1 background of insurance sector

2 introduction to home insurance

3 home insurance in India
4 type of home insurance
5 home claim procedure
6 types of polices as per iso
7 three way to insure home
8 companies providing home insurance
9 ten way to cut the cost of home insurance
10 quetioneris and finding
11 conculsion
12 biblography

The history and milestones of life insurance in India is described followed by

the description of the emergence and growth of private insurance players in
the Indian market. The competition that is prevailing in the insurance
industry is explained and the need for insurance companies to become a
learning organization is further discussed. The significance of the study to
insurance companies is described and the chapter concludes with the profile
of the insurance companies chosen for the study. Some kind of life insurance
was practiced in ancient Rome, where citizens used to form burial clubs that
would meet the funeral expenses of its members. The code of Manu that
was in force during the Reign of Cholas in South India shows that there was
the practice of marine insurance carried out by traders in India with those in
Sri Lanka, Egypt and Greece. As the European civilization progressed, welfare
practices also became more refined. With the discovery of new lands, sea
routes and the consequent growth in trade, there was a need to protect the
traders from loss on account of fire, shipwrecks and the like. As a result the
need for insurance came into existence.
Insurance is a contract for reducing losses from accident incurred by an
individual party through a distribution of the risk of such losses among a
number of parties. The definition goes on to say: In return for a specified
consideration, the insurer undertakes to pay the insured or his beneficiary
some specified amount in the event that the insured suffers loss by pooling
both the financial contributions and the insurable risks of a large number of
policyholders. The insured is typically able to absorb losses incurred over any
given period much more easily than would the uninsured individual
Companies Act was enacted to enable the Government to collect statistical
information about both life and non-life business transacted in India by
Indian and foreign insurers including provident insurance societies. In 1938,
with a view to protecting the interest of the Insurance public, the earlier
legislation was consolidated and amended by the Insurance Act, 1938 with
comprehensive provisions for effective control over the activities of insurers.
The Insurance Amendment Act of 1950 abolished principal agencies.
However, there were a large number of insurance companies and the level of
competition was high. There were also allegations of unfair trade practices.
The Government of India, therefore, decided to nationalize insurance
business. An Ordinance was issued on 19th January, 1956 nationalizing the
life insurance sector and Life Insurance Corporation came into existence in
the same year. The LIC absorbed 154 Indian, 16 non-Indian insurers as also
75 provident societies245 Indian and foreign insurers in all. The LIC had
monopoly till the late 90s until the insurance sector was reopened to the
private sector. The process of re-opening of the sector had begun in the early
1990s and the last decade has seen it been opened up substantially. In 1993,
the government set up a committee under the chairmanship of RN Malhotra,
former Governor of RBI, to propose recommendations for reforms in the
insurance sector. The objective was to complement the reforms initiated in
the financial sector. The committee submitted its report in 1994 wherein,
among other things, it recommended that the private sector be permitted to
enter the insurance industry. They stated that foreign companies are allowed
to enter by floating Indian companies, preferably a joint venture with Indian
partners. Following the recommendations of the Malhotra Committee report,
in 1999, the Insurance Regulatory and Development Authority (IRDA) was
constituted as an autonomous body to regulate and develop the insurance
industry
PRESENT SCENARIO OF INSURANCE IN INDIA The insurance market has witnessed
dynamic changes which includes presence of a fairly large number of insurers both
in life and non-life segment. Most of the private insurance companies have formed
joint venture partnering with well recognized foreign players across the globe. There
are now 29 insurance companies operating in the Indian market 14 private life
insurers, nine private non-life insurers and six public sector companies. With many
more joint ventures in the offing, the insurance industry in India today stands at a
crossroads as competition intensifies and companies prepare survival strategies in a
detariffed scenario. There is pressure from both within the country and outside on
the government to increase the foreign direct investment (FDI) limit from the
current 26% to 49%, which would help JV partners to bring in funds for expansion.
There are opportunities in the pensions sector where regulations are being framed.
Less than 10 % of Indians above the age of 60 receive pensions. The IRDA has
issued the first licence for a standalone health company in the country as many
more players wait to enter. The health insurance sector has tremendous growth
potential, and as it matures and new players enter, product innovation and
enhancement will increase. The deepening of the health database over time will
also allow players to develop and price products for larger segments of society. India
with about 200 million middle class household shows a huge untapped potential for
players in the insurance industry. Saturation of markets in many developed
economies has made the Indian market even more attractive for global players. The
insurance sector in India has come to a position of very high potential and
competitiveness. Indians who have always seen life insurance as a tax saving
device, are now suddenly turning to the private sector that are providing them new
products and variety for their choice. Consumers remain the most important centre
of the insurance sector. After the entry of the foreign players the industry is paying
a lot of competition and thus improvement of the customer is required service in the
industry. Computerization of operations and updating of technology have become
imperative in the current scenario. Foreign players are bringing in international best
practices in service through use of latest technologies The insurance agents still
remain the main source through which insurance products are sold. The concept is
very well established in the country like India but still the increasing use of other
sources is imperative. At present the distribution channels that are available in the
market are direct selling, corporate agents, group selling, brokers and cooperative
societies. Customers have tremendous choice from a large variety of products from
pure term (risk) insurance to unit-linked investment products. Customers are offered
unbundled products with a variety of benefits. More customers are buying products
and services based on their true needs and not just traditional money back policies,
which are not considered very appropriate for long-term protection and savings.
There is lot of saving and investment plans in the market. However, there are still
some key new products yet to be introduced - e.g. health products. The rural
consumer is now exhibiting an increasing propensity for insurance products. A
research conducted exhibited that the rural consumers are willing to dole out
anything between Rs 2,900 and Rs 3,500 as premium each year. In insurance, the
awareness level for life insurance is highest in rural India, but the consumers are
also aware about motor, accident and cattle insurance

