Shopkeepers Insurance - National Insurance

Policy can only be issued to Shops with Class A constructions. Restaurants/café and office premises cannot be treated as shops. Section 1(b) and Sec-2 are compulsory. A minimum of two sections out of the remaining sections have to be opted by the proposer.

National Insurance’s Shopkeepers' Insurance is designed to cover for a shop’s property and its contents within. It covers a range of risks viz fire and allied perils, burglary, money insurance etc. and provides all round protection against loss that might threaten the pocket of the shopkeeper.

• Provides coverage for building and contents of a small shopkeeper.
• Scope of coverage for risks like fire and allied perils, burglary, money insurance, liability etc.

Section I : Fire & Allied Perils This covers loss of or damage to (a) building and (b) contents by fire & allied perils. The maximum Sum Insured under Section I is Rest. 10 lacs. If the S.I. exceeds Rs.1 Crore, usual Standard Fire and Special Perils Policy must be issued to the full amount. Rate of Premium : Rs. 1.40 per mille Excess: The first 5% of claim amount subject to a minimum of Rs. 10,000/- and maximum of Rs. 25,000/- arising out of AOG perils such as lightning, STFI, earthquake, subsidence and landslide and rockslide.. the first Rs. 10,000/-arising out of other perils in respect of which the insured is indemnified by this policy.

Section II : Burglary & Housebreaking This covers all contents in the premises against the above risks. The Sum Insured under this should be the same as the Sum Insured under Section I (b). Rate of Premium : Rs. 1.00 per mille

Section III : Money Insurance This covers loss of money whilst in transit and whilst contained in a safe/steel cupboard/cash box under lock and key in the Insureds’ premises Rate of Premium: a) In transit (not exceeding Rs.50,000/- per any one Rs. 2.50 per mille carrying) between two places within a radius of 24 K.ms from Insureds/ premises b) In safe/steel cupboard/cash box kept under Rs. 2.50 per mille lock/key (2% of the S.I. under Section I or Rs.20,000/- whichever is less) c) In counter (1% of the S.I. under Section I Rs. 2.50 per mille or Rs.10000/- whichever is less)

Section IV : Pedal Cycle (a) This cover pedal cycle against loss or damage by fire & allied perils, burglary/housebreaking and accidental external means. (b) Legal liability upto a limit of Rs. 10,000/-. Rate of Premium : Rs. 10.00 per mille Franchise : Rs. 50/- of each and every loss due to accident. If the loss or damage exceeds Rs. 50/- the full claim is payable.

Section V : Plate Glass This covers loss or damage to fixed plate glass in the Insureds’ premises by accidental breakage. Rate of Premium : Rs. 10.00 per mille Sum Insured : 10% of the S.I. under Section I or Rs. 1,00,000/- whichever is less. Excess: 1% of the Sum Insured subject to a minimum of Rs.500/-

Section VI : Neon Sign/Glow Sign Insurance This covers loss of or damage to Neon Sign/Glow Sign by accidental external means, fire, lightning or external explosion or theft, riot, strike or malicious act, flood, inundation, storm, etc. Rate of Premium : Rs. 10.00 per mille Sum Insured : 2% of the sum insured under section I or Rs. 20,000/- whichever is less. Excess: First 2500/- or 5% of the claim amount which ever is lower

Section VII : Baggage This indemnifies the Insured in respect of a) baggage in connection with trade accompanying the Insured and/or his employees b) Personal baggage of Insured and/or proprietors and/or partners accompanying them anywhere in India if lost or destroyed or damaged by a accident or misfortune. Rate of Premium : Rs. 7.50 per mille Sum Insured : Carrying trade sample by Insured/employees and/or personal effects of the Insured partner (2% of the S.I. under Section I or Rs. 20,000/- whichever is less).

Section VIII : Personal Accident Please refer to PA section of this manual.

Section IX : Fidelity Guarantee This indemnifies the Insured against direct pecuniary loss sustained by him and caused by the act or fraud or dishonesty committed by any salaried person employed by the Insured in the premises. Rate of Premium : Rs. 4.00 per mille Sum Insured : 10% of the S.I. under Section I or Rs.1,00,000/- whichever is less.

