“Partners in your Risk”
We recommend that you carefully consider the risks, perils or events below especially the ones which you are not insured against and what impact these would have on your business should you choose to continue without insurance and carry the risk, peril or event yourself – please note that this list is not exhaustive:
(NB this is merely a guide of the cover available and the property that can be insured under a commercial insurance policy. Please refer to the actual policy wording of the product provider for full details)
The following assets can be insured under this section: (specific situation required) Buildings (including fixtures & Fittings, gates, posts & fences); Stock or materials -in-trade; Plant and machinery and all other contents.
This section offers insurance against the perils of: Fire, lightning or Thunderbolt, explosion, storm, wind, water, hail, snow, aircraft and other aerial devices dropped there from, impact damage (e.g. by vehicles or animals etc.) earthquake (excluding mining operations) , sprinkler leakage, malicious damage (malicious damage to building by thieves must be insured under the theft section) and spontaneous combustion, subsidence & landslip (Cover for subsidence & landslip is subject to engineer’s report)
Optional covers and/or extensions if so required:
Landlord’s fixtures/fittings if as a tenant you are responsible for this; Escalation clause; Deterioration of refrigerated stock; Stock of vehicles (motor dealer); Property or goods stored elsewhere; Rent receivable/payable; Full leakage (oil/gas); Disposal of salvage; Parking of vehicles; Additional claims preparation costs
The following assets can be insured under this section: (specific situation required) Buildings, outbuildings, sporting & recreational structures, fixtures & fittings, walls, gates, fences, driveways (tarred or paved). A general contents item can be incorporated in the cover.
This section offers insurance against the perils of: Fire, lightning or thunderbolt, explosion, storm, wind, water, hail, snow, aircraft and other aerial devices dropped there from, impact damage (e.g. by vehicles or animals etc.),earthquake, sprinkler leakage, malicious damage (but not arising from theft – see theft section), spontaneous combustion and theft following forcible and violent entry into/ or exit from any building, subsidence & landslip (Cover for subsidence & landslip is subject to an engineer’s report)
Rent, whilst the building remains untenantable is normally included for 25% of buildings sum insured as well as liability to third parties arising from ownership (not as occupier) of the building for a limit of R1 000 000.00 which can be increased at an additional premium.
Escalation clause; Contents of the building to be separately specified; Public supply connections – Accidental damage to water, sewerage, gas, electrical and telephone connections between the property insured and the public supply – NB to be included in the Buildings sum insured; Geyser extension; Additional claims preparation costs
The following assets can be insured under this section: (specific situation required). General office contents (Including landlord’s fixtures for which you are responsible), excluding all electronic equipment which must be insured & specified under the electronic equipment section. The cover is restricted to loss or damage whilst in your office or temporarily in other buildings.
This section offers insurance against the perils of: Fire, lightning/thunderbolt, subterranean fire, explosion, special perils (storm, wind, water, hail, snow etc.), earthquake, aircraft and any aerial devices drop there from, impact damage, accidental breakage of mirror glass, plate glass tops of furniture or fixed glass forming part of furniture and theft by forcible and violent entry into or exit from the offices or any attempt thereat (normally restricted to 25% of the contents sum insured), Subsidence & Landslip (Cover for subsidence & landslip is subject to an engineer’s report)
Rent payable or receivable actually incurred whilst the office premises or portion thereof remains uninhabitable – cover is normally for 25% of contents sum insured
Increase in cost of working – any additional expenditure for maintaining the normal operations of the business in consequence of a loss under Contents or Documents – cover is normally for 25% of contents sum insured.
Replacing locks and keys to the office premises as a result of the disappearance/theft of such keys – Limit R500.00 – Deductible R50.00
Property not otherwise insured belonging to employees, partners or directors – Limit R1 500.00 per person.
Full theft cover (without forcible and violent entry/exit requirement); Documents (including tapes and records); Fraud by directors or partners (unless a director is also an employee); Legal liability for loss of documents; Additional claims preparation costs.
The following financial losses can be insured under this section: Gross profit (net profit plus fixed costs); Gross rentals; Gross revenue (including increased cost of working to sustain profits, rentals or revenue)
This section offers insurance against: Interruption following loss or damage by any of the insured perils as covered under the corresponding material damage (fire, combined or office premises) section of this policy.
NB – cover ceases automatically on liquidation or judicial management
Wages insured on the basis of 100% for ____ weeks and ____ % for balance of the indemnity period OR at the time of the loss you may select to insure 100% of the wages for ___ weeks.
