Burglary insurance explained

Burglary insurance is a policy that covers loss or damage to the insured property and any content whilst contained within the premises as a result of theft accompanied by actual forcible and violent breaking into or out of a building.

Burglary Insurance provides cover for the following occurrences:

• Loss or damage to insured property due to burglary and/or housebreaking
• Damage to premises caused by burglars during burglary or attempts at burglary. The policy pays actual loss/damage to the insured property caused by burglary/house breaking subject to the limit of sum insured.
• If the sum insured is not adequate, the policy pays only proportionate loss. There is also a provision in the policy to cover bulk items on "first loss" basis, wherein a percentage of total stock stored can be taken as that exposed to the risk of burglary and housebreaking. The premium is charged on this percentage selected only. A nominal premium is charged on the balance stock.
• The policy can be extended to cover riot, strike, malicious damage and theft. Further, policies can be issued on declaration basis and on floater basis for stocks.

Burglary Insurance companies require policyholders to notify the authorities of the burglary as one of the first steps before they file a claim. Understanding your policy limits is the best way to avoid hassle when making a claim. If you have a police report and home inventory, then the claim process can take as little as a week or two for payment to arrive.

What to expect from your burglary insurance provider

Many insurers will provide a prepaid debit card to cover the expense of fixing or repairing windows or doors in order to prevent a fresh break-in and also to replace lost property before you are reimbursed to speed up the emotional recovery.

Once you make a claim, the insurance company will look more carefully at your situation and make adjustments to your premium. If it is your first and only claim, then chances are they won’t raise your rates. However, if it’s your second or third claim, or the insurer has experienced a number of claims from other policyholders in your neighbourhood, then they might if they think it is a trend.

Insurance companies can also change your deductible to a higher limit in order to protect themselves against future claims. It is very important to read and understand your policy before it becomes necessary to file a claim.

What is Fidelity Guarantee?

Fidelity Guarantee Insurance is a cover which protects a company against the loss of money and property which you may suffer as a result of a dishonest or fraudulent act by an employee or volunteer.

Why take out Fidelity Guarantee?

It protects a company that believes there may be a risk of a dishonest person taking funds or property and a loss such as this would put the company at risk.

What is covered?

The policy pays the actual financial loss sustained as a result of the dishonesty / fraudulent act of the employee after adjusting any salary, commission, security deposit or any other money standing to their credit. The loss is payable up to the limit specified for the employee. The Policy does not pay more than one claim in respect of liability/loss arising out of an individual employee's acts.

What the policy does not cover

There are a few major exclusion that come under the policy, which are:

• Loss arising out of suppression of fact, affecting the risk at the time of effecting the policy
• Change in the circumstances or conditions of the said employment, without the consent of the company
• More than one claim in respect of any one employee
• Loss arising outside the country
• Loss due to non-observance or relaxation of system of checks and precautions
• Loss by an act committed subsequent to an earlier act of dishonesty / fraud that had come to your notice
• Loss discovered more than 12 months after the termination, either of the guarantee or of the service of employee concerned
• Losses such as stock taking shortages, trading losses, are not caused by fraud or dishonesty

Protecting your money

Every business needs complete protection against potential loss. All businesses handle money in some form, whether it may be cash, cheques, credit card slips, bankers’ drafts and in transit, making it important to take out money insurance policy.

There are many ways a business could make unexpected loss with money:

1.    There is also the possibility of money being stolen or missing while on the premises from the till or a locked box or a safe.
2.    There is also the chance of the money being stolen on your way to the bank from your vehicle.
3.    You may have taken the money home with you with the intention of banking it the next morning and your home could be burgled.
4.    Worst case, the money being stolen from the night safe at the bank.

The best way to protect your businesses money is to take out money policy. Money insurance policy is designed for small businesses, many of which provide cover for loss of money. The policy is tailored for all types of businesses from landlords, shops, pubs and restaurants to hotels, offices, surgeries and home offices.

 

Why consider a money policy?

•        Essential protection of financial assets
•        Protection for employees and others who transport monies
•        Peace of mind security, minimising disruption to your business
•        May cover exclusions from other fire insurance policies

 

What a Money Policy covers:

•        Money in transit to and from banks, carried by insured or employees
•        Personal assault cover
•        Money on business premises, in or out of safes
•        Personal and safe damages
•        Cover for money in the home of employee or director
•        Cover for money in safety deposits

What is Professional Indemnity?

Regardless of how many years’ experience a business has, there is always the possibility a member of staff could make a mistake. Before, people like accountants, surveyors, engineers, solicitors and architects, were regarded as 'professionals' but now the term ‘professional’ is often regarded as any person who offers specialist advice or services.

Professional indemnity insurance helps protect a business from claims made by dissatisfied clients. Even if you haven’t done anything wrong, the cost of defending yourself may be high and professional indemnity cover can help you protect yourself from these costs too.

There are three types of Professional Indemnity:

1. Negligent act, error or omission - this indemnifies the policyholder against loss/circumstances incurred only as a result of their negligent act, error or omission in carrying out the policyholders business. This is the narrowest form of cover.
2. Breach of duty – a  typical Professional Indemnity policy will provide indemnity to the insured against loss arising from any claim or claims for breach of duty which may be made and reported to the insurers during the policy period by reason of any neglect, error or omissions committed in the conduct of the insureds professional business. Some policies are more tightly worded than others and whilst a number of policy wordings are designed to satisfy a stated minimum approved wording, which makes them easier to compare, others differ dramatically in the cover they provide.
3. Civil liability - Some Professional Indemnity policies go further than the standard cover and provide indemnity 'for any civil liability'. This covers such areas as breach of contract, libel and slander. The operative clause of a 'civil liability' policy is so wide, that there is normally a long list of exclusions in order to exclude liabilities that should be covered elsewhere - otherwise things like Employers Liability and Public Liability might be covered.

Choosing a professional indemnity insurance limit depends on your businesses circumstances. Cover can be offered on an annual aggregate limit for all claims or it can be applicable to each and every claim or any one claim without aggregate limit.  Often, customers or clients will specify the level of cover you need but if they don’t, then it’s wise to enquire about their expectations before starting a contract.