Shopkeeper's Insurance Policy

• The shop keeper's insurance policy contains 11 sections, including the shop's building, its contents, money stored in transit/counter/safe, pedal cycle, plate glass, neon and glow signs, baggage, fidelity of the employees, the owner's public liability, workmen's compensation liability as well as interruption of business.
• The estimated cost of rebuilding the shop is calculated, which in turn gives the value of the shop in question.
• The value and time of purchase of the contents of the shop are assessed before providing an insurance cover to the shopkeeper. The valuables shall include electrical as well as mechanical appliances present in the shop.
• Shop's employing manufacturing processes do not come within the ambit of shopkeepers' insurance policy. This policy is applicable to shops, where the value at risk including the building (if owned by the insured) does not exceed Rs.10 lakhs during the policy year.
• Commercial outlets with a larger value at risk have to obtain separate coverage for different perils.
• Loss or damage to livestock, motor vehicles, security stamps, deeds, bullion, bonds, bills of exchange, stocks and share certificates, promissory notes, business documents, manuscripts, precious stones and valuables cannot be claimed under the shopkeeper's insurance policy.
• Other prominent exclusions include any misdemeanor involving any partner or employee of the insured or his/her family member as principal or accessory, in a housebreaking case.
• The insured cannot invoke the fidelity guarantee, regarding any infidelity by a person other than a salaried employee of the insured.

• Loss or damage in the shop due to natural calamities such as earthquake, cyclone, flood etc., is not covered by the insurance policy.
• If a family member of business staff is directly/indirectly involved in the actual theft of the shop, then the damage caused by the situation shall not be included in the policy cover.
• Some companies may charge extra money for the damage caused due to terrorist activity.
• Damage caused due to war, invasion, foreign enemy hostilities, civil war, mutiny, civil commotion, or nuclear activity is not covered by the insurance policy.
• If the property insured has been removed to another place for the purpose of renovation, cleaning or repairing, then the policy doesn't guarantee its coverage.