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1

INTRODUCTION

THIS IS AN UPDATED VERSION OF THE ALL INDIA FIRE TARIFF OF

THE TARIFF ADVISORY COMMITTEE. CIRCULARS AND INSTRUC-

TIONS ISSUED BY THE COMMITTEE TILL DATE HAVE BEEN

INCORPORATED HEREIN. THIS IS STRICTLY FOR PRIVATE

CIRCULATION ONLY AND NOT FOR DISTRIBUTION TO CLIENTS,

AGENTS AND INTERMEDIARIES.

THE CIRCULARS WITH THEIR RESPECTIVE REFERENCES HAVE

BEEN BOXED AND SHOWN IN ITALICS TO DISTIGUISH THEM FROM

THE GENERAL TEXT. PLEASE NOTE THAT THESE AMENDMENTS

SUPERCEDE THE EXISTING TARIFF PROVISIONS WHEREVER

APPLICABLE.

PROPERTY & ENGG DEPT.,

HEAD OFFICE, CHENNAI.

31.05.2005

Version III

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INDEX

ALL INDIA FIRE TARIFFINDEX

I

II

III

IV

V

VI

VII

VIII

VIII

ANNEXURE ‘A’

ANNEXURE ‘B’

ANNEXURE ‘C’

General rules & regulations

Standard fire and special perils policy form

Dwellings, offices, hotels, shops, etc.,located outside the compounds ofindustrial/manufacturing risks

Industrial/manufacturing risks

Utilities located outside the compoundsof industrial/manufacturing risks

Storage risks outside the compounds ofindustrial/manufacturing risks

Tank farms/gas holders outside thecompounds of industrial/ manufacturingrisks

Add – on covers

Classification of Earthquake Zones -District wise

Standard clauses

Standard proposal form

List of Hazardous Goods

SECTIONS CONTENTSPAGE NO.

3

38

48

56

75

79

83

84

89

96

122

132

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SECTION - 1

SECTION I

GENERAL RULES & REGULATIONS

These rules and regulations are applicable to all sections of this Tariff.

1. POLICY

a) Only Standard Fire and Special Perils Policy (hereinafter referred to asPolicy) with the permitted “Add- on” covers (as appearing under SectionVIII) iany, can be issued.

Note:- Unless otherwise specifically provided for, this tariff is applicableto land-based properties only.

b) The wordings of the policy shall be as shown in Section II of the Tariff.

c) Policy(ies) should be read together with proposal form(s), schedule,specification, endorsements, warranties and clauses as one contract.

d) Policy(ies) covering Buildings and/or contents shall show blockwiseseparate amounts on (i) Building (ii) Machinery and accessories(iii) Stock and Stock-in-Process and (iv) Furniture and other contents.

e) It is permissible to exclude Storm, Tempest, Flood and Inundation groupof perils (hereinafter referred to as STFI) and/or Riot, Strike and MaliciousDamage perils (hereinafter referred to as RSMD) at inception of the Policyonly by deleting the relevant perils from the Policy. The deletion shallapply for the entire property in one complex/ compound /locationcovering the entire interest of the Insured under one or more policy(ies)without any option for selection. Reduction in premium rates for suchdeletion(s) may be allowed as shown under the relevant sections of theTariff. When these perils are deleted from the scope of the policy, thegeneral exclusions shall include these perils.

f) Any risk, which has not been provided for in the Tariff, shall be referred tothe Committee for rating. Provisional rate of Rs. 2.50 per mille shall becharged in such cases for covering the risks under Standard Fire andSpecial Perils Policy. No discounts and/or agency commission shall beallowed on this rate.For add-on covers, additional rates provided insection VIII shall be charged

g) Rates shown under this tariff are minimum rates. Insurers may chargerates higher than those given under the tariff.

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2.VALUED POLICY(IES)

Valued Policy(ies) can be issued only for properties whose Market Valuecannot be ascertained e.g Curios, Works of Art, Manuscripts, Obsoletemachinery and the like subject to the valuation certificate being submittedand found acceptable by the insurers.

3.LONG TERM POLICIES

Policies for a period exceeding 12 months shall not be issued except for“Dwellings”.

4. MID-TERM COVER

Generally, it is not permissible to grant mid-term cover for STFI and/orRSMD perils. The following provisions shall apply, where such covers aregranted mid-term:

a) Insurers must receive specific advice from the insured accompanied bypayment of the required additional premium in cash or by draft. Thisadditional premium shall not be adjusted against existing Cashdeposits or debited to Bank guarantee.

b) Mid-term cover shall be granted for the entire property at one complex/compound/location covering the entire interest of the Insured underone or more policy(ies). Insured shall not have any option for selection.

c) Cover shall commence 15 days after the receipt of the premium.

d) The premium rates as under shall be charged on short period scale(as per Rule 8) on full sum insured at one complex/compound/locationcovering the entire interest of the insured for the balance period i.e.upto the expiry of the policy.

Clarification :

TAC Letter Fire/19/(3)/207 dt. 06.03.2003

Re : Reduction of Sum Insured under Long Term Policy

The Fire committee has decided not to allow any refund ofpremium for long term policies for dwellings in case of mid termreduction of sum insured considering the concessions allowedon the premium for the same

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5.PAYMENT OF PREMIUM

Premium shall be paid in full and shall not be accepted in instalments orby deferred payments in any form.

N.B:- It is not permissible to split sum insured of the same property undervarious policies for different periods of insurance to derive advantage ofdeferred instalments for payment of premium. Notwithstanding the above,different policies may be issued for stocks where circumstancesnecessitate issuance of such policies.

6.MINIMUM PREMIUM

Minimum premium shall be Rs.100/- per policy except for risks ratableunder Section III and ‘Tiny Sector Industries’ under Section IV where theminimum premium shall be Rs. 50/ per policy.

7.PARTIAL INSURANCE

It is not permissiblea) to issue a policy covering only certain portions of a building. Not with

standing this, the plinth and foundations or only the foundation of abuilding may be excluded.

b) To issue a policy covering only specified machinery (except Boilers),parts of machine or accessories thereof housed in the same block/building.

N.B. Where portions of a building and/or machinery therein are underdifferent ownership, it is permissible for each owner to insure separatelybut to the full extent of his interest on the building and/or machinerytherein. In such cases, the Insured’s interest shall be clearly defined inthe policy.

Mid-terminclusionof

Section iii

Materialsin godown

Materialsin open

Sectioniv, v andvii

Section vi

STFI 0.2% 0.35% 2.00% 0.35%

RSMD 0.15% 0.15% 0.15% 0.15%

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8.RATES FOR SHORT PERIOD INSURANCE

Policies for a period of less than 12 months shall be issued at the rates setout hereunder:

9.LOADING FOR “KUTCHA” CONSTRUCTION

Building(s) having walls and/or roofs of wooden planks/thatched leavesand/or grass/hay of any kind/bamboo/plastic cloth/asphalt cloth/canvas/tarpaulin and the like shall be treated as ‘Kutcha’ construction for rating.

An additional rate of Rs.4.00%o shall be charged for such building(s) and/ or contents thereof.

Note:-Temporary sheds (attached to buildings) erected during themonsoon solely for the purpose of monsoon protection are permitted without loading provided such sheds are not used for storage purpose.

10.RULES FOR CANCELLATIONS

For Cancellation of insurance policy.

10.1 At the option of the insured:-

a) Retention of premium shall be at Short Period Scale for the period thePolicy has been in force, subject to the retention of minimum premiumby the Insurer.

b) During the currency, if a policy is replaced with the same insurer by anew annual one covering the identical property, refund of premium maybe allowed on pro-rata basis at the original rates for the sum insuredreplaced.

For a period not exceeding 15 days 10% of the Annual rate-do- 1 month 15% of the Annual rate-do- 2 months 30% of the Annual rate-do- 3 months 40% of the Annual rate-do- 4 months 50% of the Annual rate-do- 5 months 60% of the Annual rate-do- 6 months 70% of the Annual rate-do- 7 months 75% of the Annual rate-do- 8 months 80% of the Annual rate-do- 9 months 85% of the Annual rate

For a period exceeding 9 months The full Annual rate

N.B.: Extension of short period policy(ies) shall not be permitted..

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c) For the sum insured not replaced, refund must be calculated aftercharging premium at short period scale on such sum for the time theinsurance has been in force subject to retention of the minimum premiumby the insurer.

d) In case of short period policies, premium shall be retained at theapplicable short period scale.

N.B.:- In case a policy is cancelled on account of a Government Order oron completion of a “Building in course of construction” or whereBuildings are demolished, pro-rata refund of premium may be allowed.

e) At the option of the insurer:-

Refund of premium shall be on pro-rata basis for the unexpired term.

11. MID-TERM REVISION IN SUM INSURED :

Mid-term revision in sum insured shall be allowed as follows:

Increase in sum insured : On pro-rata basisDecrease in sum insured : On short-period scale

12. ESCALATION CLAUSE :

It will be in order for Insurers to allow automatic regular increase in the SumInsured throughout the period of the policy in return for an additionalpremium to be paid in advance. The terms and conditions for this extensionshall be as follows

a) The selected percentage increase shall not exceed 25% of the SumInsured.

b) The additional premium, payable in advance, will be at 50% of the fullrate, to be charged on the selected percentage increase.

c) The Sum Insured at any point of time would be assessed afterapplication of the Escalation Clause.

d) Escalation Clause will apply to policies covering Building, Machineryand Accessories only and will not apply to policies covering stock.

e) Escalation Clause will apply to all policies and is not restricted to policiesissued on reinstatement value basis.

f) Pro-rata condition of Average will continue to apply as usual.

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g) The automatic increase operates from the date of inception upto the dateof operation of any of the Insured Perils.

Note:- For endorsement wording , see, Clause F, Annexure A.

13.FLOATER POLICY

Floater Policy (ies) can be issued for stocks at various locations under oneSum Insured (The Standard Floater Clause I, Annexure A shall be attachedto such policies).

Note: Unspecified locations shall not be allowed.

Rating: The rate shall be the highest rate applicable to insured’s stocks atany location with a loading of 10 %.

N.B.1: In case Stocks in a process block are covered under the Floater Policyand the rate for the process block is higher than the storage rate, theprocess rate plus 10% loading shall apply.

N.B.2: Presence of “ Kutcha” construction may be ignored.

N.B.3: If stocks situated within godowns/process blocks in the samecompound are covered under floater policy, no floater extra ischargeable.

Clarification :

Letter No. Fire 14 [1004] Date : 30/07/01

Re : Earthquake rating under Floater policy

To compute the base rate by adding the rate for highest Earthquake zoneinvolved to the highest rate otherwise applicable as per tariff provisionbefore applying 10% loading to the same to arrive at premium rateapplication for floater policies covering Earthquake Peril.

14. DECLARATION POLICIES

To take care of frequent fluctuations in stocks/stock values,Declaration Policy(ies) can be granted subject to the followingconditions (Standard Declaration Clause J, Annexure A shall beattached to such policies):

a) The minimum sum insured shall be Rs 1 crore in one or more locationsand the sum insured shall not be less than Rs. 25 lakhs in atleast one ofthese locations.It is necessary that the declared values should

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SECTION - 1

approximate to this figure at sometime during the policy year.

b) Monthly declarations based on a) the average of the values at risk oneach day of the month or b) the highest value at risk during the monthshall be submitted by the Insured latest by the last day of the succeedingmonth. If declarations are not received within the specified period, the fullsum insured under the policy shall be deemed to have been declared.

c) Reduction in sum insured shall not be allowed under any circumstances.

d) Refund of premium on adjustment based on the declarations/cancellations shall not exceed 50% of the total premium.

e) The basis of value for declaration shall be the Market Value anterior tothe loss.

f) It is not permissible to issue declaration policy in respect ofi. Insurance required for a short period.ii. Stocks undergoing process.iii. Stocks at Railway sidings

g) If after occurrence of any loss it is found that the amount of lastdeclaration previous to the loss is less than the amount that ought tohave been declared, then the amount which would have beenrecoverable by the insured shall be reduced in such proportion as theamount of said last declaration bears to the amount that ought to havebeen declared.

15. FLOATER DECLARATION POLICIES

Floater Declaration policy(ies) can be issued subject to a minimum suminsured of Rs 2 crores and compliance with the Rules for Floater andDeclaration Policies respectively except that the minimum retention shall be80% of the annual premium. (Standard Floater Clause I and DeclarationClause J , Annexure A shall be attached to such policies):

16. CLAIMS EXPERIENCE DISCOUNT / LOADING

Risks having sum insured (on buildings and contents of all blocks in onecompound of one complex in one location ) above Rs.50 Crores rateableunder Sections IV, V, VI & VII of this tariff shall attract claims experiencediscounts/loadings based on the incurred claims experience of all thepolicies covering the Insured’s interest for the preceding 36 monthsexcluding the expiring policy period. (If there is any break in insurance,available 36 months experience shall be taken into account) as per the tablegiven below.

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SECTION - 1

FT/ 2 /2004 Date : 25 th March, 2004

Ref : GR No.16 - ‘claims experience discount / loading’ under AIFT

General Rules and Regulations - No.16 - “Claims ExperienceDiscount/Loading” of Section I of the AIFT have been revised toread as under :

16 : claims experience discount/loading

Risks having sum insured (on buildings and contents of all blocksin one compound of one complex in one location) above Rs. 50Crores rateable under Sections IV,V, VI & VII of this tariff shall attractclaims experience discounts/loadings based on the incurred claimsexperience of all the policies covering the Insured’s interest forthe preceding 36 months excluding the expiring policy period whichshall not be less than 9 months (If there is any break in insurance,available 36 months experience shall be taken into account) as perthe table given below :

CIRCULAR

Discount( % )

Loading( % ) *

Upto 5 % 15 —

Above 5% & upto 10% 10 —

Above 10% & upto 15% 5 —

Above 15% & upto 30% — —

Above 30% & upto 40% — 2.5

Above 40% & upto 55% — 5

Above 55% & up to 75% — 10

Above 75% & up to 100% — 15

Above 100% — To bereferred toTAC

* On renewal of business either by an existing insurer or by a new insurer,a provisional loading of 15% must be charged in all cases where certifieddetails of claims experience by respective insurers are not available. Thisloading shall be adjusted subsequently on receipt of the exactclaims experience.

Incurred claim ratio for the preceding 36months excluding the expiring policy period

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Incurred claim ratio for the preceding 36months excluding the expiring policyperiod

Discount( % )

Loading( % ) *

Upto 5 % 15 —

Above 5% & upto 10% 10 —

Above 10% & upto 15% 5 —

Above 15% & upto 30% — —

Above 30% & upto 40% — 2.5

Above 40% & upto 55% — 5

Above 55% & up to 75% — 10

Above 75% & up to 100% — 15

Above 100% & up to 150% — 17.5

Above 150% & up to 200% — 20

Above 200% & up to 300% — 25

Above 300% & up to 500% — 50

Above 500% — 100

Note 1: In case the claim experience exceeds 200% additionalexcess of 2.5% of the claim amount of each and every claim subjectto minimum of Rs.10,000/- shall apply

(i.e minimum total excess of Rs.20,000/-).

Note 2: The above loading will not be applicable for Dwellings.

In the event of the insured transferring his insurance on renewalfrom one insurer to another insurer, the transferee insurer mayallow claims experience discount/loading on the basis of the claimsexperience details from the previous insurer(s). Evidence of theinsured’s entitlement for claims experience discount/loading in theform of a letter confirming the claims experience details from theprevious insurer(s) will be required for this purpose.

SECTION - 1

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SECTION - 1

Where the insured is unable to produce such evidence of claimsexperience details from the previous insurer(s), the present insurermay allow claims experience discount/loading as applicable afterobtaining written declaration from the insured as below:

“ I/We declare that the claims experience details for previous 36months period excluding the expiring policy period and discount/loading (strike out whichever is not applicable) claimed by me/usare correct (copies of the previous policies enclosed). I/We furtherundertake that if this declaration is found to be incorrect, all benefitsunder the policy will stand forfeited. “

Notwithstanding the above declaration, the insurer allowing theclaims experience discount/loading will be obliged to write to thepolicy issuing office of the previous insurer by recorded deliverycalling for confirmation of the claims experience details and theprevious insurer shall be obliged to provide the information soughtwithin 30 days of the receipt of the letter of inquiry failing whichthe matter will be treated as a breach of tariff on the part of theprevious insurer. Failure of the insurer granting the claimsexperience discount to write to the previous insurer within 21 daysafter granting the cover will also constitute a breach of the tariff.The aggrieved insurer is required to report the breach to TACimmediately.

The above revisions will be effective for all new business/renewalsfalling due on or after 16th April, 2004.

Insurers are requested to advise their operating offices suitably inthis regard.

Secretary

Clarification :

TAC Letter No. Fire 453[591] Date : 23/05/01

In case the total sum insured at the risk including 50% of the declaredsum insured for declaration policy exceeds Rs. 50crs, the risk will qualifyfor claim experience discount / loading.

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SECTION - 1

17. FIRE EXTINGUISHING APPLIANCES DISCOUNT

The discounts as per the scale given below may be granted by theInsurers to detached or segregated (as per the Committees BuildingRegulations) blocks of the risks protected by Fire ExtinguishingAppliances ratable under Sections III, IV, V, VI and VII of the Tariff [except for Floater and/or Floater Declaration Policy(ies)] subject to thefollowing:

a) System is erected and tested as per the relevant Regulations ofthe TAC and a certificate from LPA or TAC accreditedProfessional(s) / Professional agency(ies) confirming the efficacyof the system and its full compliance with the Committee’s rules issubmitted by the Insured.

Note: Professional(s) / Professional Agency (ies) designing and/or installing the system themselves shall get the system certifiedby third parties.

b) The installation is maintained in an efficient working order at alltimes and an Annual Maintenance Contract (AMC) with anexternal agency is in force.

Note:- Any agency other than the one involved in the installationof the system or a third party having uptodate knowledge of maintenance of fire fighting equipment can be approached for AMC.

18 RATING OF RISKS IN MULTIPLE OCCUPANCY INDUSTRIALESTATE

Risks in Multiple Occupancy Industrial Estate shall be rated ‘Per se’.If the entire building of the Industrial Estate is insured under one suminsured, a rate of Rs. 1.80%o shall be chargeable to ‘building’.

N.B.:1 Absence of Hand Appliances for Storage risks will not prejudicethe applicable discounts

N.B.:2 The discounts are not cumulative

Type of installation Discount (%)a) Hand Appliances & Trailer Pumps/ Fire Engines 2.5

b) Hand Appliances & Hydrant System 5c) Hand Appliances & independent Sprinkler / Fixed

Water Spray System 7.5

d) Hand Appliances + Hydrant System & independentSprinkler/ Fixed Water Spray System 10

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SECTION - 1

19 SILENT RISK

Risks rateable under Sections IV and V are allowed silent rates as perthe following table.

The silent rates are not applicable if a risk goes silent following aloss under the policy.

Note:- Risks becoming silent shall not be entitled to any discounts.

Factories where no manufactur-ing / storage activities are carriedout continuously for 30 days ormore.

Retention of the premium shallbe based on the appropriatestorage rate or silent risk rate ofRe.1.00%o whichever is higher.

20. VOLUNTARY DEDUCTIBLES

On receipt of application from the insured, Insurer may considersuitable discounts for voluntary deductibles as per the scale shown inthe table below. The discounts are applicable under the Standard Fireand Special Perils Policy as well as for the add-on covers.

Note: The Insurer shall attach to the policy(ies) a suitable clause incase the insured opts for the deductible and discount in the premiumas shown in the table.

FT/22/2001 Date : 12-11-2001

Sub : Deletion facility in respect of STFI/RSMTD perils

Arising out of a query on deletion facility for STFI/RSMTD perilsin respect of “Silent Risks”, Tariff Advisory Committee hasdecided to clarify that it is permissible to exclude the above perilsat the inception of the policy only in case of risks rateable underSection IV and V of the All India Fire Tariff. Reduction in premiumrate for such deletion may be allowed as shown under theconcerned sections.

You are requested to advice your operating offices suitably inthis regard.

Secretary

CIRCULAR

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FT/ 3 /2004 Date : 25th March, 2004

Re: Voluntary Deductibles under AIFT

Tariff Advisory Committee has decided to revise the followingprovisions in respect of ‘Voluntary Deductibles’ under AIFT :

(a) the ‘Table of discounts for Voluntary Deductibles’ appearingunder Rule No.20 - Voluntary Deductibles, Section I, GeneralRules and Regulation of AIFT

(b) sl. No. ‘K’-’Voluntary Deductible Clause’ appearing in‘Annexure A’ of AIFT (page 110)

The revised provisions are as under :

CIRCULAR

10 lakhs 5 2

20 lakhs 10 4

30 lakhs 15 6

60 lakhs 30 8

100 lakhs 50 10

> 100 lakhs > 50 To bereferred toTAC

Table of discounts for Voluntary Deductible

Deductible Amount

Discount (%)AOG Perils5% of Claim amountsubject to minimum of Rs.

For endorsement wording see Clause K, Annexure A.

Note: The Insurer shall attach to the policy(ies) a suitable clause incase the insured opts for the deductible and discount in the premiumas shown in the table.

For endorsement wording see Clause K, Annexure A.

Other perilsIn Rs. lakhs

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(b) Voluntary Deductible Clause :

‘It is hereby declared and agreed that the insured having opted avoluntary deductible of ...... out of net amount of each and everyadmissible claim underthe fire policy(ies) covering the saidpremises, the company has allowed a discount of ..........% on thefinal premium payable for the policies and Add-on Covers. It isfurther agreed that the above voluntary deductible opted shallreplace the compulsory excess stipulated under “GeneralExclusions” attached to the policy(ies) and/or for add-on covers.’

The change will be effective for all new business/renewals fallingdue on or after 16th April, 2004.

Insurers are requested to advise their operating offices suitably inthis regard.

Deductible Amount

Discount %

10 5 2

20 10 4

30 15 6

60 30 8

100 50 10

500 100 12.5

1,000 500 15

2,000 1,000 20

> 2,000 > 1,000 25

Note :1) Voluntary Deductible once opted shall apply to the entireproperty insured and no selection shall be allowed.*2) Wherever additional excess of 2.5% is applicable the 5% indi-cated above shall read as 7.5%

(a) Table of discounts for Voluntary Deductibles

AOG Perils (5* % of claim amountsubject to minimum of Rs. in lakhs )

Other perils(of Rs. in lakhs)

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21. COMPUTATION OF FINAL RATE

The following sequence shall be adopted for computation of the rate :-1) Basic Rate2) 5% Reduction for Sprinklered blocks if applicable (for risks rateable under Sections III ,IV, V and VI).3) Reduction in rates for deletion of STFI and/or RSMTD perils, if opted out.4) Tariff extra for ‘Kutcha’ Construction, if applicable (to be applied on 1- 2-3)5) Discount/loading for claims experience (to be applied on 1-2-3-/+4)6) Discount for FEA on protected blocks (to be applied on 1-2-3-/+4 )7) Discount for voluntary deductible shall be applicable on the total premium calculated on the basis of final rate worked out as above

FT/15/2001 Date : 30-7-2001

Re: Extension of the Standard Fire & Special Perils Policy to coverdamage due to Molten Material Spillage

The Tariff Advisory Committee has decided the following rates, termsand conditions for the above cover as an extension of the fire coveron “First Loss” basis.

Rates and Terms

Premium Rate

MD Re. 0.65%o

LOP Re. 0.65%o

Deductible

MD Nil

LOP 7 days

CIRCULAR

Conditions:

a. There shall be no claim due to molten material spillageduring the 2 years period prior to the policy period at

inception.

b. LOP cover to be limited to 50% of respective loss limit optedfor material damage

c. loss or damage to the spilled material to be excluded

The above decision will be effective for all fresh business andrenewals falling on or after the date hereof.

Insurers are requested to inform their operating offices suitablyin this regard.

Secretary

SECTION - 1

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FT/ 9 /2001 March 27, 2001

Re : Tailor-made Policy for Stocks in General Warehouses/ContainerFreight Stations/ Bonded warehouses belonging to M/s. CentralWarehouses Corporation.

The Tariff Advisory Committee has decided as below in respect ofcover under single policy for stocks belonging to the above Insuredlying in General Warehouses, Container Freight Stations and BondedWarehouses :

a) A Floater Declaration Policy can be given for the goods lying atvarious locations including Container Freight Stations, BondedWarehouses and General Warehouses.

b) The sum insured should be the Maximum value of Goods held inthe previous year. Any increase in Sum Insured noticed duringthe currency of the Policy should be advised to the Insurers andcorresponding additional premium should be paid as per Tariffprovisions.

c) Under-insurance upto 15% should be ignored. However, if thesame exceeds 15% at any time the actual under-insurance shouldbe taken into account for arriving at the loss.

d) The special rates granted by the Committee (ranging fromRs. 1.25%o to Rs. 2.25%o as per the circular no. FT/4/2000 dated 09-02-2001) in respect of godowns/warehouses for Central/StateWarehousing Corporations should apply in this case.

e) The insured can declare the values quarterly or half yearly oryearly basis within 90 days of the expiry of such periods subjectto the consent of the Insurer.

Insurers are requested to advise their operating offices suitablyin this regard.

Secretary

CIRCULAR

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FT/1/2002 Date : 13-3-2002

Sub: Riot, Strike, Malicious and Terrorism Damage (RSMTD) Coverunder All India Fire Tariff.

Effective from 1-4-2002 the following revised provisions will beapplicable:

1) Terrorism cover will be a separate cover which can be grantedonly in conjunction with Riot, Strike and Malicious Damagecover (RSMD). Terrorism cover will not be given in isolationwithout RSMD cover.

