In Nigeria, cases of theft are common. A theft either at home, shop or office can cause you massive financial loss. Hence, you need to get insurance against theft to cover the risk of theft on your property. If you do this, you will be rest assured that your finances will not be affected if there is an incident of theft on your property.
What is Insurance against theft?
Theft insurance is a type of insurance policy that safeguards against robbery, burglary, and others. Basically, this type of insurance cover compensates you for the loss incurred because of looting.
However, insurance against theft should not be mistaken for burglary insurance. While the former covers all acts of stealing, the latter covers only the forceful entry into a closed premise.
What are some types of theft insurance policies?
There are 4 types of theft insurance policies. They include:
1. Residence
This insurance policy covers all types of personal belongings, including jewels and other household items. Basically, it insures the items in your household.
2. Business
The business insurance policy covers your business premises. Also, it covers the properties on your business premises. So, if anything happens to it, they will cover the cost.
3. Financial
This type of theft insurance policy covers cash that is moved from one place to another. For example, if a bank is transferring cash, they have to insure it against theft.
4. Miscellaneous
This insurance policy covers certain items of the household. Basically, it covers your jewels, cameras, watches, paintings, artifacts, etc.
How can I file a claim for Insurance against theft?
To file a claim for theft, you need to provide proof of the theft. Basically, this includes the non-violent and forceful attempts into your premises. Once you provide proof, your insurance provider validates it and replaces the property you lost.
What is the coverage provided in a theft insurance policy?
Generally, theft insurance policies may vary depending on the insurance provider. Just ensure that you read the policy terms and conditions before you buy an insurance cover. Basically, this enables you to know the policy’s features and the risks that it covers.
Usually, this kind of insurance will cover the cost of any item that is stolen from your property. However, you should note that your insurance provider determines the cost of the insurance premium based on some factors. These include the nature of items on the property, claim history, and security measures available at the premises.
What are the limitations of this Policy?
Every insurance policy has a few limitations. Hence, this kind of insurance will not offer compensation for certain items on your property. You will need to purchase insurance cover for these items separately. Basically, the limitations may differ depending on the insurance provider. Here is a list of some of the insurance limitations:
a. Cash
b. Precious metals like silver, gold, etc
c. Items that your family members loot
d. Share certificates
e. Things that your employees loot
f. Items that were stolen by housemaids
g. Theft during wars, riots, natural calamities, strikes, and terrorist activities
What conditions can invalidate my claim?
Your insurance provider can invalidate your claim under the following conditions:
1. Theft that was conducted on a property that was left unattended.
2. If the theft was conducted on a property that was not properly locked.
3. A property where security is not maintained.
4. Forged theft to claim benefits from a theft insurance policy.
Conclusion
It is important to get this kind of insurance for your households and businesses. Basically, it saves you from financial loss when your property gets damaged. Depending on your need, you can choose from the available types of theft insurance policies and protect yourself from unforeseen financial loss.
If you need help with understanding where to begin with insurance, learn about insurance market today.