GENERAL INSURANCE - Cornerstone Insurance

Burglary & Housebreaking (Business premises) Policy

This policy covers loss or damage to property arising out of theft following upon felonious entry or exit from the premises by violent and or forcible means. Property that can be covered are stocks, stock-in-trade, goods in trust, plant and machinery, fixtures, fittings, cash or valuables in strong rooms or safes.

Customers- Anyone owning physical assets and stored on the premises – be it industries/ warehouses/ individuals/ shopowners.

Contractors Plant & Machinery

Scope of Cover
This insurance is an All Risks policy covering sudden and unforeseen physical damage to machinery by any cause or peril not specifically excluded under the policy.

Optional Extensions
- Owner’s surrounding policy
- Clearance and removal of debris
- Additional custom duty
- Express freight
- Airfreight
- Dismantling and shifting to a new location
- Escalation “Earthquake”
Exclusions
- Vehicles without identification number/individual sum insured
- Transit risks from site to site
- Machinery breakdown risks, abandonment
- Freezing of coolant or other fluids, defective lubrication, replaceable parts
- Explosion due to steam pressure in I.C engine
- Vehicles plying on public roads and liability arising there of
- Hull and machinery of water borne vessels/crafts and pay loaders on barges
- Total and partial immersion in tidal waters, Wear and tear, rusting, testing for other purpose
- War and nuclear perils
- Pre-existing defects at inception
- Wilful act/negligence of insured, consequential loss/liability, inventory loss
- Cost of preparing drawings/patterns/core boxes
- Cost of alteration, improvement, overhauls, modifications, additions, material changes
- Breakage/abrasion of wire or stands of rope/slings of a crane.

Electronic Equipment

COVER- This is a comprehensive policy to cover electronic equipments such as computers, UPS, Audio video equipment, printer, faxes, other electronic/microprocessor equipment used in the factory/office and covers the damage caused by accidental Fire and allied perils together with the loss by burglary, Excluding losses arising out of wear and tear.

Customers
All offices / organizations / hotels / hospitals- any organization using computers and electronic equipments.

Fire & Special Perils

COVER- This Insurance covers the loss or damage arising out of not only the peril of Fire but also damages caused by lighting, riot and strike, storm, tempest, flood and inundation as well as earthquake, impact damage. One can insure their Building, furniture and fixtures, machinery, electronic equipment, stocks and other contents in the premises under such a Policy.

It was under the purview of the All India Fire Tariff, till 2006, but is no longer under the Tariff regime and hence each risk will no longer have the same rate of premium being charged.

CUSTOMERS
This type of cover is one of the most popular and basic covers that all industries should have and in today’s times, with the vagaries of weather (Floods/Tsunami/ Earthquake) causing so much of damage to property ?it is becoming essential for householders to also avail of such insurances.

Industrial All Risks (Package)

Scope of Cover
All Industrial risks (other than risks ratable under petrochemicals tariff) having overall sum insured Rs. 100 Crores and above in one or more locations are eligible for the policy.

This insurance covers loss or damage from:
Fire and special Perils including Flood, Storm, Tempest
Earthquake, Fire & Shock
Consequential Loss (Fire)
Machinery Breakdown, Boiler, Explosion, Electronic Equipment

Optional Cover
Consequential Loss following Machinery Breakdown.

Exclusions
As prescribed under individual covers.

Compulsory deductibles

Material damage loss
5% of the claim amount subject to minimum of Rs. 5 lakhs and maximum of Rs. 50 lakhs.

Business interruption
Fire Three day's gross profit subject to minimum of Rs. 5 lakhs and maximum of Rs. 50 lakhs Machinery Breakdown.

