The term money as used in this policy is deemed to mean bank notes, bullion , coins, currency, jewelry, precious stones, ornaments pledged with the insured, postage and revenue stamps and stamps papers. the term ‘employee’ is deemed to mean all existing employees whether permanent or temporary, whole time oe part time on contract or otherwise including apprentices on the salary roll of the bank at all ita offices, but shall not include any director or partner other than salaried.
the policy provides indemnity against the following contingencies.
1. FIDELITY
Loss resulting solely and directly from one or more dishonest or fraudulent acts committed by
Employees of the Assured with the intent to cause the Assured to sustain such loss or to obtain a an
improper financial gain for (i) themselves, or (ii) another person with whom the Employee committing the dishonest or fraudulent act was in collusion. The foregoing shall include loss of Property through any such acts by Employees. it is agreed that concerning trading or other dealings in securities, commodities, futures, options and all other forms of derivatives, currencies, foreign exchange and the like, and loans, transactions in the nature of a loan or other extensions of credit this Insuring Clause covers only loss resulting solely and directly from the dishonest or fraudulent acts committed by an employee with the intent to make improper financial gain for (i) themselves, or (ii) another person with whom the Employee committing the dishonest or fraudulent acts was in collusion.
2. ON PREMISES Loss of Property resulting directly from
(a) theft, larceny, false pretenses, burglary, robbery or hold-up committed by persons
physically present on the premises where the property is located, or
(b) mysterious unexplainable disappearance, or
(c) being damaged, destroyed or misplaced howsoever or by whomsoever caused, Loss of Property, through any of the perils specified in the preceding paragraph, in the possession of any customer of the Assured, or of any representative of such customer, within the premises of the Assured for the purpose of transacting banking business with the Assured, whether or not the Assured is legally liable for the loss thereof subject always to General Condition (1), and excluding in any event loss caused by such customer or representative.
3. IN TRANSIT Loss of Property from any cause while the Property is in transit anywhere by registered mail or in the custody of an Employee of the Assured or any person designated by the Assured to act as its messenger or while in the custody of any Security or Armoured Motor Vehicle Company for the purpose of transportation on behalf of the Assured, such transit to begin immediately upon receipt of such Property by the transporting person or persons and to end immediately upon delivery to the designated recipient or its agent.
4. FORGERY OR ALTERATION Loss resulting directly from
(a) Forgery or Fraudulent Alteration of, on, or in any cheques, bills of exchange, acceptances, drafts, certificates of deposit, letters of credit, withdrawal receipts for the withdrawal of funds, money orders, orders upon public treasuries.
b) Having transferred, paid or delivered any funds or property or established any credit
or given any value on the faith of any telegram or cablegram directed to the assured
authorising or acknowledging the transfer, payment, delivery or receipt of funds or
property which instructions purport to have been sent by a customer of the Assured
or by any banking institution but which instructions were sent by a person other than
the said customer or banking institution purporting to send such instructions (which
purported instructions shall be deemed to bear a forged signature) or have been
altered without the knowledge and consent of such customer or banking institution.
(c) the Payment by the Assured of forged or fraudulently altered promissory notes or of
promissory notes bearing forged endorsements.
EXCLUSIONS
(1) Any loss not discovered during the period of the Policy and any loss sustained prior to the
Retroactive Date stated in the Schedule.
(2) Any loss resulting wholly or partially from any act or default of any Director of the Assured
except when such Director is performing acts coming within the scope of the usual duties of an
Employee of the Assured.
(3) Any loss resulting directly or indirectly from any one or more dishonest or fraudulent acts of
any of the Employees of the Assured unless such loss is covered by Insuring Clause No. 1
(4) Any loss by reason of the Assured having acted upon any securities or written instruments (i) by
reason of or in connection with any merger, consolidation or similar acquisition with, into or by
the Assured or (ii) by reason of or in connection with any purchase or sale of assets or shares
occasioning any change in ownership or control, whether financial or otherwise, of another
business by the Assured.
(5) Any and all damages of any type (whether punitive, exemplary or other) for which the Assured
is legally liable, except damages representing reimbursement for direct financial loss covered by
this Policy.
