THE NEW INDIA ASSURANCE COMPANY LIMITED
Registered & Head Office- 87, M.G. Road, Fort, Mumbai-400001

HOUSEHOLDER'S INSURANCE POLICY CLAUSE

WHEREAS the Insured named in the Schedule hereto has made to New India Assurance Company
Limited (hereinafter called “the Company”) a proposal and declaration which shall be the basis of the
contract and be deemed to be incorporated herein for the insurance hereinafter contained and has paid or
agreed to pay the premium stated herein.
The Company hereby agrees subject to the terms and conditions contained bearing or endorsed or
otherwise expressed hereon that if the insured shall sustain LOSS or DAMAGE or INCUR LIABILITY or
the insured or member of the insured’s family named in the Schedule shall sustain BODILY INJURY by
accident at any time during the period of insurance stated bearing or any subsequent period in respect of
which the insured shall have paid or agreed to pay and the Company shall have accepted or agreed to
accept the premium required for the renewal thereof, the Company will pay to the insured the value, at the
time of happening of such LOSS, of the property so lost or the amount of such damage or the amount of
liability insured or the benefits specified herein but not exceeding in any one period of insurance in
respect of each of the several items specified herein the sum set opposite thereto respectively.
GENERAL CONDITIONS
1. Notice : Every notice and communication to the Company required by the policy shall be in
writing to the office of the Company through which this insurance is effected.
2. Mis-description : This Policy shall be void and all premium paid thereon shall be forfeited to the
Company in the event of misrepresentation misdescription or non-disclosure of any material
particular.
3. Reasonable Care : The insured shall take all reasonable steps to safeguard the properly insured
against any loss or damaged. The insured shall exercise reasonable care that only competent
employees are employed and shall take all reasonable precautions to prevent all accidents and shall
comply with all statutory or other regulations.
4. Cancellation : The Company may at any time by seven days notice in writing cancel this Policy, in
which case the Company shall return to the insured a proportion of he last premium corresponding
to the enexpired period of insurance.
This Policy may also be terminated at any time at the request of the insured in which case the
Company will retain the premium for the period this Policy has been in force at the short period
scales of rates as per Fire Tariff.
5. Claims Procedure : (i) The Insured shall upon the occurrence of any event giving rise or likely to
give rise to a claim under this policy :
(a) in the event of theft lodge forthwith a complaint with the Police and take all practicable steps
to apprehend the guilty person or persons and to recover the property lost.
(b) give immediate notice thereof of the Company ahd shall within Fourteen (14) days thereafter
furnish to the Company at his own expenses detailed particulars of the amount of loss or
damage together with such explanations and evidence to substantiate the claim as the
Company may reasonably require.
(ii) If the insured or any member of the Insured’s family named in the Schedule shall sustain any
bodily injury or contact any disease or suffer from any illness requiring treatment at any Clinic,
Nursing Home or Hospital in respect of which a claim is or may be made hereunder prompt written
notice thereof shall be given to the Company as soon as possible but in any event within Fourteen
days of the date of injury or contracting disease or suffering from illness. If the insured or member
of the insured’s family comprising he insured’s spouse and children shall die, notice of death shall
be given by the legal representative(s) forthwith. All certificates, information and evidence whether
from a Medical Attendant or otherwise required by the Company shall be furnished at the expense
of the insured or his legal representatives and shall be in such form and of such nature as the
Company may prescribe. The Insured Person must immediately after the occurrence of a accident
which may be the subject of a claim hereunder obtain medical treatment, failing which the
Company will not be liable for any consequence thereof.
(iii) The insured shall upon the occurrence of any event giving rise of likely to give rise to a claim
under the Policy give immediate notice thereof to the Company and shall forward to the Company
forthwith every written notice or information of any verbal notice of claim and shall send to the
Company any writ, summons or other legal process issued or commenced against the insured the
shall give all necessary information and assistance to enable the Company to settle or resist any
claim or to institute proceedings. The Insured shall nor incur any expenses in making good any
claim without the written consent of the Company and shall not negotiate pay settle admit or
repudiate any claim without such consent.
6. Contribution : In the event of any loss, damage, liability or expenses covered by this Policy there
shall be any other insurance covering the same loss, damage, liability or expenses whether effected
by the insured or not, this Policy shall pay only so much of the excess of such loss, damage, liability
or expenses as is not recoverable under such other insurance, subject always to the limitations of
this Policy.
7. Fraud: If any claim under this Policy shall be in any respect fraudulent or if any fraudulent means
or device are used by the insured or any one acting on the insured’s behalf to obtain any benefit
under this policy, all benefits under the policy shall be forfeited.
8. Indemnity: The Company may at this option reinstate, replace or repair the property or premises
lost or damaged or any part thereof instead of paying the amount of loss or damage or may join
with any other insurer in so doing but the Company shall not be bound to reinstate exactly or
completely but only as circumstances permit and in reasonably sufficient manner and in no case
shall the Company be bound to expend more in reinstatement than it would have cost to reinstate
such property as it was at the time of occurrence of such loss or damage nor more than the Sum
insured by the Company thereon.
9. Average: If the property hereby insured shall at the time of any loss or damage be collectively of
greater value then the Sum Insured thereon then the Insured shall be considered as being his own
insurer for the difference and shall bear a ratable proportion of the loss or damage accordingly.
Every item, if more than one, of the Policy shall be separately subject to this condition.
10. Arbitration and Disclaimer : If any dispute or difference shal l ar ise as to the quantum to
be paid under the Pol icy (l iabi l i ty being otherwise admi t ted) such difference shal l
independent ly of al l other quest ions be refer red to the decision of a sole arbi trator to
be appointed in wr i t ing by the par t ies to or if they cannot agree upon a single
arbi trator wi thin 30 days of any par ty invoking arbi trat ion the same shal l be refer red
to a panel of three arbi trators, compr ising of two arbi trators, one to be appointed by
each of the par t ies to the dispute/difference and the third arbi trator to be appointed by
such two arbi trators and arbi trat ion shal l be conducted under and in accordance wi th
the provisions of the Arbi trat ion and Conci l iat ion Act , 1996.
