A range of policies that are designed to meet the needs of a broad spectrum of different businesses and are combined into a single package. A business then effects/activates the policy sections required for their individual requirements. The types of cover typically available in a Business Pack are: fire and perils, business interruption, glass, burglary, money, liability (public and products), machinery breakdown, electronic equipment, general property and transit. Some Business Pack policies also allow for insuring the business motor vehicles, tax audit expenses, employee fraud and management liability.
Depending on the individual territory, a standard Fire Policy usually covers fire, lightning and explosion of gas or boilers used for domestic purposes. Fire means 'actual ignition'. Scorching or charring is not covered. Cover will sometimes extend to cover fire arising from any cause, but more often it is subject to policy exclusions (e.g. fire damage caused by a riot may not be covered unless the policy is extended to include riot). A Fire Policy is usually extended to include additional perils.
May also be known as Consequential Loss, Section 2 cover, Loss of Profits, or abbreviated to BI. If an insured who has purchased both property and business interruption insurance, suffers loss or damage from an insured event or peril, the Insured may claim the loss of their business income for the period they are not operational and then continue to claim for the amount of trading income deficit until the business returns to full and normal operation. The business interruption policy will only indemnify the Insured for the loss of trading profit for a maximum period declared in the policy as the Indemnity Period. This type of policy has many and varied endorsements and extensions, such as insuring for loss of trading profit arising from loss or damage occurring to the premises of a major supplier to the Insured, or the premises of a major customer. For such a claim to be valid, two criterias must be met: (i) the Insured must have taken out the necessary policy extensions, and (ii) the loss or damage needs to occur.
The forcible and/or violent entry of a premise with intent to commit a theft, larceny or felony. A generic term which also includes breaking and entering, housebreaking, safecracking, and all attempts of theft. The unauthorised and/or illegal removal of goods or property belonging to others or attempt theft.
Glass Insurance is normally provided as part of a package policy for shops and other small risks , but can be obtained as a separate policy. The policy covers breakage of fixed glass from any cause and may or may not provide cover for damage to frames.
Cash, bank and currency notes, cheques, money orders, postal orders and current postage stamps are excluded from the cover given by a Fire Policy, and a separate Money Policy is usually required. Cover is available under a special section of a business pack or as stand-alone cover. Such cover can extend to money in or out of a safe on business premises, in the home of any director or employee, in a safety deposit box, or in transit to or from the bank. One particular area that needs to be considered is the definition of money. Does it really include all the financial instruments that the Insured holds?
A form of liability wording that extends beyond the scope of a standard liability policy and may include cover for personal injury beyond physical injury, disease or death to include other causes including mental injury, anguish or fright. Extensions available under a Broadform Liability policy may also be available to include indemnity for false arrest, malicious prosecution, libel, slander, defamation, wrongful entry, eviction or other invasion of the right of private property, assault and battery. Broadform Liability policies are traditionally an "Occurrence" type policy wording.
Products Liability Insurance
In broad terms, a Products Liability policy is instituted to provide indemnity to the insured for claims arising in respect of the nature, condition or quality of goods manufactured, sold or supplied by the Insured, but it is not a goods warranty policy.
Public Liability Insurance
A contract of Public Liability insurance is a contract of General Insurance that provides insurance cover in respect of the insured's liability for loss or damage caused negligently to others, who are not the insured.
Complex industrial plant and simple office machinery can be insured not only for fire and allied perils, but also for any accidental damage including mechanical or electrical derangement. Such cover is usually subject to certain levels of maintenance being maintained and is almost certainly subject to a significant deductible. Industrial plant business interruption following breakdown is also available by some insurers.
Goods in Transit Insurance
Property, especially stock, does not necessarily remain at an Insured's premises alone. It moves around the country and maybe internationally to be delivered from suppliers or to customers. Goods in Transit Insurance provides cover for inland transit by road or rail and often extends to include inland and coastal waters. Cover may be arranged by the owner or by the haulier to protect him/her against their liabilities under the haulage contract. International transit by sea or air is insured under a Marine policy.
General Advice Warning: Please be aware that any advice that may have been given or implied is general advice only. We have not taken into consideration your individual needs, objectives or financial requirements. Before deciding to purchase a financial product, you should consider the appropriate Product Disclosure Statement to ensure the product is suitable for your needs.