Introduction to home insurance

Home insurance, also commonly called homeowner's insurance (often abbreviated in the US real
estate industry as HOI), is a type of property insurance that covers a private residence. It is
an insurance policy that combines various personal insurance protections, which can include losses
occurring to one's home, its contents, loss of use (additional living expenses), or loss of other
personal possessions of the homeowner, as well as liability insurance for accidents that may happen
at the home or at the hands of the homeowner within the policy territory.

Homeowner's policy is a multiple-line insurance policy, meaning that it includes both property
insurance and liability coverage, with an indivisible premium, meaning that a single premium is paid
for all risks. The U.S. uses standardized policy forms that divide coverage into several categories.
Coverage limits are typically provided as a percentage of the primary Coverage A, which is coverage
for the main dwelling.[1]

The cost of homeowner's insurance often depends on what it would cost to replace the house and
which additional endorsements or riders are attached to the policy. The insurance policy is a legal
contract between the insurance carrier (insurance company) and the named insured(s). It is a
contract of indemnity and will put the insured back to the state he/she was in prior to the loss.
Typically, claims due to floods or war (whose definition typically includes a nuclear explosion from
any source) are excluded from coverage, amongst other standard exclusions (like termites). Special
insurance can be purchased for these possibilities, including flood insurance. Insurance is adjusted
to reflect the cost of replacement, usually upon application of an inflation factor or a cost index.

Major factors in price estimation include location, coverage, and the amount of insurance, which is
based on the estimated cost to rebuild the home ("replacement cost"). [2]

If insufficient coverage is purchased to rebuild the home, the claim's payout may be subject to a co-
insurance penalty. In this scenario, the insured will be subject to an out of pocket fee as a penalty.
Insurers use vendors to estimate the costs, including CoreLogic subsidiary Marshall Swift-Boeckh,
Verisk PropertyProfile, and E2Value, but leave the responsibility ultimately up to the consumer. In
2013, a survey found that about 60% of homes are undervalued by an estimated 17 percent. [3] In
some cases, estimates can be too low because of "demand surge" after a catastrophe. [2] As a
safeguard against a wrong estimate, some insurers offer "extended replacement cost" add-ons
("endorsements") which provide extra coverage if the limit is reached. [2]
Prices may be lower if the house is situated next to a fire station or is equipped with fire sprinklers
and fire alarms; if the house exhibits wind mitigation measures, such as hurricane shutters; or if the
house has a security system and has insurer-approved locks installed.