It is clear ly agreed and understood that no difference or dispute shal l be referable to
arbi trat ion as herein before provided if the Company has disputed or not accepted
l iabi l i ty under or in respect of this Pol icy.
"It is hereby expressly st ipulated and declared that i t shal l be a condi t ion precedent to
any r ight of act ion or sui t upon this Pol icy that award by such arbi trators or umpire of
the amount of the loss or damage shal l be first obtained."
It is also hereby expressly agreed and declared that if the Company shal l disclaim
l iabi l i ty to the Insured for any claim hereinunder , and such claim shal l not , wi thin
12 calendar months from the date of such disclaimer have been made the subject
mat ter of a sui t in a Cour t of Law, then the claim shal l for al l purposes be deemed to
have been abandoned and shal l not thereafter be recoverable hereunder .
11. Observation of Terms and Conditions. The due observance and fulfillment of the terms, conditions
and endorsements of this Policy in so far as they relate to anything to be done or complied with by
the insured shall be a condition precedent to any liability of the Company to make any payment
under this Policy.
GENERAL EXCEPTIONS
The Company shall not be liable in respect of :
1. Loss damage, liability or expenses, whether direct or indirect occasioned by happening through or
arising from any consequences of war, invasion, act of foreign enemy, hostilities (whether war be
declared or not) civil war, rebellion revolution, insurrection military or unsurped power or civil
commotion or loot or pillage in connection therewith.
2. Loss or damage caused by depreciation or wear and tear.
3. Consequential loss of any kind or description.
4. a) Loss or damage directly or indirectly caused by or arising from or in consequence of or
contributed to by nuclear weapons material.
b) This insurance does not cover loss or damage directly or indirectly caused by or arising
from or in consequence of or contributed to by ionising radiations or contamination by
radioactivity from any nuclear fuel or from any nuclear waste from the combustion of
nuclear fuel. For the purpose of his Condition 4 (b) only combustion shall include any selfsustaining
process if nuclear fission.
5. Loss or damage caused by Terrorism and Sabotage activities.
SECTION 1 - BUILDING AND CONTENTS (excluding jewelry and Valuables)
The Company will indemnify the insured in respect of loss of or damage to the contents/Building whilst
contained in the insured premises by :
I. Fire
Excluding destruction or damage caused to the property by
(a) (i) its own fermentation, natural heating or spontaneous combustion.
(ii) its undergoing any heating or drying process.
(b) burning of property insured by order of any Public Authority.
II. Lightning
III. Explosion / Implosion
Excluding destruction or damage caused to the boilers (other than domestic boilers), economisers or other
vessels in which steam is generated, machinery or apparatus subject to centrifugal force by its own
explosion/implosion.
IV. Aircraft Damage
Destruction or damage caused by Aircraft, other aerial or space devices and articles dropped therefrom
excluding those caused by pressure waves.
V. Riot, Strike, Malicious Damage
Loss of or visible physical damage or destruction by external violent means directly caused to the property
insured but excluding those caused by :
a) total or partial cessation of work or the retarding or interruption or cessation of any
process or operations or omissions of any kind.
b) permanent or temporary dispossession resulting from confiscation, commandeering,
requisition or destruction by order of the Government or any lawfully constituted
Authority.
c) Permanent or temporary dispossession of any building or plant or unit or machinery
resulting from the unlawful occupation by any person of such building or plant or unit or
machinery or prevention of access to the same.
d) burglary, housebreaking, theft, larceny or any such attempt or any omission of any kind
of any person (whether or not such act is committed in the course of a disturbance or
public peace) in any malicious act.
If the Company alleges that the loss/damage is not caused by any malicious act, the burden of
proving the contrary shall be upon the insured.
VI. Storm, Cyclone, Typhoon, Tempest, Hurricane, Tornado, Flood and Inundation
VII. Impact Damage
Impact by any Rail/Road vehicle or animal by direct contact not belonging to or owned by
a) the Insured or any occupier of the premises or
b) their employees while acting in the course of their employment
VIII. Subsidence and Landslide including Rock slide
Destruction or damage caused by Subsidence of part of the site on which the property stands or
Land slide / Rock slide excluding :
a) the normal cracking, settlement or bedding down of new structures
b) the settlement or movement of made up ground
c) coastal or river erosion
d) defective design or workmanship or use of defective materials
e) demolition, construction, structural alterations or repair of any property or groundworks
or excavations.
IX. Bursting and/or overflowing of Water Tanks, Apparatus and Pipes
X. Missile Testing operations
XI. Leakage from Automatic Sprinkler Installations
Excluding destruction or damage caused by
a) Repairs or alterations to the buildings or premises
b) Repairs, Removal or Extension of the Sprinkler Installation
c) Defects in construction known to the Insured.
XII. Bush Fire
Excluding destruction or damage caused by Forest Fire.
XIII. Earthquake (Including loss or damage by fire)
EXTENSION
The Insurance by this Policy applies also to contents in so far as such property is not otherwise
insured whilst temporarily removed and during transit as accompanied baggage anywhere in India to
other premises used for temporary residence by the insured or any member or any member of the Insured’s
family permanently residing with him or other premises wherein the Insured shall have placed any of such
property in safe custody during his temporary absence from the insured premises during any period or
periods not exceeding in the aggregate. One Hundred and Twenty (120) days in any one period of
insurance, provided that the liability of the Company in respect of property so removed shall not exceed
one tenth of the total sum insured under this section.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
a) loss of or damage to articles of consumable nature.
b) loss of or damage to money, securities, stamps, stamp collections, bullion, livestock, motor
vehicles and pedal cycles.
c) loss of damage of deeds, bonds, bill of exchange, promissory notes shares and stock
certificates, business books manuscripts documents of any kind. unset precious stones and
jewelry and valuables, unless specifically declared and covered.
SPECIAL CONDITIONS
1. No one article other than furniture is deemed to be more than 5% of the Sum Insured under this
Section unless separately specified and valuable stated.
