Page 101 - Misc Ebook IC 78

Miscellaneous Insurance

substantial and of bulky nature, whose total loss is a
remote possibility.
(ii) Such a policy is considered only if the total value of
stocks exceed 25 lakhs.
(iii) No First Loss Policy is usually issued for less than
25% of the total value of the property.
(iv) Cover in respect of damage to the premises is
excluded.

Q2.c) Briefly describe the steps required to be
taken by an insured to ensure prompt
settlement of claims in burglary insurance.

Ans. On happening of any event giving rise or likely to give
rise to a claim under the policy, and immediate notice
has to submitted to the insurers setting the circumstances
of the loss.

Within 7 days of the notice, the insured has to lodge a
detailed statement in writing, of the loss or damage with
an estimate of the intrinsic value of each article lost and
the amount of damage sustained. Additionally, full

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