Page 215 - Misc Ebook IC 78

Miscellaneous Insurance

increased percentage gets reduced by 10% of the sum
insured at the next renew will but never goes below the
basic sum insured. This is known as cumulative bonus.

(iii) Agricultural Pump Set insurance - This insurance is
granted on the Centrifugal Pump sets used for
agricultural purposes only. The cover is for any
unforeseen and sudden physical damage to pump sets
by
(i) Fire, lightning
(ii) Riot, strike, malicious damage, terrorism
(iii) Mechanical, electrical breakdown
(iv) Burglary by violent forcible entry into the locked
enclosure where the pump is kept.
(v) Flood risk can be granted selectively, and with extra
premium.

Some important exclusions are:
(i) Cost of dismantling, to and from transport to

workshop and cost of erection.
(ii) Faults existing at the time of commencement of

policy and known to the insured

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