Additional increased cost of working (Additional to cover under Gross Profit)
Research and development costs (Costs that do not affect turnover); Additional claims preparation costs; Fines or penalties (from breach of contract for non-fulfilment by due date)
Public utilities (failure of the public supply of water, gas or electricity to the Insured’s premises resulting in interruption with the business – If interruption of the business arises from mechanical or electrical breakdown, then there will be no cover unless such interruption exceeds 24 hours from commencement. This can be against insured perils only or basically all risks cover for failure to supply. Prevention of access extension
Interruption resulting from damage to premises of customers and/or suppliers (% Dependency required)
The following contingency can be insured under this section: (specific situation required). Inability to collect outstanding debts as a result of loss or damage to accounting records
(Sum insured should be sufficient to cover costs of establishing clients debit balances)
This section offers insurance against: Either fire and perils cover OR all risks cover to accounting records
Additional claims preparation costs
The following assets can be insured under this section: (specific situation required).
Buildings (for malicious damage); Plant & machinery; Contents and/or stock on a first loss basis, i.e. you need to determine the maximum value of contents and/or stock that can be stolen in one go.
Replacing locks & keys as a result of disappearance/theft – R500.00/Deductible – R50.00
Personal effects of employees not otherwise insured limited to R1 000.00 each.
This section offers insurance against the perils of: Theft following violent and forcible entry into or exit from the buildings – This includes damage to the buildings and contents including malicious damage during theft (Malicious damage to buildings and/or contents by thieves is limited to R2 000.00 but can be increased on request at an additional premium). Theft following the use of violence or threat of violence to any person. Use of skeleton keys (to prove to satisfaction of insurer that such keys were used).
Additional malicious damage cover to buildings, contents or stock; Stock of motor vehicles for motor dealership; Customer’s vehicles; Additional claims preparation costs
The following financial loss can be insured under this section: (specific situation required).
Money not contained in a locked safe or strong room:
Money contained in a locked safe or strong room, whilst on the insured’s premises and outside their normal business hours, subject to the following safe category limits:
Provided always that the company’s liability shall not in any event exceed the major limit.
Money in transit and on the premises during the insured’s normal business hours:
NB Insurers may sometimes limit the hold up risk depending on location and risk profile and will impose certain warranties for money in transit
Crossed cheques or crossed money or postal orders normally limited to R100 000.00
Replacing locks and keys to receptacles of money as a result of disappearance/theft of such keys – R500.00/Deductible – R50.00
This section offers insurance against financial loss as a result of: Loss of or damage to money defined as: cash, bank and currency notes, postal orders, postage stamps and other negotiable instruments.
Additional claims preparation costs; Personal Accident assault cover; Money in the hands of collectors or petrol attendants (for petrol filling stations); Damage to receptacles of money.
External and internal fixed plain and/or ornamental glass at the premises. (Sum insured to allow for express delivery charges etc.), including sign writing.
Damage to frames, fittings, displays, alarms and the like, boarding up and night watchman normally limited to R1 000.00
This section offers insurance against the perils of: Accidental breakage to glass
Additional claims preparation costs. Special replacement
The following persons can be insured under this section (Named or blanket basis):
All employees including working directors (but not directors who are not employees) OR employees described in the schedule by name or position held including those seconded from others and controlled by insured for a specified limit
This section offers insurance against financial loss as a result of: Loss of money and/or other property stolen by an insured employee. Direct financial loss to the Company due to fraud or dishonesty of an insured employee which results in dishonest personal financial gain for the employee, occurring during the currency of this section and discovered within the period of insurance or discovered within 12 months of cessation of the cover or employment.
Retroactive cover – events which occurred up to 12 months prior to inception of this section and discovered
within 12 months of termination of the employment of he employee concerned or within 12 months of the expiry of this section, whichever is sooner.
Reinstatement of insured amount – on payment of an additional premium at the time of reinstatement, the sum insured will not be reduced by the amount of any loss for the remaining employees provided that the maximum amount shall not exceed double the sum insured.
Superseded policy extension – cover up to __ months prior to inception, as per previous policy but which is not covered due to time restriction on that policy.
Additional claims preparation costs
The following assets can be insured under this section: All goods in transit incidental to the insured’s business, the property of the insured or for which he is responsible, transported by or on behalf of the insured by road, rail or air for the specified limit for any one defined event (Including ropes, tarpaulins and packing material in connection with the transit)
Replacement conveyance – any other form of transit may be used in the event of breakdown of the means of conveyance during transit.
Non-acceptance by consignee – cover continues until goods are returned to the premises.
Temporary storage covered up to 96 hours
This section offers insurance against the perils of: Loss of or damage to goods in transit (full cover) OR restricted to fire, explosion, collision and overturning or theft resulting there from and/or including hi-jacking
Removal of debris normally limited to R1 000.00 (can be increased at additional premium); Additional claims preparation costs
The following assets can be insured under this section: All property belonging to the insured or for which they are responsible and specified in the schedule – e.g. car radios, cell phones, GPS units, dictaphones, cameras, tools, generators, personal property of Director’s/Employees on Company business, trade samples, precious stones, designs, patterns, models or moulds. NB all portable company property normally taken away from the premises.