2. Condition of Average : If the property hereby insured shall at the breaking out of any fire or at the
commencement of any destruction of or damage to the property by any other peril hereby insured
against the collectively of greater value than the sum insured thereon, then the insured shall be
considered as being his own Insurer for the difference and shall bear a ratable proportion of the loss
accordingly. Provided, however, that if the sum insured hereby on the property insured shall at the
breaking out of such fire or at the commencement of such destruction or damage be not less than
85% (eighty five percent) of the collective value of the property insured, this conditions shall be of
no purpose and effect.
SECTION II - BURGLARY AND HOUSEBREAKING INCLUDING LARCENY OR THEFT
(Excluding Money and Valuables)
The Company will indemnify the Insured in respect of loss or damage to the contents whilst contained in
the Insured premises by Burglary housebreaking including larceny and theft.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
(i) loss or damage by Burglary and/or Housebreaking or theft where any employee of the
insured or member of the Insured’s family is concerned as principal or accessory.
(ii) loss of or damage to livestock, motor vehicles and pedal cycles.
(iii) loss or damage to money, securities for money, stamps, bullion, deeds, bonds, bills of
exchange, promissory notes, stock and share certificates, business books, manuscripts,
documents of any kind, unset precious stones and jewelry and valuables, unless specifically
declared.
SECTION III - ALL RISKS (JEWELLERY AND VALUABLES)
The Company will indemnify the insured or any member of the family in respect of loss of or damage to
jewelry and Valuables caused by Accident or Misfortune whilst anywhere in India. Provided that the
liability of the Company in respect of any one item in any one period of Insurance will not exceed the sum
insured set against such item in the Schedule hereto and not exceeding in the aggregate the total sum
insured hereby. Provided further that where damaged to any item can be repaired the Company will pay
expenses necessarily incurred to restore the damage item to its former state of serviceability not exceeding
the sum insured in respect of such item.
It is expressly declared and agreed that the condition of average in so far as this Section is concerned is
deemed deleted.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
i) loss or damage due to cracking, scratching or breakage of lens or glass whether part of any
equipment or otherwise or to china marble, gramophone records and other articles of brittle
or fragile nature unless such loss or damage arise from accident to railway train or ship or
aircraft or vehicle by which such property is being conveyed.
ii) loss or damage caused by moth, mildew, vermin or any process of cleaning, dyeing,
repairing or restoring to which the property is subjected.
iii) loss or damage to any electrical or electronic machine, apparatus, fixtures or fittings
(including electrical fans, electric fans, electric household or domestic appliances, wireless
sets radio, tape recorders, television sets and the like) or to any portion of electrical arising
from or occasioned by overrunning, excessive pressure short-circuiting, arcing, self-heating
or leakage of electricity from whatever cause (lighting included)
iv) loss or damage caused by mechanical derangement or over winding of watches and clocks.
v) theft from car except from car of fully enclosed saloon type having all the doors, windows
and other openings securely locked and properly fastened.
vi) loss or damage whilst being conveyed by any carrier under contract of affreightment.
SPECIAL CONDITIONS
i) Where any item insured hereunder consists of articles in pair or set the company’s liability in respect
thereof shall not exceed the value of any particular part of parts which may be lost or damaged without
reference to any special value which such article or articles may have as part of such pair or set not more
than a proportionate part of the insured value of the pair or set.
ii) No one article or pair of articles is deemed to be more than 10% of the sum insured under this Section
unless separately specified and value stated.
SECTION IV - PLATE GLASS
The Company will indemnify the insured in respect of loss of or damage to fixed plate glass in the Insured
premises by accidental breakage provided that the liability of he Company in respect of any one loss or all
losses in any one period of insurance is limited to the sum set against in the Schedule.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
i) Breakage or damage during removal, alteration and /or repairs on or about the Insured
premises.
ii) breakage of lettering unaccompanied by breakage or damage of glass.
iii) breakage of or damage frames or framework of any description unless declared.
iv) disfiguration or scratching or damage of glass other than fracture extending through the
entire thickness of glass.
v) embossed, silvered, lettered, ornamental, curved or any glass whatsoever other than glass
which is plain and of ordinary glazing quality, unless the same be specifically declared.
vi) breakage of glass not completely and securely fixed.
vii) loss of damage consequent upon interruption or delay of business or other loss damage or
injury arising from breakage of glass or during replacement thereof.
SECTION V - BREAKDOWN OF DOMESTIC APPLIANCES
The Company will indemnify the insured against unforeseen and sudden physical damage caused by
and/or solely due to mechanical and or Electrical Breakdown of domestic electrical electronic or
mechanical appliances, apparatuses or gadgets specified in the schedule whilst contained in or fixed at the
Insured premises. Provided that the liability of the Company in respect of any one period of insurance will
not exceed the sum insured set against such item in the Schedule.
SPECIAL PROVISIONS
1. SUM INSURED : It is a requirement of this insurance that the sum insured in respect of such item
specified in the Schedule shall be equal to the cost of replacement of the insured property by new
property of the same kind and capacity.
2. BASIS OF INDEMNITY :
a) Where damage to an insured item can be repaired the Company will pay expenses
necessarily incurred to restore the damaged its to its former state of serviceability. If the cost
of repair exceeds the actual value of the insured item immediately before he occurrence of
the damage the settlement shall be made on the basis provided for in (b) below:
b) In case of total loss, claims will be paid subject to depreciation of 10% per year, from the
date of manufacture. The maximum depreciation, however shall not exceed 50% of the Sum
Insured of the item in respect of which a total loss claim is admitted under the Policy.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
i) loss or damage caused by or arising out of wilful gross negligence of the Insured.
ii) loss or damage due to faults existing at the time of commencement of this insurance and
known to the insured, regardless of whether such faults, or defects were known to the
Company or not.
iii) loss or damage for which the manufacturer or supplier of the property is responsible thereby
or under contract.
iv) cost of transport to the repair shop and back to the Insured’s premises of any insured item
arising out of any damage to such item.
v) loss of or damage to any insured item by perils which are insurable under other Section of
this policy.
vi) loss of or damage to any insured item occasioned by permanent or temporary dispossession
resulting from confiscation commandeering or requisition by any lawfully constituted
authority of such item or by permanent or temporary dispossession of any building, resulting
from the unlawful occupation by the insured of the building.
