The Southern Region of All India Rubber Industries Association, in an endeavor members about getting right insurance cover, had organized a Webinar titled - 'Right Insurance Policies for Your Company'. The Webinar conducted through Zoom garnered attendance of about 40 members was moderated by Mr. Karthik R, Vice Chariman of the AIRIA Southern Region Chennai.
The Webinar had eminent speaker Mr. TL Arunachalam of Bharat Re-Insurance Brokers Pvt. Ltd. who heads the company as a Director & Head, Cyber and Emerging Risks Practice.
As a leading provider of insurance solutions for a wide range of industries, Bharat Re-Insurance Brokers Pvt. Ltd. had organized this Webinar in collaboration with the All India Rubber Industries Association - Southern Region conducted a webinar on 'Right Insurance Policies For Your Company' on 13th February 2024.
Protecting your assets and ensuring long-term success requires strategic risk management, and one of the most important components of that is selecting the right insurance coverage.
Mr. Arunachalam began by recognizing that sometimes there are gaps between the intention and what is covered in many insurance policies. This occurs for many reasons, ranging from knowing what is actually needed in terms of risk coverage, updated valuation of older assets, compromising on proper documentation, the description of the assets to be covered, updates on correct location address, up to date assets based on capitalization on insured's books, projects under execution, import of capital equipment subject to forex changes, to non-inclusion of materials and products, which leads to distortion in the pricing and coverage provided.
The webinar began with a focus on the bridging the gap between perils and protection and the role of the devil in the details. He advised a thorough assessment of risks such as property damage, liability claims, loss of inventory, business interruption, and understanding the risks helps determine which types of insurance coverage are essential for the business.
He strongly advocated for one to seek industry-specific coverage and to engage providers that specialize in your industry to avoid gaps that could leave you exposed to significant financial losses. He called for a critical review of all your insurance policies as at times simple issues occur, addresses are not given properly, names are wrong, and all of them come to light at the time of claims. Such omissions are not by design and therefore one must not only de-risk the business but take care of the details. He stressed increased focus on policy holders, especially the regulatory measures, what the insurer has charged but shows differently in the policy.
He then covered pertinent issues in insurance claims to be checked due to which insurance contract uncertainties occur and often have you run into rough weather. They included restrictive description of the subject matter, the occupancy, and location being missed. Instances such as frequently left out items or carelessly described subject matter - compound wall, cycle shed, security office, roads, street lights, garden & landscaping, semi-finished goods, work in process, moulds and dies, packing material, materials stored in the open, waste material are often completely omitted.
Mr. Arunachalam then listed out a host of issues in all policies - liability issues, legal exposure, crime insurance, and cyber insurance and what to expect from insurance companies as a response to your claims. Next topic included advisory on warranties in the policy, types of warranties, goods held in trust followed by an elaborated discussion on the correct way to insure your subject matters.
Mr. Arunachalam stressed the importance of having expertise advisory in terms of policy design and claims management and in providing holistic solutions in the liability space in order to succeed when it matters the most. Navigating the intricacies of insurance can be overwhelming and an experienced broker can help one to understand fine print, compare options, and ensure you have the right coverage in place.
He went on to explain on the add on covers and extensions one could accommodate such as debris removal, earthquake add on cover, terrorism add on cover, spontaneous combustion, leakage and contamination, impact damage to own vehicle, auditor fees and more. He provided insights on understanding loss of profit/ business interruption insurance, the correct value to be insured, and how to choose the right insurance coverage to safeguard your assets in order to pave the way for long-term success.
As businesses evolve over time, so does your insurance needs. Mr. Arunachalam signed off by stressing one to regularly review your insurance coverage to ensure it aligns with any changes in your operations, assets, and risk profile so as to make adjustments as appropriate. Selecting the right insurance coverage is a critical aspect of protecting your business and by assessing your risks, seeking industry specific coverage and working with experienced professionals is the mantra to stay secure.
The Speaker Mr. T L Arunachalam
Mr. Karthik R, Vice Chairman, AIRIA - Southern Region moderating the Webinar