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Industrial All Risks InsuranceIndustrial All Risks Insurance is a wider cover than traditional “Named perils fire insurance policy” is defined by

exclusions.

 

Key Features 

• It is an all risk policy defined by exclusions.

• Underinsurance upto !" is waived.

• It provides cover for material dama#e for fire and allied perils and also breakdown alon# with conse$uential

loss cover under one policy document.

 Risk survey

 

%he purpose of this section is to #ive the reader an overview of risk en#ineerin# survey provided to our underwriters

and the clients. &e recruit the en#ineers' mostly as members of the property department and en#a#e them in

property surveys on behalf of the local underwritin# #roup. %he philosophy of risk en#ineerin# is to supplement the

efforts of the underwriters in reali(in# the set )profit and #rowth* by providin# technical support to them per se' and by

providin# value addition to the client*s risk mana#ement process. It is often said that the risk en#ineers are the )eyes

and ears* of the property underwriter who needs to underwrite the risk after fully understandin# a risk. %o put it

succinctly the main ob+ectives of risk en#ineerin# is to assess the $uality of risk and to enable underwriter to write the

risk and arran#e suitable reinsurance ,ro#ram. &hile smaller and not so complex risks can be assessed based on

the proposal forms or based on the producer*s report' it will be difficult - unreliable to do so in case of ma+or accounts

and the cost of an error in underwritin# such ma+or risks would far outwei#h the cost of a survey. Remotely assessin#

the risk without visitin# the same is nearly impossible as each risk or account is uni$ue by itself based on the

process' the practices and the people. %he survey is taken up based on the )survey re$uest* received from the

underwriter for both property dama#e and business interruption risks. %he survey intends to serve the underwriter

and the client in respect of the followin# ways.

• %o make an on site study and evaluation of the various exposures like fire' flood and specific exposures if

any' incorporatin# various underwritin# information in the report to enable the underwriter to prudently decide on the

acceptability or otherwise of the risk. %he $uantitative risk ratin# on a ! point scale provided in the report helps the

underwriter to $uickly make up their mind on the )overall opinion of the risk*. %he report lists in detail the ma+or

undesirable features of the risk' surroundin# exposures' various occupancy ha(ards and other loss potentials.

•  As a lo#ical se$uence of exposure analysis and establishment of various pure risks' risk control measures

are conveyed to the client or the prospect to miti#ate the risk. %he client sees a #reat value addition in this as very

often the insurer #ives this service free of cost. %he recommendations broadly fall under )uman elementrecommendations* and ),hysical protection recommendations*. &hile the later needs some capital expenditure and

plannin#' the former can be implemented easily.

%he survey report is valued by the underwriter for both the above two aspects while the client mainly values the report

for the later.

,rovision of inputs to the insurer in respects of limits' risk selection and ratin# is in the scope of survey. /pecifically

the survey brin#s out the 01,2 factors of a risk i.e. 0onstruction' 1ccupation' ,rotection and 2xposure. ,roperty

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