INDUSTRIAL ALL RISK INSURANCE

• A single policy that covers accidental material damage, burglary, boiler explosion, machinery breakdown and consequential loss due to interruption
• Much wider coverage as policy is driven by exclusions
• Coverage for equipment and machinery sent for repairs outside the premises for a limit of 60 days
• Transit risk cover with compound available
• Provision for Waiver of underinsurance upto 15%
• Total loss due to machinery breakdown is settled on Reinstatement Value Basis
• Single policy document combining various coverage
• Risk located in various places can be covered under a single policy

The Industrial All Risk policy is an ‘all risk’ operational policy that covers all fortuitous mishaps barring a few named exclusions. These exclusions are:

Material Damage Section - Excluded causes

• Faulty or defective design materials or workmanship, Inherent vice, latent defect, gradual deterioration, or wear and tear
• Interruption of water supply, gas, electricity or fuel systems
• Collapse or cracking of building
• Corrosion, rust, fungus, shrinkage, pollution or changes in temperature
• Larceny
• Acts of fraud and dishonesty
• Inventory losses
• Coastal and river erosion, Normal settlement or bedding down of new structures
• Any Willful act or willful negligence
• Cessation of work delay or loss of market
• War, invasion, mutiny, civil commotion or warlike operations
• Destruction of property by order of public authority
• Nuclear weapons material and ionizing radiations

Material Damage Section - Excluded property

• Money, cheques and other valuable documents unless specifically mentioned in the policy
• Goods held in trust or on commission unless specifically mentioned in the policy
• Vehicles licensed for road use
• Property in transit other than that within the insured premises
• Property in course of demolition, construction or erection
• Land (including top soil, back fill, drainage or culverts), driveways, pavements, roads, runways, railway lines, reservoir, canals, tunnels, bridges, piers, jetties, wharves, mining, property underground, off-shore property unless specially covered
• Property damaged as a result of its undergoing any process

Business Interruption Section – Excluded causes

Loss resulting from interruption due to

• Any restriction or reconstruction or operation imposed by any public authority
• Insured’s lack of sufficient capital for timely restoration or replacement of property lost, destroyed or damaged
• Suspension, lapse or cancellation of a lease, license or order
• Damage to boilers, economisers, turbines or other vessels in which pressure is used or their contents resulting from their explosion or rupture
• Damage to electronic installation, computers, and data processing equipment
• Mechanical or electrical breakdown or derangement of machinery or equipment