Industrial All-Risk Policy (IAR)
Industrial All Risks (IAR) insurance is a wider cover than traditional “Standard Fire and Special Perils 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:
Coverage is defined into two sections as follows.
- Section-1: Material Damage- It covers accidental physical loss or damage (including machinery breakdown) to the property insured (other than excluded property) due to any cause (other the excluded causes)
- Section-2: Business Interruption- It covers loss due to business interruption following a Physical loss or damage to the property covered under material damage section of the policy. Loss of Profits arising out of machinery breakdown is optional
Add-On Covers:
- Agreed Bank Clause
- Architects, Surveyors and consulting engineers fees clause
- Designation of Property Clause
- Escalation Clause
- Omission to insure additions, alterations and extensions clause
- Temporary removal of stocks clause
- Terrorism cover