EXCESS
The Insured shall bear upon himself 1% of the sum insured in respect of each domestic appliance
separately or the sum of Rupees Twenty five (Rs.25/- only) which ever is higher of each and every loss or
damage in respect of which a claim is admitted under this policy.
SECTION VI - TELEVISION SET
The Company will indemnify the insured in respect of :
1. loss of or damage to the Television Apparatus described in the Schedule whilst contained or fixed
in the insured premises by :
a) Fire lightning, explosion of gas in domestic appliances.
b) Bursting and overflowing of water tanks, apparatus or pipes.
c) Aircraft or articles dropped therefrom.
d) Earthquake fire and/or shock.
e) Flood, Inundation, Typhoon, Storm, Tempest, Hurricane, Tornado and Cyclone.
f) Riot, Strike or Malicious Act.
g) Burglary and/or House breaking or Theft.
h) Accidental external means
i) Mechanical or Electrical breakdown.
provided that the liability of the company in respect of such loss or damage in any one period of insurance
is limited to the amount specified in the schedule.
2. all sums which the Insured shall be legally liable to pay as compensation and litigation incurred by
he Insured with Company’s written consent in respect of accidental death of or bodily injury to any
person other a member of the insured’s family or a person under the Insured’s services and/or
accidental damage to property not belonging to or in the custody or control of the Insured or any
member of the insured’s family or person under the Insured’s service arising out of accident
happening through or in connection with the Television Apparatus or to breakdown or defect in the
Television Apparatus or breaking or collapse of the internal fittings or mast forming part of the
Television Apparatus provided that the liability of the Company in respect of such compensation
and litigation expenses in any one period of insurance is limited to Rs. 25,000/- (Rupees twenty five
thousand only)
3. damage to property belonging to or in the custody of the Insured caused by breakage or collapse of
the antenna fittings or mast forming part of the Television Apparatus in so far as such property is
not otherwise insured provided that the liability of the Company in respect of such damage in any
one period of insurance is limited to Rs.3,000/- (Rupees three thousand only.
DEFINITION
The term “television Apparatus” as used herein shall mean and include the Television Set, the accessories
forming part of the set and the Antenna both external and internal.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
a) loss of or damage to External antenna or fittings by theft unless the Television Apparatus is
self is stolen at the same time.
b) loss of or damage caused by or arising out of or traceable to erection, repairing or
dismantling of the Television Apparatus.
c) loss of or damage for which the manufacturer or supplier of the Television apparatus is
responsible either by and / or contract.
d) Liability assumed by the Insured by Agreement unless such liability could have affected to
the insured not withstanding such agreement.
SECTION VII - PEDAL CYCLE
A) The Company will indemnify the insured in respect of loss of or damage to the Pedal Cycles
belonging to the insurer or any member of the Insured’s family by :-
a) Fire, Lightning or External Explosion.
b) Riot, Strike or Malicious Act.
c) Burglary and/or House breaking or Theft.
d) Accidental External Means.
e) Flood, Cyclone, Storm, tempest and other similar convulsions of nature and atmospheric
disturbance.
f) Earthquake Fire and/or Shock
Provided that the liability of the Company in respect of loss or damage to any one vehicle in any one
period of insurance will not exceed the sum insured set against vehicle in the Schedule.
B) The Company will indemnify the Insured in respect of al sums which the Insured shall become
legally liable to pay as compensation and litigation expenses incurred by the Insured with the Company/s
written consent for accidental death of or bodily injury to any person other than a member of the Insured’s
family or a person in the Insured’s service or being conveyed on such cycle and/or accidental damage to
property not belonging to or in the custody or control of the Insured or any member of the Insured’s family
or being conveyed on such cycle in the event of accident caused by or happening through or in connection
with any Pedal Cycle insured hereunder provided that the liability of the Company in respect of such
compensation and litigation expenses in any one period of insurance is limited Rs. 10,000/- (Rupees Ten
thousand only).
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :
i) Any accident loss, damage or liability caused by or through or in connection with Pedal Cycle
whilst it is being used for hire or reward or outside India.
ii) Damage caused by over loading, strain or mechanical breakdown.
iii) loss of or damage to accessories by theft unless the Pedal Cycle is stolen at the same time.
iv) loss, damage or liability whilst being used for racing or pacemaking.
v) the first Rs. 10/- of each and every loss arising under Sub-section (A) hereof If however, the
loss or damage exceeds Rs. 10/- the Company is liable to pay in full for such loss or damage.
SPECIAL CONDITIONS
The Pedal Cycle should be securely locked when left unattended.
SECTION VIII - BAGGAGE
The Company will indemnify the Insured and/or such members of his/her family as are permanently
residing with him/her in respect of personal baggage accompanying the Insured of his/her family
members belonging to him/her or for which he/she is responsible whilst traveling anywhere in India
whilst or tour on holidays LOST DESTROYED or DAMAGED by ACCIDENT OR MIS-FORTUNR,
provided that the liability of the Company in respect of the property so lost, destroyed or damaged shall be
limited to its actual value at the time of happening of such loss but not exceeding in any one period of
insurance in respect of each of the several items specified in the Schedule the sum set opposite there to
respectively.
