Package Policies

Question 1

What kind of risks do insurers favour for inclusion in a package policy?

Answer 1

Homogenous risks

Question 2

The premium for a shopkeepers’ policy is USUALLY based on

Answer 2

The contents sum insured

Question 3

The death benefit under the personal accident section of a travel policy is usually _______ for children under 16 years of age.

Answer 3

Reduced/lower

Question 4

The limit of liability applicable to the Loss of Rent cover under a household buildings policy is usually…

Answer 4

10-15% of the buildings sum insured.

Question 5

The cyber liability section of the cyber risks cover provided by a commercial package policy, includes cover for:

Answer 5

Damages/Costs
Unauthorised access/publication/use of data
Transmission of virus to TP
Loss of reputation

Question 6

What is the typical maximum indemnity period for business interruption under a package policy?

Answer 6

12 months

Question 7

What are the two main options for settlement of a household claim, when the item is irreparable?

Answer 7

Indemnity (market value)

New for old (reinstatement)