Owning a property involves a considerable amount of money. Whether you use the property for residential or commercial purposes, any damage to the property can be financially challenging. You might have to spend a considerable amount of money in getting the damages repaired or replaced. Such costs might pose a financial strain and that is […]
Property Insurance






Factory & warehouse insurance: The saviour during turbulent times!
In business, “location” takes a very special place, and so does the actual building that you zero in on as your office. It should not only be aesthetic and aligned to your business requirements, but it should also offer optimal safety standards for your employees and assets. If the unit you plan to set up […]
How does underinsurance impact fire insurance claim settlement?
Underinsurance refers to inadequate insurance coverage of the policyholder. In this article, we’ll get to know how does underinsurance impact fire insurance claim settlement. If a policyholder is underinsured, it will result in economic losses for him/her in the event of a claim far exceeding any premium savings that might have resulted from underinsurance. Therefore property […]
How does fire insurance claim settlement vary between reinstatement clause and market value policies?
We have discussed below the two bases of claim settlement that can be opted in a fire insurance claim settlement : Market value basis – the default one and Re-instatement value basis To explain how does the claim settlement works in the above cases under Fire Insurance, let us start with an example […]
How does an insurer decide on the premium to be charged for property insurance?
Insurers follow a structured approach to a price premium for underwriting each risk. That’s how a premium is decided to be charged for property insurance. Below is the list of steps that they take – Assess the quantum of risk at each location – Insurers assess each proposal with information on the quantum of […]
What is the relevance of the designation clause in fire insurance?
Designation of property is the most important clause in a fire insurance policy. As per fire insurance policy wordings, designation of property clause is defined as – For the purpose of determining, where necessary, the item under which any property is insured, the insurers agree to accept the designation under which the property has been entered in […]
What options are available for a property owner to arrive at sum insured?
Whenever you are opt-in for property insurance cover, the first information you will have to provide to the insurance company is the value of property to be covered, referred to as sum insured in insurance terms. Many times we have observed that clients are not able to provide accurate value of sum insured for coverage […]
Which add-on covers are recommended for property insurance?
We suggest policyholders consider subscribing for add-ons available under the property insurance cover. Below we cover an exhaustive list of add-ons for you to evaluate the relevant ones for your property insurance – 1. LONG TERM AGREEMENT- Insurers offer premium discounts for longer coverage agreements i.e. for 3-5 year coverage terms. 2. TEMPORARY […]
What is a declaration fire insurance policy. What are its advantages?
The declaration policy is designed to give better protection in cases where the stock fluctuates from time to time. Under the declaration fire insurance policy, the insured takes out insurance for the maximum amount. And, which he considers would be at risk during the period of the policy. On a fixed date of every month […]
What is a contribution clause and how does it apply during claim settlement?
The principle of contribution is implemented when multiple insurance policies are covering the same property or loss, the total payment for actual loss is proportionally divided among all insurance companies during a claim settlement. The principle of contribution only applies to those insurance contracts which are contracts of indemnity. In fact, however, there would be […]