Property Insurance in India, Budget Property Insurance, Property Insurance Coverage

Property insurance provides security against maximum risks to property, like as fire, theft and some weather damage. This includes expert forms of insurance such as fire insurance, deluge insurance, shaking insurance, house insurance or boiler insurance. Property is insured in two main ways - open perils and name as perils. Open perils cover all the causes of loss not specifically barred in the policy. Common exclusions on open peril policies consist of damage resulting from earthquakes, floods, nuclear incidents, acts of violence and war. Named perils need the real cause of loss to be scheduled in the policy for insurance to be provided. The more common named perils include such damage causing events as fire, flood, blast and theft.

Fire Insurance in India

Fire insurance business in India is managed by the All India Fire Tariff that fix the terms of coverage, the premium rates and the conditions of the Fire Policy. The fire insurance policy is also known as Standard Fire and Special Perils Policy. The risks covered are as follows:

Housings, Offices, Shops, Hospitals(Situated outside the compounds of manufacturing/industrialized risks) Industrial / Manufacturing Risks Utilities located outside industrial/manufacturing risks Machinery and garnishing Storage Risks outside the compound of engineering risks Tank farms / Gas holders situated outside the compound of industrial risks

Perils Covered- Cause of Loss

Fire Lightning blast/Implosion Aircraft damage Riot, Strike intimidation squall, Flood, deluge blow dent Subsidence, landslide Bursting or overflowing of tanks Bush fire etc.

Claims In the incident of a fire loss covered under the fire insurance policy, the Insured shall right away give notice there of to the insurance company. Within 15 days of the incidence of such loss the Insured should submit a claim in writing giving the details of damages and their expected values. Details of other insurances on the same property should also be confirmed.