What is RTS Equipment Insurance and Why MSMEs Need It

RTS Equipment Insurance is a specialized type of insurance designed to protect rooftop solar systems from unexpected financial losses caused by fire, or natural calamities, ensuring uninterrupted business operations.

It is especially relevant for industries like manufacturing, construction, Trading and logistics, where equipment is a core business asset.

Typical features of RTS equipment policies include:

• Coverage Fixed assets
• Protection against fire, accidental damage, and natural disasters
• Financial support for repair or replacement, minimising business disruption

Understanding the scope of such insurance helps MSMEs plan better and mitigate risk.

Why MSMEs Need Equipment Insurance

Micro, Small, and Medium Enterprises (MSMEs) often run on tight budgets and lean operational models. A sudden equipment failure or disaster can lead to significant setbacks. Here's why Equipment Insurance for MSMEs is essential:

• Limited financial buffers make large repair or replacement costs difficult to absorb
• High equipment dependency means downtime can stop operations entirely
• Exposure to risks like fire, floods, or operational damage threatens business continuity

For MSMEs, RTS Equipment Insurance is not just a safety net, it's a critical element of risk management.

Benefits of RTS Equipment Insurance for MSMEs

Opting for RTS Insurance for MSMEs offers tangible business benefits, such as:

• Financial protection in case of damage or loss
• Quick recovery support to reduce operational downtime
• Confidence to scale operations without worrying about equipment-related risks
• Customised coverage based on industry and asset type

These benefits of RTS Equipment Insurance for MSMEs help safeguard the business foundation, enabling stability and long-term growth.

How to Choose the Right Equipment Insurance for MSMEs

When evaluating options, MSMEs should consider:

• Asset value and criticality – Understand how important each equipment is to your operations
• Risk profile – Consider the likelihood of fire, flooding, or accidental damage
• Coverage terms – What’s included, what’s excluded, and the limits
• Ease of claims – Look for simple documentation and a responsive claims process
• Insurer reputation – A reliable insurance partner can make all the difference

Choosing the right equipment insurance means aligning protection with operational priorities.

Tailored RTS Equipment Insurance from Svakarma

Svakarma Finance offers a specialised RTS Equipment Insurance solution exclusively for its MSME RTS loan customers. Here's what makes it unique:

• Mandatory insurance for equipment financed through Svakarma ensures immediate protection
• Policies are linked directly to the financed equipment, offering continuous coverage throughout the loan tenor
• The insurance is issued in the borrower’s name, with Svakarma as the hypothecated party
• Managed timely to ensure there are no lapses in coverage
• Coverage includes: Fire, natural calamities (floods, storms), and accidental damage
• Excludes: Burglary, theft, and terrorism

Claims and Support:

• Claims must be intimated immediately after an event
• Surveyors are appointed promptly for damage assessment
• Minimal documentation and no physical submission required
• Small claims under ₹1 lakh may qualify for self-survey
• Policies are typically issued within 3–4 working days after loan approval

This seamless process ensures MSME customers receive both financial assistance and peace of mind during challenging times.

Conclusion

For MSMEs, safeguarding operational assets is vital for stability and growth. RTS Equipment Insurance plays a key role in protecting against unforeseen disruptions caused by equipment damage or loss.

Whether purchased independently or bundled with finance, equipment insurance is an essential investment in resilience.