Typically payment is made annually. Perpetual insurance which continues indefinitely can also be
obtained in certain areas

Home insurance offers coverage on a "named perils" and "open perils" basis. A "named perils" policy
is one that provides coverage for a loss specifically listed on the policy; if it's not listed, then it's not
covered. An "open perils" policy is broader in the sense that it will provide coverage for all losses
except those specifically excluded on your policy.
Basic "named perils"[4] this is the least comprehensive of the three coverage options. It provides
protection against perils most likely to result in a total loss. If something happens to your home that's
not on the list below, you are not covered. This type of policy is most common in countries with
developing insurance markets and as protection for vacant or unoccupied buildings.
Basic-form covered perils:

Fire

Lightning

Windstorm or hail

Explosion

Smoke

Vandalism

Aircraft or vehicle collision

Riot or civil commotion

Sinkhole collapse

Volcanic activity
Broad "named perils"[5] this form expands on the "basic form" by adding 6 more covered perils.
Again, this is a "named perils" policy. The loss must specifically be listed to receive coverage.
Fortunately, the "broad form" is designed to cover the most common forms of property damage.
Broad-form covered perils:

All basic-form perils

Burglary, break-in damage

Falling objects (e.g. tree limbs)

 Weight of ice and snow

Freezing of plumbing

Accidental water damage

Artificially generated electricity

Special "all risk"[6] special-form coverage is the most inclusive of the three options. The difference
with "special form" policies is that they provide coverage to all losses unless specifically excluded.
Unlike the prior forms, all unlisted perils are covered perils. However, if something happens to your
home, and the event is on the exclusions list, the policy will not provide coverage.
Special-form excluded perils:

Ordinance of law

Earthquake

Flood

Power failure

Neglect

War

Nuclear hazard

Intentional acts
Homeowners insurance was first introduced in the 1950s. Today, most homeowners
insurance policies are based on forms developed by the Insurance Services
Office (ISO) and the American Association of Insurance Services (AAIS).[12]

Policy Form Structural Coverage[13] Property Coverage[13]

HO1 Basic Minimal Minimal

HO2 Broad Broad "named perils" Broad "named perils"

HO3 Special Special "open risks" Broad "named perils"

HO4 Tenants No coverage Broad "named perils"

HO6 Condominium Varies Broad "named perils"

HO0 Dwelling Fire Form

A form that provides coverage on a home against fire, smoke, windstorm, hail, lightning,
explosion, vehicles, and civil unrest. It does not cover the assured's personal property,
personal liability, or medical expenses. It is the type of policy a mortgage lender will buy for a
borrower if the latter's homeowner policy lapses.
HO1 Basic Form
A basic policy form that provides coverage on a home against 11 listed perils; contents are
generally included in this type of coverage, but must be explicitly enumerated. The perils
include fire or lightning, windstorm or hail, vandalism or malicious mischief, theft, damage
from vehicles and aircraft, explosion, riot or civil commotion, glass breakage, smoke,
volcanic eruption, and personal liability. Exceptions include floods, earthquakes. Most states
no longer offer this type of coverage.
HO2 Broad Form
A more advanced form that provides coverage on a home against 16 listed perils (including
all 11 on the HO1). The coverage is usually a "named perils" policy, which lists the events
that would be covered.
HO3 Special Form
The typical, most comprehensive form used for single-family homes. The policy provides "all
risk" coverage on the home with some perils excluded, such as earthquake and flood.
Contents are covered on a named-peril basis. (Note: "all risk" is poorly termed as it is
essentially named exclusions (i.e., if it is not specifically excluded, it is covered).)
HO4 Contents Broad Form
The Contents Broad, or Tenants, form is for renters. It covers personal property against the
same perils as the contents portion of the HO2 or HO3. [14] An HO4 generally also includes
liability coverage for personal injury or property damage inflicted on others.
HO5 Comprehensive Form
Covers the same as HO3 plus more. On this policy the contents are covered on an open
peril basis, therefore as long as the cause of loss is not specifically excluded in the policy it
will be covered for that cause of loss.
HO6 Unit-Owners Form
The form for condominium owners. It insures personal property, walls, floors and ceiling
against all of the perils in the Broad Form. The rest of the condo is covered by a separate
policy purchased by the association.
Coverage classifications[edit]
While coverage limits can vary, there are 6 core coverage components make up a standard
policy in the United States. These are based on standard Insurance Services
Office or American Association of Insurance Services forms.

