HDFC Ergo Liability Policies
2017-12-12 17:00:00 UTC
Liability or Casualty Insurance Policy
HDFC ERGO's Casualty Insurance helps companies manage a wide range of Liability risks and exposures encountered in today’s business environment. Their products like Commercial General Liability, INT Errors and Omissions, and Product Liability include enhancements and coverage more comprehensive than many of their competitors.
This flexible approach allows for tailoring of these products to meet individual needs. You can talk to Perilwise’s experts, or just fill out our lead forms to get a quote estimate emailed to you. HDFC Ergo offers Product Liability Insurance solutions and services for private and Public companies, not-for-profit organisations, start-ups and information and network technology companies.
The key products offered under Casualty Insurance(or Liability Insurance) in the Indian market are:
Commercial General Liability
- General Liability insurance covers a wide range of Liability loss exposures faced by most organisations; it is the foundation for most organisations’ liability insurance programs.
- GFor organisations that have customers or other members of the Public entering their buildings, life safety during fires in the premises is often the principal Liability concern.
Information & Network Technology Errors & Omission
- GCovers you for liabilities, errors and omissions specifically related to Information & Network technology
- GThis policy covers all sums that the insured becomes legally liable to pay as damages due to Accidental bodily injury or property damage to third party.
- GThis policy is the primary method by which an employer can demonstrate the ability to satisfy the obligations imposed by the worker’s compensation statutes.
Commercial General Liability Insurance Policy
The typical Commercial General Liability (CGL) policy provides protection against claims of bodily injury or property damage for which your business may be liable.
A Commercial General Liability Insurance Policy covers a wide range of Liability loss exposures faced by most organisations; it is the foundation for most organisations’ Liability insurance programs.
HDFC ERGO’s Commercial General Liability protection responds to exposures some of which didn't exist 10 years ago. For example, the rapid rise of the Internet has dramatically increased the potential for libel, intellectual property and invasion of the right of privacy suits. Typical standard policies do not adequately respond to these contingencies. Data breaches are also a major risk for companies nowadays, which can cause major loss of business and damages in court.
- The policy offers the option of protection for bodily injury, property damage, advertising injury and personal injury to a third party for which a company is found to be legally liable.
- It can provide a separate advertising/personal injury aggregate limit that is not Subject to a general aggregate limit.
- Personal injury includes discrimination, harassment and segregation (other than employment-related)
- Bodily injury includes humiliation, mental anguish, mental injury and shock resulting from physical injury
- Advertising injury includes trademark infringement
- Products-completed operations hazard
- Medical Expenses Coverage
- Damage to premises rented to you
- Sudden & Accidental Pollution Liability (excluding USA & Canada)
- Coverage for additional insured when required by written contracts
- Advertising Injury and Personal Injury Liability Coverage
- Vendors Endorsement
- Oral and written contractual Liability: bodily Injury/Property damage
- Expected or intended injury
- Contractual Liability
- Worker’s Compensation and similar laws
- Damage to your property
- Damage to your product
- Damage to your work
- Aircraft, Auto or Watercraft
- Professional Liability
- Personal and Advertising Injury
- Electronic data
Public Liability Insurance Policy
Every business is carefully nurtured for growth and profit. But inevitably, as in life, accidents occur. For instance, a customer slips and twists her ankle because of a wet floor in your business premises, resulting in hospitalisation. The daya to day running of your business could have many unintended consequences that could cause damage to the general public.
Public exposures and liabilities affected by law can bring an abrupt end to a promising business future. With HDFC ERGO’s Public Liability Insurance Policy, you are covered against such legal liabilities, giving your business the best of protection.
The policy indemnifies you for any claims arising out of accidents, injury and damages that occur on your premises in connection with the functioning of your business.
For more comprehensive protection, you can extend it to cover legal exposures arising out of sudden and accidental pollution, Act of God perils, transportation of hazardous substances and more.
This depends on the exposure you specify. You are required to fix two limits of indemnity which are (for both premises and transportation):
- Any One Accident (AOA). This is the sum insured limit the insurer will pay for any one incident in the policy period
- Any One Year (AOY). This is the sum insured limit that the insurer will pay for any one year
- AOA and AOY must be in the ratio of 1:1, 1:2, 1:3 or 1:4. It is not permissible to issue a policy with unlimited liability.
The policy is subject to a compulsory excess of 0.25% of the AOA limit, subject to a maximum of Rs.1,50,000 and minimum of Rs. 1,500. Opting for a higher excess on a voluntary basis qualifies you for a discount in the premium payable.
- Industrial Seepage, Pollution and Contamination Extension
- Carriage of Effluents (Outside the Premises) Extension
- Transportation Extension
- Act of God Perils Extension
The policy does not cover liability arising out of or relating to pollution, any product, personal injuries such as libel, slander, fines, penalties and punitive or exemplary damages, and transportation of materials.
Information & Network Technology Errors & Omission
IT sector companies operate in an environment where innovation is a business imperative, not a lofty goal. HDFC Ergo has built a separate product for these companies by creating a portfolio of third-party Liability solutions such as Errors & Omissions insurance and intellectual property insurance to help protect a company's bottom line from the financial devastation of a lawsuit.
Schedule a call with a Perilwise expert, or fill out our form to get quotes on email. Perilwise has expertise in managing complex cyber risks, and our experts will find you the best cover to suit your needs.
Product Liability Insurance Policy
As a manufacturer supplying products, you are always susceptible to the possibility that your product could cause damage to a third party – either property or a person. A small defect could open you up to massive claims. In such a case, HDFC ERGO’s product Liability Insurance is vitally important for product manufacturers. The policy not only protects your organisation from claims but also covers legal costs associated with defending these claims against your organisation.
