Miscellaneous Insurance Policies

Miscellaneous Insurance Policies

In addition to the types of general insurance business discussed above, there are a number of insurance policies which cover various other types of risks, the important ones of which are discussed hereinafter.

Motor Vehicle Insurance -Motor Vehicle insurance policies are normally taken out to cover two types of risk—

(i) the risk of damage from an accident or loss by theft, and

(ii) risk of liability arising from an injury or death of any person in an accident caused by a vehicle, commonly known as Third Party Insurance. This type of insurance protects an employer against the frauds, defalcations etc., on the part of his employees where, as part of their employment obligations, such employees are required to handle cash, goods or other valuables of the employer.

Credit Insurance - Credit insurance is taken out to protect the insured against the losses caused by bad debts due to the insolvency of the debtors or otherwise. Repays some or all of a loan when certain circumstances arise to the borrower such, many credit cards offer payment protection plans which are a form of credit insurance.

Burglary Insurance - Burglary insurance policy is issued whereby the insurer undertakes to indemnify the insured against losses from burglary, i.e., the removal of movable goods by theft or burglary.

Loss of Profit Insurance - Loss of profits Insurance is often accompanied by fire insurance and it covers the risk of loss of profits caused by fire, including fixed costs which are continued to be incurred till the business starts functioning at Is normal level

Workmen’s Compensation Insurance - This type of Insurance covers the risk of liability arising on account of payment of compensation where a worker suffers injury or dies in an accident In the course of his employment.

Professional Liability Insurance - Professional liability insurance protects the professionals, such as doctors lawyers and accountants, against the risk of liabilities arising towards clients of third parties In connection with their work. This may also include legal expenses incurred In defending lawsuits. The scope of the miscellaneous insurance business is very wide and encompasses almost all commercial activity.

Personal Accident Insurance

• works to relieve the economic burden that may arise from possible losses as a result of individual accidents of persons
• scheme bears the compensation as per the insurance sum to the loss of limbs or organs, incapacitation of the whole body, disability or death

Cash In Transit Insurance

• covers the possible losses or damages that may be incurred while shifting cash from one bank to the other or from one place to the other

Burglary & House Breaking Insurance

• done against the damages arising from the loss of goods kept in safe places through the acts of forceful and violent burglary or robbery

Workmen Compensation Insurance

• Done against the possible losses arising from the accidents of the workers employed in an industry or factory or other such contingencies

Fidelity Guarantee Insurance

• undertaken against the possible losses resulting from the lack of integrity of the employees involved in cash transactions working in the industry, commerce and banking sectors

Bankers Blanket Insurance

• the overall transactions of financial institutions such as the banks, finance companies, etc. are insured under one umbrella rather than separate insurances for each.

Public Liability Insurance

• This insurance is undertaken against the possible losses or damages upon the general public due to the recklessness of any person or institution

Household Insurance

• This plan covers the possible losses resulting from fire, lightning, earthquake, floods, landslides, hooliganism, the collision of vehicles, theft against houses of individual residents and the goods and materials stationed therein, etc.

Auto insurance

• protects the policyholder against financial loss in the event of an incident involving a vehicle they own, such as in a traffic collision
• Coverage typically includes:
• Property coverage, for damage to or theft of the car
• Liability coverage, for the legal responsibility to others for bodily injury or property damage
• Medical coverage, for the cost of treating injuries, rehabilitation and sometimes lost wages and funeral expenses

Gap insurance

• covers the excess amount on your auto loan in an instance where your insurance company does not cover the entire loan
• Depending on the companies specific policies it might or might not cover the deductible as well
• This coverage is marketed for those who put low down payments, have high-interest rates on their loans, and those with 60 months or longer terms
• typically offered by your finance company when you first purchase your vehicle
• Most auto insurance companies offer this coverage to consumers as well

Health insurance

• covers the cost of medical treatments

Property

• provides protection against risks to property, such as fire, theft or weather damage
• This may include specialized forms of insurance such as fire insurance, flood insurance, earthquake insurance, home insurance, inland marine insurance or boiler insurance
• The term property insurance may, like casualty insurance, be used as a broad category of various subtypes of insurance

Aviation insurance

• protects aircraft hulls and spares, and associated liability risks, such as passenger and third-party liability
• Airports may also appear under this subcategory, including air traffic control and refueling operations for international airports through to smaller domestic exposures

Earthquake insurance:-

• property insurance that pays the policyholder in the event of an earthquake that causes damage to the property
• Most ordinary home insurance policies do not cover earthquake damage
• Earthquake insurance policies generally feature a high deductible
• Rates depend on location and hence the likelihood of an earthquake, as well as the construction of the home

Fidelity bond:-

• is a form of casualty insurance that covers policyholders for losses incurred as a result of fraudulent acts by specified individuals. It usually ensures a business for losses caused by the dishonest acts of its employees

Home insurance:-

•  also called hazard insurance or homeowners insurance (often abbreviated in the real estate industry as HOI), provides coverage for damage or destruction of the policyholder's home

Marine insurance:-

• and marine cargo insurance cover the loss or damage of vessels at sea or on inland waterways, and of cargo in transit, regardless of the method of transit
• When the owner of the cargo and the carrier are separate corporations, marine cargo insurance typically compensates the owner of cargo for losses sustained from fire, shipwreck, etc.
• but excludes losses that can be recovered from the carrier or the carrier's insurance
• Many marine insurance underwriters will include "time element" coverage in such policies, which extends the indemnity to cover loss of profit and other business expenses attributable to the delay caused by a covered loss

Surety bond insurance:-

• is a three-party insurance guaranteeing the performance of the principal?

Mortgage insurance:-

• ensures the lender against default by the borrower. Mortgage insurance is a form of credit insurance, although the name "credit insurance" more often is used to refer to policies that cover other kinds of debt.

Trade credit insurance 

• is business insurance on the accounts receivable of the insured
• the policy pays the policyholder for covered accounts receivable if the debtor defaults on payment

Expatriate insurance:-

• provides individuals and organizations operating outside of their home country with protection for automobiles, property, health, liability and business pursuits

Livestock insurance

• is a specialist policy provided to, for example, commercial or hobby farms, aquariums, fish farms or any other animal holding
• Cover is available for mortality or economic slaughter as a result of accident, illness or disease but can extend to include destruction by government order

Miscellaneous

• Under this head, other insurances as required may be done. For example Crop Insurance, Livestock Insurance, Mountaineering Accident Insurance, Water Rafting Accident Insurance, etc.