What is shopkeepers insurance and Policy Covers of loss?

Overview

The shopkeeper insurance policy is specifically designed to cover all the risks and contingencies faced by small or medium-sized shop owners. It provides protection for the property and the interests of the insured (and their partners) in the business venture.

The sum insured depends on the value of your shop and the value of the contents of the shop. The value of the shop is calculated on the basis of the estimated cost of rebuilding it completely. The contents of the shop are assessed according to their value at the time of purchasing the shop insurance policy. The valuation would also include electrical and mechanical appliances in the shop.

Coverages

1)Building & Contents

Covers shop building and/or contents therein against loss or damage caused by Fire & Allied perils i.e.

• Fire, lightning, an explosion of gas in domestic appliances
• Bursting and overflowing of water tanks, apparatus or pipes
• Aircraft or articles dropped therefrom
• Riot, strike, malicious damage, terrorist act
• Earthquake-Fire and/or shock, subsidence, and landslide (including rockslide)
• Flood, Inundation, Storm, Tempest, Typhoon, Hurricane, Tornado or Cyclone.
• Impact damage by rail/road vehicle not belonging to the insured.

2) Burglary & Housebreaking or Theft

Covers contents of insured shop premises(excluding money and valuables) against loss or damage by burglary and/or housebreaking.

3)Money Insurance

Covers loss of money in transit, loss of money/valuables whilst contained in a locked safe, loss of money contained in cashier's till and/or counter by burglary/housebreaking.

4)Pedal - Cycles

This section also covers the legal liability of insured for death/injury to third parties or damage to their property arising out of use of the insured pedal cycles.

5)Plate Glass

Covers loss of or damage to fixed plate glass in insured's shop by accidental means.

6)Neon Sign/Glow Sign

Covers loss of or damage to neon sign/ glow sign by :

• Accidental external means
• Fire, lightning or external explosion or theft.
• Riot, strike, malicious or terrorist act
• Flood, inundation, storm, tempest, typhoon, hurricane, tornado, cyclone.

7)Baggage

Covers loss or damage to accompanied personal baggage of insured or baggage in connection with his trade, whilst anywhere in India, by accident or misfortune.

8) Personal Accident

Covers insured and spouse and/or his children, named in the schedule and aged between 5&70 years, against bodily injury caused solely and directly by accident and resulting in death or permanent total or partial disablement or temporary total disablement within 12 calendar months of such injury.

9)Fidelity Guarantee

Covers direct pecuniary loss suffered by the insured due to fraud or dishonesty committed by any of the insured's salaried employees.

10)Public Liability

Covers

• Legal liability in respect of accidental death or bodily injury to a third party or accidental damage to their property during the performance of any act in connection with insured's business.
• Compensation to insured's employees under Workmen's Compensation Act or Common Law.

11)Loss of Profit

Covers loss of profit due to interruption of business consequent upon loss or damage sustained by property insured under the first point of the policy due to insured perils.

It is necessary to opt for a minimum of 4 points for this policy to be issued of which points 1&2 are compulsory.