2) The Riot, Strike, Malicious and Terrorism Damage cover under the Standard Fire and Special Perils Policy (Material Damage),Section II of the All India Fire Tariff will be renamed as Riot,Strike, Malicious Damage cover and will exclude terrorismdamage and the relevant provision will stand amended to readas under:

Riot, Strike and Malicious Damage

Loss of or visible physical damage or destruction by external violentmeans directly caused to the property insured but excluding thosecaused by

a. Total or partial cessation of work or the retardation or interruption or cessation of any process or operations oromissions of any kind.

b. Permanent or temporary dispossession resulting fromconfiscation, commandeering, requisition or destruction byorder of the Government or any lawfully constituted Authority.

c. Permanent or temporary dispossession of any building orplant or unit of machinery resulting from the unlawfuloccupation by any person of such building or plant or unit ormachinery or prevention of access to the same.

d. Burglary, housebreaking, theft, larceny or any such attemptor any omission of any kind of any person (whether or notsuch act is committed in the course of a disturbance of publicpeace) in any malicious act.

CIRCULAR

20

If the Company alleges that the loss/damage is not causedby any malicious act, the burden of proving the contrary shallbe upon the insured.

Terrorism Damage Exclusion Warranty :

Notwithstanding any provision to the contrary within this insuranceit is agreed that this insurance excludes loss, damage cost orexpense of whatsoever nature directly or indirectly caused by,resulting from or in connection with any act of terrorism regardlessof any other cause or event contributing concurrently or in any othersequence to the loss.

For the purpose of this endorsement an act of terrorism means anact, including but not limited to the use of force or violence and / orthe threat thereof, of any person or group(s) of persons whetheracting alone or on behalf of or in connection with any organisation(s)or government(s), committed for political, religious, ideological orsimilar purpose including the intention to influence any governmentand/or to put the public, or any section of the public in fear.

The warranty also excludes loss, damage, cost or expenses ofwhatsoever nature directly or indirectly caused by, resulting fromor in connection with any action taken in controlling, preventing,suppressing or in any way relating to action taken in respect of anyact of terrorism.

If the Company alleges that by reason of this exclusion, any loss,damage, cost or expenses is not covered by this insurance theburden of proving the contrary shall be upon the insured.

In the event any portion of this endorsement is found to be invalidor unenforceable, the remainder shall remain in full force and effect.

3) Mid-term Cover : No mid-term cover shall be granted for RSMDand Terrorism. The present provision for mid term cover asprovided under Rule 4, of General Rules and Regulations -SectionI of the All India Fire Tariff in so far as it relates toRSMTD perils shall stand deleted.

4) Rule 1(e) of the General Rules and Regulations of the All IndiaFire Tariff will stand amended to read as under:

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21

“ It is permissible to exclude Storm, Tempest, Flood andInundation group of perils (hereinafter referred to STFI) and/or Riot, Strike and Malicious Damage perils (hereinafterreferred to as RSMD) at inception of the Policy by deletingthe relevant perils from the policy.

The deletion shall apply for the entire property in one complex/compound/location covering the entire interest of the insuredunder one or more policy(ies) without any option for selection.Reduction in premium rates for such deletion(s) may beallowed as shown under the relevant sections of the tariff.When these perils are deleted from the scope of the policy,the general exclusions shall include these perils.”

5) Reduction in premium rates for exercising the option to deleteSTFI/RSMTD perils at the inception of the policies providedfor under various sections of the tariff in so far as they relateto RSMTD perils, will be applicable only in respect of RSMDperils. There will be no reduction of premium for exclusion ofTerrorism risk.

6) Rates for Terrorism Cover :Premium will be charged separately for covering terrorismrisk at the following rates.

The above rates will be charged separately on the total suminsured for Material Damage and Loss of Profit.

7) Limit of Insurance for terrorism :

The maximum loss limit under Terrorism cover shall be Rs.200crores for any one risk (MD+LOP). For this purpose one risk shallbe defined as one compound or one location. In respect of severalinsurances within the same compound / location with all Indianinsurers, the maximum aggregate loss (MD+LOP) payable percompound/location shall be Rs.200 crores. If the actual aggregateloss suffered at one compound / location is more than Rs.200

Re.0.50 permille

Re.0.30 permille

SECTION - 1

Industrial Risks (i.e. Risks rateable under SectionIV,V,VI and VII of All India Fire Tariff and underPetrochemical Tariff)

Non-industrial Risks (Risks rateable under Sec-tion III of All India Fire Tariff)

22

SECTION - 1

crores, the amounts payable under individual policies shall bereduced on pro rata basis.

Premium rates shall apply on Total Sum Insured as detailed under:

For loss liability limits in excess of Rs. 200 crores, insurers canobtain rates from reinsurers and handle its reinsurance, subject totheir charging premium as per item 6 for the coverage up to Rs.200crores.

8) Deductibles : Every claim under terrorism cover will be subjectto a deductible as under:

Industrial Risks - 0.5 % of TSI subject to a minimum of Rs. 1 lakh(i.e. Risks rateable under Section IV,V,VI and VII of All India FireTariff and under Petrochemical Tariff)

Non-industrial Risks - 0.5 % of TSI subject to a minimum ofRs. 25,000/-

(Risks rateable under Section III of All India Fire Tariff))

9) Terrorism Damage Cover Endorsement : When the insured optsfor Terrorism Damage cover by paying additional premium asprovided under item no (6) above, cover will be granted byattaching the following endorsement:

“It is hereby declared and agreed that in consideration of paymentof additional premium of Rs._______, the Terrorism DamageExclusion Warranty of the Riot, Strike, Malicious Damageprovision forming part of the within mentioned policy standsdeleted. The expression/s “terrorism and/or act of terrorism” shall

Upto 200 crores Full rate 200 crores

Over 200 crs to 250 crs 97.5 % of full rate 200 crores

Over 250 crs to 500 crs 95 % of full rate 200 crores




Over 2000 crs 75 % of full rate 200 crores

Total Sum Insured(MD+LOP) (Rs)

Overall Liability(MD+LOP) Cap

Premium on TSI

23

SECTION - 1

have the same meaning/s as contained in Terrorism DamageExclusion Warranty.

This endorsement does not cover loss of or damage caused by

A)I. Total or partial cessation of work or the retardation or

interruption or cessation of any process or operations oromissions of any kind.

II. Permanent or temporary dispossession resulting fromconfiscation, commandeering, requisition or destructionby order of the Government or any lawfully constitutedAuthority.

III. Permanent or temporary dispossession of any buildingor plant or unit of machinery resulting from the unlawfuloccupation by any person of such building or plant or unitor machinery or prevention of access to the same.

IV. Burglary, housebreaking, theft, larceny or any suchattempt or any omission of any kind of any person(whether or not such act is committed in the course of adisturbance of public peace) in any action taken in respectof an act of terrorism.

B) loss or damage, cost or expenses of whatsoever naturedirectly or indirectly caused by, resulting from or inconnection with any action taken in controlling , preventing ,suppressing or in any way relating to action taken in respectof any act of terrorism.

If the Company alleges that by reason of this exclusion, anyloss, damage, cost or expenses is not covered by thisinsurance the burden of proving the contrary shall be uponthe insured.

The limit of coverage under this endorsement shall not exceedRs. _______ (insert here the overall liability limit for MaterialDamage + Loss of Profit). In respect of several insuranceswithin the same compound / location with all the Indianinsurers, the maximum aggregate loss (MD+LOP) payable percompound /location shall be Rs.200 crores. If the actualaggregate loss suffered at one compound / location is more

24

than Rs.200 crores, the amounts payable under individualpolicies shall be reduced on pro rata basis.

The coverage under this endorsement is subject to an excessof Re. 0.5% of the total sum insured subject to a minimum ofRs. ______ (insert Rs. 25000 or Rs. 1 lakh as applicable) foreach and every claim in respect of both material damage andloss of profits combined.”

10) Treatment of surcharge applied from 1-10-2001 :10% surcharge on account of terrorism was applicable w.e.f1-10-2001. All such insurance will be cancelled on pro rata basis ason 31-3-2002 and fresh insurance will be effected w.e.f 1-4-2002 forthe unexpired period with the revised rates for terrorism risks onpro-rata basis.

In the case of insurance of risks where the insurers may have alreadyconcluded reinsurance arrangements and such cancellation is notrequired by reinsurance arrangements, insurers will have the optionto continue the present insurance (where 10% surcharge has beencollected ) till expiry.

Insurers are advised to inform their operating offices suitably.

Secretary

SECTION - 1

25

CIRCULAR

FT/ 2 /2002 Date : 13-3-2002

Sub : Coverage for Terrorism Loss/Damageunder Industrial All RisksInsurance Tariff

1. Effective from 1st April, 2002 the following Terrorism DamageExclusion Warranty shall be incorporated as item 6 underExcluded Causes of section I (Material Damage) in all IARpolicies:

Terrorism Damage Exclusion Warranty

Notwithstanding any provision to the contrary within this insurance,it is agreed that this insurance excludes loss, damage cost orexpense of whatsoever nature directly or indirectly caused by,resulting from or in connection with any act of terrorism regardlessof any other cause or event contributing concurrently or in any othersequence to the loss.

For the purpose of this endorsement an act of terrorism means anact, including but not limited to the use of force or violence and orthe threat thereof, of any person or group(s) of persons whetheracting alone or on behalf of or in connection with any organisation(s)or government(s) committed for political, religious, ideological orsimilar purpose including the intention to influence any governmentand/or to put the public, or any section of the public in fear.

The warranty also excludes loss, damage, cost or expenses of what-soever nature directly or indirectly caused by, resulting from or inconnection with any action taken in controlling, preventing, sup-pressing or in any way relating to action taken in respect of any actof terrorism.


In the event any portion of this endorsement is found to be invalidor unenforceable, the remainder shall remain in full force andeffect.

SECTION - 1

26

2. Deletion of Terrorism Damage Exclusion Warranty. TerrorismDamage Exclusion Warranty can be deleted by charging extrapremium @ Re. 0.50%o on the Total Sum Insured of Section Iand Section II of the Industrial All Risks Insurance Policy. However the coverage shall be subject to maximum limits as provided in item 4 below and also other terms/conditions mentionedelsewhere in this Circular.

3. Mid-term Cover : No mid-term cover shall be granted forterrorism risk.

4. Limit of Insurance for Terrorism Cover :

The maximum loss limit under Terrorism cover shall be Rs. 200crores for any one risk (MD+LOP). For this purpose, one riskshall be defined as one compound or one location. In respect ofseveral insurances within the same compound / location with allIndian insurers, the maximum aggregate loss payable percompound /location shall be Rs. 200 crores. If the actualaggregate loss suffered at one compound / location by all Indianinsurers is more than Rs. 200 crores, the amounts payableunder individual policies shall be reduced in the same proportion as Rs. 200 crores to the aggregate of all losses at that compound / location.

For loss liability limits in excess of Rs. 200 crores, insurers canobtain rates from reinsurers and handle its reinsurance, subject totheir charging premium as per item 2 for the coverage up to Rs.200crores .

Upto 200 crores Full rate 200 crores

Over 200 crs to 250 crs 97.5 % of full rate 200 crores





Over 2000 crs 75 % of full rate 200 crores

Total Sum Insured(MD+LOP) (Rs) (TSI)

Overall Liabil-ity (MD+LOP)Cap

Premium on TSI

SECTION - 1

27

5. Deductible for Terrorism Damage Claims: Every claim underterrorism cover will be subject to deductible as under :

0.5% of TSI subject to a minimum of Rs. One lakh.

6. Documentation.

Where Terrorism Damage Exclusion warranty is deleted bycharging additional premium as in item 2 above, the followingendorsement shall be attached to the policy :

"It is hereby declared and agreed that in consideration ofpayment of additional premium of Rs._______, the TerrorismDamage Exclusion Warranty of the within mentioned policystands deleted. The expression/s "terrorism and/or act of terrorism" shall have the same meaning/s as contained in TerrorismDamage Exclusion Warranty.

This endorsement does not cover loss of or damage caused by

A)I. Total or partial cessation of work or the retardation or

interruption or cessation of any process or operations oromissions of any kind.

II. Permanent or temporary dispossession resulting fromconfiscation, commandeering, requisition or destruction byorder of the Government or any lawfully constitutedAuthority.

III. Permanent or temporary dispossession of any building orplant or unit of machinery resulting from the unlawfuloccupation by any person of such building or plant or unit ormachinery or prevention of access to the same.

IV. Burglary, housebreaking, theft, larceny or any such attemptor any omission of any kind of any person (whether or notsuch act is committed in the course of a disturbance ofpublic peace) in any action taken in respect of an act ofterrorism.

SECTION - 1

28

B)

Loss or damage, cost or expenses of whatsoever nature directly orindirectly caused by, resulting from or in connection with anyaction taken in controlling, preventing , suppressing or in any wayrelating to action taken in respect of any act of terrorism.


In respect of several insurances within the same compound /location by all Indian insurers, the maximum aggregate losspayable per compound / location shall be Rs. 200 crores. If theactual aggregate loss suffered at one compound / location by allIndian insurers is more than Rs. 200 crores, the amount payableunder individual policies shall be reduced in the proportion that Rs.200 crores bears to the aggregate of all losses payable at thatcompound / compound.

The limit of coverage under this endorsement shall not exceedRs. _______ (insert here the overall liability limit for MaterialDamage + Loss of Profit). The coverage under this endorsement issubject to an excess of 0.5% of the total sum insured subject to aminimum of Rs. One lakh for each and every claim in respect ofboth material damage and loss of profits combined."

7. Treatment of surcharge of 10% applicable from 1-10-2001 :

10% surcharge on account of terrorism was applicable w.e.f1-10-2001. All such insurance will be cancelled on pro rata basis ason 31-3-2002 and fresh insurance will be effected w.e.f 1-4-2002 forthe unexpired period with the revised rates for terrorism risk onpro-rata basis.

In the case of insurance of risks where the insurers may havealready concluded reinsurance arrangements and suchcancellation is not required by reinsurance arrangements, insurerswill have the option to continue the present insurance (where 10%surcharge has been collected ) till expiry.

Insurers are advised to inform their operating offices in this regard.

Secretary

SECTION - 1

29

FT/3/2002 Date : 8-4-2002

Re: Insurance of Terrorism Risk under Fire and Engineering Insur-ance policies w.e.f 1-4-2002

This refers to circular nos. D-3/IRDA/3/2002 dated March 22, 2002and D-4/IRDA/3/2002 dated March 28, 2002 issued by the InsuranceRegulatory and Development Authority. Based on representationsfrom insurers and the General Insurance Corporation of India(Manager for Terrorism Pool) the Authority has approved revisionin the rates for coverage of terrorism risks and the revised rates areas under :

Insurers may advise their operating offices suitably.

Secretary

SECTION - 1

Total SumInsured(MD+LOP).

TSI uptoRs.200crores

TSIexceedingRs.200crores butnotexceedingRs.2000crores

TSIexcedingRs.2000crores

Overall(MD+LOP)liability capper location/compound

Rs. 200crores

Rs.200crores

Rs.200crores

Premium on Total Sum Insured (TSI)

Full rate of Re. 0.5%o (for industrialrisks) or Re.0.3%o (for non-industrial risks)

a) Full rate of Rs.0.5%o (for industrialrisks) or Re.0.3%o (for non-industrialrisks) on the first Rs.200 crores and

b) Re.0.375%o (for industrial risks) orRs.0.225%o (for non-industrial risks)on the balance TSI.

a) Full rate of Re.0.5%o (for industrialrisks) or Re.0.3%o (for non-industrialrisks) on the first Rs.200 crores and b)Re.0.375%o (for industrial risks) orRe.0.225%o (for non-industrial risks) onthe next Rs.1800 crores and c) Re.0.3%o(for industrial risks) or Re.0.18% o (fornon- industrial risks) on the balance TSI inexcess of Rs.2000 crores.

CIRCULAR

30

SECTION - 1

FT/4 /2002 Date :10-5-2002

Accreditation of Professionals/Professional agencies for certifyingFEA Installations

Insurer's attention is invited to the Item 17(b) of General Rules &Regulations, Section 1 of All India Fire Tariff effective from31-3-2001. The Item 17(b) is reproduced below :

"System is erected and tested as per the relevant Regulations ofthe TAC and a certificate from LPA or TAC accredited Professional(s)/Professional agency(ies), confirming the efficacy of the system andits full compliance with the Committee's rules, is submitted by theInsured.

Note : Professional(s)/Professional agency(ies) designing and/orinstalling the system themeselves shall get the system certified bythird parties."

Pending accreditation of Professionals/Professional Agencies byTAC, Chairman IRDA/TAC, has approved that insurance companiescan select Profesionals/Prefessional Agencies satisfying thefollowing norms, to certify FEA installation :

For Professionals :

a. Should be Graduate Engineer with 5 years experience in the FireProtection field or Diploma Engineer with 10 years relatedexperience. and

b. Should have handled atleast 3 projects for which proposalssubmitted were approved and full discounts granted for the FireProtection systems by TAC or Insurance Companies.

Information in this connection should be provided to theInsurance Company in the following format :

Sr.No

RiskName

Type ofFireProtectionprovided

Year ofexecution

Quantum of discountsanctioned by theCompetent Authority

Reference ofletter(s)advising suchdiscount

LIST OF PROJECTS HANDLED

CIRCULAR

31

SECTION - 1

Note : Relevant documents (work order/job order/completioncertificate) to be attached for verification by the insurancecompany.

c. Expertise should be indicated in specific areas of FireProtection (Hydrant/Sprinkler/Water spray system etc.)

For Professional Agencies :

a. Should have one or more professionals with requirements of 3a), b) and c) above.

b. The professional agency should be financially sound. Auditedfinancial statements to be submitted for verification by theinsurance company.

General : (Applicable to both Professionals/Professionalagencies)

1. Selection of professionals/professional agency to be done onlyat the corporate office of the insurance company.

2. Professionals/Professional agencies will not certify anyinstallation in which they are involved as suppliers, erectors,contractors or consultants.

Insurers may be guided by the above mentioned instructions.

Secretary

32

CIRCULAR

D-3/IRDA/3/2002 22nd March, 2002.

To all General Insurers

Sub : Insurance of terrorism risk in the Fire and EngineeringDepartments

It has been reported to this office that insurers are planning tocancel existing insurances of their clients just before 31 March 2002and reissue policies for one year from that date in order to give totheir clients, the benefit of lower premium and full insurance . It hasalso been reported that some insurers are planning to allow 5%discount in lieu of agency commission in respect of premium forterrorism risk.

As insurers are aware, the market took the welcome initiative ofworking together to provide protection in respect of terrorism riskafter 1st April 2002 when the reinsurers were reported to bewithdrawing protection for terrorism risk from reinsurancearrangements. It is most undesirable for insurers to take any actionwhich will be seen as subverting the market initiative. The insurershad collectively decided that no agency commission will bepayable on premium for terrorism risk. It will therefore be improperand in violation of tariff to allow any discount on premium forterrorism risk. It will therefore be improper and in violation of tariffto allow any discount on premium for terrorism risk. Insurers shoulddesist from such action.

The move to cancel and reissue policies for one full year referred toabove, may lead to serious problems with reinsurances because ifterrorism risk is excluded from treaties, it will also be excluded fromportfolio entry to the treaty for the year 2002-2003. The net accountexcess of loss protections of insurers will also not cover the risk ofterrorism. Finally, GIC may exclude the risk of terrorism fromstatutory cessions and will find it problematic to carrying the riskfor a full year through this method without having the ability toprotect the account.

A couple of insurers believe that their reinsurance arrangementswill continue to receive reinsurance on terrorism risk until 31 March2003. Insurers are requested to exercise particular care even if this

SECTION - 1

33

SECTION - 1

be so, because the reinsurance arrangements will not cover excessof loss protections for net account nor will they cover the surplusafter their surplus treaty is fully utilised.

In conclusion, we would like to see the market abiding by the mar-ket decisions not only in letter but also in spirit. Any report of insur-ers taking unfair advantage in competition through the above meanswill be considered seriously by this office.

(N. Rangachary)

Chairman

CIRCULAR

Circular No. D-4/IRDA/3/2002 28th March, 2002

TO ALL GENERAL INSURERS

Re : Insurance of Terrorism Risk in the Fire and Engineering Deptts.

In continuation of our Circular No. D-3/IRDA/3/2002 dated 22ndMarch, 2002 we would like to clarify as under :

1. Tariff Advisory Committee has issued the following detailedcirculars in respect of Terrorism cover effective from 01-04-2002:

2. An Insurer can cancel the current policy in its entirety on orbefore March 31, 2002. However, whenever a fresh policy isissued, effective from or after April 01, 2002, rates & termsapplicable for terrorism will be as per the revised rates effectivefrom April 01, 2002 communicated by the Tariff AdvisoryCommittee vide their circulars mentioned in 1 above. In no caseit is permissible to cancel and/or pre-pone an insurance toenable any insured to get coverage for terrorism risk at rates &terms different from what has been stipulated by the TariffAdvisory Committee w.e.f. April 01, 2002.

Circular No. DateFT/1/200213-03-2002FT/2/200213-03-2002Engg/Gen-4/24/16/17/2002-14 11-03-2002Engg/Gen-4/24/16/17/2002-15 11-03-2002

34

SECTION - 1

3. In terms of Circular dated March 23, 2002 General InsuranceCorporation of India (as the Manager for Terrorism Pool) wherean insured wishes to continue cover for terrorism risk under anexisting policy beyond April 01, 2002, insurers may provide suchextension at pro-rata extra premium of the 10% surcharge up tothe expiry of the current policy. However, the extension for theterrorism cover will be as per the revised wordings contained inthe circulars issued by the Tariff Advisory Committee asmentioned in 1 above. Also renewal of the current policy will beonly at the revised rates applicable for terrorism risk effectivefrom April 01, 2002.

4. The circulars issued by TAC provide for deductible of 0.50% ofthe total sum insured for each and every claim subject to aminimum of Rs. 25,000/Rs. 1,00,000/ as applicable. Thedeductible will be subject to a maximum of Rs. 10 crores foreach and every claim.

5. The rates prescribed by Tariff Advisory Committee w.e.f April01, 2002 for terrorism risk are net rates and will not be subject toany discount/commission.

(N. Rangachary)Chairman

35

CIRCULARFT/1/2004 Date : 19/03/2004.

Re : Cover for Terrorism Risks under Fire & EngineeringInsurances

This refers to our earlier circular FT/03/2002 Dated 08/04/2002.

I Effective from 1-4-2004 premium / coverage structure forterrorism risks will be subject to the following revisions :

Total SumInsured (TSI)[MD + LOP]

TSI upto Rs. 200crores

TSI exceedingRs.200 croresbut not exceed-ing Rs. 300Crores

TSI exceedingRs.300 croresbut not exceed-ing Rs.2000crores

Overall (MD +LOP) liability capper location /compound

TSI

TSI

RS.300 crores

Premium on Total SumInsured

Full rate of Re.0.50%o (for In-dustrial risks) or Re. 0.30%o(for non-industrial risks)

a) Full rate of Re.0.50%o (forindustrial risks) or Re.0.30%o(for non-industrial risks) on thefirst Rs. 200 crores and b) Re.0.375 %o (for Industrialrisks) or Re. 0.225%o (for non-industrial risks) on the balanceTSI

a) Full rate of Re.0.50%o ( forIndustrial risks) or Re.0.30 %o(for non-industrial risks) on thefirst Rs. 200 Crores andb) Re. 0.375%o (for Industrialrisks) or Re.0.225%o (for non-industrial risks) on the balanceTSI

SECTION - 1

36

TSI exceedingRs. 2000Crores

Rs.300 Crores a) Full rate of Re.0.50%o (forIndustrial risks) or Re.0.30%o(for non-industrial risks) on thefirst Rs.200 crores and b) Re. 0.375%o (for Industrialrisks) or Re.0.225%o (for non-industrial risks) on the next Rs.1800 crores and c) Re. 0.30%o (for industrialrisks) or Re.0.18%o (for non-in-dustrial risks) on the balanceTSI in excess of Rs.2000 crores

II. For EAR/CAR insurances, discounts as under may be allowedfrom the rates provided for in item no.3 of TAC’s circular No.Engg/ Gen-4/24/16/17/2002 – 15 dated 11 th March, 2002.

III The rates prescribed above will continue to be net rates andwill not be subject to any discount/ Commission

IV Deductibles as communicated in IRDA circular No. D-4 /IRDA/3/2002 dated 28-03-2002 shall continue to apply.

Insurers are requested to inform their operating offices suitably.

Secretary.

Policy period

Upto 1 year

Upto 2 years

Beyond 2 years

Discount

ExtensionPeriod

Nil

Nil

Nil

Nil

Nil

Nil

Initial Policy Period

Nil

1st year 20%

2ndyear 20%

1st year 30%

2nd year 30%

3rd year &

Subsequent Year 30%

SECTION - 1

37

CIRCULARTAC/4/04 DATE : 16-12-2004

Re : Cover for Terrorism Risks Fire, Engineering & IAR tariffs

This refers to our earlier circular no.FT/01/2004 Dated 19-3-2004 and FT/4/2004 dated 10-5-2004

Effective from 1-2-2005 the premium / coverage factor for terrorism Risksshall stand revised as under:

Total SumInsured perlocation [MD +LOP]Rs. Crores

Upto 500

Upto 500 andUpto 2000

Over 2000

Overall (MD +LOP) liability capper location /compound

TSI

Rs. 500Cr.

Rs. 500 Cr.