Coverage Component[19] Typical Limit of Coverage[19]

Coverage A Dwelling Policyholder chooses

Coverage B Other structures 10% of Dwelling coverage limit

Coverage C Personal property 50% of Dwelling coverage limit

Coverage D Loss of use 20% of Dwelling coverage limit

Coverage E Personal liability Policyholder chooses

Coverage F Medical payments Policyholder chooses

Section I Property Coverage

Coverage A Dwelling
Covers the value of the dwelling itself (not including the land). Typically,
a coinsurance clause states that as long as the dwelling is insured to 80% of actual value,
losses will be adjusted at replacement cost, up to the policy limits. This is in place to give a
buffer against inflation. HO-4 (renter's insurance) typically has no Coverage A, although it
has additional coverages for improvements.
Coverage B Other Structures
Covers other structures around the property that are not used for business, except as a
private garage. Typically limited at 10% to 20% of the Coverage A, with additional amounts
available by endorsement.
Coverage C Personal Property
Covers personal property, with limits for the theft and loss of particular classes of items (e.g.,
$200 for money, banknotes, bullion, coins, medals, etc.). Typically 50- 70% of Coverage A is
required for contents, which means that consumers may pay for much more insurance than
necessary. This has led to some calls for more choice.[20] There are two types of policies for
personal property: cash value policy and replacement cost policy. Cash value policy will pay
the cost to replace belongings, minus deprecation. Replacement cost policy will reimburse
the assured for the full, current cost of replacing belongings.[21]
Coverage D Loss of Use/Additional Living Expenses
Covers expenses associated with additional living expenses (i.e. rental expenses) and fair
rental value, if part of the residence was rented, however only the rental income for the
actual rent of the space not services provided such as utilities.
Section II Liability Coverage
Coverage E Personal Liability
Covers damages which the insured is legally liable for and provides a legal defense at the
insurer's own expense. About a third of the losses for this coverage are from dog bites. [22]
Coverage F Medical Payments
Designed to pay for medical expenses to others who are accidentally injured on an insured
location or by the activities of an insured, resident employee, or an animal owned by or in the
 care of an insured. These payments are not based on the law of negligence; that is, no
negligence on the part of the insured has to be proven for payment to be made. [23]
Section III Additional Coverage Options
Flood Insurance
Flood damage is typically excluded under standard homeowners' and renters' insurance
policies. Flood coverage, however, is available in the form of a separate policy both from
the National Flood Insurance Program (NFIP) and from a few private insurers.[24]
Earthquake Coverage
Earth movement is a common exclusion for home insurance policies around the world. A
separate policy, rider, or endorsement must usually be purchased in order for this peril to be
covered. Because of the catastrophic nature of this risk, earthquake related coverage is
typically back by some form of government organization or specialized organization to assist
with claims payout and regulation.[25]
Additional Coverages
Includes a variety of expenses such as debris removal, reasonable repairs, damage to trees
and shrubs for certain named perils (excluding the most common causes of damage, wind
and ice), fire department charges, removal of property, credit card / identity theft charges,
loss assessment, collapse, landlord's furnishing, and some building additions. These vary
depending upon the form.
Section IIII Exclusions
In an open perils policy, specific exclusions will be stated in this section. These generally
include earth movement, water damage, power failure, neglect, war, nuclear hazard, septic
tank back-up expenses, intentional loss, and concurrent causation (for HO3). [26] The
concurrent causation exclusion excludes losses where both a covered and an excluded loss
occur. In addition, the exclusion for building ordinance can mean that increased expenses
due to local ordinances may not be covered.[27] A 2013 survey of Americans found that 41%
believed mold was covered, although it is typically not covered if the water damage occurs
over a period of time, such as through a leaky pipe.[28]
Causes of loss[edit]
According to the 2008 Insurance Information Institute factbook, for every $100 of premium, in
2005 on average $16 went to fire and lightning, $30 to wind and hail, $11 to water damage
and freezing, $4 for other causes, and $2 for theft. An additional $3 went to liability and
medical payments and $9 for claims settlement expenses, and the remaining $25 was
allocated to insurer expenses.[29] One study of fires found that most were caused by heating
incidents, although smoking was a risk factor for fatal fires.[30]
Claims process[edit]
After a loss, the insured is expected to take steps to mitigate the loss. Insurance policies
typically require that the insurer be notified within a reasonable time period. After that,
a claims adjuster will investigate the claim and the insured may be required to provide
various information.
Filing a claim may result in an increase in rates, or in nonrenewal or cancellation. In addition,
insurers may share the claim data in an industry database (the two major ones are CLUE
and A-PLUS[31]), with Claim Loss Underwriting Exchange (CLUE) by Choicepoint receiving
data from 98% of U.S. insurers.
HOME INSURANCE IN INDIA

