Burglar or House breaking
Policy
The “Burglar or House breaking Policy” indemnify the Insured against
loss or damage to any kind of movable property like stock,
stock-in-trade, goods in trust, plant & machinery, fixtures, fittings
etc. in the Business Premises so long as these are reasonably protected.
The Policy may be extended to cover cash or valuables in strong rooms of
Banks and Safe Deposits and Safes other than in Banks.
Scope of Cover : The policy covers loss or damage to property by theft
following Burglary or House breaking which means that to establish a
claim there must be visible signs of felonious entry or exit from the
premises by violent and forcible means. Damage to properties falling to
be borne by the Insured is also covered subject to a maximum of 5% of
the total sum insured.
Theft committed after the assault or violence or threat of the same to
the Insured / his employees / members of his family will also be treated
as Burglary or House breaking.
Risks Excluded : Loss or damage arising out of the following actions are
not payable:
- The cover does not include losses or damage due to pilferage,
shoplifting, larceny.
- The cover does not include losses or damage in which any member of the
Insured’s staff is concerned as principal or accessory,or resulting from
any kind of act committed by any other person lawfully on the premises
where in the property Insured happen to be.
- Actions of persons who are lawfully provide the premises.
- Theft committed by using duplicate keys. However, if duplicate keys
are obtained by violent means or threat the policy will pay.
- War and allied risks, strike, riot, civil commotion.
- Storm, flood, inundation, earthquake.
- Any loss recoverable under fire or plate glass insurance.
- Unless specially mentioned, deeds, bends, wills of exchange,
promissory notes, cash , treasury notes and bank notes, cheques,
securities for money, stamps, stamp collection, books of accounts,
documents or any kind, manuscripts, medals and coins, motor vehicles and
accessories or live stock.
- Nuclear risk.
Sums Insures: As only stocks are casually covered under this type of
Policy, the
market value of the stocks held should be furnished as the sum to be
insured.
Types of Policies:.
Declaration Policy:
This type of Policy is issued in case of fluctuating stock and where
large handling of stocks are involved during the year which are at
number of locations. The Policy is issued on the same lines as Fire
Declaration Policies.
First Loss insurance Policy:
This is an exception to the normal procedure of providing insurance for
the full value. This type of Policy is subjected to partial average
clause according to which if at the time of loss the actual total value
of the property exceeds the total value declared to the Insurer then the
liability of the Insurer in respect of the loss is restricted in the
same proportion as the declared total value bears to the actual total
value.
The Insurer’s maximum liability will be restricted to the First Loss
amount to be chosen by the Insured. Usually, Minimum First Loss
percentrage is expected to be 25% of the total value at risk.
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