Premium on Total SumInsured

Full rate ofa) Industrial risksb) Non- Industrial risksc) Residential risks

First 500, as per (1) above Plus on the balance suminsured full rate of

a. Industrial risksb. Non-industrial risks

First 2000, as per (2) aboveplus on the balnce suminsured full rate of

a. Industrial risksb. Non-Industrial risks

R a t e( p e rMille)

0.300.200.10

0.250.15

0.200.12

Insurers are requested to inform their operating offices suitably

Secretary

SECTION - 1

38

SECTION IISTANDARD FIRE AND SPECIAL PERILS POLICY FORM

IN CONSIDERATION OF the Insured named in the Schedule hereto having paidto the .............................. Insurance Company Limited (hereinafter called theCompany) the full premium mentioned in the said schedule, THE COMPANYAGREES, (Subject to the Conditions and Exclusions contained herein orendorsed or otherwise expressed hereon) that if after payment of the premiumthe Property insured described in the said Schedule or any part of such Propertybe destroyed or damaged by any of the perils specified hereunder during theperiod of insurance named in the said schedule or of any subsequent period inrespect of which the Insured shall have paid and the Company shall haveaccepted the premium required for the renewal of the policy, the Company shallpay to the Insured the value of the Property at the time of the happening of itsdestruction or the amount of such damage or at its option reinstate or replacesuch property or any part thereof

I FireExcluding destruction or damage caused to the property insured by

a) i) its own fermentation ,natural heating or spontaneouscombustion.

ii) its undergoing any heating or drying process.b) burning of property insured by order of any Public Authority.

II Lightning

III Explosion/Implosion

Excluding loss, destruction of or damagea) To boilers (other than domestic boilers), economizers or other vessels,

machinery or apparatus( in which steam is generated) or their contentsresulting from their own explosion/implosion,

b) caused by centrifugal forces.

IV Aircraft Damage

Loss, Destruction or damage caused by Aircraft, other aerial or spacedevices and articles dropped therefrom excluding those caused bypressure waves.

V Riot, Strike and Malicious DamageLoss of or visible physical damage or destruction by external violent meansdirectly caused to the property insured but excluding those caused by

a) total or partial cessation of work or the retardation or interruptionor cessation of any process or operations or omissions of any kind.

SECTION - 11

39

b) Permanent or temporary dispossession resulting from confiscation,commandeering, requisition or destruction by order of theGovernment or any lawfully constituted Authority.

c) Permanent or temporary dispossession of any building or plant orunit or machinery resulting from the unlawful occupation by anyperson of such building or plant or unit or machinery or prevention ofaccess to the same.

d) Burglary, housebreaking, theft, larceny or any such attempt or anyomission of any kind of any person (whether or not such actiscommitted in the course of a disturbance of public peace) in anymalicious act.

VI Storm, Cyclone, Typhoon, Tempest, Hurricane, Tornado, Flood andInundationLoss, destruction or damage directly caused by Storm, Cyclone,Typhoon, Tempest, Hurricane, Tornado, Flood or Inundation excluding thoseresulting from earthquake, Volcanic eruption or other convulsions of nature.( Wherever earthquake cover is given as an "add on cover" the words"excluding those resulting from earthquake volcanic eruption or otherconvulsions of nature" shall stand deleted.

VII Impact DamageLoss of or visible physical damage or destruction caused to the propertyinsured due to impact by any Rail/ Road vehicle or animal by direct contactnot belonging to or owned by

a) the Insured or any occupier of the premises or

b) their employees while acting in the course of their employment.

VIIISubsidence and Landslide including Rock slideLoss, destruction or damage directly caused by Subsidence of part of thesite on which the property stands or Land slide/Rock slide excluding:

a) the normal cracking, settlement or bedding down of new structures

b) the settlement or movement of made up ground

c) coastal or river erosion

d) defective design or workmanship or use of defective materials

e) demolition, construction, structural alterations or repair of any propertyor groundworks or excavations.

SECTION - 11

40

IX Bursting and/or overflowing of Water Tanks, Apparatus and Pipes

X Missile Testign operations

XI Leakage from Automatic Sprinkler InstallationsExcluding loss, destruction or damage caused by

a) Repairs or alterations to the buildings or premises

b) Repairs, Removal or Extension of the Sprinkler Installation

c) Defects in construction known to the Insured.

XII Bush Fire

Excluding loss, destruction or damage caused by Forest Fire.

PROVIDED that the liability of the Company shall in no case exceed inrespect of each item the sum expressed in the said Schedule to be insuredthereon or in the whole the total Sum Insured hereby or such other sum orsums as may be substituted therefor by memorandum hereon or attachedhereto signed by or on behalf of the Company.

(A) GENERAL EXCLUSIONS

This Policy does not cover (not applicable to policies covering dwellings)

a) The first 5% of each and every claim subject to a minimum of Rs.10,000in respect of each and every loss arising out of "Act of God perils" such asLightning,STFI, Subsidence,Landslide and Rock slide covered underthe policy

b) The first Rs.10,000 for each and every loss arising out of other perils inrespect of which the Insured is indemnified by this policyThe Excessshall apply per event per insured.

2. Loss, destruction or damage caused by war, invasion, act of foreign enemyhostilities or war like operations (whether war be declared or not), civilwar, mutiny, civil commotion assuming the proportions of or amounting to apopular rising, military rising, rebellion, revolution, insurrection or military orusurped power.

3. Loss, destruction or damage directly or indirectly caused to the propertyinsured bya) ionising radiations or contamination by radioactivity from any nuclear

fuel or from any nuclear waste from the combustion of nuclear fuel

SECTION - 11

41

SECTION - 11

b) the radio active toxic, explosives or other hazardous properties of anyexplosive nuclear assembly or nuclear component thereof

4. Loss, destruction or damage caused to the insured property by pollution orcontamination excluding

a) pollution or contamination which itself results from a peril hereby insuredagainst.

b) any peril hereby insured against which itself results from pollution orcontamination

5. Loss, destruction or damage to bullion or unset precious stones, any curiosor works of art for an amount exceeding Rs. 10000/-, manuscripts, plans,drawings, securities, obligations or documents of any kind, stamps, coinsorpaper money, cheques, books of accounts or other business books,computer systems records, explosives unless otherwise expressly statedin the policy.

6 Loss, destruction or damage to the stocks in Cold Storage premises causedby change of temperature.

7 Loss, destruction or damage to any electrical machine, apparatus, fixture, or

FT/02/2003 Date : 17.03.2003

Re : Coverage of goods held in trust or on comission - GeneralExclusions No. 5 under Section II - (A) of AIFT

Tariff Advisory Committee has modified General Exclusion No.5, ofStandard Fire and Special Perils Policy under Section II of the AIFT.The modified provision is as follows:

“Loss, destruction or damage to bullion or unset precious stones,any curios or works of art for an amount exceeding Rs.10,000/-,goods held in trust or on commission, manuscripts, plans,drawings, securities, obligations or documents of any kind, stamps,coins or paper money, cheques, books of accounts or otherbusiness books, computer system records, explosives unlessotherwise expressly stated in the policy.”

Insurers are requested to make a note of the change and advise theoperating offices accordingly.

Secretary

CIRCULAR

42

fitting arising from or occasioned by over-running, excessive pressure, shortcircuiting, arcing, self heating or leakage of electricity from whatever cause(lightning included) provided that this exclusion shall apply only to theparticular electrical machine, apparatus, fixture or fitting so affected and notto other machines, apparatus, fixtures or fittings which may be destroyed ordamaged by fire so set up.

8 Expenses necessarily incurred on (i) Architects, Surveyors and ConsultingEngineer's Fees and (ii) Debris Removal by the Insured following a loss,destruction or damage to the Property insured by an insured peril in excessof 3% and 1% of the claim amount respectively.

9 Loss of earnings, loss by delay, loss of market or other consequential orindirect loss or damage of any kind or description whatsoever.

10 Loss, or damage by spoilage resulting from the retardation or interruption orcessation of any process or operation caused by operation of any of theperils covered.

11 Loss by theft during or after the occurrence of any insured peril except asprovided under Riot, Strike, Malicious and Terrorism Damage cover.

12 Any Loss or damage occasioned by or through or in consequence directly orindirectly due to earthquake, Volcanic eruption or other convulsions ofnature.

13 Loss or damage to property insured if removed to any building or place otherthan in which it is herein stated to be insured, except machinery andequipment temporarily removed for repairs, cleaning, renovation or othersimilar purposes for a period not exceeding 60 days.

(B) GENERAL CONDITIONS

1. THIS POLICY shall be voidable in the event of mis-representation,mis-description or non-disclosure of any material particular.

2. All insurances under this policy shall cease on expiry of seven days from thedate of fall or displacement of any building or part thereof or of the whole orany part of any range of buildings or of any structure of which such buildingforms part.PROVIDED such a fall or displacement is not caused by insured perils, lossor damage which is covered by this policy or would be covered if suchbuilding, range of buildings or structure were insured under this policy.Notwithstanding the above, the Company subject to an express noticebeing given as soon as possible but not later than seven days of any such

SECTION - 11

43

fall or displacement may agree to continue the insurance subject to revisedrates, terms and conditions as may be decided by it and confirmed in writingto this effect.

3. Under any of the following circumstances the insurance ceases to attach asregards the property affected unless the Insured, before the occurrence ofany loss or damage, obtains the sanction of the Company signified byendorsement upon the policy by or on behalf of the Company :-

a. If the trade or manufacture carried on be altered, or if the nature of theoccupation of or other circumstances affecting the building insured orcontaining the insured property be changed in such a way as to increasethe risk of loss or damage by Insured Perils.

b. If the building insured or containing the insured property becomesunoccupied and so remains for a period of more than 30 days.

c. If the interest in the property passes from the insured otherwise than bywill or operation of law.

4. This insurance does not cover any loss or damage to property which, at thetime of the happening of such loss or damage, is insured by or would, but forthe existence of this policy, be insured by any marine policy or policiesexcept in respect of any excess beyond the amount which would have beenpayable under the marine policy or policies had this insurance not beeneffected.

5. This insurance may be terminated at any time at the request of the Insured,in which case the Company will retain the premium at customary shortperiod rate for the time the policy has been in force. This insurance may alsoat any time be terminated at the option of the Company, on 15 days' notice tothat effect being given to the Insured, in which case the Company shallbe liable to repay on demand a rateable proportion of the premium for theunexpired term from the date of the cancellation.

SECTION - 11

FT / 5 / 2004 CIRCULAR Date : 13th May, 2004

Re: Deletion of Condition no. 3(b) of Standard Fire and SpecialPerils Policy

Arising out of a representation from an insurer it has been decidedto allow insurers to delete condition no-3(b) of Standard Fire andSpecial Perils policy for dwellings rateable under Section III.

Insurers are requested to advise their operating offices suitably.Secretary

44

SECTION - 11

6. (i) On the happening of any loss or damage the Insured shall forthwith givenotice thereof to the Company and shall within 15 days after the loss ordamage, or such further time as the Company may in writing allow in thatbehalf, deliver to the Company

a) A claim in writing for the loss or damage containing as particular anaccount as may be reasonably practicable of all the several articlesor items or property damaged or destroyed, and of the amount of theloss or damage thereto respectively, having regard to their value atthe time of the loss or damage not including profit of any kind.

b) Particulars of all other insurances, if any

The Insured shall also at all times at his own expense produce,procure and give to the Company all such further particulars, plans,specification books, vouchers, invoices, duplicates or copies thereof,documents, investigation reports (internal/external), proofs andinformation with respect to the claim and the origin and cause of theloss and the circumstances under which the loss or damage occurred,and any matter touching the liability or the amount of the liability of theCompany as may be reasonably required by or on behalf of theCompany together with a declaration on oath or in other legal form ofthe truth of the claim and of any matters connected therewith.

No claim under this policy shall be payable unless the terms of thiscondition have been complied with

(ii) In no case whatsoever shall the Company be liable for any loss ordamage after the expiry of 12 months from the happening of the loss ordamage unless the claim is the subject of pending action or arbitration; itbeing expressly agreed and declared that if the Company shall disclaimliability for any claim hereunder and such claim shall not within 12calendar months from the date of the disclaimer have been made thesubject matter of a suit in a court of law then the claim shall for allpurposes be deemed to have been abandoned and shall not thereafterbe recoverable hereunder.

7. On the happening of loss or damage to any of the property insured by thispolicy, the Company may

a) enter and take and keep possession of the building or premises wherethe loss or damage has happened.

b) take possession of or require to be delivered to it any property of theInsuredin the building or on the premises at the time of the loss or damage.

45

c) keep possession of any such property and examine, sort, arrange,remove or otherwise deal with the same.

d) sell any such property or dispose of the same for account of whom it mayConcern.

The powers conferred by this condition shall be exercisable by theCompany at any time until notice in writing is given by the insured that hemakes no claim under the policy, or if any claim is made, until such claim isfinally determined or withdrawn, and the Company shall not by any act donein the exercise or purported exercise of its powers hereunder, incur anyliability to the Insured or diminish its rights to rely upon any of the conditionsof this policy in answer to any claim.

If the insured or any person on his behalf shall not comply with therequirements of the Company or shall hinder or obstruct the Company, in theexercise of its powers hereunder, all benefits under this policy shall beforfeited.

The Insured shall not in any case be entitled to abandon any property to theCompany whether taken possession of by the Company or not.

8. If the claim be in any respect fraudulent, or if any false declaration be madeor used in support thereof or if any fraudulent means or devices are used bythe Insured or any one acting on his behalf to obtain any benefit under thepolicy or if the loss or damage be occasioned by the willful act, or with theconnivance of the Insured, all benefits under this policy shall be forfeited.

9. If the Company at its option, reinstate or replace the property damaged ordestroyed, or any part thereof, instead of paying the amount of the loss ordamage, or join with any other Company or Insurer(s) in so doing, theCompany shall not be bound to reinstate exactly or completely but only ascircumstances permit and in reasonably sufficient manner, and in no caseshall the Company be bound to expend more in reinstatement than it wouldhave cost to reinstate such property as it was at the time of the occurrence ofsuch loss or damage nor more than the sum insured by the Company thereon.If the Company so elect to reinstate or replace any property the insured shallat his own expense furnish the Company with such plans, specifications,measurements, quantities and such other particulars as the Company mayrequire, and no acts done, or caused to be done, by the Company with aview to reinstatement or replacement shall be deemed an election by theCompany to reinstate or replace.

If in any case the Company shall be unable to reinstate or repair the propertyhereby insured, because of any municipal or other regulations in forceaffecting the alignment of streets or the construction of buildings orotherwise, the Company shall, in every such case, only be liable to pay such

SECTION - 11

46

sum as would be requisite to reinstate or repair such property if the samecould lawfully be reinstated to its former condition.

10. If the property hereby insured shall at the breaking out of any fire or at thecommencement of any destruction of or damage to the property by any otherperil hereby insured against be collectively of greater value than the suminsured thereon, then the Insured shall be considered as being his owninsurer for the difference and shall bear a rateable proportion of the lossaccordingly. Every item, if more than one, of the policy shall be separatelysubject to this condition.

11. If at the time of any loss or damage happening to any property herebyinsured there be any other subsisting insurance or insurances, whethereffected by the Insured or by any other person or persons covering the sameproperty, this Company shall not be liable to pay or contribute more than itsrateable proportion of such loss or damage.

12 The Insured shall at the expense of the Company do and concur in doing,and permit to be done, all such acts and things as may be necessary orreasonably required by the Company for the purpose of enforcing any rightsand remedies or of obtaining relief or indemnity from other parties to whichthe Company shall be or would become entitled or subrogated, upon itspaying for or making good any loss or damage under this policy, whethersuch acts and things shall be or become necessary or required before orafter his indemnification by the Company.

13. If any dispute or difference shall arise as to the quantum to be paid under thispolicy (liability being otherwise admitted) such difference shallindependently of all other questions be referred to the decision of a solearbitrator to be appointed in writing by the parties to or if they cannot agreeupon a single arbitrator within 30 days of any party invoking arbitration,the same shall be referred to a panel of three arbitrators, comprising of twoarbitrators, one to be appointed by each of the parties to the dispute/difference and the third arbitrator to be appointed by such two arbitratorsand arbitration shall be conducted under and in accordance with theprovisions of the Arbitration and Conciliation Act, 1996.

It is clearly agreed and understood that no difference or dispute shall bereferable to arbitration as hereinbefore provided, if the Company hasdisputed or not accepted liability under or in respect of this policy.

It is hereby expressly stipulated and declared that it shall be a conditionprecedent to any right of action or suit upon this policy that the award bysuch arbitrator/ arbitrators of the amount of the loss or damage shall be firstobtained.

SECTION - 11

47

14. Every notice and other communication to the Company required by theseconditions must be written or printed.

15. At all times during the period of insurance of this policy the insurance coverwill be maintained to the full extent of the respective sum insured inconsideration of which upon the settlement of any loss under this policy,pro-rata premium for the unexpired period from the date of such loss to theexpiry of period of insurance for the amount of such loss shall be payable bythe insured to the Company.The additional premium referred above shall be deducted from the net claimamount payable under the policy. This continuous cover to the full extent willbe available notwithstanding any previous loss for which the company mayhave paid hereunder and irrespective of the fact whether the additionalpremium as mentioned above has been actually paid or not following suchloss. The intention of this condition is to ensure continuity of the cover to theinsured subject only to the right of the company for deduction from the claimamount, when settled, of pro-rata premium to be calculated from the date ofloss till expiry of the policy.

Notwithstanding what is stated above, the Sum Insured shall stand reducedby the amount of loss in case the insured immediately on occurrence of theloss exercises his option not to reinstate the sum insured as above.

SECTION - 11

48

SECTION - 111

SECTION III

DWELLINGS, OFFICES, HOTELS, SHOPS, ETC., LOCATED OUTSIDE THECOMPOUNDS OF INDUSTRIAL/MANUFACTURING RISKS

1 The 'Buildings' and 'Contents' of risks rateable under this Section shall berated 'per se'.

2 Stocks belonging to the insured stored in the open area adjacent to theinsured's premises are held covered.

3 Incidental operations such as grinding of lenses in optical frame shops,polishing and/or varnishing in furniture shops, occasional repairs etc. arepermitted.

4 For seasonal storage of crackers during the currency of the policy in ' Shopsdealing in goods otherwise not provided', a loading of 10% shall be chargedon the rates applicable to 'contents'.

5 The presence of hazardous goods (as per list attached) not exceeding 5% ofthe total value of the stock may be ignored.

6 The reduction in premium rates for deletion of STFI and /or RSMTD perils atthe inception of the policy shall be as under:

7. Pump Houses, garages, compound walls and ancillary equipment and/orother utilities at the above occupancies shall carry the respective occupancyrate.

8. Detached/Segregated block(s) within a risk which are protected byautomatic sprinkler installations with their own independent pumpingarrangements as per the committee's rules for sprinkler installations shall beallowed 5% reduction on the basic rate(s).

9 Long Term Policy For Dwellings:- Long Term Policies shall be issued basedon either of the following 2 methods subject to the conditions below to house/flat owners only:a) The policy shall be issued for a minimum period of 3 years.b) No refund shall be allowed for mid-term cancellation of such policies.c) Mid-term inclusion of perils shall not be allowed.d) Premium for entire policy period shall be collected in advance.

STFI Re.0.15%o

RSMD Re.0.10%o

49

SECTION - 111

F T / 7 / 2 0 0 4 Date : 18th May, 2004

Re : Long Term Policies for Dwellings

Reference is drawn to rule no. 9 - ‘Long Term policies for Dwellings’under Section III of All India Fire Tariff restricting issuance of long termpolicies only to house/flat owners.

Arising out of a representation from an insurer, it is clarified that insurersare permitted to issue such policies only to house/flat owners and notto others who do not own the house/flat.Insurers are requested to advise their operating offices suitably.

Secretary

CIRCULAR

FT/ 4/2005 Date : 31st March 2005

Re: Section III - Rule 9(b) -Long Term Policy for Dwellings - All IndiaFire Tariff

Arising out of requests received from insurers it has been decided tomodify with immediate effect rule no.9(b) of Section III of AIFT inrespect of ‘Long Term Policy for Dwellings’to read as under:

Rule 9(b): Refund on cancellation of Long term Policy at the requestof the insured may be allowed subject to the following conditions:

1. No refund shall be allowed if there has been a claim underthe policy.

1. If the policy is cancelled within 3 years of inception, thepremium to be retained shall be worked out as per normalrates applicable - that is without allowing any discount.

2. If the policy is cancelled after 3 years of inception, thediscount slab shall be reworked for the number of years thepolicy was actually in force. For this purpose fraction of ayear shall be rounded to the next higher year. For example ifthe policy has run for 3 years and 3 months, premium shall beretained for 4 years.

3. Refund, if any, shall be subject to the retention of minimumpremium of Rs.50/- as provided under Rule No.6 of Section I ofAIFT.

Insurers are requested to advise their operating offices suitably.Secretary

CIRCULAR

50

SECTION - 111

Method A:Premium shall be charged in full without any discount. However suminsured under the policy shall be deemed to have increased by 10% of theorigional sum insured at the end of every 12 months period.

OR

Method B:There shall not be any automatic increase in sum insured as in method A.However appropriate discounts shall be allowable on applicable grosspremium as per table below:

N.B. Mid-term increase in sum insured shall be allowed on pro rata basis forthe balance period.

Clarification :

Letter No. Fire/19 [543] Date : 16/05/01

Discounts for Earthquake Cover for Long term policies for Flats andhouses cannot be allowed.

Duration of Policy

3 years policy

4 years policy

5 years policy

6 years policy

7 years policy

8 years policy

9 years policy

Policy for 10 yearsand above

Premium to be Charged

3 years premium in advance less 15% discount







Entire premium in advance less 50% discount.

51

RATING SCHEDULE

Description

Dwellings, Places of worships, Libraries,Museums, Schools, Colleges, Hospitalsincluding X-ray and other Diagnosticclinics, Office premises, Meeting Rooms,Auditoriums, Planetarium, Mess Houses,Clubs, Marriage Halls, Showrooms anddisplay centres where goods are kept fordisplay and no sales are carried out, Edu-cational and Research Institutesimparting training in various crafts,Lodging/Boarding Houses, Cycle Shedand Dish Antenna, Indoor stadiums.

Riskcode

1

Ratecode

01

Buildingr a t e P e rmille

0.50

Contentsrate Permille

0.50

SECTION - 111

F T / 5 / 2 0 0 5 D a t e : 3 1 s t M a r c h 2 0 0 5

Re: Section III of All India Fire TariffArising out of a representation from an insurer it has been decided toinsert two notes under the tariff item “Dwellings, Places ofworships,......”(Risk Code 1, Rate Code 01) providing rates for “DataProcessing/Call Centres/Business Process Outsourcing Centres”. Themodified tariff entry shall read as under:

Description

Dwellings, Places of worships,Libraries, Museums, Schools,Colleges, Hospitals including X-rayand other Diagnostic clinics, Officepremises, Meeting Rooms,Auditoriums, Planetarium, MessHouses, Clubs, Marriage Halls,Showrooms and display centreswhere goods are kept for display butno sales are carried out. Eductionaland Research Institutes impartingtraining in various crafts, Lodging/Boarding Houses,Cycle Sheds DishAntenna and Indoor stadiums

Riskcode

1

Ratecode

01


0.50


0.50

CIRCULAR

52

SECTION - 111

Insurers are requested to advise their operating offices suitably inthis regard.Secretary

Description

Note1:Data Processing/Call Centres/Business Process OutsourcingCentres may be covered by loadingthe above rates by 50% subject to thewarranty that no softwaredevelopment activity is carried onwithin the premises.

Note 2: In case software developmentactivity is carried on within the pre-mises, the risks shall be rated underthe tariff entry “Electronic SoftwareParks” (Risk Code 073/Rate Code 04)of Section IV of the AIFT.

Riskcode

Ratecode



FT/6/2002 Date : 18/12/2002

Re : Rating of Health Resorts under All India Fire Tariff

The Tariff Advisory Committee has decided to rate the aboveoccupancy under Risk Code2, Rate Code02 of Section III of the AIFT.Accordingly, the existing tariff entry stands modified as under :

CIRCULAR

Description of Risk

Cafes, Restaurants,Hotels, Confectioner &Sweet meat sellers,Health Resorts.

Riskcode

2

Ratecode

02

B u i l d i n grate Permille1.80

contents ratePermille

1.80

Riskcode

2

Description

Cafes, Restaurants, Hotels, Confectioner& Sweet meat sellers

Ratecode

02


1.80


1.80

53

The above decision will be effective for all fresh business andrenewals falling due on or after the date hereof.

Insurers are requested to inform their operating offices suitably inthis regard.

Secretary

SECTION - 111

Riskcode

3

4

Ratecode

021

022

Buildingrate Permille1.80

contentsra tePermille2.80

1.80 3.80

FT/29/2001 Date :21-12-2001

Rating of CNG Compressor installed in Petrol/Diesel Kiosks and inCNG StationsThe Tariff Advisory Committee decided to impose a loading of 10%on the premium rate for the Petro/Diesel Kiosks rateable underSection III of the AIFT where CNG compressors would be installed.

Accordingly the existing tariff entry stands modified as below :

Description of Risk

Shops dealing in hazardous goodsas per the list attached, Arms &Ammunition dealers, MotorVehicle showrooms includingsales and service, Petrol / DieselKiosks

Riskcode

04

Ratecode

022

Buildingrate %o

1.80

Contentsrate %o

3.80

Note : 10% loading is applicable on the rate for presence of CNGinstallation(s) in Petrol/Diesel Kiosks.

CIRCULAR

Description of Risk

Shops dealing in goods otherwise notprovided for including Laundries,Battery Charging Service Stations, DryCleaning, Amusement parks,Hoarding, Neon signs and Spor tsGalleries, Outdoor stadiums.