Types of home insurance

Buildings insurance

As well as the structure of your house, this policy also protects any permanent fixtures
like your bathroom and kitchen fittings, as well as your roof.

This usually extends to outdoor buildings as well e.g. garages, sheds and greenhouses,
but not fences, walls and gates.

Though its not a legal requirement, most mortgage lenders insist that you get buildings
cover before they let you take out a mortgage.

Check out our buildings insurance guide for a more comprehensive list of whats
covered.

TOP TIP: What trips most people up when it comes to getting a buildings insurance
quote is working out the rebuild cost of your home.

Save yourself some time and work this out beforehand using a buildings insurance
calculator.

Contents insurance

If you stop to think about the sheer amount of stuff that you own, youd realise how
much it would cost to replace everything - usually tens of thousands of pounds.

A contents policy protects your belongings from theft, and damage from fire and flood
from your clothes and books to that treadmill you threw in the shed three years ago.

You dont have to get cover for your contents, but it helps cover your costs if you have to
replace a smashed TV, or deal with a room full of flooded furniture.

Take a look at our contents insurance guide for more information on how the policy
works.
TOP TIP: Trying to figure out how much everything you own is worth can be a bit of a
bother, and you could wind up underinsuring your possessions.

The easiest way to work this out is to use our contents insurance calculator. Go room
by room to make sure youve ticked off everything.

Landlords' insurance

If youre a landlord, youre responsible for the upkeep and maintenance of the building
that youre renting out.

A standard buildings insurance policy usually wont cut it for landlords, because
someone other than you lives in the building. Youll need something specifically
designed for landlords.

Landlords insurance could also cover things like loss of rent and public liability.

Tenants insurance

If youre renting a house or flat, you wont need buildings cover, so you can focus
entirely on protecting your contents.

This also applies if youre a student or living in a house share more people in the
house means more chances for something to happen to your stuff.

Some landlords may request that you take out a contents policy as part of your tenancy
agreement, so its worth checking out your options for what cover is available.

Listed buildings insurance

If youre lucky enough to live in a house that holds a special place in the nations heart,
then chances are itll be either Grade I, Grade II* or Grade II listed.
This will depend on its historic importance and cultural significance.

Although theres a certain air of prestige with these kinds of buildings, there are
restrictions with a listed building that could make repairing it more expensive.

Living in a listed building doesnt mean that you cant make any changes its just more
difficult and time-consuming to do so.

A listed buildings insurance policy takes this into account, so youre better able to get
the right level of cover.

High-value home insurance

Like standard policies, high-value cover is split into two types buildings and contents.

