steam boiler incidents.