Zen Vichaar

                                                     MARINE INSURANCE A brief examination of Marine policies provides us with a slice of export import activity. Marine Insurance covers Hull   & Cargo Insurance Hull insurance   means the hull, machinery, materials and other ancillary interests of ocean going vessels of all types, fishing vessels, trawlers, dredgers, ,tugs, salvage vessels, launches, steamers, boats etc. Cargo insurance means }   Export and Import of shipments by ocean going vessels, }   Coastal shipments by steamers, sailing vessels, boats, }   Shipments by inland vessels or country craft, }   Consignment sent by rail, road or air and articles sent by post. What is the sum insured? }   Sum Insured is the value at risk. Basis of Valuation adopted usually is CIF+10%. (Invoice Value+ Insurance Premium +Freight Charges). }   Invoice Value includes Packing Charges. }   Incidental Expenses is allowed up to 10% normally to cover Profits also. Who

                                                                  RUN OFF COVER Mergers and Acquisitions are a common phenomenon in the world of business. One company takes over the business, or is merged with the other for financial viability and cost control. In the process c ompanies are taken over, wound up and all assets & liabilities are transferred to the new owner. While assets are welcome for the combined entity the liabilities need proper provisioning and handling. After a business is wound up or a project is finished potential claims may be still in the offing. Claims made any time in the future require provisioning and Run Off insurance is the most valuable protection in such cases.  WHAT IS THE COVER? Professionals, Principals, Partners, Directors, Officers and Employees can be held liable for negligence, even if a company no longer exists. Contracts & Deeds signed by the company can exceed the life of the company and attach to individual

  24 hour cover under Personal Accident policies   Personal Accident Cover is a 24 hour cover as it is a life cover and unexpected accidents can happen in one’s life.   Personal Accident Insurance covers such unforeseen events. PERSONAL ACCIDENT INSURANCE ( Individual)   covers death, disablement ,bodily injuries to the Insured resulting solely and directly from accident caused by external violent & visible means within 12 months of its occurrence . Accident may include events like Rail/Road/ Air accidents, Injury due to any violent collision/fall, Snakebite, Burn Injury, Drowning, Poisoning etc. COVERAGE: Table I:   Death cover Table II:   Death and Permanent Total Disablement Table III: Death Disablement & Temporary Total Disablement A typical personal accident policy provides a 24-hour worldwide coverage and it is normally assumed to be a 24 hour cover. However there are variations to this. PA ON Duty Cover Employee is covered only when the accident happe

                            Fines Punitive Damages Exemplary Damages Exclusion   Coverages under a liability policy are ambiguous, but certain clarity can be requested from the Insurer. However exclusions under the policies cannot be changed especially the Fines Punitive Damages Exemplary Damages Exclusion. Exclusion under the Liability policy states: It is hereby declared and agreed that this Policy excludes all sums which the Insured shall become legally liable to pay as fines, penalties, punitive or exemplary damages in consequence of an award against the Insured made in any Civil Court. While defense costs are paid for in a claim one may wonder, why not fines and punitive damages. Fines and damages are also a financial loss to the client in line with the defense costs. Here it is important to understand the difference. Ø   Defense costs are paid to defend the claim and properly present the case with all the correct and relevant pleas. Ø   Fines penalty exemplary da

  Bharat Griha Raksha Policy   Wealth Creation is the in thing today across generations. Monetizing one’s knowledge, gaining expertise and putting it to use are defining every individual. Earning money is an easier task as there are many quarters, avenues from where money can flow in today. Securing already created wealth is most advisable and insurance is the best approach to do so. Insurance cover will minimize the loss due to unexpected unforeseen circumstances. Whether it is property, appliances stocks, with insurance cover it can be safely insured. The Bharat Griha Raksha policy is specially designed to suit the insurance needs of a householder. It covers the building, contents, PA cover and is an apt cover to immediately insure hard earned assets. What is the cover? Bharat Griha Raksha policy: Under this policy, insurer agrees to pay for the loss suffered when unexpected events cause physical loss, damage or destruction of the building of your home & contents The

  Retroactive Date – Liability  Policies When you buy liability insurance you have to choose whether it is claims made policy or occurrence based policy. The term Claims made policy is less understood in Liability policies. To the insured it appears confusing when suggested by the Insurer. Claims-made policy provides coverage for a claim that is triggered when a claim is made against the insured during the policy period, regardless of when the wrongful act that gave rise to the claim took place. Now the Retroactive date comes into the fore. Retroactive date is the date when coverage/risk is first incepted under a liability policy i.e. the date of commencement of the first policy. It is an essential feature of claims made policy. There are two options to choose under a liability policy: ·        Occurrence based policy. ·        Claims made policy. ·        An occurrence policy offers lifetime coverage for incidents that occur during the policy period, regardless of when the claim is re

    Consequential Loss Cover –Fire Loss of Profits One of the requirements at the beginning of a new venture is insurance .It is mandatory as banks insist on insurance as a security to offer loans. Standard Fire & Special Perils policy indemnifies only physical loss or material damage to buildings, machinery fixtures, stocks etc. by fire and / or other insured perils. However indemnity for material damage does not provide protection to the insured for trading losses due to total or partial stoppage of his business following a fire. The trading losses which result are: a)      Loss of Net profit b)      Continuing Standing charges c)      Increased cost of working Consequential Loss Cover – Fire Loss of Profits – FLOP is the most suitable to cover such risks of trading loss after a Fire loss. WHAT IS INSURED UNDER A FLOP POLICY? FLOP Specifications / Terminologies Items insured under the policy are defined below: Gross Profit = Net profit + Insured’s standing charg