Shops dealing in hazardous goods as perthe list below and Arms &Ammunition dealers, Motor Vehicle show-room including sales and service, Petrol/ Diesel Kiosks

54

The Committee had also decided to introduce a new tariff entry"Compressor Houses" in Section V of the AIFT to take care ofcompressors handling air, inert gas and CO2 and compressors forhandling CNG and similar materials as under:

SECTION - 111

The above decision will be effective for all fresh business and re-newals falling due on or after the date hereof.


Secretary

Description of Risk

Compressor Houses

Compressors handling air, Inert Gas and CO2

Compressor (others)

Ratecode

05

15

Rate (Rs.per mille)

1.50

4.50

FT/ 27/2001 Date: 21.12.2001

Re: Rating of Health Club, Gymnasium and Swimming Pool under newAIFT

Arising out of queries from Insurers the Tariff Advisory Committee hasdecided as below :

1) Health Club, Gymnasium and Swimming pool :

It was decided to rate the above occupancies at Re.0.50 per mille underRisk Code 1, Rate Code 01 of Section III of the AIFT.

2) Water Tanks:

It was decided to rate Water Tanks at a rate of Re.1.00 per mille underSection V of AIFT meant for Utilities and Stand-alones. Accordingly, theexisting tariff item "Water Treatment Plants" in Section V stands modi-fied as "Water Treatment Plants/Water Tanks"


Insurers are requested to inform their operating offices suitably in thisregard.

Secretary

CIRCULAR

55

FT/ 6/2004 Date: 18.05.2004

Re: Rating of Multiplex Theatre Complexes under All India Fire Tariff

It has been decided to rate Multiplex Theatre Complexes containingshopping malls, offices, restaurants, cinema theatres and utilities asunder:

The changes will be effective for all new business/renewals falling dueon or after 16th June, 2004.

Insurers are requested to inform their operating offices suitably in thisregard.

Secretary

CIRCULAR

as per tariff item‘cinema theatres’

i. entire complex except the contents :

ii. Contents :

(risk code -051)under sec-tion-IV or AIFT

to be rated ‘per-se’ as perrelevent section of AIFT

SECTION - 111

LIST OF HAZARDOUS GOODS

1. Celluloid Goods

2. Coir Loose

3. Crackers and Fire Works

4. Explosives of any kind

5. Hay/Straw

6. Hemp

7. Jute Loose

8. Matches

9. Methylated Spirit

10. Nitro-Cellulose Plastics

11. Oils/Ether/Industrial Solvents and other inflammable liquids flashingliquids flashing at and below 320 C (Closed Cup test)

12. Paints with inflammable base having Flash point below 320 C (ClosedCup test) Other than in sealed tins or drums

13. Varnishes having Flash point below 320 C (Closed Cup Test) otherthan in sealed tins or drums

14. Disinfectant liquids and liquid insecticides-other than in sealed tins ordrums

15. Vegetable fibres of any kind including Rayon Fibre

56

SECTION - 1V

SECTION IV

INDUSTRIAL/MANUFACTURING RISKS

SCOPE

Rates provided in this section are for the entire insured property in the sameindustrial compound i.e. all process areas, storage areas, offices, utilities,miscellaneous blocks, pipelines, roads, compound wall, cables, street light etc.In cases where more than one product is manufactured in the same block, thehighest rate applicable shall be charged overall If two or more factories aresituated in the same compound or independent products are manufactured inthe same compound the manufacturing blocks shall be rateable `per se' iflocated detached.. Auxiliaries/miscellaneous blocks/utilities and godowns /tankfarms, pipelines, roads,,compound wall etc. in such cases shall carryhighest rate of all such manufacturing blocks.

Rules:

1 Operations incidental to the main process shall be rated at par with the mainprocess if such operations are carried out inside the main process blocks.

2 Dwelling houses located inside the factory compound may be rated " per se"

3 In case of any clarification, insurers may refer the matter to the Committeeafter charging a provisional rate as per General Rule 1 (f), Section I.

Note 1: Detached/Segregated block(s) within a risk which are protected byautomatic sprinkler installation with its own independent pumpingarrangements, etc. as per the Committee's rules for sprinklerinstallation shall be allowed 5% reduction on the basic rate(s).

Note 2. The reduction in premium rates for deletion of STFI and /or RSMTDperils at the inception of the policy shall be as under:

STFI Re.0.25%o

RSMD Re.0.10%o

57

SECTION - 1V

Description of Risk

Abrasive Manufacturing

Aerated Water Factories

Aerial Ropeway including trolley stations

Agarbatti manufacturing

Aircraft Hangers

Airport Terminal Buildings (including all facilities

like Cafes, Shops etc) N.B: Airpor t Cargo

complex shall be rated under Section VI

Aluminium/ Magnesium Powder Plants

Aluminium ,Zinc,Copper Factories

Arecanut and/or Betelnut factories

Asbestos Steam Packing and lagging

manufacturing

Atta and Cereal Grinding (excluding Dal Mills)

Audio/Video Cassette Manufacturing

Automobile Manufacturing

Riskcode

001

002

003

004

005

006

007

008

009

010

011

012

013

Ratecode

07

05

05

07

11

05

18

05

07

05

07

12

05

Rate (Rs.per mile)

2.00

1.50

1.50

2.00

3.00

1.50

5.50

1.50

2.00

1.50

2.00

3.50

1.50

FT/17/2001 Date : 4-10-2001

Re : Rating of Automobile Filter Manufacturing

The Tariff Advisory Committee has decided to introduce a new tariffitem as below in Section IV of All India Fire Tariff to take care of theabove occupancy :

The above decision will be effective for all fresh business andrenewals falling on or after the date hereof.


Secretary

Rate Code Name of Tariff item Rate in Rs. per mille

09 Automobile Filter Mfg. 2.50

CIRCULAR

RATING SCHEDULE

58

SECTION - 1V

Description of Risk

Bakeries

Basket Weavers and Cane Furniture Makers

Battery Manufacturing

Beedi Factories

Biscuit Factories

Bitumenised Paper and / or Hessian ClothManufacturing including Tar Felt Manufacturing.

Book Binders, Envelope and Paper BagManufacturing

Breweries

Brickworks (including refractories and fire bricks)

Bridges - Concrete / Steel

Bridges - Wooden

Building In course of construction

Cable Manufacturing

Camphor Manufacturing

Candle Works

Canning Factories

Capsule Manufacturing

Carbon paper / Typewriter RibbonManufacturing

Cardamom Factories

Cardboard Box Manufacturing

Ratecode

05

15

08

11

05

14

09

07

03

05

07

03

09

11

11

05

05

10

07

08

Rate (Rs.per mile)

1.50

4.50

2.25

3.00

1.50

4.00

2.50

2.00

1.00

1.50

2.00

1.00

2.50

3.00

3.00

1.50

1.50

2.75

2.00

2.25

Riskcode

014

015

016

017

018

019

020

021

022

023

024

025

026

027

028

029

030

031

032

033

59

SECTION - 1V

Description of Risk

Carpenters, Wood wool Manufacturing, FurnitureManufacturing and other wood worker shops(excluding saw mill)

Carpet and Drugget Manufacturing (Cotton/jute/wool )

Carpet and Drugget Manufacturing (Others)

Cashew nut Factories

Cattle feed Mill

Celluloid Goods Manufacturing

Cement / asbestos/concrete productsManufacturing

Cement Factories

Ceramic Factories and Crockery and Stonewarepipe Manufacturing/Clay Works.

Chemical Manufacturing(Using materials withFlash Point below 32OC), Bulk DrugManufacturing

Chemical Manufacturing(others), Pharmaceuti-cals, Toiletry products

Cigar and Cigarette Manufacturing

Cigarette Filter Manufacturing (Using Solventswith Flash Point below 32OC )

Cigarette Filter Manufacturing (Others)

Cinema Film Production Studios

Cinematography Film Editing, Laboratory andSound recording rooms where Film processing iscarried out

Riskcode

034

035

036

037

038

039

040

041

042

043

044

045

046

047

048

049

Ratecode

15

09

12

11

07

24

05

07

05

11

08

10

12

10

11

07

Rate (Rs.per mile)

4.50

2.50

3.50

3.00

2.00

15.00

1.50

2.00

1.50

3.00

2.25

2.75

3.50

2.75

3.00

2.00

60

SECTION - 1V

Description of Risk

Cinematography Film Editing, Laboratory andSound recording rooms without Film processing.

Cinema Theatres

Circus, Touring Drama Troupes and TouringCinema Theatres

Cloth Processing units situated outside thecompound of Textile mills

Riskcode

050

051

052

053

Rate (Rs.per mille)

1.50

2.50

10.50

1.75

Description of Risk

Coal/Coke/Charcoal ball & briquettesManufacturing

Coal Processing Plants

Riskcode

054

055

Ratecode

18

09

Rate (Rs.per mile)

5.50

2.50

FT/ 3/2005 Date : 31st March 2005

Re: Cloth Processing units situated outside the compounds of Textilemills -

Risk Code 053, Rate Code 05,

Section IV of AIFT

Arising out of a representation from an insurer, for the sake of greater clarity,it has been decided to modify the above mentioned tariff entry to read asunder:

Description of Risk

(i) Cloth Processing Units situated outside thecomplex/compound of the textile mills

and

(ii) Cloth processing units which are notowned by the textile mills but are situatedwithin the textile mills complex/compound.

Riskcode

053

Ratecode

05

Rate (Rs.per mile)

1.75

Ratecode

05

09

22

05

61

FT/7/2002 Date : 18/12/2002

Re : Rating of Lignite Handling System under All India Fire Tariff

CIRCULAR

The Tariff Advisory Committee has decided to introduce a new tariffentry as below in section IV of AIFT to take care of the aboveoccupancy :



Secretary.

Risk Code

55

Rate Code

9

Name of Tariff Item

Lignite Handling System

Rate (Rs.permille)

2.5

Description of Risk

Coffee Curing, Roasting / Grinding

Coir Factories

Collieries - underground Mechinery and pit headgear

Riskcode

056

057

058

Ratecode

07

12

12

Rate (Rs.per mile)

2.00

3.50

3.50

Clarification

TAC letter Fire/40/15/936 dt. 16.12.2002

Re : Rate for Dragline Machine used in Collieries under Fire Policy

The fire committee has decided to rate the above machinery atRs.3.50%o applicable to the Tariff Item, "collieries (undergroundmachinery and pit head gear) with Risk Code 058 and Rate Code 12under Section IV of the AIFT

Description of Risk

Condensed Milk Factories, Milk PasturisingsPlants and Dairies

Riskcode

059

Ratecode

05

Rate (Rs.per mile)

1.50

SECTION - 1V

62

SECTION - 1V

FT/ 21/2001 Date : 21-11-2001

Sub : Rating of Confectionery Manufacturing Plants under AIFT.

The Tariff Advisory Committee has decided to combine the follow-ing entries with a single rate as below in the current All India FireTariff to take care of the concerned occupancies :

Name of Tariff item Rate in Rs. per %o

Confectionery Manufacturing Plants,

Sugar Candy Manufacturing Plants and 1.75%o

Sweet meat Manufacturing Plants

Separate entries with different rates for the above items in the currentAIFT stand deleted.



Secretary

Description of Risk

Confectionery Manufacturing

Contractors Plant and MachineryAt one location onlyAnywhere in India (at specified locations)

Cork Products Manufacturing

Cotton Gin and Press Houses

Cotton Seed cleaning / Delinting Factory

Riskcode

060

061

062

063

064

Ratecode

05

1315

12

22

15

Rate (Rs.per mile)

1.50

3.754.50

3.50

10.50

4.50

CIRCULAR

63

SECTION - 1V

FT/4/2002 Date : 7.4. 2003

Re : Rating of Electronic Software Parks

The Tariff Advisory Committee has amended the tariff item“Electronic Software parks” appearing under section IV of All IndiaFire Tariff to read under:

Insurers are requested to imake a note of the above change andadvise their operating offices accordingly.

Secretary.

Risk Code

073

Rate Code

04

Description

Electronic SoftwareDevelopement Unit/s

Rate (Rs.permille)1.25

Riskcode

065

066

067

068

069

070

071

072

Description of Risk

Dehydration Factories

Detergent Manufacturing with Sulphonation Plant

Detergent Manufacturing (Others)

Distilleries

Duplicating/stencil paper Manufacturing

Electric Generation StationsHydro Power stationsOthers

Electric Lamp /T.V. Picture Tube Manufacturing

Electronic Goods Manufacturing /Assembly

Ratecode

05

09

08

09

15

0405

07

08

Rate (Rs.per mile)

1.50

2.50

2.25

2.50

4.50

1.251.50

2.00

2.25

CIRCULAR

64

SECTION - 1V

Riskcode

074

075

076

077

078

079

080

081

082

083

084

085

086

087

088

089

Description of Risk

Enamel-ware factories

Engineering Workshop - - Structural Steelfabricators, Sheet Metal fabricators, Hot/ColdRolling, Pipe Extruding, Stamping, Pressing,Forging Mills, Metal smelting, Foundries,Galvanising works, Metal Extraction, Oreprocessing (other than Aluminium, Copper, Zinc)

Engineering Workshop (Others), Clock/WatchManufacturing , Motor Vehicle Garages

Exhibitions, Fetes, Mandaps.

Explosives / Blasting Factories

Fertiliser Manufacturing (other than those rateableunder Petrochemical Tariff)

Filter and wax paper Manufacturing

Fireworks Manufacturing

Flax / Hemp Mills

Flour Mills

Foamed Plastics Manufacturing and / orconverting plants

Foam Rubber Manufacturing

French Polish Manufacturing

Fruit and vegetable drying/dehydrating factories

Fruit products and Condiment Factories (includingfruit pulp making)

Garment Makers, Topee, Hats and the like makers

Ratecode

07

04

06

22

18

08

12

18

08

12

15

15

15

05

05

07

Rate (Rs.per mile)

2.00

1.25

1.75

10.50

5.50

2.25

3.50

5.50

2.00

3.50

4.50

4.50

4.50

1.50

1.50

2.00

65

SECTION - 1V

Description of Risk

Ghee Factories including vegetable Ghee mfg.

Glass Fibre Manufacturing

Glass wool Manufacturing

Glass Manufacturing

Gold thread factories / Gilding factories

Granite Factories using inflammable solvents

Granite Factories (Others)

Graphite electrode Manufacturing

Grain/seeds disintegrating/crushing/Decorticating factories/ Dal mills.

Grease / Wax Manufacturing

Green Houses/ Algae/ Spirulina and the like

Gum/Glue/Gelatine Manufacturing

Gypsum board manufacturer

Hoisery,lace, Embroidery/Thread factories

Riskcode

090

091

092

093

094

095

096

097

098

099

100

101

102

103

Ratecode

07

09

10

07

07

05

03

09

09

09

05

07

07

08

Rate (Rs.per mile)

2.00

2.50

2.75

2.00

2.00

1.50

1.00

2.50

2.50

2.50

1.50

2.00

2.00

2.25

F T / 8 / 2 0 0 4 D a t e : 1 8th May, 2004

Re : Rating Automobile Glass Manufacturing under AIFT

Arising out of a representation from an insurer it is clarified that theprocess of manufacture of tempered windshield glasses used inautomobiles shall be rated under tariff entry ‘Glass manufacturing’ atRs 2.00%o (Risk code-093 and Rate code-07).

Insurers are requested to advise their operating offices suitably.

Secretary

CIRCULAR

Riskcode

Ratecode Description of Risk

Rate (Rs.per mile)

66

SECTION - 1V

FT/1/2003 Date : 17.03.2003

Re: Rating of standalone LPG Recovery plant

Tariff Advisory Committee has amended the existing tariff entry“Liquified Gas Bottling Plant” with Risk Code 119 and Rate Code 15under Section IV of the AIFT. The tariff entry is amended to read asunder

CIRCULAR

Description of Risk

Ice candy and Ice cream Manufacturing

Ice factories

Incandescent Gas mantle Manufacturing

Industrial Diamonds Manufacturing

Industrial Gas Manufacturing

Ink (excluding printing ink) Manufacturing

Jaggery Manufacturing

Jute Mills

Katha Manufacturing

Khandsari Sugar Manufacturing

Lac or Shellac Factories

Leather Cloth Factories

Leather Goods Manufacturing ( incl. boot/shoe)

Lime Kiln

Lithographic presses

Liquified Gas Bottling Plants

Riskcode

104

105

106

107

108

109

110

111

112

113

114

115

116

117

118

119

Ratecode

05

05

11

07

11

09

05

15

12

07

09

12

07

05

09

15

Rate (Rs.per mile)

1.50

1.50

3.00

2.00

3.00

2.50

1.50

4.50

3.50

2.00

2.50

3.50

2.00

1.50

2.50

4.50

67

SECTION - 1V

Description of Risk

Malt Extraction Plants

Man-made Fibre Manufacturing (using Cellulose)

Man-made Fibre Manufacturing Plant (Others)

Manure Blending works

Match Factories

Mattress and Pillow making

Metallizing works ( involving metals only)

Metallising Works (others)

Metal/Tin printers

Mica Products Manufacturing

Mineral Oil blending and processing

Mosaic Factories

Mushroom Growing Premises (Excluding Crops)

Nitro Cellulose Manufacturing

Riskcode

120

121

122

123

124

125

126

127

128

129

130

131

132

133

Ratecode

07

04

05

07

18

15

07

11

09

07

07

05

05

24

Rate (Rs.per mile)

2.00

1.25

1.50

2.00

5.50

4.50

2.00

3.00

2.50

2.00

2.00

1.50

1.50

15.00


Secretary.

Description of Risk

Liquified Gas Bottling/Recovery Plant

Riskcode

119

Ratecode

15

Rate (Rs.per mile)

4.50

68

SECTION - 1V

FT/ 14/2001 Date : 30.07.2001

Re: Revision of Tariff Item "Nitrocellulose Manufacturing"

The Tariff Advisory Committee has decided to revise the abovetariff entry "Nitrocellulose Manufacturing" to take care of theIndustrial grade nitrocellulose manufacturing . The revised tariff entryshall read as under:

The revised rates would apply for all fresh business and renewalsfalling on or after the date hereof.

Insurers are requested to instruct their operating offices suitably inthis regard

Secretary

RiskCode

133

RateCode

18

24

Description of Risk

Nitro CelluloseManufacturing

Industrial Grade

Others

Rate (Rs.per mille)

5.50

15.00

Description of Risk

Non-woven fabric Manufacturing

Oil Extraction

Oil Distillation Plants (essential)

Oil Mills refining ( Veg/Animal)

Oil Mills (Vegetable)

Oil and Leather Cloth Factories

Paint factories (Water based)

Riskcode

134

135

136

137

138

139

140

Ratecode

11

13

09

07

07

12

07

Rate (Rs.per mile)

3.00

3.75

2.50

2.00

2.00

3.50

2.00

CIRCULAR

69

SECTION - 1V

Description of Risk

Paint (others) & Varnish Factories

Paints - Nitrocellulose based

Pan Masala making

Paper and Cardboard Mills (includingLamination)

Particle Board Manufacturing

Pencil Manufacturing

Petroleum Coke Calcination

Riskcode

141

142

143

144

145

146

147

Ratecode

13

15

09

08

08

14

08

Rate (Rs.per mile)

3.75

4.50

2.50

2.25

2.25

4.00

2.25

CIRCULAR

Clarification :

TAC Letter Fire/40/15/1073 dt 06.03.2003

Re : Fire Rating : Disposable Diaper Manufacturing

The Committee has decided to rate the above risk @ 2.25%o withrisk Code 144 and Rate Code 08 applicable to the tariff item "Paperand Card Board Mills (including lamination) under Section IV of AIFT

FT/20/2001 Date : 21-11-2001

Sub : Rating of 'Pilot Plants' under AIFT 2000

The Tariff Advisory Committee has decided to introduce a new tariffentry as below in Section V of All India Fire Tariff to take care of theabove occupancy

Name of Tariff item Rate in Rs. per %0

Pilot Plants Rate applicable to the manufacturing facility available



Secretary

70

SECTION - 1V

CIRCULARFT/9/2003 Date : 17.6. 2003

Re : Rating of plastic Goods Manufacturing (Excluding FoamPalstics)

Arising out of representations from insurers, Tariff AdvisoryCommitee has amended the existing tariff entry “ Plastic GoodsManufacturing (excluding Foam Plastics)” with Risk Code 148, andRate Code 12 under Section IV of the AIFT with immediate effect.The amended tariff entry reads as under :Plastic Goods manufacturing (excluding Foam Plastics)

Note: Plastic Goods Manufacturing using plastic raw materials notlisted above is rateable rate code 09 or 12 as per the calorific valueof the raw

Risk Code

148

148

Rate Code

09

12

Rate (Rs.permille)

2.50

3.50

Description of Risks

1. Using Plastic rawmatetialshaving calorificvalue upto 15,000 btu/lbPolyteatrafluoroethylene,Polychorotrifluroehtylene,Polywinylchloride, polyvinylidenechlororide,Polyvinylidene fluoride,Chlorinated polyether,Polycarbonate,Polymethyl methacrylate,Phenolformaldehyde,Urea-formaldehyde.Melamone-formaldhyde,Polyurethane, Polyester,Silicones. II. Using Plastic rawmaterials having calorificvalue of above15000 btu/ibPolythylene,Polypropylene,Polystrene,Poly-alphamethylstyrene,Acrylonitrilebutadiene-styrene, Polybutylene

71

SECTION - 1V

material used. For other plastic raw material for which calorific val-ues are not known reference is to be made to TAC.

Foamed Plastics manufacturing and/or converting plants will con-tinue to be rated as per Risk code 084 and Rate Code 15.


Secretary.

Description of Risk

Plastic Goods Manufacturing (excluding FoamPlastics)Plywood / Wood veneering Factories/ LaminatingFactories

Polyester Film Manufacturing / BOPP FilmManufacturing

Port Premises including jetties and equipmentthereon And other port facilities

Note 1:- Storage areas within the port premisesshall be charged open storage rates undersection VI and/or under section VII as applicable.

Note 2:- No reduction in rates shall be allowedfor opting out STFI perils.

Poultry Farms (Excluding birds therein)

Presses for coir fibres/waste/Grass/fodder/boosa/Jute

Presses for coir yarn / cotton/senna leaves

Presses for carpets, rugs and tobacco

Presses for hides and skins

Printing Ink Manufacturing / Roller compositionfactories

Riskcode

148

149

150

151

152

153

154

155

156

157

Ratecode

12

18

05

07

05

22

15

12

10

12

Rate (Rs.per mile)

3.50

5.50

1.50

2.00

1.50

10.50

4.50

3.50

2.75

3.50

72

SECTION - 1V

Riskcode

158

159

160

161

162

163

164

165

166

167

168

169

170

171

172

173

174

175

176

177

Ratecode

09

05

11

11

06

09

05

11

12

09

03

18

07

06

12

08

09

11

05

07

Rate (Rs.per mile)

2.50

1.50

3.00

3.00

1.75

2.50

1.50

3.00

3.50

2.50

1.00

5.50

2.00

1.75

3.50

2.25

2.50

3.00

1.50

2.00

Description of Risk

Printing Press

Pulverising Plants(Metals and non-hazardousgoods)

Pulverizing Plants (Others)

Rice Mills

Rice Polishing Units

Rope works (Plastic), Assembling of PlasticGoods such as Toys and the like

Rope Works (others)

Rubber Factories

Rubber Goods Mfg with Spreading

Rubber Goods Manufacturing without spreading

Salt crushing Factories and Refineries

Saw Mills (including Timber Merchants premiseswhere sawing is done).

Sea Food / Meat Processing

Silk Mills / Spun Silk Mills

Snuff Manufacturing

Soap Manufacturing

Sponge Iron Plants

Spray Painting, Powder coating

Stables (excluding animals)

Starch Factories

73

SECTION - 1V

Description of Risk

Stone quarries

Sugar Candy Manufacturing

Sugar factories

Surgical Cotton Manufacturing

Sweetmeat Manufacturing

Tanneries

Tapioca factories

Tarpaulin and canvas proofing factories

Tea blending/packing factories

Tea Factories

Telephone Exchanges

Textile MillsSpinning millsComposite mills(Composite Mills are those where activities fromBlow Room to Cloth processing are involved)

Tile & Pottery works

Tiny sector Industries with values at risk notexceeding Rs 10 lakhs

Tissue Culture Premises (Excluding Crops)

Tobacco Curing / Redrying Factories

Tobacco grinding/ crushing Manufacturing

Turpentine and rosin distilleries

Tyres and Tubes Manufacturing

Riskcode

178

179

180

181

182

183

184

185

186

187

188

189

190

191

192

193

194

195

196

Ratecode

03

07

05

15

05

05

07

14

08

09

05

0807

05

03

05

12

12

20

08

Rate (Rs.per mile)

1.00

2.00

1.50

4.50

1.50

1.50

2.00

4.00

2.25

2.50

1.50

2.252.00

1.50

1.00

1.50

3.50

3.50

6.50

2.25

74

Riskcode

197

198

199

200

201

202

203

204

205

206

207

208

Ratecode

11

07

09

05

05

06

22

07

09

07

05

07

Rate (Rs.per mile)

3.00

2.00

2.50

1.50

1.50

1.75

10.50

2.00

2.50

2.00

1.75

2.00

Description of Risk

Tyre Retreading and Resoling factories

Umbrella Assembly factories

Velvet Cloth manufacturing

Vermicelli factories

Weigh Bridges

Weaving Mills

Wheat Threshers

Wood seasoning/treatment/ impregnation

Wool cleaning and pressing factories

Woollen Mills

Yarn Processing

Zip fasteners Manufacturing

SECTION - 1V

75

SECTION - V

SECTION V

UTILITIES LOCATED OUTSIDE THE COMPOUNDS OFINDUSTRIAL/MANUFACTURING RISKS

RULES

1. The reduction in premium rates for deletion of STFI and /or RSMTD perilsat the inception of the policy shall be as under:

Re 0.25%oRe. 0.10%o

2. Detached/Segregated block(s) within a risk which are protected by automaticsprinkler installation with its own independent pumping arrangements etc.as per the Committee's rules for sprinkler installation shall be allowed 5%reduction on the basic rate(s).

