Page 142 - Policy Wording - Hollard Business Binder (2020-08-26)

Electronic Equipment
1. GENERAL
ELECTRONIC EQUIPMENT
1.1 The Electronic Equipment section of the policy offers wide cover in terms of specified items whether at the premises stated in the schedule or temporarily removed and stored at other premises or in transit between premises.
1.2 It is written on an All Risks basis including accidental damage.
1.3 Cover is designed for electronic equipment items and peripherals and it is not intended for white goods (i.e. refrigerators, microwave ovens, etc.).
2. UNDERSTAND THE RISK
2.1 The policy is issued on replacement value basis which means average applies.
2.2 Basis of valuation:
When installed, new replacement value including an allowance for:
2.2.1 Cost of demolition and clearing;
2.2.2 Professional fees;
2.2.3 Installation costs.
2.3 Obtain a list of equipment and values as well as date of purchase.
2.4 Decline to quote on equipment older than seven years.
2.5 Programmes/Software should be noted and insured separately.
2.6 Protections:
2.6.1 physical protections – obtain information on the protection measures;
2.6.2 lightning damage – obtain information on the protection measures.
3. UNDERWRITE THE RISK
3.1 Theft is a major risk and an alarm system must be a non-negotiable. In addition, the cabling-down of equipment should be applied as a condition.
3.2 Lightning damage and power surge are cause of everyday losses. Insist that adequate surge protection be installed.
3.3 Cover provided for portable equipment is worldwide (appropriate rate and deductible to be applied) and is wider than that of the All Risks section.
3.4 Insist on a declaration on inception and subsequent renewal.
3.5 Remote blocking
3.5.1 This cover is automatically included in the section wording limited to a maximum of R25 000 (twenty five thousand rand);
3.5.2 no higher limits should be considered;
3.5.3 only specified property will be covered.
3.6 Surge protection
3.6.1 Property must be equipped with surge protection at all times.
3.6.2 If not protected, load the excess to a minimum of 25% (twenty five percent) of claim.
3.6.3 There is no reduction in premium if adequate surge protection is in place as this is a minimum requirement.
Commercial Underwriting Mandates and Guidelines – Binder – Version 2 2020 141