Voluntary Deductibles
As prescribed under Industrial All Risk Tariff

Extensions (as applicable):
Agreed Bank clause
Architects', Surveyors and Consulting engineers', fees clause.
Designation of property clause
Escalation clause
Omission to insure additions, alterations or extensions clause
Temporary removal of stocks clause

Jeweller’s Block (Package)

Cover
It is a policy packaged to cover the various types of risks faced by Jewellers and Establishment of Diamond Traders. There are four sections in the policy and the compulsory section is the first section, which covers the gold, ornaments and silver items contained on the premises including the ones in the closed display windows. The property (insured under Section I) is covered under various sections and circumstances as follows-

Section I- Covers loss or damage by fire, explosion, lightning, burglary, house breaking, theft, hold up, robbery, riot, strike and malicious damage and terrorism.
Section II- Covers whilst in the custody of the insured/employees, sorters, cutters and goldsmiths and is basically an outdoor?risk.
Section III- Covers whilst in transit by registered post parcel. Air freight or through Angadia.
Section IV- Covers Furniture fixture fittings ?and the perils are the same as under Section I.

Jeweller's premises are categorised into Class I, II or III depending upon the type of security provided for the premises. Also the jewellery on the premises is covered only if they are kept in locked safes during nights and after office hours.
Discount in premium is available wherever the premises have special protection devices like built-in vaults, strong rooms, closed circuit T.V. or armed guards.

Customers
The policy can be taken by jewellers who are wholesalers or retailers. The policy is not given to establishments whose work is predominantly manufacturing like cutters and goldsmiths. The policy cannot be given to angadias, brokers or pawnbrokers.

Marine cum Erection

Cover

This is a comprehensive package policy covering various physical risks incidental to projects and erection of Machinery.

It begins from the time the equipments leave the suppliers warehouse (whether imported or indigenous) and continues during transit by road, sea or air and on reaching the project site and during its erection, testing and Commissioning. (If the transit is not required to be insured ?a Storage cum erection policy is available)

Unlike other Policies since this cover extends during the entire period or erection and testing cover is granted for periods beyond one year too. in which case premium maybe collected in instalments too)

The basic cover of physical loss or damage to the insured property is covered under Section I. It covers practically all types of damages (physical) associated with the activities of erection /construction, except those caused by the exclusions under the Policy.

Some of the major exclusions are–
- loss or damage due to faulty design, defective material or casting, bad workmanship other than faults in erection. This exclusion is limited to the items immediately affected and does not apply to any consequential loss to correctly executed items.
- cost necessary for rectification or correction of any error during erection unless resulting in physical loss or damage.
- loss or damage due to gradual deterioration, atmospheric condition, rusting etc.
- loss discovered only at the time of taking inventory.
- loss arising out of penalty for delay, non-fulfillment of terms of contract.

Section II – covers Third Party Liability for bodily injury and property damages. The policy can be extended to cover the following on payment of additional premium.
- Clearance and removal of debris
- Damage to owner’s surrounding property
- Maintenance visit / extended maintenance cover
- Additional customs duty
- Civil works
- Express freight
- Air freight
- Deletion of duration clause under marine
- Large Projects can be insured with specially worded Policie

Motor Vehicles

Scope of Cover
This insurance covers losses caused by all accident including those due to fire, explosion, self-ignition, earthquake, flood, collision, theft, riot, strike, malicious act, terrorism, landslide/rockslide and whilst in transit by road, rail, inland waterways, lift, elevator etc.

Section I
Undertakes to reimburse expenses incurred
Towards repair/replacement of parts of the vehicle, or To pay the market value of the vehicle in case of a total loss, provided that the originating cause of such damage is an accident, including theft.

Section II
This portion is compulsory and it covers the legal liability of insured towards third party personal injury and property damage (up to Rs. 6,000.00) arising out of an accident involving the insured vehicle.

Optional Extensions:
Legal liability to the paid driver, cleaner or any workman
Personal accident to the occupants
Unlimited Legal liability towards property damage of Third Party
Luggage or Caravan trailer.

Exclusions:
Any accidents outside the geographical area of India. (This can be extended, on request, to include
the areas of Nepal, Bhutan and Bangladesh)
Consequential loss, normal wear and tear
Driving without valid licence for that class of vehicle. Driving under the influence of liquor/drugs
Vehicle not being used as per the regulations of registration.

