Due to the occurrence of a few bank locker robberies in the recent past, IFFCO Tokio General Insurance has started to offer a one-of-its-kind Bank Locker Protector Cover, wherein the policyholder’s title documents and jewellery will be provided insurance coverage based on a declaration alone. Insurance firms in the country do offer coverage for one’s bank locker contents. However, it is usually covered under a wider household insurance cover.
The private-sector general insurance company started working on the policy after a robbery in Mumbai, where robbers had tunnelled their way into the strong room of a bank, after which they proceeded to empty the contents of more than 30 lockers. Such incidents have occurred across the country, in other places, too.
IFFCO Tokio’s Bank Locker Protector Cover is limited to any loss to the policyholder’s valuables while it is in the lender’s possession. Policy buyers can get insurance coverage for their bank locker contents for up to a sum of Rs.40 lakh for a premium amount of Rs.2,500. For insurance coverage up to Rs.40 lakh, the policy buyer is only required to submit a declaration of the valuables, without the need for valuation. The insurer only insists on valuation if the sum insured is over Rs.40 lakh.
The Bank Locker Protector Cover provides coverage against any loss that may arise as a result of burglary, an accident, terrorism, infidelity on part of the bank’s staff, or hold-up. Coverage will only be offered for contents that are in bank lockers of scheduled banks. Individuals cannot purchase this cover for private lockers.
The policy can currently be purchased by individual policy buyers. IFFCO Tokio General Insurance is holding talks with banks to offer this insurance cover to individuals while providing the locker on rent. The annual premium for a policy with a sum insured of over Rs.40 lakh comes up to 0.06% of the total sum insured, while for policies with a sum insured of under Rs.10 lakh, the annual premium amounts to 0.1% of the sum insured.
Source: The Times of India