An Industrial Special Risk policy is a broader form of business insurance which provides a more suitable level of indemnity for organisations who have high value assets and multiple properties, generally over $5 million.
A primary benefit of an Industrial Special Risk policy is the ample level of cover it provides for your property. The policy will cover property damage to your assets by any cause not excluded under the policy. The breadth of cover available will see that you are best placed to make decisions for the future of your business with greater confidence.
Please Note: Below are some of the more common insurance policy features, however, the list is not exhaustive and some features may not be offered by certain insurers. Please refer to the insurer-specific policy wording for inclusions, exclusions, terms and conditions.
Covers loss or damage to business property like buildings, contents, plant and machinery, stock, money etc. by any cause unless specifically excluded.
Covers the clean-up costs following a damage to business property.
Provides cover for losses incurred due to the non-operation or reduced operations of the business as a result of an insured loss.
Sub-limited cover for a loss due to your inability to access your business premises due to an insured peril both at your premises or within the vicinity of your premises.
Cover for burglary, theft of money as well as employee dishonesty.
No it should be specified under the ISR sub limits. As a rule of thumb you should insure for 20% of the asset value at the location. Consideration must be made for situations where asbestos is present.
As an ISR policy is an ‘All Risk’ cover as it provides cover up to the declared values subject to the sub limit. The sub limit is a way that the insurer can reduce down the cover on certain perils. For example: The insurer may not wish to cover up to the declared value for landscaping costs so they will apply a $50,000 sub limit.
ISR stands for Industrial Special Risk. The name would seem to indicate that its a policy designed for business involved in manufacturing however this is not correct. An ISR policy is appropriate for any large commercial business.
A Limit of Liability provides the insurer with an idea of what their maximum exposure would be at any one location. The insurer does not rate their premium on the Limit of Liability. A Declared Asset Value is the sum insured on the physical assets at each of the properties. The insurer does charge on the declared assets.
Yes, as long as the declared assets are over $5,000,000. Some insurers will provide an ISR for limits over $3,000,000.
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