Electronic Equipment Insurance

Electronic Equipment Insurance covers accidental, unforeseen, and sudden physical loss or damage to electronic equipment (Computers, Laptops, PABXs, Etc.) against sudden and unforeseen physical damage by any cause or peril those are not excluded under the policy.

What is covered:

"Electronic equipment is any equipment mainly containing semiconductor component and generally carries out work procedures of processing and / or transmitting of information measurement control testing monitoring and alarm procedure but does not include any mechanical operations".

Adequacy of the sum insured of the property insured:

As per the reinstatement / new replacement condition attached to the policy you are required to maintain the values of the property covered on reinstatement or new replacement basis. Accordingly, following a loss the insurers will pay for repair / replacement as new, subject to the adequacy of the sum insured.

Failure to maintain values on the basis of reinstatement cost can seriously prejudice the insurance recovery following a loss.  In fact, underinsurance would invoke the provisions of the average condition of the Policy which effectively means that on the occurrence of a loss by an insured peril if it emerges that the sum insured is less than the corresponding actual new reinstatement value, then the liability under the policy would be reduced in the same proportion as the sum insured bears to the actual value at risk.