Accidental Damage property has its base in Fire Insurance but provides a broader coverage by covering damages occurring from Fire insurance plus the risk of damage from any unforeseen accidents which is outside the control of the insured.
In this case, the Policy will have a list of items that is NOT covered by the policy and it will cover against damages that occurred due to accidents not mentioned in the policy. This is used for businesses such as factories, warehouses, etc.
The policy will consist of:
- General Conditions – General conditions similar to other fire insurance policies including Name of the insured, Insured item, deductibles etc
- Cover Provided – The cover period for the Insured Item against damages not listed in the exceptions list
- The Exceptions list – The exceptions for which this policy will not be responsible for any damages occurring due to these reasons.