MANAGEMENT

Detailed explanation-1: -Fire insurance contract is based on mutual faith. On receipt of the proposal the underwriter assesses the possible loss involved in the proposal. The proposal may be accepted on its receipt or a surveyor may be sent to assess the proposal. When the underwriter accepts the proposal, the contract comes into existence.

Detailed explanation-2: -Fire insurance is property insurance that covers losses or damage to a structure damaged or destroyed in a fire. Fire insurance in a standard homeowners policy may be capped at a rate that is less than the cost of the losses accrued.

Detailed explanation-3: -Fire insurance coverage includes mishaps caused due to accidental fire, lightning, implosion or explosion, etc. And also, man-made perils such as bursting of water tanks and pipelines or overflowing, leakages from water sprinkles, and so on.

Detailed explanation-4: -Replacement Policy: Under this policy, the insurance providers assure compensate for the loss on the basis of the market value of the property. Thus, the amount to be compensated is calculated after considering the depreciation value of the property.