Page 174 - Misc Ebook IC 78

The Insurance Times

Additional sum insured - if the insured bank requires
a higher limit of sum insured (higher than the basic
sum insured), in respect of section A and/or B of the
policy, this is permissible on the payment of additional
premium. This increased sum insured is called the
additional sum insured. Both the basic and additional
sum insured under section A and/or B specified in the
schedule of the policy.

Reinstatement - The Banker's Indemnity Insurance
policy contains a provision for an automatic
reinstatement of the sum insured on payment of a loss,
and the insured has to pay a pro-rata additional premium
for the said reinstatement.

The reinstatement can, however, be effected for a total
amount not exceeding the original sum insured, under
the policy, that is the liability of the insurers will be limited
to twice the respective sum insured in any one period of
insurance and to the respective sum insured in respect
to any looses caused by the omission of any one person.
The reinstatement premium amount is deducted from

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