RATING SCHEDULE

FT/29/2001 Date :21-12-2001

Rating of CNG Compressor installed in Petrol/Diesel Kiosks and inCNG Stations

The Tariff Advisory Committee decided to impose a loading of 10%on the premium rate for the Petro/Diesel Kiosks rateable underSection III of the AIFT where CNG compressors would be installed.

Accordingly the existing tariff entry stands modified as below :

CIRCULAR

RateCode

08

05

Description of Risk

Analytical / Quality Control Laboratories

Boiler House

RiskCode

5

6

Rate(Rs.per mille)

2.25

1.50

Description of Risk

Shops dealing in hazardousgoods as per the list attached,Arms & Ammunition dealers,Motor vehicle show roomsincluding sales and service,Petrol /Diesel Kiosks

RateCode022

RiskCode04

Contentsrate %o3.80

Bui ld ingrate %o1.80

76

Description of Risk

Dam

Effluent / Sewage Treatment Plant

Electric Sub-Station

Electric transmission / Distribution lines

Pipe lines (carrying water only)

Pipe lines (others)

Pump House (Water)

Pump House (Others)

RiskCode

7

8

9

10

11

12

13

14

RateCode

03

05

05

05

03

04

05

09

Rate(Rs.permille)

1.00

1.50

1.50

1.50

1.00

1.25

1.50

2.50

SECTION - V

Note : 10% loading is applicable on the rate for presence of CNGinstallation(s) in Petrol/Diesel Kiosks.

The Committee had also decided to introduce a new tariff entry"Compressor Houses" in Section V of the AIFT to take care ofcompressors handling air, inert gas and CO2 and compressors forhandling CNG and similar materials as under:



Secretary

RateCode

08

05

Description of Risk

Compressor Houses

Compressors handling air,Inert Gas and CO2

Compressor (others)

RiskCode

05

15

Rate(Rs.per mille)

1.50

4.50

77

FT/27/2001 Date : 21.12.2001

Re: Rating of Health Club, Gymnasium and Swimming Pool undernew AIFT

Arising out of queries from Insurers the Tariff Advisory Committeehas decided as below :

1) Health Club, Gymnasium and Swimming pool :It was decided to rate the above occupancies at Re.0.50 per milleunder Risk Code 1, Rate Code 01 of Section III of the AIFT.

2) Water Tanks:It was decided to rate Water Tanks at a rate of Re.1.00 per milleunder Section V of AIFT meant for Utilities and Stand-alones.Accordingly, the existing tariff item "Water Treatment Plants" inSection V stands modified as "Water Treatment Plants/Water Tanks"


Insurers are requested to inform their operating offices suitablyin this regard.

Secretary

18 05 Wireless Transmitting Stations 1.50

CIRCULAR

SECTION - V

Description of Risk

Railway tracks

Roads

Water Treatment Plant

RiskCode

15

16

17

RateCode

11

07

03

Rate(Rs.permille)

3.00

1.00

1.00

78

SECTION - V

FT/26/2001 Date : 21.12.2001

Re: Rating of Compound Walls, Fencing and Crematoriums

The Tariff Advisory Committee has decided to introduce the follow-ing new tariff entries in Section V of the AIFT :

Rate Code Description of Risk Rate (Rs. per mille)

Boundary Walls

09 a) Made of combustible materials 2.50

05 b) Others 1.50

04 Electric Crematoriums 1.25



Secretary

CIRCULAR

FT/ 2 /2005 Date : 4 th March 2005

Re: Rating of “Loco-Shed” under AIFT

Arising out of a query in respect of rating of Loco-Sheds, it hasbeen decided to amend the existing tariff entry “Electric Sub-Station” appearing under Section V of AIFT to read as under:


Secretary

Description of Risk

Electric Sub-Stations, Loco Sheds

RateCode05

RiskCode9

Rate (Re.per mille)

1.50

79

SECTION - VI

SECTION VI

STORAGE RISKS OUTSIDE THE COMPOUNDS OFINDUSTRIAL/MANUFACTURING RISKS

RULES:

1. Rates shown in this section shall apply to Buildings/Areas used for storageof materials

2. Operations such as packing/selecting/assorting/mending/stitching/batterycharging and like which do not materially alter the nature of risk are allowedto be carried out in premises.

3. The presence of hazardous goods of higher category (as per Committee'slist of hazardous goods booklet) not exceeding 5% of the total value of thestocks may be ignored.

4. Utilities and miscellaneous blocks shall be rated at Re. 1.00 per mille.

5. The reduction in premium rates for deletion of STFI and /or RSMTD perils atthe inception of the policy shall be as under:

1. Incidental open storages upto 2% of sum insured on stock can be allowedwhen the risk is rated under materials stored in godowns.

2. Detached/Segregated block(s) within a risk which are protected byautomatic sprinkler installation with its own independent pumpingarrangements, etc. as per the Committee's rules for sprinkler installationshall be allowed 5% reduction on the basic rate(s).

STFIRSMTD

Materials in Godown

Rs.0.25%oRs.0.10%o

Materials in Open

Rs.1.50%oRs.0.10%o

80

SECTION - VI

FT/8/2002 Date : 18/12/2002

Re : Rating of Bus Terminus

The Tariff Advisory Committee has decided to rate the aboveoccupancy at Rs.6.00%o at par with vehicles in open/ vehicle park-ing area under Section VI with Risk Code no. 20 and Rate code 19.



Secretary.

CIRCULAR

81

SECTION - VI

Description of Risk

Storage of Non-hazardousgoods subject to warranty thathazardous goods of Cat-egory I, II, III , Coir waste, Coirfibre and Caddies are notstored therein.

Storage of Category Ihazaardous Goods subject towarranty that goods listed inCategory II, III, Coir waste,Coir fibre and Caddies arenot stored therein.

Storage of hazardous Goodslisted in Category II subject towarranty that goods listed inCategory III, Coir waste, Coirfibre and Caddies are notstored therein.

Storage of hazardous Goodslisted in Category III subjectto warranty that Coir waste,Coir fibre and , Caddies arenot stored therein.

Transporter's godowns &Godowns of clearing and for-warding agents.

Storage of Coir Waste ,CoirFibre, Caddies

Cold Storage premises

RiskCode

19

20

21

22

23

24

25

Materials Stored in

Godowns AndSilos

Open

RateCode

03

09

15

18

18

23

09

RateCode

09

19

21

22

22

25

--

R a t e(Rs. permille)

1.00

2.50

4.50

5.50

5.50

12.00

2.50

R a t e( R s .p e rmille)

2.50

6.00

8.50

10.50

10.50

17.00

--

RATING SCHEDULE

82

SECTION - VI

LIST OF HAZARDOUS MATERIALS AND GOODS ANDCATEGORISATION THEREOF ( PLEASE REFER COMMITTEE'S

PUBLICATION "LIST OF HAZARDOUS GOODS")

MODE OF CLASSIFICATION

Hazardous Materials not included in the list may be classified depending onthe properties indicated below :

Category I 1. Solids which are moderately or slightly combustible2. Flammable liquids having flash points above 650 C.3. Inert and non-combustible gases.4. Highly toxic materials.5. Waste of non-hazardous materials.

Category II 1. Pyrotechnic materials.2. Flammable liquids having flash point above 320 C upto 650

C.3. Moderate Oxidising Agents and Oxygen.4. Materials which evolve combustible gases in contact with

water.5. Waste of Category I materials.

Category III 1. Explosives.2. Materials which are self ignitable.3. Flammable liquids having flash point upto 320 C.4. Strong Oxidising Agents.5. Combustible gases.6. Waste of Category II & III materials.

FT/ 18/2001 Date : 4-10-2001

Re: Fire rating for Tractors lying in open

Arising out of a representation the Tariff Advisory Committee hasdecided to charge Category I storage rate i.e. Rs. 6.00 %o for ve-hicles stored in the open including tractors.

The above decision will be effective for all fresh business and re-newals falling on or after the date hereof.


Secretary

83

SECTION - VII

SECTION VII

TANK FARMS/GAS HOLDERS OUTSIDE THE COMPOUNDS OFINDUSTRIAL/ MANUFACTURING RISKS

RULES

1. The reduction in premium rates for deletion of STFI and /or RSMDperils at the inception of the policy shall be as under:

STFI Re.0.25%oRSMD Re.0.10%o

2. All tanks located in the same dyke shall carry the highest rateapplicable overall.

3. Utilities and Miscellaneous Blocks shall be rated at Re. 1.00%o

4. Associated properties such as Pumping Stations, Compressor House,Blower House etc. shall be rated at par with the rate applicable torespective Gas Holders/ Bullets /Spheres/Vessels/Tanks.

RateCode

17

07

12

07

Description of Risk

Gas Holders/ Bullets/spheres andstorages for liquified gases except forNitrogen, Carbon dioxide and inert gases

Gas Holders/ Vessels for Nitrogen,Carbon dioxide and inert gases

Tanks containing liquids flashing at32 0C and below

Tanks (others)

RiskCode

23

24

25

26

Rate(Rs.per mille)

5.00

2.00

3.50

2.00

84

SECTION - VIII

SECTION VIII

ADD - ON COVERS

Standard Fire and Special Perils Policy (Policy) can be extended toinclude the following `Add on' covers :

1. Architects, Surveyors and Consulting Engineers Fees( in excess of 3% claim amount)

2. Removal of Debris (in excess of 1% claim amount)

3. (A) Deterioration of Stocks in Cold Storage premises due toaccidental power failure consequent to damage at thepremises of Power Station due to an insured peril

(B) Deterioration of stocks in cold storage premises due tochange in temperature arising out of loss or damage tothe cold storage machinery(ies) in the Insured's premisesdue to operation of insured peril

4. Forest Fire

5. Impact Damage due to Insured's own Rail/Road Vehicles,Fork lifts, Cranes, Stackers and the like and articles droppedtherefrom

6. Spontaneous Combustion

7. Omission to Insure additions, alterations or extensions

8. Earthquake (Fire and Shock)

9. Spoilage Material Damage Cover

10. Leakage And Contamination Cover

11. Temporary Removal of Stocks Clause

12. Loss Of Rent clause

13. Insurance Of Additional Expenses of Rent For An AlternativeAccommodation

14. Start up Expenses

85

SECTION - VIII

Rates to be charged for such add-on covers shall be as under:

Ratesapplicable

Policy Rate

Policy Rate

25% ofPolicy Rate

Policy Rate

MinimumRs. 5 permille

5% of PolicyRate

Rs.0.25%oRs.0.50%o

RateCode

1001

1002

1003

1004

1005

1006

100711071207

Add-On Cover

Architects, Surveyors andConsulting Engineers Fees( in excess of 3% claimamount)

Removal of Debris (inexcess of 1% claim amount)

(A) Deterioration of Stocks inCold Storage premises dueto accidental power failureconsequent to damage at thepremises of Power Stationdue to an insured peril

(B) Deterioration of stocks incold storage premises due tochange in temperaturearising out of loss or damageto the cold storagemachinery(ies) in theInsured’s premises due tooperation of insured peril.

Forest Fire

Impact Damage due toInsured’s own Rail/RoadVehicles, Fork lifts, Cranes,Stackers and the like andarticles dropped therefrom.

Spontaneous CombustionCategory I goodsCategory II goods

Value on whichpremium has to becharged

Specified suminsured not exceed-ing 7.5% of claimamount

Specified suminsured uptomaximum 10% ofsum insured

Sum insured ofstocks

Sum insured ofstocks

Specified suminsured

Policy Sum insured

Sum insured ofrelative commodity

86

SECTION - VIII

13071407

1008

10091109120913091409.

1010

1011

1111

1211

1012

1013

Category III goodsCategory IV goods

Omission to Insure additions,alteration or extensions

Earthquake (Fire and Shock) Zone I Zone II Zone III Zone IV

Temporary Removal ofStocks Clause

Loss of Rent clause

Rs.0.75%oRs.1.00%o

Policy Rate

Rs.1.00%oRs.0.50%oRs.0.20%oRs.0.10%o

10% ofpolicy Rate

Policy Rate

5% of sum insuredof BMA

Policy sum Insured

Value of stocks inspecified blocks

M/A value in specifiedblocks.

Policy sum insured

Specified sum insured

Note :- Dwelling, offices, hotels, shops etc rateable under Section III of thetariff can be covered by charging a uniform rate of Re 0.10%0 regardlessof the zones

SpoilageMaterialDamageCover

Stocks in specified blocks :5 times the Policy Rate

Machinery, Containers &Equipments in specified blocks :2.5 times the Policy Rate

Leakage And ContaminationCover

Where the tanks are within theInsured’s own premises

Where the tanks are locatedelsewhere

LeakageCoveronly

Rs.5%o

Rs.6%o

Leakage &Contami-nation

Rs.10%o

Rs.12%o

Specifiedsuminsured

RateCode

Add-On Cover Value on whichpremium has to becharged

Ratesapplicable

87

SECTION - VIII

1014

1015

Insurance Of AdditionalExpenses of Rent For AnAlternative Accommodation

Start up Expenses

Policy Rate

Policy Rate



RateCode

Add-On Cover Value on whichpremium has to becharged

Ratesapplicable

Note:-1 Mid-term inclusion of the Add-On Covers is permissible subject to theprovisions under Rules 4a, 4b and 4c of Mid-term cover, General Rules andRegulations, Section I. Annual premium shall be charged for such mid-term in-clusions. Also no refund of premium shall be made on the add-on covers beingcancelled mid-term unless the Policy is cancelled simultaneously orreplaced by a fresh insurance including add-on covers for an identical orincreased amount.

Note:- 2 Policy Rate means either Policy Rate in case of specific industries orAverage rate in case of multiple products manufacturing industries.

F T / 1 2 / 2 0 0 4 D a t e : 2 9 - 6 - 2 0 0 4

Re: Rates for Add-on covers under AIFT.

It is clarified that rates for add-on perils namely, earthquake,terrorism, spontaneous combustion and forest fire are to be added(whenever such perils are opted) to the policy rate for providingadd-on covers like architects, surveyors & consulting engineersfees, removal of debris, deterioration of stocks in cold storagepremises, start up expenses etc.

Insurers are requested to note the above clarification and advisetheir operating offices suitably.

Secretary

CIRCULAR

88

SECTION - VIII

Clarification :

TAC Letter Fire/434(920) dt. 16.12.2002

Re : Clarification on Vew AIFT w.e.f. 31.03.2001 Rates applicable to

"Add-on Covers"

1. For the sake of uniform interpretation the final rate arrived at asper the computation table provided under Rule 21 of Section I ofAIFT shall be taken as "policy rate" for the purpose of rating"Add-on covers" wherever reference has been made to "policyrate"

2. "Average rate" mentioned in note 2 under the rating table for"Add-on covers" in Section VIII is to be interpreted as weightedaverage of the final rates as per Rule 21 of Section I of AIFT of allthe products manufactured in the same compound in case ofmultiple products manufacturing industries

FT/16/2001 30-7-2001

Re: Rating of pipelines for earthquake cover located outside thecompounds of Industrial Complex including their contents.

The Tariff Advisory Committee has decided to charge a single rateof Re. 0.35%o irrespective of the earthquake zones for extendingthe Standard Fire and Special Perils Policy to cover Earthquake (Fire& Shock ) for the pipelines located outside the compounds of in-dustrial complex and passing through different Earthquake zones.This rate shall apply for the contents of the pipelines also.

The above decision will be effective for all fresh business and re-newals falling on or after the date hereof.


Secretary

CIRCULAR

89

SECTION - VIII

CLASSIFICATION OF EARTHQUAKE ZONES - DISTRICT WISE

STATE/UNIONTERRITORY

ANDAMAN &NICOBARISLANDS

ANDHRAPRADESH

ARUNCHALPRADESH

ASSAM

BIHAR

CHANDIGARH

CHATTISGARH

DELHI

GOA

GUJARAT

DISTRICTS

Entire Union Territory

West Godavari, Krishna, Khammam, Warangal,Karimnagar, Anantapur.

Chitoor, Nellore, Cuddapah, KurnoolMahboobnagar, Ranga Reddy, Medak,Nizamabad, Adilabad, Nalgonda, Prakasam,East Godavari, Visakhapatnam, Guntur,Vizianagarm, Srikakulam, Hyderabad andYanam (Pondicherry)

Entire State

Entire State

Sitamarhi, Madhubani, Darbhanga, Saharsa.

Purnia, Champaran (East), Champaran (West),Katihar, Bighusarai, Samastipur, Muzaffarpur,Gopalganj, Siwan, Saran, Vaishali, Nalanda,Patna, Monghyr, Bhagalpur.

Santhal pragana, Bhojpur, Rohtas, Gaya,Aurangabad.

Entire Union Territory.

Surguja, Raigarh, Muhasmud, Jashpur

Bastar, Bilaspur, Durg, Raipur, Kavardha, WestSurguja, Rajnandgaon, Korba, Dantewara,Dhamtari, Janjgir, Kanker

Entire State

Entire State

Katch

Jamnagar.

ZONE

I

III

IV

I

I

I

II

III

II

III

IV

II

III

I

II

90

SECTION - VIII

HARYANA

HIMACHALPRADESH

JAMMU &KASHMIR

JHARKHAND

KARNATAKA

KERALA

LAKSHADWEEP

MADHYAPRADESH

III

II

III

IV

I

II

I

II

III

IV

III

IV

III

IV

III

Rajkot, Surendernagar, Mehsana, Banaskantha,Sabarkantha, Panchmahal, Baroda, Kheda,Ahmedabad, Bhavnagar, Amreli, Junagadh,Bharuch, Surat, Valsad, Dang (Ahwa),Gandhinagar, Union Territories-of Diu, Daman,Dadra and Nagar Haveli.

Ambala, Sonepat, Rohtak, Karnal, Gurgaon,Faridabad, Panipat, Rewari, Yamunanagar.

Kurukshetra, Jind, Hissar, Bhiwani,Mahendragarh, Kaithal

Sirsa.

Chamba, Kullu, Kangra, Una, Hamirpur, Mandi,Bilaspur.

Lahul and Spiti, Kinnaur, Shimla, Solan, Sirmaur.

Baramula, Srinagar,

Gilgit, Chilas, Gilgit Wazarat, Muzaffarabad,Punch, Anantnag, Mirapur, Riasi, Udhampur,Jammu, Kathua, Leh, Tribal Territory.

Hazirabagh, Palamau, Giridh, Dhandbad,Sahibganj, Pakaur, Lohardaga, Koderma, Godda,Garwah, Dumka, Deogarh, Chatra, Bokaro.

Ranchi, East Singhbhum, West Singhbhum,Gumla

Dakshin Kannad.

Belgaum, Bijapur, Bidar, Gulbarga, Raichur,Bellary, Dharwad, Shimoga, Chitradurga,Chikmagalur, Tumkur, Hassan, Bangalore, Kolar,Kodagu, Mandya, Mysore, Uttar Kannnad.

Entire State and Mahe (Pondichery)


West Nimar, East Nimar, Betul, Chhindwara,Hoshangabad, Raisen, Narsimhapur,Jabalpur, Shahdul, Sidhi.

91

SECTION - VIII

MAHARASHTRA

MANIPUR

MEGHALAYA

MIZORAM

NAGALAND

ORISSA

PONDICHERRY

PUNJAB

RAJASTHAN

IV

I

III

IV

I

I

I

I

III

IV

IV

II

III

III

IV

Balaghat, Bhind, Bhopal, Chhatarpur, Damoh,Datia, Dewas, Dhar, Guna, Gwalior, Indore,Jhabua, Mandsaur, Mandla, Morena, Panna,Rajgarh, Sagar, Satna, Sehore, Shajapur,Shivpuri, Tikamgarh, Ujjain, Vidisha, Ratlam,Rewa, Seoni.

Ratnagiri, Satara.

Sindhudurg, Kolhapur, Pune, Nasik,Chandrapur, Thane, Raigad, Dhule, GreaterBombay.

Sangli, Solapur, Osmanabad, Latur, Bid,Ahmadnagar, Nanded, Parbani, Jalna,Aurangabad, Akola, Yavatmal,Amravati, Wardha, Nagpur, Bhandara,Gadchiroli, Buldana, Jalgaon.

Entire State.

Entire State.

Entire State.

Entire State.

Cuttack, Dhenkanal, Sambalpur.

Puri, Koraput, Kalahandi, Bolangir, Balasore,Keonjhar, Mayjurbhganj, Baudhkhondmals,Ganjam, Sundargarh.


Gurdaspur, Hoshiarpur, Amritsar, FatehgarhSahib, Kapurthala, Jalandhar, Ludhiana,Rupnagar.

Ferozepur, Faridkot, Patiala, Mansa, Sangrur,Bhatinda.

Jaisalmer, Alwar, Bharatpur, Barmer, Jalor,Sirohi.

Ganganagar, Churu, Jhunjhunu, Jodhpur,Nagaur, Sikar, Jaipur, Daulpur, SawaiMadhopur, Tonk, Ajmer, Pali, Bhilwara, Bundi,

92

SIKKIM

TAMILNADU

TRIPURA

UTTARANCHAL

UTTAR PRADESH

WEST BENGAL

II

III

IV

I

I

II

II

III

IV

I

II

III

IV

Kota, Udaipur, Chittaurgarh, Jahlawar, Banswara,Dungarpur, Bikaner.

Entire State.

Nilgiri, Coimbatore, Kannyakumari, Tirunelveli.

Chengalpattu, North-Arcot,Tiruvannamalai, SouthArcot, Dharampuri, Salem, Periyar,Trichirapalli,Thanjavur, Nagapattinam, Pudukottai,Dindigul, Madurai, Kamarajar, Pasumpon,Muthuramalinga Thevar, Ramanathapuram,Chidambaranar, Chennai.

Entire State.

Chamoli, Almora, Pithoragarn, Bageswar,Champawat

Uttarkashi, Tehri, Garwal, Dehradun, Pauri,Garhwal, Nainital, Haridwar, Udamsinghnagar,Rudraprayag

Saharanpur, Muzaffarnagar, Bijnor, Moradabad,Meerut, Ghaziabad, Rampur, Pilibhit,Bulandshahr, Kheri, Bhraich, Gondha, Basti,Gorakhpur, Deoria.

Bareilly, Badaun, Shahejehanpur, Aligarh,Mathura, Ethah, Hardoi, Sitapur, Agra, Mainpuri,Farukkabad, Unnao, Lucknow, Barabanki, RaeBareli, Sultanpur, Faizabad, Azamgarh, Ballia,Pratapgarh, Jaunpur, Ghazipur, Varanasi,Mirzapur.

Etawah, Kanpur, Jalaun, Jhansi, Hamirpur,Banda, Fatehpur, Allahabad, Lalitpur.

Cooch Bihar.

Darjeeling, West Dinajpur, Jalpaiguri, Calcutta, 24Parganas, Maldah.

Murshidabad, Birbhum, Bardhaman, Hoogli,Howrah, Nadia, Bankura, Midnapore.

Purulia

SECTION - VIII

93

Classification of materials according to the severity of the spontaneouscombustion properties is as shown below. In case a particular material is notlisted under any of the following categories, reference shall be made to the Com-mittee for a ruling.

Category I (Low or Non-Existent)

Name of Materials

1. Acetone 26. Ethyl Glycol2. Acids (except stearic Acid) 27. Film Lacquer3. Amyl Acetate 28. Films (Safety and Non-safety)4. Aniline 29. Fireworks of all kinds and/or

colour matches5. Bagasse 30. Grains and /or Seeds6. Bamboo Stocks 31. Groundnut Oil7. Betel Nuts 32. Groundnut (Shelled)8. Beedi Leaves & Beedies 33. Hides9. Bitumen 34. Ixtle10. Black Pepper 35. Jaggery in bags and/or loose11. Carbitol 36. Jute - twine12. Cardamom 37. Jute in bales and/or loose13. Castor Oil 38. Kappas (unginned cotton)14. Caustic Soda 39. Kerosene oil15. Celluloid Tubes 40. Lamp Black16. Chillies 41. Lanoline17. Chrome yellow & Bronze Blue 42. Lard Oil (Pure)18. Clean Cotton (Loose and/or in

balesIncluding clean Cotton Waste) 43. Linseed19. Coconut Oil 44. Mahul Leaves20. Copra, Copra Seed, Copra Meal 45. Mahuva flowers21. Cotton Seed 46. Matches22. Crysylic Acid 47. Metal Turnings23. Diesel Oil, Engine Oil and Grease 48. Methanol in drums24. Dry Coconuts 49. Molasses25. Dry Ginger 50. Mustard Oil (Black), Mustard

seed and other oil seeds51. Napthanic Acid 69. Scrap Leather52. Neat food oil 70. Sisal53. Nitro benzol (Nitrobenzene) 71. Snuff54. Nitro Cellulose (in drums or barrels) 72. Spent earth with or without carbon55. Oleic Acid 73. Spices56. Olive Oil (Pure) 74. Spirits57. Palm Oil 75. Staple Fibre

SECTION - VIII

94

Name of Materials

58. Petrol 76. Sugar59. Petroleum Produtcs 77. Sulphur60. Phenol 78. Tallow61. Plastic Goods 79. Tobacco-Loose and/or in bags62. Powdered eggs 80. Tapioca chips63. Powdered Milk 81. Turpentine64. Polysizer (Sizing Material) 82. Turmeric65. Pulses 83. Wall board66. Rangolite (Sodium Formaldehyde

Sulphoxylate) 84. Wood pulp67. Saw Dust 85. Wool (excluding wool waste)68. Scrap Film (Nitrate) 86. Xylene

Category II (Moderate)

Name of the Materials

1. Bone Oil 25. Maize (Corn) Oil2. Cardboards 26. Manuers except Fish Manure3. Cocoa Bean Shell 27. Metal Powders4. Copra Cake 28. Mowra Flowers5. Corn Oil (Maize Oil) 29. Oil Cake-Loose and/or in bags6. Cotton Seed Expeller 30. Olive Oil (Impure)7. Cotton Seed de-oiled cake 31. Paints containing drying Oil8. Cotton Seed oil 32. Paint scrapings9. Craft paper 33. Pine Oil10. Expelled Groundnut Cake 34. Red Oik11. Feeds -Various 35. Rice Bran and Rice Husk12. Fertilizers, Organic or Containing 36. Rice Konda

Nitrates and mixture thereof 37. Rice Straw13. Foam Rubber Goods 38. Roofing Relt and Papers14. Groundnut (de-oiled Cakes) 39. Scrap Rubber and / or Buffing15. Hay and Grass 40. Soap Powder & Chips16. Hydrogen Peroxide 41. Solvent Extraction17. Hydrosulphite or Hydrosulphate of 42. Soyabean Oil

soda or Sodium Hydrosulphate or 43. TarpaulinSodium Hydrosulphite 44. Tung Oil.

