Many policies include an excess.

What is excess policy in fire insurance. The excess policy contributes to only a rateable proportion of the loss because if the amount of excess stock exceeds the sum set in the excess policy the businessman will not have a full cover owing to the average condition. This insurance does not cover any loss or damage to property which at the time of the happening of such loss or damage is insured by or would but for the existence of this policy be insured by any marine policy or policies except in respect of any excess beyond the amount which would have been payable under the marine policy. Normally youll only have to pay the excess if youre at fault but you usually have to pay upfront.

An excess can be imposed by the insurer or voluntarily chosen by the insured. Permanent or temporary dispossession by order of Government. Call 646 844-9933 anytime.

For example if the primary insurance coverage. To combat such issues it is advised to go with an excess policy in fire insurance which is bought to cover additional risks which are beyond the cover of the first fire insurance policy. It is a very useful feature which can be considered by those people whose stock fluctuates from time to time.

Excess insurance is insurance coverage that kicks in when a particular loss reaches a certain amount. Its a way of you accepting a small portion of the risk yourself. Therefore policyholders with a primary insurance policy often purchase excess insurance as an additional layer of protection.

1Standard Fire and Allied Perils Policy The Standard Fire and Allied Perils Policy popularly known as SFSP covers the following perils. Period of fire Insurance. The period of insurance is to bedefined in the policy.

At that point insurer will cover losses in excess of that sum up to the policy limit. Types of Fire Policies. Fire insurance is a contract of insurance against the lossdamage by accidental fire or other occurrences customarily included under a fire policy.