IN CONSIDERATION OF the Insured named in the Schedule hereto having paid to the Tata AIG General

Insurance Company Limited (hereinafter called the Company) the full premium mentioned in the said
schedule, THE COMPANY AGREES, (Subject to the Conditions and Exclusions contained herein or
endorsed or otherwise expressed hereon) that if after payment of the premium the Property insured
described in the said Schedule or any part of such Property be destroyed or damaged by any of the perils
specified hereunder during the period of insurance named in the said schedule or of any subsequent
period in respect of which the Insured shall have paid and the Company shall have accepted the premium
required for the renewal of the policy, the Company shall pay to the Insured the value of the Property at
the time of the happening of its destruction or the amount of such damage or at its option reinstate or
replace such property or any part thereof:
1) Fire
Excluding destruction or damage caused to the property insured by
a) i) its own fermentation, natural heating or spontaneous combustion.
ii) its undergoing any heating or drying process.
b) burning of property insured by order of any Public Authority.
2) Lightning
3) Explosion/Implosion
Excluding loss, destruction of or damage :a) to boilers (other than domestic boilers), economizers or other vessels, machinery or
apparatus (in which steam is generated) or their contents resulting from their own
explosion/implosion,
b) caused by centrifugal forces.
4) Aircraft Damage
Loss, Destruction or damage caused by Aircraft, other aerial or space devices and articles dropped
therefrom excluding those caused by pressure waves.
5) Riot, Strike, Malicious Damage Cover
Loss of or visible physical damage or destruction by external violent means directly caused to the
property insured but excluding those caused by :a) Total or partial cessation of work or the retardation or interruption or cessation of any
process or operations or omissions of any kind.
b) Permanent or temporary dispossession resulting from confiscation, commandeering,
requisition or destruction by order of the Government or any lawfully constituted
Authority.
c) Permanent or temporary dispossession of any building or plant or unit or machinery
resulting from the unlawful occupation by any person of such building or plant or unit or
machinery or prevention of access to the same.
d) Burglary, housebreaking, theft, larceny or any such attempt or any omission of any kind
of any person (whether or not such act is committed in the course of a disturbance of
public peace) in any malicious act.
If the Company alleges that the loss/damage is not caused by any malicious act the burden of proving
the contrary shall be upon the insured.

Terrorism Damage Exclusion Warranty

Notwithstanding any provision to the contrary within this insurance it is agreed that this insurance
excludes loss, damage cost or expense of whatsoever nature directly or indirectly caused by,
resulting from or in connection with any act of terrorism regardless of any other cause or event
contributing concurrently or in any other sequence to the loss.
For the purpose of this endorsement an act of terrorism means an act, including but not limited to the
use of force or violence and/or the threat thereof, of any person or group(s) of persons whether acting
alone or on behalf of or in connection with any organisation(s) or government(s), committed for
political, religious, ideological or similar purpose including the intention to influence any government
and/or to put the public, or any section of the public in fear.
The warranty also excludes loss, damage, cost or expenses of whatsoever nature directly or indirectly
caused by, resulting from or in connection with any action taken in controlling, preventing,
suppressing or in any way relating to action taken in respect of any act of terrorism.
If the Company alleges that by reason of this exclusion, any loss, damage, cost or expenses is not
covered by this insurance the burden of proving the contrary shall be upon the insured.
In the event any portion of the endorsement is found to be invalid or unenforceable, the remainder
shall remain in full force and effect.
6) Storm, Cyclone, Typhoon, Tempest, Hurricane, Tornado, Flood and Inundation
Loss, destruction or damage directly caused by Storm, Cyclone, Typhoon, Tempest, Hurricane,
Tornado, Flood or Inundation excluding those resulting 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 other convulsions of nature shall
stand deleted.)
7) Impact Damage
Loss of or visible physical damage or destruction caused to the property insured due to impact by any
Rail/ Road vehicle or animal by direct contact not 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.
8) Subsidence and Landslide including Rock slide
Loss, destruction or damage directly caused by Subsidence of part of the site on which the property
stands or Land slide/Rock slide excluding:
a)
b)
c)
d)
e)

the normal cracking, settlement or bedding down of new structures

the settlement or movement of made up ground
coastal or river erosion
defective design or workmanship or use of defective materials
demolition, construction, structural alterations or repair of any property or groundworks or
excavations.