As a general rule of thumb, high-value buildings are those that would cost more than
500,000 to rebuild. This may vary depending on the insurer, though.

High-value contents are things like works of fine art, certain antiques and jewellery.

Standard contents policies usually have a single-item value limit, so if a valuable

painting is stolen, you might not be able to claim for the full amount.

A high value home insurance policy makes room for this added value so you have that
extra layer of protection.

Non-standard construction

So you have an interesting house.

Maybe youve built it yourself from scratch, or youve used timber frames and a thatched
roof to give it that rustic feel.

You might have even built the walls out of wattle and daub, medieval style.
Though this adds an extra touch of class and character to your home, many of the big-
name insurers may shy away from this kind of house because its too risky.

Timber frame or a thatched roof? Greater risk of catching fire.

That self-build house that youre so proud of? To an insurer, that might be an increased
risk of collapsing or needing substantial repair.

You may have better luck with specialist insurers that deal specifically with non-standard
houses.

Holiday home insurance

Take a moment and be a little smug. Not only do you have your own home, but you have
a second home for when you want to get away from it all. Lucky you.

Holiday homes arent normally covered in the same way as your usual house because
theyre usually left empty for long periods of time.

This means theres an added risk of burglary, as its a more tempting prospect for
thieves.

If youre looking to get cover for a holiday home, make sure youre open about the fact
its not your main house, otherwise any future claims you make might be void.

HOME CLAIM PRECETURE

In the event of an incident that may give rise to a claim under this Policy, You must notify the Company immediately
over phone or email us at customer.services@royalsundaram.in or provide written intimation and shall within 14 days
thereafter furnish to the Company detailed particulars of the amount of the loss or damage together with such
explanation and evidence to substantiate the claim as the Company may reasonably require.
Lodge a complaint with the Police forthwith in the event of theft and Burglary and take all practicable steps to
 apprehend the guilty person or persons and to recover the property lost.
You shall also at all times at your own expense produce, procure and give to the Company all such further particulars,
plans, specification books, vouchers, invoices, duplicates or copies thereof, documents, 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.
Wherever necessary, the Company will appoint Surveyors/Investigators. The Company shall be entitled on your
behalf to have absolute conduct and control of all or any proceedings it may consider necessary for the purpose of
tracing and recovering the property lost, or of securing reimbursement in respect of the items lost and You shall at the
Companys expense furnish all such assistance as may reasonably be required by the company in connection with
such proceedings.

The documents required to substantiate a claim are given below coverage

wise:
Fire claim

Duly completed Claim form

First Information Report

Paper cuttings or media reporting of the incident

Fire Brigade Report (in case of Loss, destruction or damage by Fire)

Meterological report (in case of Loss, destruction or damage by Flood, Storm, Cyclone)

Title deed establishing the ownership of the property (for Building cover)

Layout plan of the building / affected area (for Building cover)

Details of firefighting arrangements

Estimate for Repairs/ Replacement together with basis of arrival of the same

Invoice/Bills/ Receipts

Photographs

Flood and Inundation claims

Claim form duly filled

 Report from the meteorological department

Paper cutting or media report stating the incident

Layout plan of the building / affected area

Basis of arriving at the loss estimate

Engineers' quotation for repair/construction

Repair bills / Purchase bills

Temporary resettlement

Claim form duly filled

Proof of occupancy at the alternate accommodation indicating duration of such accommodation

Proof of rent paid for temporary accommodation

Burglary claim

Duly completed Claim form

Statement of loss confirming the items stolen

First Information Report filed with Police showing item identifications like description of items, date of
incident and estimate of loss

Loss estimate and Basis of arriving at the loss estimate

Invoice/Bills in original

Final Police Report

Non-traceable Certificate issued by Police authorities

Newspaper cutting if any reporting the incident

Letter of indemnity

Machinery Breakdown claim

 Duly completed Claim form

Copy of purchase invoices

Service Engineers Report

Original manufacturers/repairers technical report with repair estimate

Photographs

Invoice/Bills/ Receipts

All Risks Insurance claim

Claim Form

Original FIR

Statement of witness

Invoice/Bills

Non-traceable Certificate/Final Investigation Report

Plate Glass Insurance Claim

Duly completed Claim form

Photographs

Estimate for Repairs/ Replacement

Invoice/Bills/ Receipts

Loss of cash

Claim form duly filled

 FIR lodged with police

Sequence of events leading to loss

Letter of indemnity

Personal Accident for employees

Death Claims:

