Fire and perils
The basic fire policy covers loss of or damage to insured property by fire, lightning and explosion. It can be extended to earthquake, flood, riot and strike, malicious damage and impact by vehicles.
It protects buildings, plant and machinery, stock, furniture, fixtures and fittings, and office equipment. A list of the insured property and its values is needed for rating, and values should be set by a professional valuer.
Loss of profits (business interruption)
A fire policy pays for the physical damage, but a business can take months to recover. Consequential loss of profits cover pays for the profit lost through reduced turnover, and for the increased cost of working, such as renting temporary premises or hiring equipment to keep trading.
The indemnity period is usually 12 to 24 months. To arrange cover we need:
- Annual gross profit, if known
- Annual wages and salaries
- Auditors' fees
- Claims preparation and other costs needed to keep operating
Burglary and theft
Covers loss of or damage to insured property caused by burglary or theft involving forcible and violent entry into or exit from your premises, including damage to the building caused by the break-in. Insured items should be clearly described, with their values, in the schedule.
Because a burglar rarely takes everything, a first loss sum insured is often advisable. It reduces the premium while still covering a realistic loss.
Money insurance
Covers money, meaning cash, coins, bank cheques, money orders and postage and revenue stamps, against loss by robbery or theft:
- In transit between your premises and the bank
- On your premises during business hours
- In locked safes or strong rooms outside business hours
- In the hands of senior or authorised employees
- Stamps, stamped cards and franking machine contents
- Damage to safes and strong rooms
Draft The original page referred to NHIF stamps. NHIF has been replaced by SHIF; Ksembi to confirm this wording.
