What is Industrial All Risks?Industrial All Risks (IAR) covers accidental loss or damage to insured property at the location specified in the policy. The cover provided is against all perils other than those specifically listed under Excluded Perils. The policy covers damage to the stock of products, building and properties inside from natural perils such as flood, windstorm, tsunami, hail, other perils such as fire, lightning, explosion, collision with other vehicles, burglary with forcible entry trace, robbery, gang robbery and accidents.
- Covering physical damage to the insured property from following accidents which are not included in the exclusion of the insurance policy
- Natural perils such as windstorm, hail, flood, earthquake, wildfire
- Other perils such as fire, lightning, smoke, explosion, water damage, Collision with vehicle or aircraft devices or articles dropped therefrom, riot, strike, brutal act, malice
- Accidents such as products fall down, machinery has been damaged from collision by forklift, etc.
Under Section 2 - loss of profit, loss of revenue or loss of rental income can be covered. Cover is also for an additional cost of working incurred in consequence of the material damage loss. Insufficient capital, restrictions imposed by Public Authorities, loss due to lack of orders etc. are not covered under the policy.
Under Section 2: in the event of accidental physical loss or damage to any building or other property or any part thereof used by the insured at the premises for the purpose of the business and the business carried on by the insured at the premises be in consequence thereof interrupted or interfered with. UAP will pay to the insured in respect of each item in the schedule the amount of loss resulting from such interruption or interference in accordance with the provisions contained therein.
- Damage from dilapidation, damage, fault in the mechanism or electrical system of machinery or equipment
- Damage from deterioration, degeneration, animal cleaning process
- Light or weather reaction (apart from lightning)
- Breakage of mirror, glass or fragile material which does not result from fire or burglary
- War, invasion, act of foreign enemy, adversarial act or act of war (declare or not) civil war
- Property during transit
- Cash, cheques, postal orders, money orders, promissory notes, bills of exchange, jewellery
- Violence act that leads to uprising against the government, revolution, seizing the power, military government
- Terrorism by person or group of people who involve with terrorism and violence pursuing political benefit, also violent act that threatens the public. This exclusion will not be applied to loss or damage resulted from fire
- Nuclear weapons
- Nuclear reaction, radioactivity or radioactive contamination, fission and radioactive radiation
- Any boiler or other apparatus or their contents due to its own explosion
- Machinery if directly attributable to mechanical breakdown or derangement
- Unexplained damages
- Deliberate acts
- Infidelity or dishonesty on the part of the Insured or any of his employees