Replacement value conditions – Property will be replaced or repaired to a condition the same as but not better than its condition when new. However the property must be insured for replacement value.
This section offers insurance against the perils of: Accidental physical loss of or damage to property insured.
Increase in cost of working – Expenditure incurred for maintaining the normal operation of business as a result of loss or damage to the property insured; Additional claims preparation costs.
The following assets can be insured under this section: (specific situation required).
Any tangible property belonging to the insured or for which they are responsible other than property not insured.
This section offers insurance against the perils of: Accidental physical loss or damage to the property insured. (E.g. implosion, collapse of shelving, contamination, impact other than by vehicles)
Damage caused by discharge or leakage from tanks, pipes or apparatus of chemicals, oils or fumes (including loss thereof); Additional claims preparation costs.
The following liabilities can be insured under this section: (specific situation required) General, tenants & property owners’ liability for a specified limit for any one accident and unlimited any one year of insurance
This section offers insurance against your: Legal liability at common law to third parties arising out of accidental bodily injury or illness or accidental physical damage to tangible property in the course of your business.
Basis of cover: Losses occurring OR claims made
Employer’s liability/Products liability/Defective Workmanship for a specified limit any one accident and any one year of insurance.
Work away extension; Tool of trade extension; Legal defence costs (for defence or criminal proceeding under MOSACT, etc.); Wrongful arrest, discharge and defamation – R10 000 any one claim and R50 000 any one period; Employers liability (Claims made basis only)
The following persons can be insured under this section: All the insured’s employees (permanent or temporary) for 24 hour cover or limited to working hours cover only
This section offers insurance against the perils of: Death or bodily injury caused by an external violent accident against the following categories:
Death – on a specified limit or earnings basis
Permanent Disablement – on capital sum or the universal scale of benefits
Temporary Disablement – for a period longer than up to 104 weeks subject to time exclusion
Medical expenses up to defined limit
Optional covers/Extensions if so required:
The following vehicles can be insured under this section: Any of the following category of vehicles specified in the policy schedule: sedans, LDV’s, 4×4’s, motor cycles, caravans, trailer, semi trailers, low bed trailers, link trailers, side tipper trailers, rigid trucks, mechanical horses and buses/taxis etc
This section offers cover for: Loss or damage (Comprehensive cover) to vehicles described in the schedule up to the market value or limit of indemnity whichever is the lower and subject to the definition of use described in the policy schedule (definition of use is either private use which includes commuting to work & back, professional use which includes limited business use and full business use which includes commercial travelling). Protection, removal and re-delivery are covered. (Limited to R30 000 in most instances for trucks & trailers). Instructions for repairs can be given by you only up to R1 000.00 with a detailed estimate – refer to policy schedule for list of vehicles and own damage limits.
Radios/tapes/phones not supplied by the manufacturer when new are not covered.
Windscreen extension – normally included for cars and LDV’s, but you must request for trucks.
Loss of keys extension – Normally limited to R1 000.00 with a R250.00 deductible
Other accessories not fitted by the factory – must request optional cover
This section offers motor liability cover for: Injuries to persons or damage to property relating to the ownership or use of a vehicle described in the policy schedule.
Limit any one occurrence – R2 500 000.00
Liability arising out of fire or explosion – limited to R1 000 000.00
Passenger liability (applicable only to motor cars and in the cab section of commercial vehicles up to 3500 kg) – limit R2 500 000.00 – Max R250 000 cover available for truck/trailers
Unauthorised passenger liability – R2 500 000.00 – Not applicable to truck/trailers
Contingent liability – limit R2 500 000.00 – Maximum R250 000 for truck/trailer policies (Liability caused by vehicles not owned by insured but used by employees on your business)
Parking facilities and movement of third party vehicles (not applicable to damage to vehicles parked for reward) – limit R2 500 000.00 – Maximum R250 000 for truck/trailer policies
NB check that your liability limits of indemnity are adequate in terms of your business exposures as certain of these limits may be increased upon application and payment on additional premium.
This section offers cover for: Occupants of cars and commercial vehicles with carrying capacity up to 1500kg and used for social purposes (in permanently enclosed passenger carrying compartment) – R500.00 per occupant – Not applicable to truck/trailer policies.
