“Burglary and Housebreaking Insurance” is the most important insurance among other insurances when talking about a business or a store or even a small cafeteria in a public space. With riots and thieves threatening police officials and public round the clock, and lack of proper monitoring in public places, there is every need for a company or a firm, or even a store at the end of the road, to opt for a Burglary and Housebreaking Insurance.
What is Burglary & Housebreaking?
Before going into the topic, one should understand the terms “Burglary and Housebreaking.” Burglary commonly refers to “Illegal entry into a premises with a preset notion of committing a crime, usually theft.”While “Housebreaking” can be defined as “Illegal, Forcible and Violent entry into a premises with a preset notion of causing damage to the property, theft or any other criminal offence.” No wonder after knowing the terms, one can understand the need of private security at offices, shopping malls, arenas or multiplexes.
Why we need such kind of Insurance?
Inspite of the tight security measures taken by the respective possessors, thefts and other criminal activities do happen by misleading or breaking into the property premises by unlawful and illegal means. At this juncture, when security fails, there is every need to have an insurance cover over the precious and valuable items and things present in the premises, along with the property itself. This is where “Burglary and Housebreaking Insurance” helps the possessor to compensate with the loss financially.
Important Points to note before Buying the Insurance
There are various companies that offer the “Burglary and Housebreaking Insurance” in market for commercial exercises. But one need to look into the aspect of Exclusions, Sum Insure and Extensions while choosing the plans. These plans go well with any incidents that take place in normal civil conditions on day to day basis costing property or valuable items. But one should also take into note of few important cases in which the insurance claims are rejected with respect to Burglary and Housebreaking Insurance.
They are listed as below:
- Valuable items like Gold, Silver, Diamonds, precious stones and other valuable goods, until and unless specifically insured, are not covered under insurance.
- Goods that are recoverable under Fire / Plate glass insurance policy.
- Infidelity of the member of the company or relatives associated with the business or company.
- War, Warlike Scenarios, Riot and Strike (unless covered by additional payment).
- Nuclear Weapon Attack
- Using a fake / duplicate key thereof belonging to the insurer.
- Any loss or damage attributable to willful / gross negligence.
- Act of God.
- Title deeds, goods held in trust / commission, business books unless specifically covered.
Insurance companies usually cover cash, jewelry, securities and any other valuables if they are kept in a locked vault and in a locked steel cupboard on special request. The policies usually cover the cost of the lost / damaged items at the market value upto the sum insured. However, incase the sum insured is inadequate, the policy usually pays proportionate loss.