18. Iron Pyrites 45. Urea19. Karadi Cake 46. Waste Paper20. Karadi (de-oiled Cake) 47. Whale Oil21. Karadi Oil 48. Wheat Husk22. Lime, Unflaked (Calcium Oxide) 49. Wool Waste and Paper Waste23. Liquid Ammonia 50. Zinc Dust24. Lubricants excluding Petroleum 51. Feeds ( Various) Products

SECTION - VIII

95

Category III (Variable)


1. Chemicals (Category I, II, III not 10. Oily Cottonspecified otherwise)

2. Coaltar 11. Paints and Varnish excludingSynthetic Enamel

3. Colours 12. Perilla Oil4. Dyes and/or Chemicals 14. Rags5. Filter Cloth (Used) 15. Super Phosphate6. Fire Wood 16. Synthetic Resins7. Gunnies or Bardan 17. Sodium Nitrate8. Manhaden Oil 18. Yellow Phosphorus9. Monomers for Polymerisation 19. Stearic Acid

Category IV (High)


1. Alfalfa Meal 12. Oiled Clothings2. Cod Liver Oil 13. Oiled Fabrics3. Corn Meal Feeds 14. Oiled Rags4. Empire cloth 15. Oiled Silk5. Fish Meal 16. Groundnut (Red Skin)6. Fish Oil 17. Synthetic Enamels7. Fish Manure 18. Tunginut Meals8. Fish Scrap 19. Varnished Fabrics9. Lard Oil (Commercial or Animal Oils) 20. Waste of all kinds (Except wool

and paper waste) including Oilyand/ or greasy waste.

10 Linseed Oil11. Nitro Cellulose Lacquers 21. Sponge Iron

22. Coal

SECTION - VIII

96

ANNEXURE ‘A’ - STANDARD CLAUSES

Policy Endorsement Wordings:

1. Architects, Surveyors and Consulting Engineers Fees ( in excess of 3%of the claim amount)

Policy may be extended to cover the above subject to followingendorsement wordings."It is hereby declared and understood thatthe expenses incurred towards Architects, Surveyors and ConsultingEngineers fees for plans, specification tenders, quantities and services inconnection with the superintendence of the reinstatement for the Building,Machinery, Accessories and equipment insured under this policy upto 7.5% of the adjusted loss is covered, but it is understood that this does not includeany cost in connection with the preparation of the Insured's claim or estimateof loss in the event of damage by insured perils".

2. Removal of Debris (in excess of 1% of the claim amount)

Policy may be extended to cover the above subject to followingendorsement wordings:

It is permissible to cover cost necessarily incurred by an insured in theremoval of debris from the premises of the insured, dismantling,demolishing, shoring up or propping of Insured property followingdestruction or damage by Insured Peril by incorporating the following clause:

"On costs and expenses necessarily incurred by the insured

(a) In the removal of debris from the premises of the Insured;(b) dismantling or demolishing;(c) shoring up or propping;

of the portion or portions of the property insured by (Items.......... of) this policydestroyed or damaged by perils hereby insured against but not exceeding inthe aggregate Rs. ..................

"Note: 1. (b)& (c) above should be deleted when neither Building nor Machinery are covered.

Note: 2.The cover may be given by separate item in the policy for an amount not exceeding 10% of the total Sum Insured.

3. (A) Deterioration of Stocks in Cold Storage premises due to accidentalpower failure consequent to damage at the premises of PowerStation due to an insured peril

ANNEXURE ‘A’

97

Policy covering stocks in cold storage premises may be extended to coverthe above subject to following endorsement wordings:

"In consideration of the payment of additional premium of Rs. __________ itis hereby agreed and declared that notwithstanding anything to the contraryin this policy or in any of its conditions, this policy covers destruction of ordamage to the property hereby insured caused by change of temperature inconsequence of failure of electric supply at the terminal ends of electricservice feeders from which the Insured obtains electric supply directly due todamage caused by any peril insured against under this policy to property atinsured premises or any Electric Station or Sub-Station of Public ElectricSupply undertaking from which the Insured obtains electric supply.

Provided that the Company shall not be liable for any loss occasioned by thedeliberate act of the Government, Municipal or Local Authority or SupplyAuthority not performed for the sole purpose of safeguarding life orprotecting any part of the supply undertaking's systems or by the exercise byany such authority of its power to withhold or restrict or ration supply notnecessitated solely by damage to the Supply Undertaking's generating orsupply equipment by an insured peril.

Provided further that the Company shall not be liable for any loss unless theduration of each such failure exceeds 24 hours.

Subject otherwise to the terms, exceptions, conditions and limitations of thisPolicy.

"In any action, suit or other proceedings where the company allegesthat by reason of the provisions of this condition any loss or damage is notcovered by this insurance, the burden of proving that this loss or damage iscovered shall be upon the Insured.

3. (B) Deterioration of stocks in cold storage premises due to change intemperature arising out of loss or damage to the cold storagemachinery(ies) in the Insured's premises due to operation of insuredperil.


* "In consideration of the payment of additional premium of Rs.__________ itis hereby agreed and declared that notwithstanding anything to the contraryin this policy or in any of its conditions this policy covers destruction of ordamage to the property herby insured caused by change of temperature inconsequence of failure of electric supply following damage to Insured'sproperty due to insured peril(s).

ANNEXURE ‘A’

98

Provided that the Company shall not be liable for any loss occasioned by thedeliberate act of the Government, Municipal or Local Authority or SupplyAuthority not performed for the sole purpose of safeguarding life orprotecting any part of the supply undertaking's systems or by the exercise byany such authority of its power to withhold or restrict or ration supply notnecessitated solely by damage to the Supply Undertaking's generating orsupply equipment by an insured peril.

Provided further that the Company shall not be liable for any loss unless theduration of each such failure exceeds 24 hours.

Subject otherwise to the terms, extensions, conditions and limitations of thisPolicy".

In any action, suit or other proceedings where the company allegesthat by reason of the provisions of this condition any loss or damage is notcovered by this insurance, the burden of proving that this loss or damage iscovered shall be upon the Insured.

4. Forest Fire


" In consideration of the payment of additional premium the insurance underitem …......... of the policy shall extend to include loss of or damage to theproperty insured directly caused by burning, whether accidental orotherwise, of forest, bush and jungles and the clearing of lands by Fire."Note 1 : Where loss experience for previous 5 years excluding the expiringpolicy period is less than 30%, a 50% discount on the rate may beconsidered.

Note 2 : Where loss experience is above 60%, the rate shall be adjustedin such a way that the loss experience for policy period worked out as givenin Note 1 above be adjusted to 60% subject to a maximum rate of Rs.15%o .

5. Impact Damage due to Insured's own Rail/Road Vehicles, Fork lifts,Cranes, Stackers and the like and articles dropped therefrom.


"In consideration of an additional premium of Rs._____________, it is hereby

ANNEXURE ‘A’

99

agreed and declared that the policy is extended to cover loss and/ordamage caused due to impact by direct contact to Insured's property causedby Insured's own Rail/Road Vehicles, Fork lifts, cranes, stackers and the likeand articles dropped therefrom."

6. Spontaneous Combustion


"In consideration of the payment by the Insured to the Company of additionalpremium of Rs. ____________ the Company agrees notwithstanding whatis stated in the printed exclusions of this policy to the contrary that theinsurance by (items …....) of this policy shall extend to include loss ordamage by fire only of or to the property insured caused by its ownfermentation, natural heating or spontaneous combustion."

N.B.:The expression 'by fire only' in the endorsement above must not beomitted under any circumstances.

7. Omission to Insure additions, alterations or extensions

Policy may be extended to cover the above subject to followingendorsement wordings

The Insurance by this Policy extends to cover Buildings and/or Machinery,Plant and other Contents as defined in Columns......... hereof which theinsured may erect or acquire or for which they may become responsible :-

a) at the within described premises

b) for use as factories

i) The liability under this Extension shall not exceed in respect of (a) above, 5% of the Sum Insured by each item, in respect of (b) above,5% of the Sum Insured by item No..........

ii) The Insured shall notify the Insurer of each additional insurance as soon as it shall come to their knowledge and shall pay theappropriate additional premium thereon from the date of inception.

iii) Following the advice of any additional insurance as aforesaid, coverby this extension shall be fully reinstated.

1) No liability shall attach to the insurers in respect of any Building,

ANNEXURE ‘A’

100

Machinery, Plant or other Contents while such property isotherwise insured. All new additions to Buildings and/orMachinery and Plant not specifically insured/included during thecurrency of the policy should be declared at the end of the yearand suitable additional premium paid on pro rata basis from thedate of completion of the construction /erection of additions maybe suitably adjusted.

If the insured fails to declare the values of such additions within30 days after the expiry of the policy, there shall be no refund of the advance premium collected.

2) Other Contents’ in the above clause shall mean ‘Furniture andFittings’ and does not include ‘Stocks’.

3) This clause should be incorporated at the time of issuing thepolicy.

8. Earth quake (Fire and Shock)

Extension cover shall be granted only if the entire property in one Complex/ Compound/ location covered under the policy is extended to cover this riskand sum insured for this extension is identical to the sum insured against therisk covered under main policy except for the value of the plinth and foundtionof the building(s).

If option to delete STFI peril is exercised

“In consideration of the payment by the Insured to the Company of the sumof_________ additional premium, it is hereby agreed and declared thatnotwithstanding anything stated in the printed exclusions of this policy to thecontrary, this Insurance is extended to cover loss or damage (including lossor damage by fire) to any of the property Insured by this policy occasioned byearthquake including Landslide/Rockslide resulting there from butexclud ing flood or overflow of the sea, lakes, reservoirs and rivers causedby earthquake.

Provided always that all the conditions of this policy shall apply (except in sofar as they may be hereby expressly varied) and that any reference therein toloss or damage by fire shall be deemed to apply also to loss or damagedirectly caused by any of the perils which this insurance extends to includeby virtue of this endorsement.”

If option to delete STFI peril is not excised

ANNEXURE ‘A’

101

“In consideration of the payment by the Insured to the Company of the sum of__________ additional premium, it is hereby agreed and declared that notwithstanding anything stated in the printed exclusions of this policy to thecontrary, this Insurance is extended to cover loss or damage (including lossor damage by fire) to any of the property Insured by this policy occasioned byor through or in consequence of earthquake including flood or overflow ofthe sea, lakes, reservoirs and rivers and/or Landslide/Rockslide resultingthere from.

Provided always that all the conditions of this policy shall apply (except in sofar as they may be hereby expressly varied) and that any reference therein toloss or damage by fire shall be deemed to apply also to loss or damagedirectly caused by any of the perils which this insurance extends to includeby virtue of this endorsement.”

Special conditions

1) Excess clause 5% of each and every claim subject to a minimum ofRs. 10,000/-

2) Extension cover shall be granted only if the entire property in onecomplex/compound/location covered under the policy is extended tocover this risk and the Sum Insured for this extension is identical tothe sum Insured against the risk covered under main policy except forthe value of the plinth and foundations of the building(s)..

3) Onus of proof In the event of the Insured making any claim for loss ordamage under this policy he must (if so required by the Company)prove that the loss or damage was occasioned by or through or inconsequence of earthquake.

9. SPOILAGE MATERIAL DAMAGE COVER

Policy may be extended to include spoilage risk subject to the followingconditions:-

The cover shall extend to material damage, i.e.

(i) Loss of stock in process; and

(ii) Damage to machinery, containers and equipment (including cost ofremoval of debris and cleaning) and shall be provided by a separateitem of the SFSP Policy subject to the Conditions that the perils causingthe spoilage should be the same as those covered under the Policy.

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102

The following endorsement wording shall be used.

"In consideration of the payment of an additional premium of Rs. _______it is hereby agreed and declared that, notwithstanding anythingcontained to the contrary, in the within written Policy, the insurance underItem No....... of this policy shall extend to cover loss or damage bySpoilage resulting from the retardation or interruption or cessation of anyprocess or operation caused by any of the perils covered under thisPolicy, provided that liability for destruction of or damage to the propertyinsured described in the schedule to this policy, or any part of suchproperty, is first admitted by the Company.

PROVIDED ALWAYS THAT all the conditions (except in so far as theymay be hereby expressly varied) shall apply as if they had beenincorporated herein and that any reference therein to the loss or damagecaused by insured perils shall be deemed to apply also to loss ordamage caused by Spoilage which peril this insurance extends toinclude by virtue of this Endorsement."

SPECIAL CONDITIONS

For the purpose of this Endorsement but no otherwise, the followingspecial conditions shall apply :

Average : If the property hereby insured against spoilage shall, at thetime of occurrence of any loss or damage, be collectively of greater valuethan the sum insured on machinery, containers, equipment and stocks inthe specified blocks, then the Insured shall be considered as being hisown insurer for the difference and shall bear rateable proportion of theloss accordingly. Every item, if more than one, of the Policy shall beseparately subject to this condition.

PROVIDED THAT it is hereby further expressly agreed and declared thatthe liability of the Company shall in no case under this endorsement andthe Policy exceed the sum insured by item Nos.____________ of thisPolicy.

Sum to be Insured:The cover must be for all stocks and machinery,container and equipment in specified blocks, specified sums beingdeclared for each block and must be made subject to 'Average'.

10. LEAKAGE AND CONTAMINATION COVER

SCOPE

Policy may be extended to include the risks of (a) accidental leakage and

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contamination or (b) accidental leakage.

The extension will apply to oils and chemicals only. It will not apply toanyother commodity.

ENDORSEMENTS

It shall be obligatory to use one of the following endorsement wordings:

(A) WHERE LEAKAGE AND CONTAMINATION COVER IS GRANTED :

"In consideration of the payment of an additional premium of Rs.............it is hereby agreed and declared that the Insurance under this policyshall, subject to terms, conditions and exclusions of this policy and alsosubject to terms, conditions and exclusions hereinafter contained, extento include the physical loss of oil/chemical by leakage from its containerby accidental means and all accidental contaminations by contact withforeign matter."

PROVIDED always that this policy does not cover:

a) Loss by Contamination through Improper Handling or Controls byInsured's own Employees;

b) Loss resulting from loss of use, loss of earnings, delay or loss ofmarkets or other consequential or indirect loss or damage of anykind or description whatsoever;

c) Loss resulting from any kind of infidelity or dishonesty on the part ofthe Insured or any of their employees, inventory shor tage,mysterious disappearance or unexplained loss;

d) Loss by burglary or theft or any attempt thereat;

e) Loss resulting from processing or faulty workmanship;

f) Loss resulting from shrinkage, evaporation, loss of weight unlesscaused by a peril not otherwise excluded;

g) Any legal and/or contractual liability arising from any causewhatsoever; and

h) Consequential Loss of any nature.

(B) WHERE LEAKAGE COVER ALONE IS GRANTED :

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"In consideration of the payment of an additional premium of Rs............ it is hereby agreed and declared that the Insurance under this policyshall, subject to terms, conditions and exclusions of this Policy and alsosubject to terms, conditions and exclusions hereinafter contained,extend to include the physical loss of oil/chemical by leakage from itscontainer by accidental means.

PROVIDED always that this policy does not cover :

a) loss resulting from loss of use, loss of earnings, delay or loss ofmarkets or other consequential or indirect loss or damage of any kindor description whatsoever;

b) loss resulting from any kind of infidelity or dishonesty on the part ofthe Insured or any of their employees, inventory shortage,mysterious disappearance or unexplained loss;

c) loss by burglary or theft or any attempt thereat;

d) loss resulting from processing or faulty workmanship;

e) loss resulting from shrinkage, evaporation, loss of weight unlesscaused by a peril not otherwise excluded;

f) any legal and/or contractual liability arising from any causewhatsoever; and

g) Consequential Loss of any nature.

SPECIAL CONDITIONS : (Applicable to A and B)

i) The cover under this endorsement shall attach only on or after thereceipt of the insured subject matter in land tanks as described in thepolicy and subject to lodgment with the company by Insured of acertificate obtained by them at their own expense from a competentapproved and independent agency/surveyor as to the purity andquality of the subject matter herein insured.

ii) Before the commencement of pumping and/or decantingoperations, the Insured shall arrange at their own expensesampling and quality / purity certification by competent, approved and independent agency / surveyor for such distinct lot, batch or tank load ex-ocean vessel of insured subject matter and shall pump/decant only such material as is pure and without contaminants.

iii) The insured shall at their own expense arrange inspection and

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certification from competent approved and independent agency/surveyor as to the cleanliness and fitness of the pipe lines, pumpingequipment and the receiving land tanks to carry and/or receive theinsured subject matter, prior to the commencement of pumping,decanting, receiving and/or storage operations. Such certificationas mentioned above should, inter alia, confirm that the pumping,carrying and storage equipment facilities and tanks are free fromimpurities, contaminants and/or residue or left-overs from previoususe of equipment, facilities or storage tanks. As concerning thereceiving land tanks an initial certificate of fitness to receive andstore the insured material shall be deemed to satisfy the abovecondition in so far as such tanks are concerned. However, a freshcertification as mentioned above would be required in the event ofthe said tanks being empty and fresh stocks are subsequentlypumped/decanted in during the currency of this insurance.

v) In case of loss to property insured hereunder, the basis of adjustmentshall be the market value at the time and place of loss.

vi) It is understood and agreed that all loss or damage to propertyoccurring during any one period of seventy-two consecutive hoursduring the currency of this policy directly caused by earthquake shockshall be deemed to have been caused by single earthquake andtherefore to constitute one loss for the purpose of this policy, the Insuredshall select a time from which any such period shall commence but notwo such selected periods shall overlap.

vii) All salvage recoveries and payments recovered or received subsequentto a loss settlement under this policy shall be applied as if recovered orreceived prior to the said settlement and all necessary adjustment shallbe made by the parties hereto.

viii)If any breach of a clause or condition in this contract or policy ofinsurance shall occur prior to a loss under this Policy, such breach shallnot void the policy nor avail the company to avoid the liability unlesssuch breach shall exist at the time of such a loss under this contract orpolicy, it being understood that such breach of a clause or condition isapplicable only to the specific property to which the condition or clausehas reference and in respect of which such breach occurred.

ix) Each claim for loss or damage shall be adjusted separately and eachclaim is subject to an excess of 1% on each tank with a minimum ofRs. 60,000/- each loss.

x) If the property hereby insured shall at the time of the operation of a peril

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insured hereunder, be collectively of greater value than the suminsured thereof, then the insured shall be considered as being his owninsurer for the difference and shall bear a rateable proportion of the lossaccordingly. Every item, if more than one, of the policy shall beseparately subject to this condition

NOTE : SPECIAL CONDITIONS (i), (ii) AND (iii) ARE NOT APPLICABLEWHERE LEAKAGE COVER ALONE IS GRANTED.

11. TEMPORARY REMOVAL OF STOCKS CLAUSE

It is agreed that the stock insured hereby not exceeding 10% of the totalsum insured of such stock is covered while temporarily removed to anyother premises for purposes of fabrication or processing or finishing orother similar purposes. This extension does not apply to stock if and sofar as it is otherwise insured.The pro-rata condition of average should beapplied to the limit of stocks temporarily removed as well as to the totalsum insured of such stock under the policy.

12. LOSS OF RENT CLAUSE

POLICY may be extended to cover the above subject to following :

Where loss of rent caused by Insured Perils is covered, the following

Rent Clause should be inserted in the Policy:-" The insurance on rent applies only if (any of) the said building(s) or anypart thereof is unfit for occupation in consequence of its destruction ordamage by the perils insured against and then the amount payable shallnot exceed such portion of the sum insured on Rent as the periodnecessary for reinstatement bears to the term of the Rent Insured".

13. INSURANCE OF ADDITIONAL EXPENSES OF RENT FOR ANALTERNATIVE ACCOMMODATION

Policy may be extended to cover the above subject to following :

Additional expenses of rent for an alternative accommodation in respectof non-manufacturing risks may be covered on the following basis :a) The cover may be granted for non-manufacturing premises only.

b) The cover may be granted under the Policy and not underConsequential Loss (Fire) Policy.

c) The period of Indemnity may be limited to the period during which theoriginal premises remain untenantable as a result of occurrence of

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perils insured against. Maximum indemnity period not to exceed 3(three) years.

d) The additional expense recoverable under the policy may beadditional rent actually paid i.e. the difference between the new andthe original rent only.

e) Certificate from the Local Municipal Authority or an Architect to theeffect that premises in question are untenantable will be accepted asadequate proof of the fact that the premises, in fact, have becomeuntenantable.

f) Insurance should be granted against Fire, Riot, Strike, Malicious andTerrorist Damage and Earthquake (Fire & Shock) and otherExtraneous Perils. Cover against Riot, Strike, Malicious and TerroristDamage should be granted only if it involves actual physical damageto the building. The cover does not intend to pay, if for instance, theinsured's entry is barred by strikers, demonstrators and similaroccurrences.

g) The cover may be limited to buildings other than those of "Kutcha"construction.

h) The area for alternative accommodation may be equivalent to thearea presently occupied. However, no restriction will apply in respect of locality for the alternative accommodation, so long as thealternative accommodation is taken in the same city of town.

i) Cover may be permitted to the tenant as also to the Owner-Occupant. Further, in respect of the Owner-Occupant, thealternative accommodation may be limited to the areapresently under his occupation.

j) For the Owner-Occupant, since he will not be paying any rent basedon the area occupied by him (in comparison with the actual rentbeing paid by the tenant in the same building or similar buildings inthe same locality) the standard rent based on the rateable valuesfixed by Municipal/Revenue Authorities for tax purposes may betreated as the original rent for the purpose of this insurance.

k) It will be compulsory for

i. the Owner-Occupant to insure both building and contents.ii. the tenant to insure the contents of the premises for which he

is seeking this extension

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Endorsement wording for insurance of rent for alternativeaccommodation Tenant or Owner-Occupant

“It is hereby declared that in the event of the premises described in the policyand occupied by the insured, hereinafter referred to as 'PREMISES' beingdestroyed or damaged by any Insured Peril as to become unfit foroccupation and the insured in consequence taking up alternativeaccommodation, the Company shall, subject to special conditions set outherein, indemnify the insured against the additional rent (as explained herein)which the insured is called upon to bear for the period beginning fromthe date of operation of any of the Insured Perils until the 'PREMISES' isrendered fit for occupation such period not exceeding suchreasonable time as is required to restore the premises with due diligence toa condition fit for occupation or the maximum indemnity period of ......... monthswhichever is earlier.Provided that the liability of the Company shall not exceed Rs. .............. thesum insured hereby.Provided further that if the sum produced by applyingthe monthly additional rent, borne by the insured for the alternativeaccommodation to the maximum indemnity period is more than the SumInsured hereby, the liability of the Company shall be proportionatelyreduced.

SPECIAL CONDITIONS :

1. This insurance shall apply subject to the condition that the PREMISESoccupied by the insured, whether as owner or tenant, forms part of abuilding not being "Kutcha" Construction.

2. If the area of alternative accommodation taken by the insured is morethan the area of the PREMISES occupied by the insured, the additionalrent borne by the insured for the purpose of this insurance shall be deemedto be that proportion of the additional rent actually borne by the insuredas the area of the PREMISES which was in the insured's occupationbears to the area of the alternative accommodation taken by the insured.The insured shall be at liberty to take alternative accommodation in anylocality so long as it is within the Municipal limit of the city or town in whichthe PREMISES is situated.

EXPLANATION

Additional Rent : If the insured is the Owner-Occupant, the additional rentborne by him is arrived at after deducting the standard rent of the premisesfrom the actual rent paid for the alternative accommodation. The standardrent shall be based on the ratable values fixed by the Municipal/Revenueauthorities for tax purposes.

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If the insured is a tenant only and for safeguarding his legal tenancy rightsis obliged to pay rent for the premises even during the period when it is notfit for occupation, the additional rent borne by him is the actual rent for thealternative accommodation.If the insured is a tenant and is not obliged topay rent for the premises during the period when it is not fit for occupation,the additional rent borne by him is the actual rent paid for alternativeaccommodation taken less the rent which he was paying for the premisesimmediately prior to the same being damaged or destroyed by InsuredPerils and rendered unfit for occupation

14. Start up Expenses

Policy may be extended subject to the following endorsement wordings:

"It is hereby agreed and declared that this policy extends to cover start-upcosts necessarily and reasonably incurred by the insured consequent upona loss or damage covered by this policy."