(6) Any loss or deprivation of potential income including but not limited to interest and dividends
because of a loss covered under this Policy.
(7) Costs, fees and other expenses incurred by the Assured in establishing the existence of or
amount of loss covered under this Policy.
(8) Indirect or consequential loss of any nature.
GENERAL CONDITIONS
Exclusive Policy Benefit It is agreed that the Insurance granted hereunder shall be for the exclusive benefit only of the
Assured‟s named in Item No. 1 of the Schedule, and that in no event shall anyone other than the
said Assured‟s have any right of action under this Policy.
In the event of a claim involving more than one named Assured, it is agreed that not more than
one of said named Assured‟s shall have a right to benefit hereunder on behalf of all Assured‟s
involved in such claim.
Subrogation
It is agreed that the Underwriters upon payment of any loss hereunder shall become subrogated
to all rights and remedies of the Assured in respect of such loss. At the request of Underwriters
the Assured shall execute such documents as are necessary to transfer the Assured’s rights, title
and interest as against any person or entity.
Fraud
If the Assured shall make any claim knowing the same to be false or fraudulent, as regards
amount or otherwise, this Policy shall be void and all claims hereunder shall be forfeited.
Other Insurance or Indemnity
This Insurance does not cover any loss which at the time when such loss is discovered is insured
by or would but for the existence of this Policy, be insured by any other existing policy or
policies except in respect of any excess (not exceeding the Limits of this Policy) beyond the
amount which would have been payable under such other policy or policies including any
deductible applicable thereunder had this Insurance not been effected.
This Insurance shall apply only as excess over any insurance, whether such other insurance is
stated to be primary, contributing, excess of contingent, and/or indemnity obtained by the
Assured or by a Security or Armoured Motor Vehicle Company or by another entity on whose
premises the loss occurred or which employed the person causing the loss or the messenger
conveying the Property involved.
JEWELLERS BLOCK INSURANCE
this policy had been specially devised for diamontaires, those establishments dealing in diamonds. this is obvious from the fact that specific mention has been made of brokers, cutters, sorters etc. and also dispatch by regd post and angadia. the policy can be used to cover jewelers either for retail or wholesale marketing. this policy is not meant for those establishments whose work is predominantly manufacturing like cutters and goldsmiths.
Section I
Covers loss of or damage to the stock in trade and also cash and currency notes as stated under (a) to (e) below while contained in the premises where the Insured’s business is carried on or at other premises where the property insured is deposited.
a) Property insured on the premises.
b) Property insured in Display windows.
c) Property insured in locked safe on the premises.
d) Cash and currency notes.
e) Property insured in Bank Lockers.
Scope: Fire, Explosion, Lightning, Burglary, House breaking, Robbery, Hold-up, Theft, RSDMD & Terrorists Risks. On payment of additional premium Flood, Storm, Tempest and Earthquake risks can be covered.
Section II
Covers loss of or damage to the stock-in-trade while carried or conveyed or distributed outside the premises by specified persons for the purpose of the insured’s business by any cause whatsoever except as specifically excluded in the policy.
Property insured while in the custody of the insured, his partners, or his employees, Directors, duly constituted attorneys and sorters of Diamonds, Persons not in regular employment of the insured such as Brokers, Agents, Cutters or Jewellery Manufacturers.
Scope: All risks cover
Section III
Covers insured property (excluding currency) whilst in transit within India by registered Post/Air freight only.
a) Registered Insured Post Parcel : Rs.5 lacs or 10% of the S.I. under Sec. I whichever is less.
b) Air freight (full value to be declared to the Air Lines)
Scope: All risks cover
Section IV
Loss or damage to the Furniture, fixture, fittings, safe & trade equipments by fire and allied perils or burglary and/or house breaking, theft, robbery, hold up, riot, strike and malicious damage only.
CONDITIONS
the conditions are similar to those found in other miscellaneous insurance policies. the basis of valuation in respect of property described in the schedule for the purpose of the policy is the insureds cost plus ten percent thereof. this aspect should borne in mind whilst deciding sum insured also.
the loss in order to be payable under the policy has be discovered within 60 days of its happening.