Political riot cover
Restricted cover – Third party fire & theft or third party only
Excess buy down cover
Voluntary increased deductibles to save on premium
Car hire – hiring of alternative vehicle in the event of theft/hijack or accident – not available for truck policies
Amount outstanding on lease/HP (also known as credit shortfall or top-up cover) – where this is higher than market/retail value
Extended territorial limits subject to the repatriation clause (i.e. cover is available in other territories for own damage only, however you need to repatriate the vehicle back to the nearest RSA border at own cost)
Section 1 – As per the specified list of electronic equipment
Section 2 – The cost of reinstatement of data contained in the data carrying materials lost as a result of damage insured under section 1 (but excluding programme errors, incorrect entry, inadvertent cancellation, corruption of data, magnetic field etc.)
Section 3 – Extra expense incurred for the sole purpose of avoiding or diminishing interruption of business.
This section offers insurance against the perils of: Physical loss or damage to all data carrying equipment (e.g. computer hardware & software, air-conditioner units, copiers, printers, access control equipment, PABX’s)
NB Theft from office is subject to forcible & violent entry/exit
Optional covers/Extensions if so required: Claims preparation costs; General disappearance cover for lap-tops; Transit extension; Prevention of access
This section offers insurance against: Acts aimed at overthrowing or influencing the Government with force or by means of fear, terrorism or violence; or acts to further any political aim or bring about social or economic change or for the purpose of inspiring fear in the public; riots and public disorders and the act of a lawfully established authority in controlling, preventing or suppressing any of these acts.
This section excludes cover against: Damage due to such events as war, warlike operations, military power, martial law and the onus to prove that damage was not caused by these acts rests with you. Cover also excludes damage for which a fund has been established in terms of the War Damage Insurance and Comp. Act of 1976.
Cover can be taken on the following qualifying classes of insurance:
Fire section; Buildings combined section; Office contents section; Business Interruption section; Money section; Glass section; Goods-in Transit section; Business All Risks section and Motor section
House owners/Householders for domestic property in the business’ name
Goods in your custody & control and for which you are responsible
Absconsion – e.g. lenders loss should a borrower abscond/disappear
Assets All Risk – wider from of material damage cover for Corporates
Computer fraud and other losses including those from electronic funds transfer
Credit life insurance – through life products with finance house
Contractors all risks for building & civil contractors including dismantling, transit, erection and testing
Deterioration of stock/change of temperature (i.e. fluctuations in temperature causing damage to property in cold storage)
Documents including value of information therein.
Exhibition All Risks
Hire purchase protection – covers outstanding finance charges in the event of total loss
Inflation escalation cover – protects you against under-insurance arising from inflation
Machinery breakdown – covers breakdown to machines
Business interruption following machinery breakdown
Plant All Risks – covers mobile & non-mobile construction equipment (e.g. cranes, excavators)
Riot cover not provided for by SASRIA – e.g. outside R.S.A.
Smoke damage – that from a fire/ignition is covered
Subsidence and landslip
Subrogation rights waiver (where the client waives rights of recovery against negligent third party)
Works of art
Kidnap & ransom cover & Identity theft cover – AIG only
Other specialist and miscellaneous consequential loss insurable risks:
Advance loss of profits
Insured events not provided for under the Fire, Buildings combined and Office Premises sections
Dead freight, demurrage
Miscellaneous, e.g. murder, suicide, bomb scare, defective drains, contagious diseases.
Suppliers and customers outside the territorial limits
Strikes with no underlying damage
Other specialist and miscellaneous liability insurable risks:
Aviation, marine, or watercraft liabilities
Airstrip owner’s liability/helipads
Bailee’s/warehouseman’s liabilities – for goods in your custody or control
Breach of copyright, trademark or patent
Charterer’s liability – Liability arising from chartering ships, planes etc
Container legal liability – liability arising from use of containers
Contractor’s liability – liability arising during the construction of buildings etc.
Damage to roads & bridges
Defamation – libel and slander
Directors and officers liability – personal liability of these – now available to SMME’s
Discharge of Employee
Employer’s liability including gradual disease – staff falling outside COID.
Environmental impairment – liability arising from pollution, etc. on a gradual basis.
Farmers & plantation/Forest Act – enhanced liability for spread of fire
Tool of Trade – e.g. Forklifts, Hoists, lifts and cranes
Intangible property – e.g. patents, copyright etc
Products recall, guarantee, inefficacy and defective design
Errors & omission
Professional indemnity – errors and omissions/liability arising out of incorrect advice
Radioactive, explosive or dangerous goods
Removal or weakening of support
Umbrella liability – a very wide form of high liability cover – covers non accidental eventualities
Other specialist and miscellaneous motor insurable risks:
Cleaning up of loads – e.g. where you have been negligent
Passenger liability for fare-paying passengers
Imported vehicles – express replacement cost/agreed value
Loss of use/car hire
Motor trader – Internal and external risks for Motor dealerships