Section X : Liability This covers (a) legal liability to any third party for personal injury or property damage whilst caused at the Insureds’ premises. (b) Insureds’ statutory liability in connection with his trade and business under Workmen’s Compensation Act, 1923. Fatal Accident Act, 1855 and at Common Law in respect of death of or injury to employees. (a) Public Liability Rate of Premium : Rs. 0.50 per mille Sum Insured : 5% of the S.I. under Section I or Rs. 50,000/0 whichever is less (b) Employees Compensation – Rs.3.13 per millle

Section XI : Business Interruption Sum Insured must be equal to S.I. under Section I (b) Rate of Premium : Rs. 1.75 per mille Terrorism: Section I Sum insured Rate: Rs.0.08 per mille

The Company shall not be liable in respect of

4.1 Negligence/ Wilful Act - Loss or damage caused by or arising out of wilful act or wilful neglect or gross negligence of the insured

4.2 Depreciation or Wear & Tear - Loss or damage caused by depreciation or wear and tear

4.3 Consequential loss - Consequential loss of any kind or description.

4.4 Excess applicable in each section

4.5 Earthquake - Loss or damage due to earthquake unless otherwise specifically included

4.6 Terrorism - Loss or damage due to terrorism activities unless otherwise specifically included. Loss, damage cost or expense of whatsoever nature directly or indirectly caused by resulting from or in connection with any act of terrorism regardless of any other cause or event contributing concurrently or in any sequence to the loss. Loss, damage cost or expenses of whatsoever nature directly or indirectly caused by resulting from or in connection with any action taken in controlling, preventing, suppressing or in any way relating to action taken in respect of any act of terrorism unless otherwise specifically included. If the company alleges that by reason of this exclusion any loss, damage, cost or expense is not covered by this insurance the burden of proving the contrary shall be upon the insured. In the event any portion of the endorsement/exclusion is found to be invalid or unenforceable, the remainder shall remain in full force and effect.

4.7 Breach of Law - Any injury or loss as a result of committing or attempting to commit a breach of law with criminal intent. Loss or damage or liability arising out of violation of any Rules and Regulations of the Govt. or Statutory authorities.

4.8 War Group Perils - Any injury directly or indirectly caused by or arising from or attributable to war, invasion, acts of foreign enemies, hostilities (whether war be declared or not), civil war, commotion, unrest, rebellion, revolution, insurrection, military or usurped power or confiscation or nationalisation or requisition of or damage by or under the order of any government or public local authority.

4.9 Radioactivity - Any injury directly or indirectly caused by or contributed to by nuclear weapons/materials or arising from ionising radiation or contamination by any nuclear fuel or from any nuclear waste or from the combustion of nuclear fuel.

1. The insured shall upon the occurrence of any event giving rise or likely to give rise to a claim under this policy (a) In the event of theft lodge forthwith a complaint with the Police and take all practicable steps to apprehend the guilty person or persons and to recover the property lost. (b) Give immediate notice thereof to the company and shall within fourteen (14) days thereafter furnish to the company at his own expense detailed particulars of the amount of the loss or damage together with such explanation and evidence to substantiate the claim as the company may reasonable require.
2. If the insured or any partner, director or member of the managerial staff or employee of the insured sustain any bodily injury in respect of which a claim is or may be made hereunder prompt written notice thereof shall be given to the company as soon as possible but in any event within fourteen (14) days of the date of injury. If the insured or an partner, director or member of the managerial staff or employees of the insured shall die, notice of death shall be given by the legal representatives forthwith. All certificates, information and evidence whether from a medical attendant or otherwise required by the company shall be furnished at the expenses of the insured or his legal representatives and shall be in such form and of such nature as the company may prescribe. The injured person must immediately after the occurrence of accident which may be the subject of a claim hereunder obtain medical treatment failing which the company will not be liable for any consequence thereof.
3. The insured shall upon the occurrence of any event giving rise or likely to give rise to a claim under the policy, give immediate notice thereof to the company and shall forward to the company forthwith every written notice or information of an verbal notice of claim and shall send to the company an writ, summons or other legal process issued or commenced against the insured and shall give all necessary information and assistance to enable the company to settle or resist any claim or to institute proceedings. The insured shall not incur any expense in making good an claim without the written consent of the company and shall not negotiate, pay, settle, admit or repudiate an claim without such consent.

• Shopkeeper Proposal Form.pdf
• Shopkeepers Policy.pdf
• shopkeepers policy doc.pdf