The policy covers all sums (including defence costs) which the insured becomes legally liable to pay as damages because of: * Accidental death/bodily injury or disease to any third party; * Accidental damage to property belonging to a third party; arising out of any defect in the product manufactured by the insured and specifically mentioned in the policy, after such product has left your premises.
Coverage is written on a claims-made basis, i.e. a Liability policy that provides coverage for an injury or loss if the claim is first reported or filed during the policy period. However, the policy offers the benefit of retroactive date, i.e. a date stipulated in a claims-made Liability policy declarations section as the first date of incidents covered by the policy. The retroactive date is designed to provide coverage for claims resulting from incidents that take place prior to the current policy term. Renewal claims-made policies usually have the retroactive date of the first policy issued to the insured. When this is not done, there is a gap in coverage.
- Global extension: Policy can be extended to cover Liability arising out of judgements or settlements made in countries anywhere in the world.
- Limited vendor’s Liability extension: Limited vendor’s Liability means Liability arising out of sale and distribution of named insured products by vendors with original warranties and instructions of use of the product specified by the manufacturers.
How much product Liability insurance do you need?
The amount of coverage your business needs depends on:
- Perceived risk from a product: You should first consider the amount of risk associated with your product. For example, a heavy machinery manufacturer is at a greater risk of being sued than a manufacturer of linens and would therefore need more Liability insurance.
- Jurisdiction/Country of exports: If you export to countries across borders with a history of awarding high damage amounts to plaintiffs, you will typically need to have product Liability insurance with higher coverage limits.
Cost of insurance
- This depends on the type of product you deal with. The higher the risk your product represents, the more expensive your premiums will be. Premiums also depend on the total turnover, countries you export to, coverage limits, policy extensions and deductibles.
- In addition, you can reduce your insurance costs by reducing your risks or by instituting certain quality control procedures at your company. Identifying, eliminating and mitigating the risks can help protect you against future losses and can also lower your premiums.
- The policy is Subject to a compulsory excess of 0.25% of the AOA limit, Subject to a maximum of Rs.1,50,000 and minimum of Rs. 1,500.
- Opting for a higher excess on a voluntary basis qualifies you for a discount in the premium payable.
Why HDFC ERGO?
- HDFC ERGO provides coverage on a wide range of low-medium risk product classes on a claims-made basis. Claims-made coverage provides lower premiums, which is particularly beneficial to new companies in a start-up phase.
- HDFC Ergo liability products specialise in: o New products. o Flexible Liability coverage for manufacturers, sellers or distributors of a wide range of products. o Claims-made coverage, ideal for smaller, start-up companies. o Worldwide coverage: With HDFC ERGO’s extensive global network, Perilwise can help you place admitted covers in countries where it is a statutory requirement. Perilwise can customise coverage for your particular needs; by combining multiple liability covers such as:
- product Liability in combination with E&O and general Liability.
- product Liability with vendor extensions.
The policy does not cover any Liability for product recall, product guarantee, pure financial loss such as loss of goodwill or loss of market. The policy also does not pay for the cost incurred for repairing or reconditioning or modifying the defective part of the product.
Workmen's Compensation Insurance Policy
In an increasingly global work environment, employee rights have rapidly moved forward. To protect organisations from the threat of expensive lawsuits and large compensation pay-outs, HDFC ERGO has the Workmen’s Compensation / Employer’s Liability Insurance.
Workmen’s Compensation Insurance is the primary method by which an employer can demonstrate the ability to satisfy the obligations imposed by the Worker’s Compensation statutes. It is compensation payable under a scheme set out in the Workmen’s Compensation Act of India, monitored by the Ministry of Labour.
The policy covers statutory Liability of an employer for the death of or bodily injuries or occupational diseases sustained by workmen in employer’s(& policyholder) immediate service, arising out of, and in the course of employment.
Employer’s Liability insurance covers for bodily injury to employees occurring within the scope of their employment when that Liability is not covered by worker’s compensation.
Below are the relevant statutes and laws under WC/EL policy. The policy covers legal Liability of an employer under: * Workmen’s Compensation Act, 1923, and Subsequent amendments of the said Act prior to the date of issue of the policy * Indian Fatal Accidents Act, 1855, and Subsequent amendments of the said Act prior to the date of issue of the policy * Common Law
Who needs Workman compensation Insurance?
- Any employer of employees who do not qualify as “workmen” but share an employee-employer relationship.
- Any employer of employees who qualify as “workmen” but share an employee-employer relationship.
- Permanent total disablement
- Permanent partial disablement
- Temporary disablement
- Legal costs and expenses incurred with the company’s consent
- Actual medical, surgical and hospital expenses including the cost of transport to hospital for Accidental employment injuries
- Any compensation for diseases mentioned in Part ‘C’ of Schedule III of the Workmen’s Compensation Act, 1923, which arise out of and during employment
- Any injury which does not result in fatality or partial disablement for a period exceeding 3 days
- The first 3 days of disablement where the total disablement is less than 28 days
- Any non-fatal injury caused by any Accident directly attributed to:
- Cumulative bonus for each claim free year
- Liability to employees of contractors of the Insured (unless separately declared and covered)
- Liability of the Insured assumed under an agreement
- Diseases mentioned in Part ‘C’ of Schedule III of the Workmen’s Compensation Act, 1923
- Any change in statute provisions after the policy has commenced
As businesses deal with a increasingly more connected world, the risk of a mistake being very costly to the business is very high, and something businesses need to mitigate. Speak to a perilwise expert to get an idea of what liability policy is best for you.