Note:
Section II is compulsory for vehicle owners and is also known as “Act Liability Policy” when opted for independently.
Accessories purchased in addition to those supplied by the manufacturer must be specifically declared for insurance along with their values.
Rates of depreciation applied by the insurers for the parts needing replacements following an accident are given bellow:

Age of the vehicle % of depreciation
Not exceeding 6 months - 5%
Exceeding 6 months but not exceeding 1 year - 15%
Exceeding 1 year but not exceeding 2 years - 20%
Exceeding 2 years but not exceeding 3 years - 30%
Exceeding 3 years but not exceeding 4 years - 40%
Exceeding 4 years but not exceeding 5 years - 50%

Rate for vehicles beyond 5 years of age and of obsolete models of vehicles is to be determined on the basic of an understanding between the insurer and the insured.

Office Protection (Package)

Scope of Cover
This policy is an insurance package designed to offer a range of benefits, and covers office assets, interests, liability encountered in the performance of one’s business or profession. It is flexible and divided into 12/13 sections to take care of respective risks. These broadly are:

Fire and allied perils
Burglary and housebreaking and theft
Money Infidelity of employees
Electrical and mechanical appliances
Electronic equipment
Fixed glass and sanitary fittings
Neon, Illuminated signs and hoardings
Baggage
Legal liability towards employees, third parties and tenants
Business Interruption and increased cost of working. Since this insurance is non-tariff, different companies are offering a combination or modification of risk and a minimum of five sections have to be covered for the purpose of this protection plan.

Major Exclusions
Loss or damage due to war and/or warlike perils, nuclear and/or atomic radiation
Loss or damage due to wear and tear, gradual deterioration or slowly developing flaws
Loss of or damage caused by or due to action or any lawfully constituted authority or Government body
Consequential loss of any kind
Loss or damage for which the manufacturer or supplier or repairer or transporter or any other third party is responsible either in law or under a contract.

Overseas Mediclaim Policy / Travel Insurance Policy

In case you are travelling abroad and you have to face medical problem or can face risks to your health then the overseas mediclaim will be much beneficial to you in providing you with safety and also to bear the expenses you face on getting a medical treatment abroad or in India for a disease contracted on travel outside.

Those who can apply for overseas mediclaim policies are:-

- India citizens travelling abroad for business purpose
- Officials visit to foreign countries
- Students going to study abroad
- Family members travelling along with the main member.

Medical related expenses, reasonably and necessarily incurred outside India by the insured, following bodily injury, sickness, disease or death during the period of insurance are covered. Thus, you can claim even for out patient treatment subject to deductible and excess.
Normally, the premium is payable in Indian currency and if you are abroad you can get benefit in foreign currency.

Mediclaim / Group Mediclaim

Mediclaim is an insurance towards risk for health. Today if you get into some unexpected medical problem for simple tests you can be charged thousands of money and if you are hospitalized you will have to spend a huge amount that can go up to lakhs of rupees towards getting all the medical care . Mediclaim is insurance for getting hospitalization expenses reimbursed in case of any medical problem.
Group Mediclaim is a Mediclaim policy where benefit to a group of people taking up mediclaim is provided by giving group discounts. This helps the mediclaim owner to pay low premium than what he will have to pay in case he takes the mediclaim policy alone.

The compensation covers provided in mediclaim are:

- Complete reimbursement of medical expenses in case of hospitalization due to disease
- Compensation for surgery that also includes long term hospitalization or nursing needed by the insurer.
- Compensation in case of health injury caused due to accidents or sudden illness.
- It also covers the pre hospitalization expenses and post hospitalization expenses.

Only a list of few critical disease like paralysis, kidney failure, stroke or surgery are given covers and many diseases like asthma, Bronchitis, Hernia etc are not covered initially under mediclaim. In case of pre-existing diseases the mediclaim can also be provided.