What is Property All Risk Insurance?
Property All Risk Insurance offers the most comprehensive coverage for unforeseen losses or damages to your property arising from every possible incident that is not specifically excluded under the policy.
How to arrive at insurance values?
Valuation is very important under any insurance contract. If you insure lower than the actuals, then you end up being underinsured at the time of loss. If you over-insure, then you only end up paying premiums on higher valuations. Your physical assets should generally be valued at reinstatement value, which means new for old. Stocks are generally valued at cost.
As a general practice, you should revalue your assets every three years in order to ensure that your valuations reflect your risk.
What is not covered under the policy?
The policy generally does not cover war & terrorism, losses arising out of nuclear weapons, radioactive contamination, normal wear & tear, money, cash, cheques & bullion, animals & plants, consequential losses, dishonest & fraudulent claims, unexplained & mysterious disappearance, losses from theft; however burglary is covered, gradual contamination & pollution etc.
Please note that the above list is not exhaustive.