Industrial All Risk Insurance (IAR)

It’s a wider cover than traditional “standard fire and special peril insurance policy”. It is an all risk policy covering a wide range of perils such as fire and allied perils, burglary, accidental damage, breakdown as well as business interruption.

Coverage

Section I: Material Damage including

• Fire & all special perils
• Burglary
• Machinery Breakdown
• Boiler Explosion
• Electronic Equipment Insurance

Section II: Business Interruption

• Following Fire & All special perils (Compulsory)
• Following Machinery Breakdown / Boiler Explosion / Electronic Equipment (Optional)

Salient Features:

• Single document policy
• Burglary losses covered
• Comprehensive, convenient and cost effective policy
• Package policy of all risk nature
• All perils covered except certain specific exclusions
• Not a named peril policy
• Tariff policy
• Transit risk inside industrial compound covered
• Underinsurance up to 15% is ignored
• Eligibility – Industrial risk having overall SI in excess of Rs. 50cr. At one or more locations
• IAR policy is not available for petrochemical risks

Add-on covers

• Agreed Bank Clause
• Architects, Surveyors and consulting engineers fees clause
• Designation of Property Clause
• Escalation Clause
• Omission to insure additions, alterations & extensions clause
• Temporary removal of stocks clause
• Terrorism Cover

Exclusions – Please policy wordings