Claim form duly filled

Death Certificate

Autopsy Report

Police Report

Inquest report/Accident report if any

Extract of Accident Register at the hospital if available

Hospital records

News Paper cuttings if any and any other relevant records

Chemical Analysis Report if available

Disability Claims:

Claim form duly filled

Disability Certificate

Accident report

Police Report

Hospital Records

Extract of Accident Register at the hospital if available

 Newspaper cuttings if any and other relevant records

Photograph of the employee displaying disability

Employees Compensation

Wages statement, copy of attendance register if available

Proof of age of employee

FIR lodged with police

Original Summon / Petition if any

Statement of witness.

Report to Inspector of Labour

Copy of medical reports/fitness certificate (injury claims)

Post Mortem Report and death certificate (death claims)

Award copy

Baggage Insurance Claim

Duly completed Claim form

Copies of the letter addressed to police authorities describing the sequence of events leading to loss

First Information Report

Proof of Journey

Statement of witness

Purchase Invoice/Bills/ Receipts of items lost

Final Police Report

Non-traceable/Missing certificate
 Letter of indemnity

Other documents (applicable for all claims)

KYC documents (address proof and ID proof for all claims exceeding INR 1,00,000
Cancelled cheque leaf of SB account in the policy holders name for effecting NEFT settlement.
Any other documents as required by the Insurer depending on the nature and type of the claim preferred

The Claim documents should be sent to:

Accident & Health Claims Department

M/s.Royal Sundaram General Insurance Co. Ltd.,
Vishranthi Melaram Towers,
No.2/319, Rajiv Gandhi Salai (OMR),
Karapakkam, Chennai 600 097.
Tel.No:044-7117 7117.

Claim documents may be submitted to local Royal Sundaram Offices address of which can be obtained by calling our
Toll Number 1860 425 0000 or logging into our website www.royalsundaram.in or e-mailing us at
customer.services@royalsundaram.in.

Payment of Claims

Benefits payable under this policy will be paid within 30 days of the receipt of last necessary document.
The Company shall be liable to pay any interest at 2% above the bank rate prevalent at the beginning of the financial
year in which the claim is reviewed, for sums paid or payable under this Policy, upon acceptance of an offer of
settlement by the insured but there is delay in payment beyond 7 days from the date of acceptance.
At the time of claim settlement, Company may insist on KYC documents of the Proposer as per the relevant AML
guidelines In force.

Homeowners Insurance
Claim Settlement Process
Insurance Settlement Process Step-by-Step

1. Adjusting Your Claim

2. What About My Mortgage?

3. How Do I Select a Contractor and Who Pays?

4. What About My Stuff?

5. How Do I Get By While My Home is Repaired or Rebuilt?

 6. Rebuilding Options

Step 1: Adjusting Your Claim

When you are allowed back into your home contact your insurance company to set up a meeting with a claims
adjuster. An adjuster will inspect the damage to your home and offer you a certain sum of money for repairs. The first
check you get from your insurance company is often an advance against the total settlement amount. It is not the final
payment.

If you're offered an on-the-spot settlement, you can accept the check right away. Later on, if you find other damage,
you can "reopen" the claim and file for an additional amount. Most policies require claims to be filed within one year
from the date of disaster. Check with your state department of insurance.

When both the structure of your home and personal belongings are damaged, you generally receive two separate
checks from your insurance company, one for each category of damage. You should also receive a separate check
for additional living expenses that you incur while your home is being renovated.

Step 2: What About My Mortgage?

If you have a mortgage on your house, the check for repairs will generally be made out to both you and the mortgage
lender. As a condition of granting a mortgage, lenders usually require that they are named in the homeowner's policy
and that they are a party to any insurance payments related to the structure.

