Coverage of All Risks Insurance
All risks insurance grants very wide cover in respect of valuable property and is normally issued only to very good clients. Barring a few perils like Earthquake, War, etc, the cover offers very comprehensive protection to the insured property against many perils such as fire, Riot & strike, Terrorist Activity, burglary, house breaking, theft, accidental loss or damage.
Special Features of All Risks Insurance
The following are the special features of this insurance:
1. The coverage of all risks insurance is strictly restricted to personal jewellery, ornaments and other such valuables which should be specified and separate value declared against each.
2. Declaration of full value should be insisted upon but “valued policies” should not be agreed to.
3. All articles should be sufficiently described in detail to permit identification.
4. In case of jewellery studded with pearls, diamond or other precious stones, valuation certificate of jewellery with number and detailed description of the stone/s should be obtained.
5. Furs and similar costly items, personal belongings can also be included in all risks insurance but articles like fountain pens, spectacles, clothing, musical instruments, silver utensils etc are not covered under this policy.
However if an All Risk policyholder insists on coverage for clothing, silver articles and the like, this may be agreed to but the policy should be endorsed restricting the cover on such items to Fire & Theft risks only.