9) Bursting and/or overflowing of Water Tanks, Apparatus and Pipes

10) Missile Testing operations
11) Leakage from Automatic Sprinkler Installations
Excluding 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.

12) Bush Fire

Excluding loss, destruction or damage caused by Forest Fire.
PROVIDED that the liability of the Company shall in no case exceed in respect of each item the sum
expressed in the said Schedule to be insured thereon or in the whole the total Sum Insured hereby or
such other sum or sums as may be substituted therefor by memorandum hereon or attached hereto
signed by or on behalf of the Company.
General Exclusions
This Policy does not cover

I.

II.

III.

IV.

V.
VI.

VII.

VIII.
IX.
X.
XI.
XII.

Loss, destruction or damage caused by war, invasion, act of foreign enemy hostilities or war like
operations (whether war be declared or not), civil war, mutiny, civil commotion assuming the
proportions of or amounting to a popular rising, military rising, rebellion, revolution, insurrection or
military or usurped power.
Loss, destruction or damage directly or indirectly caused to the property insured by
a. ionising radiations or contamination by radioactivity from any nuclear fuel or from any
nuclear waste from the combustion of nuclear fuel
b. the radioactive toxic, explosive or other hazardous properties of any explosive nuclear
assembly or nuclear component thereof
Loss, destruction or damage caused to the insured property by pollution or contamination
excluding
a. pollution or contamination which itself results from a peril hereby insured against.
b. any peril hereby insured against which itself results from pollution or contamination
Loss, destruction or damage to bullion or unset precious stones, any curios or works of art for an
amount exceeding Rs.10000/-, manuscripts, plans, drawings, securities, obligations or
documents of any kind, stamps, coins or paper money, cheques, books of accounts or other
business books, computer systems records, explosives unless otherwise expressly stated in the
policy.
Loss, destruction or damage to the stocks in Cold Storage premises caused by change of
temperature.
Loss, destruction or damage to any electrical machine, apparatus, fixture, or fitting arising from or
occasioned by over-running, excessive pressure, short circuiting, arcing, self heating or leakage
of electricity from whatever cause (lightning included) provided that this exclusion shall apply only
to the particular electrical machine, apparatus, fixture or fitting so affected and not to other
machines, apparatus, fixtures or fittings which may be destroyed or damaged by fire so set up.
Expenses necessarily incurred on (i) Architects, Surveyors and Consulting Engineer's Fees and
(ii) Debris Removal by the Insured following a loss, destruction or damage to the Property insured
by an insured peril in excess of 3% and 1% of the claim amount respectively.
Loss of earnings, loss by delay, loss of market or other consequential or indirect loss or damage
of any kind or description whatsoever.
Loss or damage by spoilage resulting from the retardation or interruption or cessation of any
process or operation caused by operation of any of the perils covered.
Loss by theft during or after the occurrence of any insured peril except as provided under Riot,
Strike and Malicious Damage cover.
Any Loss or damage occasioned by or through or in consequence directly or indirectly due to
earthquake, volcanic eruption or other convulsions of nature.
Loss or damage to property insured if removed to any building or place other than in which it is
herein stated to be insured, except machinery and equipment temporarily removed for repairs,
cleaning, renovation or other similar purposes for a period not exceeding 60 days.

