Page 118 - Fire Insurance Ebook IC 57

Fire and Consequential Loss Insurance

Important Points to Remember

Policy

n Only standard Fire and Special Perils Policy can be issued.

n Policies should be read together with the proposal form, schedule,
specification, endorsements, warranties and clauses

n Policies covering buildings and / or contents shall show blockwise
separate amounts on :
a) Building.
b) Machinery and Accessories.
c) Stock and Stock-in-Process.
d) Furniture and other contents.

Partial Insurance

It is not permissible to issue a policy
a) covering certain portions only of a building.
b) Covering only specified machinery

Short period rates

Policies for a period of less than 12 months, must be issued at the
Short Period scale of rates set out hereunder :

For a period not exceeding 15 days 10% of the annual rate
For a period not exceeding 1 month 15% of the annual rate
For a period not exceeding 2 months 30% of the annual rate
For a period not exceeding 3 months 40% of the annual rate
For a period not exceeding 4 months 50% of the annual rate

Sashi Publications - www.sashipublications.com 131

Copyright@ The Insurance Times. 09883398055 / 09883380339