SPECIAL EXCEPTIONS
The Company shall not be liable in respect of :-
a) loss or damage due to creaking scratching or breakage of lens or glass whether part of any
equipment or otherwise or of Chine, marble, gramophone records and other articles of a brittle
or fragile nature. unless such loss or damage arises from accident to vessel train vehicle or
aircraft by which such property is conveyed.
b) loss or damage caused by mouth, mildew, vermin or any process of cleaning, dyeing, repairing
or restoring to which the property is subjected.
c) loss of or damage to any electrical machine, apparatus fixtures or fittings (including wireless
sets radio, television sets and tape recorders) arising from overrunning, excessive pressure, short
circuiting, arcing self heating or leakage of electricity from whatever cause (lightning included).
d) loss of or damage caused by mechanical derangement or over winding of watches and clocks.
e) theft from car except from car of fully enclosed saloon type having all the doors, windows and
other openings securely locked and properly fastened.
f) loss of damage whilst being conveyed by any carrier under contract under contract of
affrightment.
g) loss of or damage to money, securities, manuscripts, deeds, bonds bills of exchange, promissory
notes stock or share certificates, stamps, business books or documents, jewelry, watches, furs,
precious metals, precious stones, gold and silver ornaments, travel tickets, cheques and bank
draft.
h) loss of or damage to articles which did not form part of the contents of any of the packages
when the journey commenced, unless specifically declared and accepted by the Company.
i) loss destruction of or damage to articles of consumable nature.
j) loose articles such as sticks, straps, umbrellas, sunshades, fans, deck chairs property in use on
the voyage and/or journey or articles or clothes whilst being worn on the person or carried
about.
k) loss destruction or damage caused by or arising from the leakage spelling or exploding oils or
materials of a like nature or articles of a dangerous of damaging nature.
SECTION IX - PERSONAL ACCIDENT
If at any time during the currency of this Policy, the Insured person between the age of 5 and 70 years &
as named in the Schedule shall sustain any bodily injury resulting solely and directly from accident caused
by external violent and visible means, then the Company shall pay to the Insured or his legal personal
representative(s), as the case may be, the sum or sums hereinafter set, forth, that is to say :
(a) If such injury shall within Twelve calendar months of its occurrence be the sole and direct cause of
the death of the Insured, the Capital Sum Insured stated in the Schedule hereto.
(b) If such injury shall within Twelve calendar months of its occurrence be the sole and direct cause of
the total and irrecoverable loss of
i) Sight of both eyes, or of the actual loss by physical separation of two entire hands or two entire
feet, or of one entire hand and one entire foot, or of such loss of sight of one eye and such loss of
one entire hand or one entire foot, the Capital Sum Insured stated in the Schedule hereto
ii) Use of two hands or two feet, or of one hand or one foot, or of such loss of sight of one eye and
such loss of use of one hand or one foot, the Capital Sum Insured stated in the Schedule hereto.
c) If such injury shall within twelve calendar months of its occurrence be the sole and direct cause of the
total and irrecoverable loss of
i) the sight of one eye, or of the actual loss by physical separation of one entire hand or of one
entire foot, fifty percent (50%) of the Capital Sum Insured stated in the Schedule hereto
ii) total and irrecoverable loss of use of a hand or a foot without physical separation, fifty percent
(50%) of the Capital Sum Insured stated in the Schedule hereto.
Note For the purpose of Clause (b) and Clause (c) above, physical separation of a hand means
separation at or above the wrist and of the foot at or above the ankle.
d) If such injury shall, as a direct consequence thereof, immediately permanently totally and absolutely,
disable the Insured person from engaging in any employment or occupation of any description
whatsoever, then a lump sum equal to hundred percent (100%) of the Capital Sum Insured.
e) In such injury shall within twelve calendar months of its occurrence be the sole and direct cause of the
total and/or partial and irrecoverable loss of use or of the actual loss by physical separation of the
following, then the percentage of the Capital Sum Insured as indicated below shall be payable :
Percentage of Capital Sum Insured
i) Loss of toes - all 20
Great - both phalanges 5
Great - one phalanx 2
Other than great, if more than one toe lost each 1
ii) Loss of hearing - both ears 75
iii) Loss of hearing - one ear 30
iv) Loss of four fingers & thumb of one hand 40
v) Loss of four fingers 35
vi) Loss of thumb - both phalanges 25
- one phalanx 10
vii) Loss of thumb - three phalanges or 10
two phalanges or
one phalanx
viii) Loss of middle finger- three phalanges or 6
two phalanges or
one phalanx
ix) Loss of ring finger - three phalanges or 5
two phalanges or
one phalanx
x) Loss of little finger - three phalanges or 4
two phalanges or
one phalanx
xi) Loss of metacarpals - first or second (additional) or 3
third, fourth or fifth (additional)
xii) Any other permanent % as asessed by the
partial disablement Panel doctor of the Company
f) If such injury shall be sole and direct cause of temporary total disablement, then so long as the Insured person shall be totally
disabled from engaging in any employment or occupation of any description whatsoever, a sum at the rate of one percent
(1%) of the Capital Sum Insured stated in the Schedule hereto per week, but in any case not exceeding Rs. 3,000/- per week
in all, under all policies. Provided that the compensation payable under the foregoing Sub-Clause (f) shall
not be payable for more than 100 weeks in respect of any one injury calculated from the date of
commencement of disablement and in no case shall exceed the Capital Sum Insured.
For the purpose of benefits applicable, Table D will cover of above Benefit (a) only, Table C will cover of
above Benefit (a) to (d), Table B will cover of above Benefit (a) to (e) and Table A will cover of above
Benefit (a) to (f). The applicable benefits with CSI for the same as more specifically described in the
shedule will be considered for any liability under the Policy.
Special Free Benefit
CARRIAGE OF DEAD BODY : It is hereby agreed that in the event of the death of the Insured person
due to accident as defined in the Policy outside his/her residence, the Company shall pay in addition to the
amounts payable under Sub-Clause (a) for transportation of Insured person’s Dead Body to the place of
residence a lump sum of 2% of Capital Sum Insured or Rs. 2,500/- whichever is less.
EXCEPTIONS
PROVIDED ALWAYS THAT :
The Company shall not be liable under this Policy for :
1. Compensation under more than one of the foregoing Sub-Clauses in respect of the same period of
disablement.
2. Any other payment after a claim under one of the Sub-Clauses (a), (b), or (d) has been admitted and
become payable. This would not apply to payments made under medical expenses extension,
education grant and expenses for carriage of dead body.