The lender gets equal rights to the insurance check to ensure that the necessary repairs are made to the property in
which it has a significant financial interest. This means that the mortgage company or bank will have to endorse the
check. Lenders generally put the money in an escrow account and pay for the repairs as the work is completed. You
should show the mortgage lender your contractor's bid and let the lender know how much the contractor wants up
front to start the job. Your mortgage company may want to inspect the finished job before releasing the funds for
payment to the contractor. Bank regulators have guidelines for lenders to follow after a major disaster. If you have any
questions contact your state banking department.

Step 3: How Do I Select a Contractor and Who Pays?

Hiring a reputable contractor to do repairs or construct a new home is critical. Word of mouth is still one of the best
ways to choose a contractor. Also check with the area Home Builders Association, Better Business Bureau or
Chamber of Commerce. Make certain they are licensed and have adequate insurance coverage.

Don't become a victim of disaster fraud. After a natural disaster, professionals often go from door-to-door in damaged
neighborhoods, offering clean up or repair services. Many of these business people are reputable. Others are not.
The dishonest ones may pocket payment without completing the job or use inferior materials and perform shoddy
work not up to code.

Step 4: What About My Stuff?

The first step is to add up the cost of everything inside your home that has been damaged in the disaster. Now is the
time to review your personal inventory, to help you remember the things you may have lost. If you don't have an
inventory, look for photographs or videotapes that picture the damaged areas. For expensive items, you may also
contact your bank or credit card company for proof of purchase. When making your list, don't forget items that may be
damaged in out of the way places such as the attic or tops of closets.

Most companies provide coverage for 50% to 70% of the amount of insurance you have on the structure of your
home. So if you have $100,000 worth of insurance on the structure of your home, you would have between $50,000
to $70,000 worth of coverage for your belongings.
How Do I Collect Payment?

If you have a replacement cost policy, you will be reimbursed for the cost of buying new items. An actual cash value
policy will reimburse you for the cost of the items minus depreciation. Regardless of which type of policy you have,
the first check will be calculated on a cash value basis. Most insurance companies will require you to purchase the
damaged item before they will reimburse you for its full replacement cost.

If you have financed your home, your bank may have received a check for both repairs to your home and your
possessions. If you don't get a separate check from your insurance company for your belongings, ask the lender to
send the money to you immediately.

If you have a replacement cost policy, you may be required to buy replacements for items damaged before your
insurance company will compensate you. Make sure to keep receipts as proof of purchase.

If you decide not to replace some items, in most cases you'll be paid the depreciated or actual cash value of the items
that were damaged. You don't have to decide what to do immediately.

Your insurance company will generally allow you several months from the date of the cash value payment to replace
the item. Ask your agent how many months you are allowed before you must replace your personal possessions.
Some insurance companies supply lists of vendors that can help replace your property.

Step 5: How Do I Get By While My Home is Repaired or Rebuilt?

Additional Living Expenses. Your check for additional living expenses should be made out to you and not your lender.
This money has nothing to do with repairs to your home and you may have difficulty depositing or cashing the check
if you can't get the mortgage lender's signature. This money is designed to cover your expenses for hotels, car
rentals and other expenses you may incur while your home is being fixed.

Step 6: Options for Rebuilding

If your home has been destroyed, you have several options:

Rebuild your home on the same site.

The amount of money you'll have to rebuild your home depends on both the type of policy you bought and the dollar
limit specified on the first "declarations" page of your policy. Generally, you are entitled to the replacement cost of
your former home, providing that you spend that amount of money on the home you rebuild. Remember, your
insurance policy will pay to rebuild your home as it was before the disaster. It won't pay to build a bigger or more
expensive house. A similar rule applies to repairs.

Decide not to rebuild or to rebuild in a different location.

The amount you'll get from your insurer will be determined by your policy, state law, and what the courts have ruled
on this matter. If you decide not to rebuild, review your policy and ask your insurance agent or company
representative what the settlement amount will be.
Types of polices as per iso