CLAUSES

The following clauses shall be attached to the policy wherever they arerequired

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A AGREED BANK CLAUSE

All policies in which a Bank/Financial Institution has interest shall be issuedin the name of Bank/Financial Institution and owner or mortgagor and shallcontain a suitable clause to protect their interest. A specimen copy of theClause is given hereunder.

"`It is hereby declared and agreed:-

i. That upon any monies becoming payable under this policy the sameshall be paid by the Company to the Bank and such part of any monies sopaid as may relate to the interests of other parties insured hereundershall be received by the Bank as Agents for such other parties.

ii. That the receipts of the Bank shall be complete discharge of theCompany therefor and shall be binding on all the parties insuredhereunder.

N.B: The Bank shall mean the first named Financial Institution/ Banknamed in the policy.

iii. That if and whenever any notice shall be required to be given or othercommunication shall be required to be made by the Company to theinsured or any of them in any manner arising under or in connection withthis policy such notice or other communication shall be deemed to havebeen sufficiently given or made if given or made to the Bank.

iv. That any adjustment, settlement, compromise or reference to arbitrationin connection with any dispute between the Company and the insured orany of them arising under or in connection with this policy if made by theBank shall be valid and binding on all parties insured hereunder but notso as to impair rights of the Bank to recover the full amount of any claimit may have on other parties insured hereunder.

v. That this insurance so far only as it relates to the interest of the Banktherein shall not cease to attach to any of the insured property by reasonof operation of condition 3 of the Policy except where a breach of thecondition has been committed by the Bank or its duly authorised agentsor servants and this insurance shall not be invalidated by any act oromission on the part of any other party insured hereunder whereby therisk is increased or by anything being done to upon or any buildinghereby insured or any building in which the goods insured under thepolicy are stored without the knowledge of the Bank provided always thatthe Bank shall notify the Company of any change of ownership or

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alterations or increase of hazards not permitted by this insurance assoon as the same shall come to its knowledge and shall on demand payto the Company necessary additional premium from the time when suchincrease of risks first took place and

vi. It is further agreed that whenever the Company shall pay the Bank anysum in respect of loss or damage under this policy and shall claim that asto the Mortgagor or owner no liability therefore existed, the Companyshall become legally subrogated to all the rights of the Bank to the extentof such payments but not so as to impair the right of the Bank to recoverthe full amount of any claim it may have on such Mortgagor or Owner orany other party or parties insured hereunder or from any securities orfunds available.

N.B: In cases where the name of any Central Government or State Governmentowned and / or sponsored Industrial Financing or Rehabilitation FinancingCorporations and /or Unit Trust of India or General Insurance Corporation ofIndia and/or its subsidiaries or LIC of India/ any Financial Institution isincluded in the title of the Fire Policy as mortgagees, the above Agreed BankClause may be incorporated in the Policy substituting the name of suchinstitution in place of the word 'Bank' in the said clause.

B) CONTRACT PRICE INSURANCE CLAUSE

In the case of insurance of imported goods only (and not for goods of localmanufacture) which are sold under a contract which is cancelled either whollyor to the extent of loss or damage, it is permissible to issue a policy on thebasis of Contract Price and the following clause shall be inserted in thePolicy.

"It is hereby agreed and declared that in respect only of goods sold but notdelivered for which the insured is responsible and with regard to whichunder the conditions of sale, the sale contract is by reason of the perilscovered under the Policy, cancelled either wholly or to the extent of the lossor damage, the liability of the company shall be based on the contract priceand for the purpose of average the value of all goods to which the clausewould in the event of loss or damage be applicable shall be ascertained onthe same basis."

C) DESIGNATION OF PROPERTY CLAUSE:

For the purpose of determining, where necessary, the item under which anyproperty is insured, the insurers agree to accept the designation under whichthe property has been entered in the insured's books.

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D) REINSTATEMENT VALUE POLICIES

Reinstatement value insurance may be granted on Buildings, MachineryFurniture, Fixture and Fittings only subject to the incorporation of thefollowing memorandum in the policy:

"It is hereby declared and agreed that in the event of the property insuredunder (Item Nos......of .........) within the policy being destroyed or damaged,the basis upon which the amount payable under (each of the said items of)the policy is to be calculated shall be cost of replacing or reinstating on thesame site or any other site with property of the same kind or type but notsuperior to or more extensive than the insured property when new as ondate of the loss, subject to the following Special Provisions and subject alsoto the terms and conditions of the policy except in so far as the same may bevaried hereby."

Special Provisions

1. The work of replacement or reinstatement (which may be carried outupon another site and in any manner suitable to the requirements of theinsured subject to the liability of the Company not being thereby increased)must be commenced and carried out with reasonable dispatch and inany case must be completed within 12 months after the destruction ordamage or within such further time as the Company may in writing allow,otherwise no payment beyond the amount which would have beenpayable under the policy if this memorandum had not been incorporatedtherein shall be made.

2. Until expenditure has been incurred by the Insured in replacing orreinstating the property destroyed or damaged the Company shall not beliable for any payment in excess of the amount which would have beenpayable under the policy if this memorandum had not been incorporatedtherein.

3. If at the time of replacement or reinstatement the sum representing thecost which would have been incurred in replacement or reinstatement ifthe whole of the property covered had been destroyed, exceeds the SumInsured thereon or at the commencement of any destruction or damageto such property by any of the perils insured against by the policy, thenthe insured shall be considered as being his own insurer for the excessand shall bear a rateable proportion of the loss accordingly. Each item ofthe policy (if more than one) to which this memorandum applies shall beseparately subject to the foregoing provision.

4. This Memorandum shall be without force or effect if

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a) the Insured fails to intimate to the Company within 6 months from thedate of destruction or damage or such further time as the Companymay in writing allow his intention to replace or reinstate the propertydestroyed or damaged.

(b) the Insured is unable or unwilling to replace or reinstate the propertydestroyed or damaged on the same or another site.

E) LOCAL AUTHORITIES CLAUSE

Reinstatement Value Policy may be extended to cover additional cost ofreinstatement solely by reason of the necessity to comply with theregulations of local authority by incorporating the following clause in thepolicy.

"The insurance by this policy extends to include such additional cost ofreinstatement of the destroyed or damaged property hereby insured as maybe incurred solely by reason of the necessity to comply with the Building orother Regulations under or framed in pursuance of any act of Parliament orwith Bye-laws of any Municipal or Local authority provided that

1) The amount recoverable under this extension shall not include :

a) the cost incurred in complying with any of the aforesaid Regulationsor Bye-laws,

i) in respect of destruction or damage occurring prior to the granting ofthis extension,

ii) in respect of destruction or damage not insured by the policy,

iii) under which notice has been served upon the insured prior to thehappening of the destruction of damage,

iv) in respect of undamaged property or undamaged portions ofproperty other than foundations (unless foundations are specificallyexcluded from the insurance by this policy) of that portion of theproperty destroyed or damaged,

b) the additional cost that would have been required to make good theproperty damaged or destroyed to a condition equal to its conditionwhen new had the necessity to comply with any of theaforesaid Regulations of Bye-laws not arisen,

c) the amount of any rate, tax, duty, development or other charge orassessment arising out of capital appreciation which may be payable

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in respect of the property or by the owner thereof by reason ofcompliance with any of the aforesaid Regulations or Bye-laws.

2) The work of reinstatement must be commenced and carried out withreasonable dispatch and in any case must be completed within twelvemonths after the destruction or damage or within such further time as theInsurers may (during the said twelve months) in writing allow and may becarried out wholly or partially upon another site (if the aforesaidRegulations or Bye-laws so necessitate) subject to the liability of theInsurer under this extension not being thereby increased.

3) If the liability of the insurer under (any item of) the policy apart from thisextension shall be reduced by the application of any of the terms andconditions of the policy then the liability of the Insurers under thisextension (in respect of any such item) shall be reduced in likeproportion.

4) The total amount recoverable under any item of the policy shall not exceed the sum insured thereby.

5) All the conditions of the policy except in so far as they may be herebyexpressly varied shall apply as if they had been incorporated herein."

6) No additional premium shall be charged for inclusion of this clause in this policy.

F) ESCALATION CLAUSE

The following Clause shall be used :

"In consideration of the payment of an additional premium amounting to50% of the premium produced by applying the specified percentage tothe first or the annual premium as appropriate on the under noted items(s)the Sum(s) Insured thereby shall, during the period of insurance, beincreased each day by an amount representing 1/365th of the specifiedpercentage increase per annum.

Item Number Specified percentage increase per annum---------------- ------------------------------------------------

Unless specifically agreed to the contrary the provisions of this clause shallonly apply to the sums insured in force at the commencement of each periodof insurance.At each renewal date the insured shall notify the Insurers :-

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(i) the sums to be insured under each item above, but in the absence ofsuch instructions the Sums Insured by the above items shall be thosestated on the policy (as amended by any endorsement effective prior tothe aforesaid renewal date) to which shall be added the increases whichhave accrued under this Clause during the period of insurance upto thatrenewal date, and

(ii) the specified percentage increase(s) required for the forthcoming periodof insurance, but in the absence of instructions to the contrary prior torenewal date the existing percentage increase shall apply for the periodof insurance from renewal.

All the conditions of the policy in so far as they may be hereby expresslyvaried shall apply as if they had been incorporated herein."

G) ARCHITECTS, SURVEYORS AND CONSULTING ENGINEER'S FEES (upto3% of the claim amount)

The following Clause shall be used :"It is hereby declared and understoodthat the expenses incurred towards Architects, Surveyors and ConsultingEngineers fees for plans, specification tenders, quantities and services inconnection with the superintendence of the reinstatement for the Building,Machinery, Accessories and equipment insured under this policy is coveredupto 3% of the adjusted loss, but it is understood that this does not includeany costs in connection with the preparation of the Insured's claim orestimate of loss in the event of damage by insured perils".

H) REMOVAL OF DEBRIS CLAUSE (upto 1% of the claim amount)

The following Clause shall be used :"It is hereby declared and agreed thatthe expenses incurred upto 1% of the claim amount is included in the suminsured on:(a) Removal of debris from the premises of the Insured;

(b) dismantling or demolishing;

(c) shoring up or propping.

"Note : (b) & (c) above should be deleted when neither Building norMachinery are covered.

I) FLOATER CLAUSE

The following clause shall be attached for floater policy(ies) :

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"In consideration of Floater Extra charged over and above the policy rate theS.I. in aggregate under the policy is available for any one, more, or alllocations as specified in respect of movable property. At all times during thecurrency of this policy the insured should have a good internal audit andaccounting procedure under which the total amount at risk and the locationscan be established at any particular time if required.The changes in the address of locations specifically declared at inceptionshould be communicated"

J) DECLARATION CLAUSE

The following clause shall be attached to Declaration Policy(ies).

1) In consideration of the premium by this policy being provisional in that itis subject to adjustment on expiry of each period of insurance.

"The Insured agrees to declare to the ....................... Company in writing thevalue of his stocks (other than retail) less any amount insured by Policiesother than declaration policies, in each separate building or non-communicating compartment or in the open on the following basis namely1] average of the values at risk on each day of the month or 2] the highestvalue at risk during the month and to make such declaration(s) latest by thelast day of the succeeding month. Such declaration(s) shall be signed bythe Insured or by a responsible person authorised to sign on his behalf.

If other policies on declaration basis cover the stocks hereby insured, thedeclarations shall be made so as to apportion to each policy a share of thevalue of the stocks insured under such declaration policies, PRO RATA tothe respective amounts named in the policies.

In the event of a declaration not being made latest by the last day of thesucceeding month , then the insured shall be deemed to have declared theSum Insured hereby as the value at risk.

On the expiry of each period of insurance the premium shall be calculatedat the rate of ................... (insert the Tariff rate) on the average Sum Insurednamely, the total of the values declared or deemed to have been declareddivided by the number of declarations deemed to have been made.

If the resultant premium is less than the provisional premium, the differenceshall be repaid to the Insured but such repayment shall not exceed 50% ofthe provisional premium.Further it is hereby agreed and understood that noreduction in sum insured shall be allowed during the currency of the policy

2) The basis of value for declarations shall be the market value and any loss

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hereunder shall be settled on the basis of the Market Value immediatelyanterior to the loss.

3) If at the time of any loss, there be any subsisting insurance or insuranceson other than a declaration basis, whether effected by the Insured or byany other person or persons, covering the stocks hereby insured, thispolicy shall apply only to the excess of the value of such stocks at the timeof the loss over the Sum Insured by such other insurance or insurances, and this Company shall not be liable to pay or contribute more than thatproportion of such loss which such excess (or, if there be otherdeclaration insurances covering the same stocks, a rateable proportionof such excess) but not exceeding the Sum Insured hereby, bears to thetotal value of the stocks.

4) If after the occurrence of a loss it is found that the amount of the lastdeclaration previous to the loss is less than the amount that ought tohave been declared, then the amount which would have beenrecoverable by the Insured shall be reduced in such proportion as theamount of the said last declaration bears to the amount that ought tohave been declared.

5) Notwithstanding the occurrence of loss it is understood that the SumInsured will be maintained at all times during the currency of the policyand the Insured therefore undertakes to pay extra premium on the amountof any loss pro rata from the date of such loss to the expiry of the periodof insurance, the premium being calculated at the rate applicable to thestocks destroyed and such extra premium shall not be take into accountin, and shall be distinct from, the final adjustment of premium.

6) In event of this policy being cancelled by the Insured during its currency(whether stocks exist or not) the premium to be retained by the Companyshall be the appropriate short period premium calculated on the averageamount insured upto the date of cancellment, or 50% of the provisionalpremium whichever is greater. Notwithstanding the above, if the policy iscancelled by the insured after a loss has occurred, the premium to beretained by the company shall be the PRO RATA proportion of thepremium calculated on the average amount insured upto the date ofcancellation plus the PRO RATA proportion of the premium from the dateof loss to the expiry of the period of insurance on the amount of loss paid,or 50% of the provisional premium whichever is greater.

7) The maximum liability of the Company shall not exceed the Sum Insuredhereby and premium shall not be receivable on value in excess thereof.The Sum Insured may, however, be increased by prior agreement withthe Company in which event the new Sum Insured and the date fromwhich it is effective will be recorded on the policy by endorsement. In the

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event of an increase in the Sum Insured being agreed to, the Companyshall charge on such increased sum an additional provisional premiumon a basis proportionate to the unexpired period of the policy and uponexpiry of each period of insurance the total provisional premium so paidshall be adjusted as provided for in Clause 1 above. If during thecurrency of the policy, the rate for the class of risk to which the insuranceapplies is revised, and an increase in the Sum Insured under aDeclaration Policy is agreed to, the Company shall charge on suchincreased sum an additional provisional premium on a basisproportionate to the unexpired period of policy, at the rate at which theinsurance was originally effected and upon expiry of each period ofinsurance the total provisional premium so paid shall be adjusted asprovided for in Clause 1 above.

8) If the stocks hereby insured shall at the time of loss be collectively ofgreater value than the Sum Insured thereon, then the Insured shall beconsidered as being his own insurer for the difference and shall bear arateable proportion of the loss accordingly. Every item, if more than one,on stock shall be separately subject to this condition.

9) It is warranted that every other policy on a declaration basis covering thestocks insured hereby shall be identical in wording with this policy.

10)This insurance is subject in all respects to the printed conditions of thepolicy except in so far as they may be varied by the above conditions.

K) VOLUNTARY DEDUCTIBLE CLAUSE

The following clause shall be attached to the policy(ies) in case the insuredaccepts the deductible and the discount therefor:"

It is hereby declared and agreed that the insured having opted a voluntarydeductible of Rs.--------- out of net amount of each and every admissibleclaim under the fire policy(ies) covering the said premises, the company hasallowed a discount of ----% on the final premium payable for the policies andAdd on Covers.

It is further agreed that the above voluntary deductible opted shall be inaddition to compulsory exclusion stipulated under "General exclusions"attached to the policy(ies) and/or for add-on covers."

L) Floater Declaration Clause

“In consideration of Floater Extra charged over and above the policy ratethe S.I. in aggregate under the policy is available for any one, more, or alllocations as specified in respect of movable property.

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At all times during the currency of this policy the insured should have agood internal audit and accounting procedure under which the total amountat risk and the locations can be established at any particular time if re-quired.

The changes in the address of locations specifically declared at inceptionshould be communicated” Also :

1) In consideration of the premium by this policy being provisional inthat it is subject to adjustment on expiry of each period of insurance.“The Insured agrees to declare to ______________________Gen-eral Insurance Company Limited in writing the value of his stocks(other than retail) less any amount insured by Policies other than dec-laration policies, in each separate building or non-communicatingcompartment or in the open on the following basis namely 1] averageof the values at risk on each day of the month or 2] the highest valueat risk during the month and to make such declaration(s) latest by thelast day of the succeeding month. Such declaration(s) shall be signedby the Insured or by a responsible person authorized to sign on hisbehalf.

If other policies on declaration basis cover the stocks hereby insured,the declarations shall be made so as to apportion to each policy ashare of the value of the stocks insured under such declaration poli-cies, PRO RATA to the respective amounts named in the policies.

In the event of a declaration not being made latest by the last day ofthe succeeding month then the insured shall be deemed to have de-clared the Sun Insured hereby as the value at risk.

On the expiry of each period of insurance the premium shall be cal-culated at the rate of Rs. _____ (provisional) per mille on the averageSum Insured namely, the total of the values declared or deemed tohave been declared divided by the number of declarations deemed tohave been made.

If the resultant premium is less than the provisional premium, thedifference shall be repaid to the Insured but such repayment shall notexceed 20% of the provisional premium.

Further it is hereby agreed and understood that no reduction in suminsured shall be allowed during the currency of the policy.

2) The basis of value for declarations shall be the market value and any

ANNEXURE ‘A’

120

loss hereunder shall be settled on the basis of the Market Valueimmediately anterior to the loss.

3) If at the time of any loss, there be any subsisting insurance orinsurances on other than a declaration basis, whether effected bythe insured or by any other person or persons, covering the stockshereby insured, this policy shall apply only to the excess of the valueof such stocks at the time of the loss over the Sum Insured by suchother insurance or insurances, and this Company shall not be liableto pay or contribute more than that proportion of such loss whichsuch excess (or, if there by other declaration insurances coveringthe same stocks, a rateable proportion of such excess) but notexceeding the Sum Insured here, bears to the total value of the stocks.

4) If after the occurrence of a loss it is found that the amount of the lastdeclaration previous to the loss is less than the amount that ought tohave been declared, then the amount which would have beenrecoverable by the Insured shall be reduced in such proportion asthe amount of the said last declaration bears to the amount that oughtto have been declared.

5) Notwithstanding the occurrence of loss it is understood that the SumInsured will be maintained at all times during the currency of thepolicy and the Insured therefore undertakes to pay extra premium onthe amount of any loss pro rata from the date of such loss to theexpiry of the period of insurance, the premium being calculated atthe rate applicable to the stocks destroyed and such extra premiumshall not be take into account in and shall be distinct from, the finaladjustment of premium.

6) In event of the policy being cancelled by the Insured during itscurrency (whether stocks exist or not) the premium to be retained bythe company shall be the appropriate short period premiumcalculated on the average amount insured up to the date ofcancellment, or 80% of the provisional premium whichever is greater.Notwithstanding the above, if the policy is cancelled by the insuredafter a loss has occurred, the premium to be retained by thecompany shall be the PRO RATA proportion of the premiumcalculated on the average amount insured upto the date ofcancellation plus the PRO RATA proportion of the premium from thedate of loss to the expiry of the period of insurance on the amount ofloss paid, or 80% of the provisional premium whichever is greater.

7) The maximum liability of the company shall not exceed the sumInsured hereby and premium shall not be receivable on value inexcess thereof. The sum Insured may, however, be increased by

ANNEXURE ‘A’

121

prior agreement with the Company in which event the new sum Insuredand the date from which it is effective will be recorded on the policyby endorsement. In the event of an increase in the sumInsured being agreed to, the company shall charge on suchincreased sum an additional provisional premium on a basisproportionate to the unexpired period of the policy and upon expiryof each period of insurance the total provisional premium so paidshall be adjusted as provided for in Clause 1 above. If during thecurrency of the policy, the rate for the class of risk to which theinsurance applied is revised, and an increase in the Sum Insuredunder a Declaration Policy is agreed to, the company shall chargeon such increased sum an additional provisional premium on a ba-sis proportionate to the unexpired period of policy, at the rate atwhich the insurance was originally effected and upon expiry of eachperiod of insurance the total provisional premium so paid shall beadjusted as provided for in Clause 1 above.

8) If the stocks hereby insured shall at the time of loss be collectivelyof greater value than the Sum Insured thereon, then the Insuredshall be considered as being his own insurer for the difference andshall bear a ratable proportion of the loss accordingly. Every item, ifmore that one, on stock shall be separately subject to thiscondition.

9) It is hereby warranted that every other policy on a declaration basiscovering the stocks insured hereby shall be identical in wording withthis policy.

10) This insurance is subject in all respects to the printed conditions ofthe policy except in so far as they may be varied by the aboveconditions.

ANNEXURE ‘A’

122

ANNEXURE ‘B’

ANNEXURE ‘B’proposal is subject to the rules & regulations of

All India Fire Tariff(The property proposed for insurance is not covered until the

proposal is accepted and premium paid)

Divisional office address & code

Development Officer's Name &

Code

Agents Name & Code

DETAILS ABOUT PROPOSER

1) Name of Proposer

2) Address of Proposer includingtheir phone, fax No. and e-mailaddress

3) Business of Proposer

4) Paid up capital of the firm

5) Policy to be Issued in favour of(list out all the parties who haveinsurable interest) including thefinancial institutions.

6) Location of risk to be covered - fullpostal address with pincode

7) Period of Insurance FromTo

8) Would you like to delete any offollowing covers from the basic cover?

a. Flood, Cyclone, group of perils Yes � / No �

b. Riot, Strike & Malicious damage,Terrorism Yes � / No �

123

ANNEXURE ‘B’

9) Would you like to cover Plinth &Foundation along with your buildings Yes � / No �

10)Add-On Covers Required

Architects consulting & EngineersFees ( in excess of 3% claim amount) Yes � / No �

Debris Removal( in excess of 1% claim amount) Yes � / No �

Deterioration of Stocks in cold storagepremises on account of

a) Accidental power failures due todamage at power station due to aninsured peril; Yes � / No �

b) Deterioration of stocks in cold storagepremises due to change in temperaturearising out of loss or damage to thecold storage machinery(ies) in theInsured's premises due to operationof insured peril. Yes � / No �

Forest Fire Yes � / No �

Impact damage due to insured'sown Rail/Road vehicles etc: Yes � / No �

Spontaneous Combustion Yes � / No �

Omission to Insure additions etc. Yes � / No �

Earthquake(fire and shock) Yes � / No �

Spoilage material cover Yes � / No �

Leakage and contamination cover Yes � / No �

Temporary removal of stocks Yes � / No �

Loss of rent Yes � / No �

124

ANNEXURE ‘B’

Additional expenses of rent for analternate accommodation Yes � / No �

Start-up expenses Yes � / No �

11) Whether you have insured the same property with any other InsuranceCompany with the same type of coverage. (Give details)

12) Whether Insurance was declined by any other Company or imposedany Special Conditions (Give details)

13) Premium / Claim details for the past 36 monthsexcluding the expiring policy period Premium Claims

DETAILS ABOUT BUSINESS COVERED AT THE INSURED LOCATION

14) The Insured property isResidence,Office,Shops,Hotels etc Yes � / No �

Industrial/Manufacturing risks Yes � / No �

Storages outside industrial risks Yes � / No �

Tanks / Gas Holders outside IndustrialManufacturing risks Yes � / No �

Utilities located outside Industrial Manufacturingrisks Yes � / No �

○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○

○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○

○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○

○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○

○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○ ○

125

ANNEXURE ‘B’

15) If used as Shop please declare whether the goods handled are as perthe following list. If yes, whether the stock value will exceed 5% ofshops value

1.Celluloid goods, 2.Coir Loose, 3.Crackers & Fire Works,4.Explosives of any kind, 5.Hay/Straw, 6.Hemp, 7.Jute Loose,8.Matches, 9.Methylated Spirit, 10.Nitro-Cellulose Plastics, 11.Oils/Ether/Industrial Solvents and other inflammable liquids flashing atand below 32 Deg.C (Closed Cup test), 12.Paints with inflammablebase having flash point below 32 Deg.C (Closed Cup test) - Other thanin sealed tins or drums, 13.Varnishes having a Flash point below 32Deg.C (Closed Cup test) - Other than in sealed tins oRdrums,14.Disinfectant liquids and liquid insecticides - Other than in sealed tins or drums,15.Vegetable fibres of any kind including RayonFibre.

16) If used as warehouse / godown (not located in a manufacturing unit)please give the list of goods stored

17) If used as an Industrial Manufacturing unit give productsmanufactured at the location proposed.(detailed block plan showingvarious facilities to be enclosed)

18) If used as an Industrial Manufacturing unit, please state whether the factory is working or silent ?

19) Fire Protection devices installed

Please Tick the correct answer in thebox below

Portable Extinguishers Yes � / No �

Small bore hose reels Yes � / No �

Trailer Pumps/Fire engines Yes � / No �

a) List out the various blocks andindicate the type of protectionprovided for each block.