3. Any payment in case of more than one claim under the Policy during any one period of insurance by
which the maximum liability of the Company in that period would exceed the sum payable under subclause
(a) of this Policy. This would not apply to payments made under medical expenses extension,
education grant and expenses for carriage of dead body.
4. Payment of weekly compensation until the total amount shall have been ascertained and agreed.
5. Payment of compensation in respect of Death, injury or Disablement of the Insured (a) from
intentional self-injury, suicide or attempted suicide, (b) whilst under the influence of intoxicating
liquor or drugs (c) whilst engaging in Aviation or Ballooning whilst mounting into, dismounting from
or travelling in any balloon or aircraft other than as a passenger (fare paying or otherwise) in any duly
licensed standard type of aircraft anywhere in the world, (d) directly or indirectly caused by venereal
diseases, aids or insanity, (e) arising or resulting from the Insured committing any breach of law with
criminal intent.
Standard type of Aircraft means any aircraft duly licensed to carry passengers (for hire or otherwise)
by appropriate authority irrespective of whether such an aircraft is privately owned OR chartered OR
operated by a regular airline OR whether such an aircraft has a single engine or multi engine.
6. Payment of compensation in respect of Death, Injury or Disablement of the Insured due to or arising
out of or directly or indirectly connected with or traceable to : war, Invasion, Act of foreign enemy,
Hostilities (whether war be declared or not), Civil War, Rebellion, Revolution, Insurrection, Mutiny,
Military or Usurped Power Seizure, Capture, Arrests, Restraints and Detainment of all kings, princes
and people of whatsoever nation condition or quality.
7. Payment of Compensation in respect of death of, or bodily injury or any disease or illness to the
Insured
(a) directly or indirectly caused by or contributed to by or arising from Ionising radiations or
contamination by radioactivity from any nuclear fuel or from any nuclear waste from the
combustion of nuclear fuel. For the purpose of this exception, combustion shall include any selfsustaining
process of nuclear fission.
(b) directly or indirectly caused by or contributed to by or arising from nuclear weapon material.
Provided also that the due observance and fulfillment of the terms and conditions of this Policy
(which conditions and all endorsements hereon are to be read as part of this Policy) shall so far as
they relate to any thing to be done or not to be done by the Insured be a condition precedent to any
liability of the Company under this Policy.
8. Pregnancy Exclusion Clause : The Insurance under this Policy shall not extend to cover death or
disablement resulting directly or indirectly caused by contributed to or aggravated or prolonged by
child birth or from pregnancy or in consequence thereof.
CUMULATIVE BONUS
Compensation payable under clauses (a), (b), (c) and (d) of the Policy viz. death, loss of limb(s) or sight
and Permanent Total Disablement arising out of accidental injuries shall be increased by 5% thereof in
respect of each completed year, during which the policy shall have been in force, prior to the occurrence of
an accident for which capital sum becomes payable but amount of such increase shall not exceed 50% of
the Capital Sum Insured stated in the Schedule herein. This cumulative bonus is applicable to CSI which
is renewed continuously.
This clause shall not in any way alter the annual character of the Insurance not the right of the Company
to decline to renew or to cancel this Policy as hereinafter provided.
The earned cumulative Bonus will not be lost if the Policy is renewed within 30 days after its expiring.
SECTION X - PUBLIC LIABILITY
The Company will indemnify the Insured in respect of sums which the Insured shall become legally liable
to pay (Subject to the sum set in the schedule)
a) As compensation and litigation expenses incurred by the insured with the Company’s
written consent in respect of accident death of or bodily injury to any person other than a
person under the Insured’s service and/or accidental damage to property caused by or
through the fault or negligence the insured or of any member of he Insured’s family or
household permanently residing with him whilst caused during the performance of any act
in connection with the Insured’s business but not exceeding in all for compensation and
litigation expenses up to the limit of Rs. 25,000/- (Rupees Twenty Five Thousand only) for
any one accident or a series of accidents arising from any one event and for all accidents
during any one period of Insurance.
b) As compensation to his employees engaged in the Insured premises under the Fatal
Accidents Act, 1855, Work-men’s Compensation Act, 1923 or any amendment thereto or
Common Law in respect of death of or bodily injury to such employees out of and in course
of employment.
SPECIAL EXCEPTION
The Company shall not be liable in respect of :
i) any compensation for death of or bodily to any member of the Insured’s family, or damage
to property belonging to or in the custody or if he control of the Insured or any member of
the Insured’s family.
ii) liability assumed by the insured by agreement unless such liability would have attached to
the Insured not with standing such agreement.
iii) accidents directly or indirectly, caused by traceable to or arising out of the ownership,
possession or the custody by or on behalf of the Insured of animals, vehicles, aircraft, ship,
boats or craft of any kind.
SECTION XI – PERSONAL COMPUTERS & ACCESSORIES
For the purpose of coverage hereunder the Computer equipment includes computer system
consisting of CPU, Key Boards, Monitors, Printers, Stablisers, UPS, etc.
This Policy shall apply to the insured items only after successful completion of their
performance/acceptance test whether they are at work or at rest or being dismantled for the purpose of
cleaning of overhauling or in the course of aforesaid operations themselves or when being shifted within
the premises or during subsequent re-erection.
The liability of the Company for any one item of the Insured property shall not exceed in
aggregate in any one period of Insurance the sum insured set against such items in the attached
Schedule(s) unless the sum insured under such item is reinstated after occurrence of the claim for balance
period.
GENERAL EXCLUSIONS
The Company will not indemnify the Insured in respect of loss, damage or liability directly
caused by or arising out of or aggravated by
(a) War, Invasion, Act of Foreign Enemy, Hostilities or War Like Operations (Whether war be
declared or not), Civil War, Rebellion, Revolution, Insurrection, Mutiny, Civil Commotion, Confiscation,
Commandeering a Group of Malicious Persons or Persons acting on behalf of or in connection with any
political organization, Requisition or Destruction or Damage by order of any Government de-jure or defacto
or by any public, municipal or local authority.
(b) Nuclear Reaction, Nuclear Radiation or Radioactive Contamination.
