7 Kinds Of Fire Insurance For Startups That Are A Must!
Š Rakesh Narula & Co. All rights reserved.
Insurances are not just for life and health, some people also have insurances for machinery, car, house, cargo and also for business especially for startups. Insurances against fire or other accidents are necessary. For startups and other businesses, fire insurance is a must-have to overcome the loss of damage. The role of the insurance surveyor and loss assessor is to keenly observe the damage and prepare a report which is sent to the insurance company. Till the end of this article, we are pretty sure you would have chosen at least one insurance. But, before that let us understand the basic factors that need to be considered for buying insurance. Parameters that need to be considered are the type of risk involved, amount of property loss and damage, type of property to be insured, occupational or exposure hazards. 7 Kinds of Fire Insurance Applicable for Startups 1. Valued Policy This type of insurance policy covers goods or property whose value cannot be calculated after the damage like paintings or other artistic works. In case of any loss, the fire insurance company will pay the pre-decided amount. 2. Specific policy If you own an advertisement company and have opted for a specific insurance cover of Rs 50,000 for your machinery or infrastructure which actually costs Rs 90,000. Under fire, the insurance will be paying the loss only if it is less than the specified amount. This means that if the loss is more than Rs 50,000 then the insurance company will claim only to pay to the amount that is decided to cover the loss. Š Rakesh Narula & Co. All rights reserved.
3. Average Policy Under this policy, the insurance company will reduce the amount if the value of the policy is less than the property value. 4. Floating policy This policy is mainly for import and export business who have their machinery placed in different places. This policy covers all the machines that are under the company’s name. It is for the businessmen who have their products or machinery lying around at different warehouses. 5. Comprehensive policy This is commonly known as all risk fire insurance policy wherein under this the insurance company covers all damages caused due to theft, lighting, explosion or third-party risks. This is a great deal for new ventures looking for the all-in-one insurance policy. 6. Consequential Loss policy After a fire breakdown, the startup company faces physical loss to machines, infrastructure and even has to shut the company so as to rebuild the place which has affected the business badly. This insurance covers both the loss of profit and loss of income. 7. Replacement policy This fire insurance claims you get the money to buy another asset. The amount offered is based on the market value of the asset such that it is replaced without any additional cost. Š Rakesh Narula & Co. All rights reserved.
Stay with us! Looking for insurance surveyor and loss assessor for your business? Rakesh Narula & Co. can help you for insurance survey and loss assessment. Contact us now for more details!
Š Rakesh Narula & Co. All rights reserved.