Hydrant System Yes � / No �

Sprinkler System Yes � / No �

126

ANNEXURE ‘B’

b) Indicate whether Annual Maintenancecontract for the Appliances is in force : Yes � / No �

Fixed Water Spray System Yes � / No �

Foam systems Yes � / No �

Fire alarm systems Yes � / No �

Gas flooding systems Yes � / No �

20)The basis proposed for insurance (Bldg/ machinery/ FFF )

Market Value basis Yes � / No �

Reinstatement Value Basis Yes � / No �

Whether escalation clause is required Yes � / No �

21) a) Construction Details Please state material used

i) Walls ____________

ii) Floor ____________

iii) Roof ____________

b) Height of Building ________ Meters

c) Age of Building Less than 5 years � 10-20 years �

5-10 years � above 20 years �

Note: Buildings having walls and/ or roofs of wooden planks/thatched leavesand/or grass/hay of any kind/bamboo/plastic cloth/asphalt cloth/canvas/tarpaulin and the like are treated as "Kutcha" consruction.

127

ANNEXURE ‘B’

22)Building wise values (Please include the kutcha buildings also in this list and give individual values against such buildings)

Total

** Indicates those stocks which are covered on normal basis and do not fallunder Serial No.23 A,B, C and D below

23)Special Coverage for Stocks only Please Tick in the box below and give the amount to be insured against each

A) On Floater Basis

Stocks at various locations (warehouses / godowns and /or open etc.,) canbe covered on floater basis for a single Sum Insured.

Tick Amount Rs.FloaterBasis

To-tal

Descrip-tion ofBlock

Amountin RsBui ld-ing in-c l u d -i n gplinth

M&A

F&Fandotherequip-ments

SSP**

P r o p -erty tobe in-su redsepa-rately

AGE(YRS)

HT(MTS)

CON-STRUC-TION

128

ANNEXURE ‘B’

B) On Declaration Basis

Stocks which fluctuate in value can be covered on (monthly) declarationbasis.

Tick Amount Rs.Declaration Basis

Note:1. Minimum Sum Insured is Rs.1 Crore, and policy not issued on short

period basis2. Stocks in process & stocks stored at Railway sidings are not

covered

C) On Floater Declaration Basis

Stocks which fluctuate in value as well as stored in various locations can becovered on (monthly) floater declaration basis.

Tick Amount Rs.FloaterDeclaration Basis

Note:1. Minimum Sum Insured is Rs.

2. Crore2.Stocks in process & stocks stored at Railway sidings are not covered

D) Stocks stored in open

Locations Amount Rs.

1.Stocks in open(located outsidethe factory compound)

129

ANNEXURE ‘B’

24) Total Sum Insured (as per relevant serial numbers shown against each)

RiskCode

Clause/Perilcode

Riskcode

Ratecode

Rate

SumIn-sured

Pre-mium

Ratecode

(Plinth & Foundation)

Architects & EngineersFees

Debris Removal

Deterioration of Stocksin cold storagepremises on account of

a) Accidental powerfailures due todamage at powerstation due to aninsured peril;

b)Deterioration of stocks in cold

storage premises due tochange intempera ture arisingout of loss or damageto the cold storagemachinery(ies) in theInsured's premisesdue to operation ofinsured peril.

Forest Fire

Impact damage due toInsured's own vehicle

SpontaneousCombustion

130

ANNEXURE ‘B’

RiskCode

Clause/Perilcode

Riskcode

Ratecode

Rate

SumIn-sured

Pre-mium

Ratecode

Omission to Insure

additions

alteration

extension

Earthquake

Spoilage material cover

Leakage andcontamination cover

Temporary removal ofstocks

Additional expenses ofrent for an alternateaccommodation

Building wise values

(Stocks Floater Basis)

(Stocks DeclarationBasis)

(Stocks FloaterDeclaration)

(Stocks in open - outsidefactory compound)

Grand Total

131

ANNEXURE ‘B’

25. Would you like to avail Discount for Voluntary Deductibles: Yes � / No �

If the answer is Yes , indicate the choice of Deductible amount:Rs.------

Declaration by Insured

I/ We hereby declare that the statements made by me / us in this ProposalForm are true to the best of my / our knowledge and belief and I / We herebyagree that this declaration shall form the basis of the contract between me /us and the "__________________________________________.

"If any additions or alterations are carried out in the risk proposed after thesubmission of this proposal form then the same should be conveyed to theinsurers immediately.

Date Place

Recommendations of Signature of the ProposerDevelopmentOfficer / Agent

Prohibition of Rebates (Section 4) of the Insurance Act

Section 41 of Insurance Act 1938

PROHIBITION OF REBATES -

1. No person shall allow or offer to allow, either directly or indirectly as aninducement to any person to take out or renew or continue an insurance inrespect of any kind of risk relating to lives or property in India, any rebate ofthe whole or part of the commission payable or any rebate of the premiumshown in the policy; nor shall any person taking out or renewing or continuinga policy accept any rebate, except such rebate as may be allowed inaccordance with the published prospectus or tables of the Insurer.

Any person making default in complying with the provisions of this sectionshall be punishable with fine, which may extend to five hundred rupees.

132

ANNEXURE ‘C’LIST OF HAZARDOUS GOODS

CATEGORY I

Accoroides GumsAccumulator AcidAcenaphtheneAcetate SilkAcetoacetanilideAcetylene blackAcid (not otherwise specifically provided)AcrylamideAcrylic acidAcrylic powderAcrylic sheetsActivated carbonActivated ManganeseAgarbatti (Dhoop)Agerite powderAldrin (insecticide)AlgaeAll flammable liquids having flash point above 65oC.Almond oilAloe resinAluminium ChlorideAluminium pasteAluminium resinateAmberAmmonium BromideAmmonium ChlorideAmmonium FluorideAmmonium SulphateAmonia-acqueous solution or spirits of ammonia exceeding 30%concentrationAnetholeAnimal blackAnimal glueAnimal oilAnimal proteinAnimal skin

ANNEXURE ‘C’

133

Anime (a resin)AnthraceneAntimony PentafluorideAntimony PentasulfideAntimony sulphateAntimony sulphideAntimony trisulphateAntimony trisulphideArachis oilArecanutsArsenic ChlorideArsenic pentasulphideArsenic sulphideArsenic TrisulfideArtificial edible fatArtificial hornArtificial leatherArtificial SilkArtificial woolAsafoetida (gum resin)Asafoetida oilAsphalt /Asphalt sheetAsphalted paperBalata , Balsam of PeruBamboo matsBarium CarbonateBarium SulphideBarleyBaryllium Dustor powderBed feathers (Down)Beedi leavesBees waxBeet sugarBeet tallow (Aldrin)Benzoin (resin)Benzoin (resinoid)Betal NutsBirch (bark) oilBisphenolBitumen/Bituminised craftpaper/feltBlacks of all kinds (not otherwise

ANNEXURE ‘C’

134

Speciafically provided for)Borneo CamphorBorneolBorneo tallowBornyl acetateBoron trichlorideBoron trifluorideBranBran oilButter fatButter oilCaesium perchlorateCaffine (pure)Calcium ChlorideCalcium CyanideCalcium OxideCalcium SulphideCampheneCamphorCandle waxCandlesCanvas clothCapric acidCaprolactumCaprylic acidCarbazoleCarbonCarbon blackCarbon paperCarbon tetrachlorideCarbonylCarnauba waxCarpetCarvacrolCashew nutsCassia leavesCastor oilCat-gutCaustic potashCaustic sodaCedar wood oil

ANNEXURE ‘C’

135

CellophaneCellophane paper/tapeCelluloseCellulose acetateCellulose acetate filmsCeresin waxChaffChinese inset waxChinese tallowChinese wood oilChip (particle) boardChloralChloroformChlorowaxChocolatesChopped maizeChromyl ChlorideCineolCinnabarCitralCitric acidCitronellalCitronellolCKD Kits of AutomobilesCloth, AsphaltedCoaltar and coal pitchCoaltar distillateCocoa beansCocoa fatCocoa oilCoconut fatCoconut oilCod-liver oilCoffee and substitutesCoir yarnColamine, ColophonyComplex fertilizersCopalCopper sulphideCopraCopra cake/meal

ANNEXURE ‘C’

136

CordageCoriander oilCorkCork woodCorn oilCotton fibre in pressed balesCotton oilCotton seed oilCotton seed/cakeCreosoteCreosote oilCresidineCresolCresylic acidCross Linked Polyethylene Cable(XLPE)Croton oilCrotonic acidDammer resinDecahydronaphthaleneDecalinDecanalDextrinDiacetinDiallyl phthalateDiamyl phthalateDiamyl sulphideDibromodifluromethane 1,2 DibromoethaneDibutoxy tetraglycolDibutyl phthalateDibutyl sebacateDibutyl tartrate 3,4 Dichloro AnilineDichlorohydrinDichloromethaneD.D.TDicyclo-diepoxy-carboxylateDicyclohexylamineDiethyl maleateDiethyl malonateDiethyl oxalateDiethyl phthalate

ANNEXURE ‘C’

137

Diethyl succinateDimethyl cynanmideDioctyl phthalateDried fishDried milkpowderDried leaves of all kindsDyes of all kindsEarth waxEdible fatEdible oilElemi oilEndrinEpoxy resinEthoxy resinsEthyl sulphateEugenolFatsFeathers and downFeltFibrous plantsFire woodFish guano/manureFish oilFlaxFlowers dried of all kindsFoam rubber, freonFodderFursGalatlithGambogeGanjaGases, inert and non-combustibleGedda waxGelatineGentac latex or vinyl pyridine latexGeranialGeraniolGeranium oilGhee fatGlues of all kindsGlycerine

ANNEXURE ‘C’

138

Goats woolGrain mealGrass maxGrass weedGrease, lubricatingGroundnut oilGroundnut shelled, cake, meal,Guaiacum resinGumsGunnies (loose)GuttaperchaHairHazel nut oilHempseedHempseed oilHerbs, dried of all kindsHides & SkinHog fat oilHycolHydrogen peroxide, under 30%HydroquinoneHyphoneIanone BetaIndian waxIndigoInsenceIron powderIron pyritesIron sulphidesJapan tallowJavelle waterKapokKapok oil/seedKreolinLactoseLamp blackLanolinLardLard oilLatexLauryl Mercaptan

ANNEXURE ‘C’

139

Lavender oilLead acetateLead ArsematesLead chromateLeatherLeaves, dried of all kindsLemon grass oilLime, unslakedLindaneLinenLinoleumLinolic acidLinseedLinseed cakeLinseed oilLiquor amoniaLow Matalurgical CokeMagnesiumMagnesium alloyMagnesium shavingsMaize oilMaleic anhydrideManganese AcetateManhaden oilMan-made fibres (not otherwise specifically provided for) and its Cleanwaste in pressed balesMannitol monolaurateMargarineMasticMats of all kinds(synthetic or Vegetable)MentholMercury CyanideMesityleneMethyl bromideMethyl cinnamateMiddle oilsMilk fatMilk of sugar (lactose)Milk powderMolassesMolasses meal

ANNEXURE ‘C’

140

Mosquito mat /coilMowra flowersMungoMustard oilMutton tallowMyrrhNaphthaleneNaphthylthioNatural rubberNeat’s foot fatNeat’s foot oilNeohexaneNicotine acidNiobe oilNitrogen monoxideNitrophenol (para)Nitrous oxideNocotinic and Nicotine preparationNut oilNylonOctadecanoic acidOctanoic acidOctyl acetateOil cakeOil of bayOil of bitter almondsOil of MirbaneOil of WintergreenOil paperOil seed mealOil skinOils, animal (not otherwise specifically provided for)Oils, vegetable (not otherwise specifically provided for)Oleic acidOleinOleumOlive oilOpiumOxalic acidPalm kernel oilPalm oil/butter/fat

ANNEXURE ‘C’

141

Palmarosa oilPalmitic acidPaper yarnPaper in any formPaper insulated lead sheathed cable (PILC)Para AmisidinePara chloro anilineParaffin oilParaffin waxPatent leatherPeanut (shelled)Peanut oilPeatPeat dustPectinPenicillin storagePerilla oilPetitgrain oilPetroleum cokePetroleum jellyPharmaceutical preparationsPhenoplastsPhoronePhosgenePhosphonium IodidePhthalic anhydridePig fatPine barkPine OilPine pitchPine tar oilPiperazinePitchPlastic clothPlastic of all kinds (not otherwise specifically provided for)Pogy oil (Menhaden oil)PolyacrylonitrilePolyamyl naphthalenePolyesterPolyethylenePolymethacrylate

ANNEXURE ‘C’

142

PolypropylenePolyurethane, solidPolyviny acetatePolyvinyl chloridePoppy seed oilPoppy seedsPotassium chromatePotassium cyanidePotassium XanthatePotasssium hydroxidePulegonPumpkin oilPyrogalloQuinolRamieRape oilRed oilReedsResinatesResins, natural and synthetic, (not otherwise specificaly provided for)ResorcinolRexin clothRice HuskRicinus oilRock saltRosewood oilRosinRubberRubber goodsRugsSaccharinSaccharoseSafroleSalicylic acidSandalwood oilSandaracSassafras oilSawdustSeal oilSealing waxSeeds of all kinds

ANNEXURE ‘C’

143

Sesame oilShale oilShark oilShavings, wood, paperShea butterSheep’s woolShellacShoddySilicon, SpraySilk, naturalSmoke cartridgesSodium AcetateSodium AlginateSodium chromateSodium CyanideSodium cyclamateSodium Hexameta PhosphateSodium SulphideSodium ThiosulphateSootSorbic acidSoya bean oil, cakeSoya beansSoya oilSpermacetiSpermaceti oilSpicesSpongesSponge IronSponges U foamSpruce pitchSpruce seed oilSpruce wood pitchSpruce wood tar oilStand oilStannic chloride (anhydrous)StarchStearic acidStearinSteel wool (fine)Strontium oxalate

ANNEXURE ‘C’

144

Strontium sulphideSugarSulphurSulphur chloridesSulphur DioxideSulphur trioxideSun Floweroils, seedsSweet almond oilSynthetic rubberSynthetic/vegetable staple fibres (not otherwise specifically providedfor) Clean waste thereof pressed in balesTall oilTallowTallow oilTan barkTar (all kinds),TarpaulinsTarred felt/paper/rope/string/Tarred clothTeaTea seed oilTeal oilTempering oilTerephthalic acidTetra ethyl leadTimberTitanium tetrachlorideTobacco and its productsTobacco leavesTow (oakum)Tow of all kindsTricalcium phosphateTrichloro ethane 1,2Trichloro EthyleneTrisodium PhosphateTung oilTurkey red oilTwineTyresUnhewn logsUrea

ANNEXURE ‘C’

145

Uric acidValeric acidValum bark and/or fibres in pressed balesVaselineVegetable oil of all kinds (nototherwise specifically provided for)Vegetables (dried)Viscose and clean waste thereof in pressed balesVulcanised fibreWaste of Non-hazardous materialsWax candlesWax of all kindsWhale oilWhite Goods (such as Refrigerators Washing machines etc.)WoodWood oilWood pulp (loose)Wood shavingsWood wool, compressedWood, flourWool fatWool, looseXanthetic oxideXanthogenale de potassiumXylenolo - XylidineYlang-Ylang oilZiroconium Tetrachloride

CATEGORY II

AccelereneAcetyl peroxideAll flammable liquids having flash point between 32oC and 65oC(both inclusive)Aloe fibres, looseAluminium carbideAluminium ferrosiliconAluminium hydrideAluminium nitrateAluminium phosphide

ANNEXURE ‘C’

146

Aluminium powder/dustAmmonium chromateAmmonium cyanideAmmonium dichromateAmmonium persulphateAmphetamineAmyl nitriteAngelica oilAntimony pentoxideAqua Forties (Nitric acid)Aqua regiaBalsamsBamboos (whole)BariumBarium azideBarium chlorate/chloriteBarium chromateBarium dioxideBarium hydrideBarium manganateBarium nitrateBarium perchlorateBarium permanganateBarium peroxideBeets, sliced, driedBenzoyl peroxide, wetBergamot oilBleaching powderBran dustBromineBromine pentafluorideBromine trifluorideBromoacetoneBronze powderButyl nitrateCadmium nitrateCaesium peroxideCalamus oilCalciumCalcium aluminium hydrideCalcium amide

ANNEXURE ‘C’

147

Calcium amonium nitrateCalcium bromateCalcium chlorateCalcium cyanamideCalcium hypochloriteCalcium nitrateCalcium perchlorateCalcium permanganateCalcium peroxideCalcium phosphideCalcium phosphiteCalcium resinateCalcium silicideCamomile oilCanadian balsamCaraway oilCelluloidCellulose nitrate silkCelluoid filmsChile saltpeterChlorates (inorganic) not otherwise specifically provided forChlorineChloropicrinChlorosulphuric acidCholorites (inorganic) not otherwise specifically provided forChromic acidChromic anhydrideChromic oxideChromium trioxideCinnamonCitronella oilClove oilCobalt nitrateCobalt potassium nitriteCollodion paperCollodion silkCollodion-cottonCopper nitrateCotton Fibres (others)CrackersCyanogen bromide

ANNEXURE ‘C’

148

Dichloroisocynuric acidDiketeneEthyl silicateEucalyptus oilFerric nitrateFerrosiliconFirelightersFireworksFish meal/scrapFlaresFlash powder, PhotographicFloor waxFluorineFoam plasticsFuseFuses without explosivesGuanoGuano and fish-mealGunpowder detonating capsHempHop oilHopsHydrazineHydrobromic acidHydrochloric acidHydrocyanic acidHydrofluoric acidHydrogen peroxide, 30-90%Ignition cords (fuses)IodineIrish oilJasmine oilJuniper oilJute in pressed balesLavender oilLead dioxideLead nitrateLead peroxideLead tetra methylLinaloolLignite (Coke)

ANNEXURE ‘C’

149

Liquid insecticides/pesticides/disinfectants having flash point between32oC and 65oC (both inclusive)Liquid insecticides/pesticides/disinfectants having flash point below32Oc when stored in sealed tins or drums or in bottles and/or in jars.LithiumLithium chlorateLithium perchlorateLithium peroxideLupulin (hop meal)Magnesium chlorateMagnesium dioxideMagnesium dust,also dust of high magnesium alloys.Magnesium nitrateMagnesium perborateMagnesium perchlorateMagnesium peroxideMagnesium powderMalt germManganese dioxideManganese borateManganese greenManganese nitrateManganese peroxideManganese powderMarjorum oilMatches (safety/non-safety)Mercuric iodateMercurous nitrateNeroli (oil of orange flowers)Nickel carbonylNickel nitrateNickel peroxideNickel tetracarbonylNitrate/Nitrites of all kinds not otherwise specifically provided forNitric acidNitrite of sodaNitro silkNitrocellulose filmNitrocellulose plasticsNitrocellulose silkNitrocotton threads

ANNEXURE ‘C’

150

Nitrogen dioxideNitrosyl chlorideOil of cinnamonOil of thymeOrange (peel) oilOrange blossom oilOrange oilPaints, thinners and varnishes having flash point between 32oC and65oC (both inclusive)Paints, thinners and varnishes having flash point below 32oC whenstored in sealed tins or drums or in bottles and/or in jarsParathionPeppermint oilPerchloric acid in aqueous solution > 70%Percussion caps (for toys)Periodic acidPhosphoric acidPhosphorous (red)Phosphorous oxychloridePhosphorous pentachloridePhosphorous pentaoxidePhosphorous pentasulphidePhosphorous sesquisulphidePhosphorous sulphidePhosphorous trichloridePhosphoryl chloridePine tarPinenePortugal oil (Orange peel oil)Potable spirits having flash point below 32oC when stored in sealed tinsor drums or in bottles and/or in jarsPotassium amidePotassium ammonium nitratePotassium bromatePotassium chloratePotassium dichromatePotassium dithionatePotassium hypochloritePotassium hyposulphitePotassium nitratePotassium nitrite

ANNEXURE ‘C’

151

Potassium perchloratePotassium permanganatePotassium peroxidePotassium persulphatePotassium stontium chloratePotassium sulphidePressed residue from oil seedsPyrolusitePyrotechnical articlesRagsRockets (fire works)Root turpentine oilRose oilRosemary oilRubidiumSage oilSalt petreSelenium dioxideSesquisulphide matchesSilver permanganateSilver NitrateSilver NitriteSmoke generatorsSodamideSodium amalgamSodium amideSodium borohydrideSodium chlorateSodium chloriteSodium Dichloro-s-Triazinetrioneand DihydrateSodium dichromateSodium dithioniteSodium hydrosulphideSodium hydrosulphiteSodium hypochloriteSodium NitrateSodium NitriteSodium nitroethaneSodium perborateSodium perchlorate

ANNEXURE ‘C’

152

Sodium periodateSodium permanganateSodium peroxideSodium persulphateSoidum hypophosphiteSparklersSpruce wood tarStaranise oilStrontiumStrontium chlorateStrontium nitrateStrontium perchlorateStrontium peroxideStrontium potassium chlorateStyraxSulphuric acid, (oleum/fuming/concentrated)Sulphuryl chlorideThallium nitrateThermitThionyl chlorideThoriumTitanium (sponge or powder form)Trichloro-s-triazinetrioneTrioxaneUraniumUrea nitrateValerian oilVanadium tetrachlorideVermouth oilVegetable Fibre like straw, grass,hay etc.VinegarViscose and clean waste thereof, looseVolume bark and/or fibres, loose Waste of materialsfalling under Category IWood wool (loose)Zinc chlorideZinc dithioniteZinc hydrosulphiteZinc nitrateZinc permanganateZinc peroxide

ANNEXURE ‘C’

153

Zinc powderZirconium dust powder.

CATEGORY III

Activated Carbon, PyrophericAll flammable liquids having a flash point below 32oC.Aluminium Alkyl HalidesAluminium borohydrideAluminium triethylAluminium trihexylAluminium tri-isobutylAluminium trimethylAluminium tripropylAmatolAmmonium bromateAmmonium chlorateAmmonium NitrateAmmonium nitrate explosivesAmmonium perchlorateAmmonium permanganateAmmonium picrateAmmunitionsAmorcesArsineAzidesAzimethyleneAzoimideBaggaseBamboos (split)Benzol peroxide (dry)Black powderBlasting powderBromo picric acidButyl mercaptanButyl peracetateButyl peroctoate (tert)Butyl peroxide (ditert)Cadmium fulminateCaesiumCalcium carbide

ANNEXURE ‘C’

154

Calcium chloriteCalcium dithionateCalcium hydriteCalcium nitrate explosiveCalcium, pyrophoricCartridgesCellulose nitrate powderCharcoalChedditeChlorate explosiveChloratiteChloroazideCoalCokeCollodionCollodion woolCopper acetylideCopper azideCopper carbideCorditeDetonatorsDi (tert) butyl peroxideDiazobenzene perchlorateDiazobenzeneimideDiazo-dinitrophenolDiazo-m-nitraline perchlorateDiazonium saltsDiboraneDicumyl peroxideDiglycol dinitrateDimethyl benzyl peroxideDinitro dihydroxy quinoneDinitro glycerineDinitrocelluloseDinitrochlorohydrinDinitrocresolDinitroglycolDinitrolDodecanoyl PeroxideDynamiteEau de Cologne

ANNEXURE ‘C’

155

Erythrol TetranitrateEthyl borateEthylene nitrateExplosive chargesExplosivesFulminatesFuse, DetonatingGases, CombustibleGelatine explosiveGelatinized nitrocellulose powdersGlycerine nitrateGuanidine nitrateGuanidine perchlorateGuanylnitrosamino guanyl tetrazeneGuhr-dynamiteGun cottonGun cotton solutionsGun powderHayHydrazine nitrateHydrazoic acidHydrogen cyanideHydrogen peroxide, 90-100%Hydrogen selenideHydrogen sulphideHydrolithInstant ignition cordIron carbonylIron Penta CarbonylJute (Others)KresylitLead azideLead picrateLead styphnateLead trinitroresorcinateLeco ( Coke)Liquid insecticides/pesticides/disinfectants having flash pointbelow 32oCLiquid Petroleum GasLithium aluminium hydrideLithium amide

ANNEXURE ‘C’

156

Lithium borohydrideLithium butylLithium hydrideLydditeMannitol hexanitrateMercuric cyanateMercury cyanateMercury fulminateMining chargesMixed powder (nitrocellulose)Nitrate explosivesNitro-carbonitrateNitrocelluloseNitrocellulose powderNitrogeletine dynamiteNitrogen chlorideNitrogen trichlorideNitroglycerineNitroglycerine powderNitroguanidineNitromannitalNitro-starchNitro-sugarOzonidesOils and greasy waste of cotton/viscosePaints, thinners, varnishes having flash point below 32oCPentanonePeracetic acidPerchlorate explosivesPerchlorates of all kinds not otherwise specifically provided forPerchloric acid > 70%PerchromatesPercussion capsulesPhosphidesPhosphinePhosphoretted hydrogenPhosphorous (yellow or white)Picramic acidPicratesPicratolPicric acid

ANNEXURE ‘C’

157

Picryl chloridePlasticized dynamitePotassiumPotassium amalgamPotassium hydridePrimers (explosives)Propargyl bromidePrussic acidRaney nickelRDXRubber cementSafety explosivesSaltpetre blasting powderSilanesSilver acetylideSilver fulminateSilver picrateSodiumSodium azideSodium dinitro phenolSodium hydrideSodium hydrosulphiteSoleinStarch nitrateStraw in pressed balesStyphnic acidSuccinic peroxideSugar nitratesTetranitroanilineTetranitrobenzeneTetranitronaphthaleneTetranitrophenolTitanium hydrideTNTTrinitrocelluloseTrinitrogylcerinTrinitronaphthaleneTrinitrophenolTrinitrophenolmethylnitramineTrinitro-tolueneTripropylaluminiumUrea peroxide

ANNEXURE ‘C’

158

ANNEXURE ‘C’

Waste of materials falling under Cat II & IIIZinc phosphideZinc picrateZirconium hydride

fire tariff version 3 single page - theinsurancesurveyor · 2017-04-26 · 1 introduction this is...

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