Page 120 - Fire Insurance Ebook IC 57

Fire and Consequential Loss Insurance

n Premium rates shall be charged on short period scale on full sum
insured for the balance period i.e., upto the expiry of the policy.

n Mid-term increase in sum insured is allowed on pro-rata basis.

Fire Extinguishing Appliances discount can be granted,
as per scale, subject to the following :

System shall be erected and tested as per the relevant regulations.

Certificate from Professionals / Professional Agencies confirming the
efficiency of the system and its compliance with the Rules shall be
submitted by the Insured.

The installation shall be maintained in efficient working order at all
times and annual maintenance contract with an external agency shall
be in force.

Type of Installation Discount %
2.5
a) Hand Appliances & Trailer Pumps 5
/ Fire Engines 7.5
10
b) Hand Appliances & Hydrant System

c) Hand Appliances & Sprinkler/ Fixed
Water Spray System

d) Hand Appliances + Hydrant System &
Sprinkler / Fixed Water Spray System

Computation of premium rate
The computation of the rate shall be in the following sequence :
a) Basic rate.
b) Reduction in rates for deletion of STF1 and / or RSMTD perils, if

opted out.

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