All Risk / Fire Insurance
Property All Risk / Industrial All Risk / Machinery All Risk / Fire Insurance
Property All Risk (PAR) is a wider form of Fire Insurance. This cover reinstates your property to its intended state when insurance was bought. Where Fire Insurance only covers one for named perils, a PAR covers for a much wider range of perils. The term All Risk is however an unfortunate industry misnomer. There are exclusions as with any insurance policy under a PAR cover. However, it definitely offers a much wider range of cover than a basic Fire Insurance cover. The same All Risk concept can also be applied to industrial property and assets or machinery. These are termed accordingly under an Industrial All Risk or Machinery All Risk cover.
What can PAR cover? As long as it is your property, we can cover it. This can be buildings, your interior contents and renovation, your stock, your equipment, your factory assets and even artwork you may be displaying in the office. However, it is important to note that a PAR cover is not meant to cover assets or property that malfunction. For example, if your air-conditioning unit springs a leak damaging your wall paper, a PAR cover will reimburse for the reinstatement of the wall paper. The repair of the air-conditioning unit however is not within the boundary of insurance.
While such a cover is fairly common in the market, there are also obscure aspects to take note of that cheap providers will hide from you. For example, we have a client who came to us furious that his previous Fire Insurance purchased generically through his bank did not cover for Removal of Debris. He had no idea what this was when he purchased the insurance. It was just offered to him fast and cheap. When his factory suffered a fire, it required special chemicals and operations to ensure that the waste from firefighting could be handled according to regulation. The cost of which amounted to some SGD120,000 and would have been covered under a Removal of Debris sub-section. Unfortunately, he only realised this when it was too late and his bank had no one to even answer him when the time for a claim arose. His business is now suitably insured through us but has not needed to test his policy since, fortunately.
An All Risk cover is usually also paired with other covers for a more comprehensive package – Third Party (Public) Liability, Work Injury Compensation, Business Interruption, Fidelity Insurance etc. Let us understand your business and give you the assurance to protect what you have built. Rest assured, should you ever need to call on the policy as well, we will be there for you.