General Conditions
1. THIS POLICY shall be voidable in the event of mis-representation, mis-description or nondisclosure of any material particular.
2. All insurances under this policy shall cease on expiry of seven days from the date of fall or
displacement of any building or part thereof or of the whole or any part of any range of buildings
or of any structure of which such building forms part.
PROVIDED such a fall or displacement is not caused by insured perils, loss or damage which is
covered by this policy or would be covered if such building, range of buildings or structure were
insured under this policy.
Notwithstanding the above, the Company subject to an express notice being given as soon as
possible but not later than seven days of any such fall or displacement may agree to continue the
insurance subject to revised rates, terms and conditions as may be decided by it and confirmed in
writing to this effect.
3. Under any of the following circumstances the insurance ceases to attach as regards the property
affected unless the Insured, before the occurrence of any loss or damage, obtains the sanction of
the Company signified by endorsement 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 the occupation of or
other circumstances affecting the building insured or containing the insured property be
changed in such a way as to increase the risk of loss or damage by Insured Perils.
b. If the building insured or containing the insured property becomes unoccupied and so
remains for a period of more than 30 days.
c. If the interest in the property passes from the insured otherwise than by will or operation
of law.
4. This insurance does not cover any loss or damage to property which, at the time of the happening
of such loss or damage, is insured by or would, but for the existence of this policy, be insured by
any marine policy or policies except in respect of any excess beyond the amount which would
have been payable under the marine policy or policies had this insurance not been effected.
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 short period rate for the time the policy has been
in force. This insurance may also at any time be terminated at the option of the Company, on 15
days notice to that effect being given to the Insured, in which case the Company shall be liable to
repay on demand a rateable proportion of the premium for the unexpired term from the date of
the cancellation.
6. i) On the happening of any loss or damage the Insured shall forthwith give notice thereof to the
Company and shall within 15 days after the loss or damage, or such further time as the Company
may in writing allow in that behalf, deliver to the Company.
a. A claim in writing for the loss or damage containing as particular an account as may be
reasonably practicable of all the several articles or items or property damaged or
destroyed, and of the amount of the loss or damage thereto respectively, having regard
to their value at the 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
and information with respect to the claim and the origin and cause of the loss and the
circumstances under which the loss or damage occurred, and any matter touching the
liability or the amount of the liability of the Company as may be reasonably required by or
on behalf of the Company together with a declaration on oath or in other legal form of the
truth of the claim and of any matters connected therewith.
No claim under this policy shall be payable unless the terms of this condition have been
complied with

ii) In no case whatsoever shall the Company be liable for any loss or damage after the expiry of
12 months from the happening of the loss or damage unless the claim is the subject of pending
action or arbitration; it being expressly agreed and declared that if the Company shall disclaim
liability for any claim hereunder and such claim shall not within 12 calendar months from the date
of the disclaimer have been made the subject matter of a suit in a court of law then the claim shall
for all purposes be deemed to have been abandoned and shall not thereafter be recoverable
hereunder.
7. On the happening of loss or damage to any of the property insured by this policy, the Company
may
a. enter and take and keep possession of the building or premises where the loss or
damage has happened.
b. take possession of or require to be delivered to it any property of the Insured in the
building or on the premises at the time of the loss or damage.
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 may concern.
The powers conferred by this condition shall be exercisable by the Company at any time
until notice in writing is given by the insured that he makes no claim under the policy, or if
any claim is made, until such claim is finally determined or withdrawn, and the Company
shall not by any act done in the exercise or purported exercise of its powers hereunder,
incur any liability to the Insured or diminish its rights to rely upon any of the conditions of
this policy in answer to any claim.
If the insured or any person on his behalf shall not comply with the requirements of the
Company or shall hinder or obstruct the Company, in the exercise of its powers
hereunder, all benefits under this policy shall be forfeited.
The Insured shall not in any case be entitled to abandon any property to the Company
whether taken possession of by the Company or not.
8. If the claim be in any respect fraudulent, or if any false declaration be made or used in support
thereof or if any fraudulent means or devices are used by the Insured or any one acting on his
behalf to obtain any benefit under the policy or if the loss or damage be occasioned by the willful
act, or with the connivance of the Insured, all benefits under this policy shall be forfeited.
9. If the Company at its option, reinstate or replace the property damaged or destroyed, or any part
thereof, instead of paying the amount of the loss or damage, or join with any other Company or
Insurer(s) in so doing, the Company shall not be bound to reinstate exactly or completely but only
as circumstances permit and in reasonably sufficient manner, and in no case shall the Company
be bound to expend more in reinstatement than it would have cost to reinstate such property as it
was at the time of the occurrence of such loss or damage not more than the sum insured by the
Company thereon. If the Company so elect to reinstate or replace any property the insured shall
at his own expense furnish the Company with such plans, specifications, measurements,
quantities and such other particulars as the Company may require, and no acts done, or caused
to be done, by the Company with a view to reinstate or replacement shall be deemed an election
by the Company to reinstate or replace.
If in any case the Company shall be unable to reinstate or repair the property hereby insured,
because of any municipal or other regulations in force affecting the alignment of streets or the
construction of buildings or otherwise, the Company shall, in every such case, only be liable to
pay such sum as would be requisite to reinstate or repair such property if the same could lawfully
be reinstated to its former condition.
10. If the property hereby insured shall at the breaking out of any fire or at the commencement of any
destruction of or damage to the property by any other peril hereby insured against be collectively
of greater value than the sum insured thereon, then the Insured shall be considered as being his
own insurer for the difference and shall bear a rateable proportion of the loss accordingly. Every
item, if more than one, of the policy shall be separately subject to this condition.
11. If at the time of any loss or damage happening to any property hereby insured there be any other
subsisting insurance or insurances, whether effected by the Insured or by any other person or
persons covering the same property, this Company shall not be liable to pay or contribute more