(c) Wilful act or wilful negligence of the Insured or his representative.
(d) Cessation of work whether total or partial.
(e) Cost incurred/time involved in the movement of machinery and/or other property and/or
personnel outside the territorial limits of India other than the cost of delivery of replacements, for
machinery lost or damaged.
(f) Derangement of the insured property not accompanied by damage otherwise covered by this
policy.
(g) Loss of or damage to the property covered under this Policy falling under the terms of the
maintenance Agreement.
(h) Loss, destruction or damage directly occasioned by pressure waves caused by aircraft and other
aerial devices traveling at Sonic or Supersonic speeds.
(i) Loss, destruction or damage occasioned by Terrorism & sabotage activities unless covered
specifically by payment of extra premium for terrorism inclusion warranty.
In any action, suit or other proceedings where the company allege that by any reason of the provisions of
the above exclusions, any loss, destruction, damage or liability is not covered by this insurance, the burden
of proving that such loss, destruction damage or liability is covered shall be upon the insured.
GENERAL CONDITIONS
(1) The due observance and fulfillment of the terms of this Policy in so far as they relate to anything
to be done or complied with by the Insured and the truth of the statements and answers in the
questionnaire and proposal made by the insured shall be a condition precedent to any liability of the
Company.
(2) The Schedule and the section(s) shall be deemed to be incorporated in and form part of this
Policy and the expression “this Policy” wherever used in this contract shall be read as including the
Schedule and the Section(s). Any word or expression to which a specific meaning has been attached in
any part of the Policy or of the Schedule or of the Section(s) shall bear such meaning wherever it may
appear.
(3) The Insured shall at his own expense take all reasonable precautions and comply with all
reasonable recommendations of the Company to prevent loss, damage or liability and comply with
statutory requirements and manufacturers’ recommendations.
(4) (a) Representatives of the Company shall at any reasonable time have the right to inspect and
examine the risk and the Insured shall provide the representatives of the company with all
details and information necessary for the assessment of the risk.
(b) The Insured shall immediately notify the Company by telegram and in writing of any material
change in the risk and cause at his own expense such additional precautions to be taken as
circumstances may require to ensure safe operation of the insured items and the scope of cover
and/or premium shall, if necessary, be adjusted accordingly.
No Material Alteration shall be made or admitted by the Insured whereby the risk is
increased unless the continuance of the insurance be confirmed in writing by the Company.
(5) In the event of any occurrence which might give rise to a claim under this Policy the insured
shall.
(a) immediately notify the Company by telephone or telegram as well as in writing giving
an indication as to the nature and extent of loss or damage.
(b) take all steps within his power to minimize the extent of the loss or damage.
(c) preserve the parts affected and make them available for inspection by a representative or
Surveyor of the Company.
(d) furnish all such information and documentary evidence as the Company may require.
(e) inform the police authorities in case of loss, damage due to theft or burglary.
The Company shall not in any case be liable for loss, damage or liability of which no notice has
been received by the Company within 14 days of its occurrence.
Upon notification being given to the company under this condition, the insured may carry out the
repair or replacement of any minor damage not exceeding Rs. 5,000/- provided that the carrying
out of such repairs without prejudice to any question of liability of the Company and that any
damaged part requiring replacement is kept for inspection by the Company, but in all other cases
a representative shall have the opportunity of inspecting the loss or damage before any repairs or
alterations are effected.
The liability of the Company under this Policy in respect of any item sustaining damage shall
cease if said item is kept in operation after a claim without being repaired to the satisfaction of
the Company or if temporary repairs are carried out without the Company’s consent.
(6) The Insured shall at the expense of the Company do and concur in doing and permit to be done
all such acts and things as may be necessary or required by the Company in the interest of any
rights or remedies, or of obtaining relief or indemnity from parties (other than those insured
under this Policy) to which the Company shall be or would become entitled or subrogated upon
their paying for or making good any loss or damage under this Policy, whether such acts and
things shall be or become necessary or required before or after the Insured’s indemnification by
the Company.
(7) If any difference shall arise as to the quantum to be paid under this Policy, (liability being
otherwise admitted) such difference shall independently of all other questions be referred to the
decision of arbitrator, to be appointed in writing by the parties in difference, or if they cannot
agree upon a single arbitrator, to the decision of two disinterested persons as arbitrators of whom
one shall be appointed in writing by each of the parties within two calendar months after having
been required so to do in writing by the other party in accordance with the provisions of the
Arbitration Act 1940, as amended from time to time and for the time being in force. In case
either party shall refuse or fail to appoint arbitrator within two calendar months after receipt of
notice in writing requiring an appointment, the other party shall be at liberty to appoint sole
arbitrator and in case of disagreement between the arbitrators the difference shall be referred to
the decision of an umpire who shall have been appointed by them in writing before entering on
the reference and who shall sit with the arbitrators and preside at their meetings.
It is clearly agreed and understood that no difference or dispute shall be referable to arbitration as
hereinbefore provided, if the Company has disputed or not accepted liability under or in respect
of this Policy.
It is hereby expressly stipulated and declared that it shall be condition precedent to any right of
action or suit upon this Policy that the award by such arbitrator, arbitrators or umpire of the
amount of the loss or damage shall be first obtained.
It is also hereby further expressly agreed and declared that if the Company shall disclaim
liability to the insured for any claim hereunder and such claim shall not, within 3 calendar
months from the date of such disclaimer have been made the subject matter of a suit in a court of
law, then the claim shall for all purposes be deemed to have been abandoned and shall not
thereafter be recoverable hereunder.
(8) If a claim is in any respect fraudulent, or if any false declaration is made or used in support
thereof, or if any fraudulent means or devices are used by the Insured or anyone acting on his
behalf to obtain any benefit under this Policy, or if a claim is made and rejected and no action or
suit is commenced within three months after such rejection or, in case of arbitration taking place
as provided therein, within three months after the arbitrator or arbitrators or umpire have made
their award, all benefit under this Policy shall be forfeited.
