In India, “Office Protector Insurance” or more commonly, “Office Package Policy” provides comprehensive coverage for businesses against various risks to their premises, assets, and operations.
Key features and coverage
- Property Protection: Covers the office premises and its contents (furniture, fixtures, machinery, electronic equipment, etc.) against perils like fire, earthquake, explosion, lightning, burglary, theft, natural calamities (storms, floods), and accidental damage.
- Business Interruption: Protects against financial losses (loss of profit, fixed costs, increased cost of working) due to business interruption caused by a covered event (like fire damage requiring relocation or temporary shutdown).
- Liability Coverage: Provides protection against third-party liabilities arising from bodily injury or property damage on the office premises.
- Electronic Equipment Coverage: Covers accidental loss or damage to electronic equipment and may also include coverage for data loss and restoration costs.
- Employee-related Coverage: May include coverage for employee dishonesty, such as theft, fraud, or forgery by employees, as well as personal accident coverage for employees during the course of employment.
- Additional Coverage: Can include coverage for expenses related to glass breakage, neon signs and hoardings, and professional indemnity (for businesses offering professional services).
Types of policies
- Standalone Office Insurance: Basic coverage focusing on property and contents against specific perils like fire and theft.
- Commercial Package Policy (CPP): A bundled policy offering comprehensive coverage across various sections under a single policy.
Importance
Office protector insurance is crucial for businesses of all sizes to safeguard their financial health and ensure business continuity in case of unforeseen events.
Cost
The premium for office insurance varies based on factors like the type of business, coverage limits, location, and specific risks. For basic coverage, annual premiums can range from Rs. 2,000 to Rs. 12,000.