than its rateable 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 or reasonably required by the Company for the
purpose of enforcing any rights and remedies or of obtaining relief or indemnity from other parties
to which the Company shall be or would become entitled or subrogated, upon its paying for or
making good any loss or damage under this policy, whether such acts and things shall be or
become necessary or required before or after his indemnification by the Company.
13. If any dispute or difference shall arise as to the quantum to be paid under this policy (liability
being otherwise admitted) such difference shall independently of all other questions be referred to
the decision of a sole arbitrator to be appointed in writing by the parties to or if they cannot agree
upon a single arbitrator within 30 days of any party invoking arbitration, the same shall be referred
to a panel of three arbitrators, comprising of two arbitrators, one to be appointed by each of the
parties to the dispute/difference and the third arbitrator to be appointed by such two arbitrators
and arbitration shall be conducted under and in accordance with the provisions of the Arbitration
and Conciliation Act, 1996.
It is clearly agreed and understood that no difference or dispute shall be referable to arbitration as
hereinbefore provided, if the Company has disputed or not accepted liability under or in respect of
this policy.
It is hereby expressly stipulated and declared that it shall be a condition precedent to any right of
action or suit upon this policy that the award by such arbitrator/ arbitrators of the amount of the
loss or damage shall be first obtained.
14. Every notice and other communication to the Company required by these conditions must be
written or printed.
15. At all times during the period of insurance of this policy the insurance cover will be maintained to
the full extent of the respective sum insured in consideration 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 the
expiry of period of insurance for the amount of such loss shall be payable by the insured to the
Company.
The additional premium referred above shall be deducted from the net claim amount payable
under the policy. This continuous cover to the full extent will be available notwithstanding any
previous loss for which the company may have paid hereunder and irrespective of the fact
whether the additional premium as mentioned above has been actually paid or not following such
loss. The intention of this condition is to ensure continuity of the cover to the insured subject only
to the right of the company for deduction from the claim amount, when settled, of pro-rata
premium to be calculated from the date of loss till expiry of the policy.
Notwithstanding what is stated above, the Sum Insured shall stand reduced by the amount of loss
in case the insured immediately on occurrence of the loss exercises his option not to reinstate the
sum insured as above.
Reinstatement Value Clause (Applicable to building only)
In the event of the property insured under the stated items 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 at replacing or reinstating on the same site or any other site with property of the same and or
type but not superior to or more extensive than the insured property when new as on date of the loss,
subject to the following Special Provisions and subject also to the terms and conditions of the Policy
except in so far as the same may be named hereby.
Special Provisions
The work of replacement or reinstatement (which may be carried out upon another site and in any
manner suitable to the requirements of the Insured subject to the liability of the Company not being
thereby increased) must be commenced and carried out with reasonable dispatch and in any case must
be completed within 12 months after the destruction or damage or within such further time as the
Company may in writing allow, otherwise not payment beyond the amount which would have been
payable under the Policy if this memorandum had not been incorporated therein shall be made.

1. Until expenditure has been incurred by the insured in replacing or reinstating the property
destroyed damaged the Company shall not be liable for any payment in excess of the amount
which would have been payable under the Policy if this memorandum had not been incorporated
therein.
2.

If at the time of replacement or reinstatement the sum representing the cost which would have
been incurred in replacement or reinstatement if the whole of the property covered had been
destroyed exceeds the Sum Insured thereon or at the commencement of any destruction or damage
to such property by any of the perils insured against by the Policy, then the Insured shall be
considered as being his own insurer for the excess and shall bear a reliable proportion of the loss
accordingly. Each item of the Policy (if more than one) to which this memorandum applies shall be
separately subject to the foregoing provision.

3.

This memorandum shall be without force or effect if

a)

the insured falls to intimate to the Company within 6 months from the date of destruction
or damage or such further time as the Company may in writing allow this intention to replace or
reinstate the property destroyed or damaged.

b)

the insured to unable to unwilling to replace or reinstate the property destroyed or

damaged on the same or another site.