The recent fire tragedy at Kollam which caused irreparable loss to human life and property has once more highlighted an oft ignored fact in India: Places of worship like temples, churches, mosques, and gurudwaras are also vulnerable to accidents. Perhaps, in light of this tragedy India may see resurgence in property insurance, especially at such places. Interestingly, most people suffer from the misconception that their homes, offices shops, warehouses and also factories need this type of insurance. Many tend to ignore the fact that if a mishap like a sudden fire, stampede or any other incident occurs at a place of worship, then the consequent loss can be of humungous proportions. Hence it makes sense for anyone and everyone to opt for property insurance.
Essentially, this type of policy offers gives you a security cover against unforeseen and anticipated risks to property. These include accidents like a sudden outbreak of sire, theft, or any other disaster. Property can include your house, workplace, business, personal belongings inside etc. This type of policy includes a number of sub-categories which attempt to cover the maximum range of risks that may arise to your property.
• A Fire Policy: As the term suggests, this type of cover secures your property against damage inflicted due to fire. This includes places of worship, homes, offices, businesses etc. What you must also know is that property insurance also factors in acts of God like a flood, landslide, cyclone, hurricane, earthquake, storm etc. Man-made calamities like riots, bush fire, are also included in this type of coverage.
What you need to be aware of is that there are also certain exclusions. Loss or damage caused by war and war like activities, nuclear dangers, contamination, pollution, breakdowns caused by electrical and mechanical faults are usually not covered unless specifically included.
• Umbrella Policies: These are basically add on covers that give an extra buffer. These policies are clubbed in a single document and can save you the hassle of additional paperwork. These include Shopkeepers Policy, Office Package policy, Building Insurance, Householders Policy.
• Burglary Insurance: This is self explanatory. This is most essential not only for homes and offices but also places of worship which stock huge amounts of donations, jewellery and other valuables. This policy also takes care of the damage caused to your house/office/place of worship owing to an incident of burglary. Here, it’s important to note that this particular policy does not pay for loss or damage to goods held in trust/commission unless specifically covered. This includes any jewellery, deeds of title, books of business and curios. This means that a homeowner, business person or trustee of a place of worship has to go an extra mile to include this clause while insuring the property.
• It is always advisable to get property insurance from a web aggregator. Its hassle free, saves extra costs and gives you more choices than an insurance agent would
• It’s a good idea to read the policy brochure/ prospectus carefully and get to know the policy inclusions and exclusions.