(9) If at the time any claim arises under this Policy, there be any other insurance covering the same
loss, damage or liability, the Company shall not be liable to pay or contribute more than their
ratable proportion of any claim for such loss, damage or liability.
(10) This insurance may be terminated at any time at the request of the Insured in which case the
Company will retain the premium calculated at the customary short period rate for the time the
Policy has been in force. This insurance may also at any time be terminated at the option of the
Company by fifteen days notice to that effect being given to the Insured, in which case the
Company shall be liable to repay on demand a ratable proportion of the premium for the
unexpired term from the date of the cancellation.
MATERIAL DAMAGE (EQUIPMENT)
Scope of Cover
The Company hereby agrees with the Insured (subject to the exclusions & conditions contained herein or
endorse hereon) that if at any time during the period of insurance stated in the Schedule or during any
subsequent period for which the insured pays and the Company may accept the premium for the renewal
of this Policy, the items or any part thereof entered in the Schedule shall suffer any unforeseen and sudden
physical loss or damage from any cause, other than those specifically excluded, in a manner necessitating
repair or replacement, the Company will indemnify the Insured in respect of such loss or damage as
herein after provided by payment in cash, replacement or repair (at their own option) upto amount not
exceeding in any one year of insurance in respect of each of the items specified in the Schedule the set
opposite thereto and not exceeding in all the total sum expressed in the Schedule s insured hereby.
Special Exclusion
The Company shall not, however, be liable for -
(a) the excess stated in the Schedule to be borne by the Insured in any one occurrence if more than
one item is lost or damaged in one occurrence, the Insured shall not, however, be called upon to
bear more than the highest single Excess applicable to such items.
(b) loss or damage caused by any faults or defects existing at the time of commencement of the
present insurance within the knowledge of the Insured, or his representatives, whether such faults
or defects were known to the Company or not.
(c) loss or damage as a direct consequence of the continual influence of operation (e.g. wear and
tear, cavitation, erosion, corrosion, encrustation) or of gradual deterioration de to atmospheric
conditions.
(d) any costs incurred in connection wit he elimination of functional failures unless such failures
were caused by an indefinable loss of or damage to the insured items.
(e) any cost incurred in connection with the maintenance of the insured items, such exclusion also
applying to parts exchanged in the course of such maintenance operations.
(f) loss or damage for which the manufacturer or supplier of the insured items is responsible either
by law or under contract.
(g) loss of or damage to rented or hired equipment for which he owner is responsible either by law or
under lease and/or maintenance agreement.
(h) consequential loss or liability of any kind or description.
(i) loss of or damage to bulbs, valves, tubes, ribbons, fuses, seals, belts, wires, chains, rubber tyres,
exchangeable tools, engraved cylinders, objects made of glass, porcelain or ceramics, sieves or
fabrics, or any operating media (e.g. lubricating oil, fuel, chemicals).
(j) aesthetic defects, such as scratch on painted, polished or enameled surfaces.
In respect of the parts mentioned under (I) and (j) above, the Company shall be liable to provide
compensation in the event that such parts are effected by an indemnifiable loss of or damage to the
insured items.
PROVISIONS APPLYING TO SECTION XI
(1) Sum Insured
It is a requirement of this insurance that the Sum Insured shall be equal to the cost of replacement of the
insured property by new property of the same kind and same capacity, which shall mean its replacement
cost including freight, dues and customs duties, if any, and erection costs.
(2) Basis of Indemnity
(a) In cases where damage to an insured item can be repaired the Company will pay
expenses necessarily incurred to restore the damaged machine to its former state of
serviceability plus the cost of dismantling and reerection incurred for the purpose of
effecting the repairs as well as ordinary freight to and from a repair shop, customs duties
and dues if any, to the extent such expenses have been included in the Sum Insured. If
the repairs are executed at a workshop owned by the Insured, the Company will pay the
cost of materials and wages incurred for the purpose of the repairs plus a reasonable
percentage to cover overhead charges.
No deduction shall be made for depreciation in respect of parts replaced, except those
with limited life, but the value of any salvage will be taken into account. If the cost of
repairs as detailed hereinabove equals or exceeds the actual value of the machinery
insured immediately before the occurrence of the damage, the settlements shall be made
on the basis provided for in (b) below.
(b) In cases where an insured items is destroyed- the Company will pay the actual value of
the item immediately before the occurrence of the loss, including costs for ordinary
freight, erection and customs duties. If any, provided such expenses have been included
in the Sum Insured, such actual value to be calculated by deducting proper depreciation
from the replacement value of the item. The company will also pay any normal charges
for the dismantling of the machinery destroyed, but the salvage will be taken into
account.
Any extra charges incurred for overtime, night-work on public holidays, express freight,
are covered by this insurance only if especially agreed to in writing :
In the event of the Makers’ drawings, patterns and core boxes necessary for the
execution of a repair not being available the Company shall not be liable for the cost of
making any such drawings, patterns and core boxes.
The cost of any alterations, improvements or overhauls shall not be recoverable under
this Policy.
The cost of any provisional repairs will be borne by the Company, if such repairs
constitute part of the final repairs, and do not increase the total repair expenses.
If the Sum Insured is less than the amount required to be insured as per Provision I
hereinabove, the Company will pay only in such proportion as the Sum Insured bears to
the amount required to be insured. Every item if more than one shall be subject to this
condition separately.
The Company will make payments only after being satisfied, by production of the
necessary bills and documents, that the repairs have been effected or replacements have
taken place, as the case may be.
Warranty
It is warranted that the Maintenance Agreement in force at the inception of this Policy is maintained
during the currency of this Policy and no variation in the terms of the Agreement shall be made without
the written consent of the Company being obtained.
For the purpose of this warranty the word ‘Maintenance’ shall mean the following :
(I) safety checks,
(II) preventive maintenance,
(III) rectification of loss or damage or faults arising from normal operation as well as from aging.
COMPULSORY DEDUCTABLE (EXCESS)
The first 5% of claim amount subject to a minimum of Rs. 2,500/- in respect of each & every loss.
Note: In case of dishonor of the premium cheque, policy stands cancelled automatically as from
inception.