Insurance Coverage

1. Fire and Allied Perils:

• Protection against Fire: This covers losses or damage to your shop and its contents caused by accidental fires. It includes both minor fires and larger, more destructive ones.


• Lightning: Protection is extended to damage resulting from lightning strikes.


• Explosion: In the event of an explosion within the shop premises, the policy provides coverage.


• Riots and Civil Commotion: Losses due to riots, civil disturbances, or strikes are covered.

2. Burglary and Theft:

• This coverage is essential to protect against financial losses resulting from theft or burglary. It includes break-ins, theft of stock or equipment, and damages caused during theft attempts.

3. Public Liability:

• This component safeguards you against legal liability arising from injury or property damage to third parties on your shop premises. It covers legal expenses and compensation that may be required.

4. Goods in Transit:

• Protection for goods while they are in transit, either to or from your shop. This can include cverage for loss or damage to your merchandise during transportation.

5. Money Insurance:

• Coverage for loss of money in transit, including while being transported from your shop to the bank. It also protects against theft of money within your shop.

6. Plate Glass:

• This provides coverage for damage to glass windows or doors of your shop. It is particularly important for businesses with prominent glass storefronts.

7. Business Interruption:

• In the unfortunate event that your shop's operations are disrupted due to insured perils (e.g., fire), this component compensates for the lost income. It ensures that your business can continue even in challenging times.

8. Optional Add-Ons:

• The policy offers the flexibility to add optional coverages tailored to your specific needs. These can include:
• Employee Theft: Protects against financial losses caused by dishonest employees.
• Neon Sign Coverage: If your shop uses neon signs, this optional add-on ensures they are protected from damage or theft.

Essential Documents

1. Shop Ownership Proof or Lease Agreement:

• For Shop Owners: If you own the shop premises, you'll need to provide ownership documents such as property deeds, title certificates, or property tax records to prove that you are the rightful owner of the shop.


• For Lessees: If you lease the shop, a lease agreement is vital. This document should outline the terms of your lease, including the duration, rent, and the landlord's details.

2. Identity Proof of the Shop Owner:

• A government-issued identity document of the shop owner, such as an Aadhar card, passport, or driver's license, serves as proof of identity.

3. Address Proof of the Shop Premises:

• A valid address proof for the shop's location, such as a utility bill, property tax receipt, or rental agreement, establishes the physical address of the shop.

4. Details of the Stock and Inventory:

• A comprehensive list of your shop's stock and inventory, along with their approximate values, is essential. This can include product descriptions, quantities, and their respective market values.

5. Previous Insurance History (If Applicable):

• If you've had any previous insurance policies related to your shop, it's crucial to provide a record of your insurance history. This can include past policies, claims history, and policy details.

6. Business Registration Documents (If Any):

• If your shop is a registered business entity, such as a sole proprietorship, partnership, or company, include relevant registration documents. These could be a business license, GST certificate, or incorporation documents, depending on your business structure.

Overview

Running a shop comes with its own set of challenges, and ensuring the protection of your business is essential. The "Shop Keeper Insurance Policy" by India Advocacy in collaboration with ICICI Lombard, is a comprehensive insurance solution tailored to safeguard shop owners from unforeseen events. The "Shop Keeper Insurance Policy" by India Advocacy in collaboration with ICICI Lombard is a valuable safeguard for shop owners. It provides peace of mind by protecting against unforeseen events that could disrupt your business.

Types of Shops Covered

The policy is designed to provide comprehensive insurance coverage for a diverse range of shops, offering protection against a multitude of risks. While the list is extensive, it includes but is not limited to the following types of shops:

• Retail Stores: These encompass a broad spectrum of businesses, from small convenience stores to large department stores. Retailers can safeguard their merchandise, equipment, and premises with this policy.


• Grocery Shops: Whether it's a neighborhood grocery store or a supermarket, the policy covers groceries and other stock, ensuring financial protection in case of perils like fire or theft.


• Electronics Stores: Businesses specializing in electronics, such as mobile phone shops, computer stores, and appliance retailers, can secure their valuable inventory and electronics against potential risks.


• Clothing Boutiques: Fashion retailers, including boutiques, apparel shops, and clothing stores, can protect their stock, equipment, and premises from events like fire, theft, or damage.


• Stationery Shops: Stationery and office supply shops can benefit from this policy, guarding against losses resulting from incidents like burglary or vandalism.


• Hardware Stores:. Whether it's a small hardware shop or a larger home improvement store, the policy provides coverage for tools, equipment, and inventory.


• Pharmacy Outlets: Pharmacies and medical supply shops can rely on this insurance to protect vital medication and pharmaceutical inventory.


• Confectionery Shops: Sweet shops, bakeries, and confectionery businesses can ensure the safety of their delectable treats and business assets with this policy.

Follow the general instructions listed below while furnishing the digital signature application form:

• The signature of the applicant should be in blue ink only
• The signature of the applicant should be as it is in the Identity Proof
• A photo of the applicant in the application form should be signed by the applicant
• All supporting documents should be attested by either Gazetted Officer / Bank Manager / Post Master
• For proof of attesting officer, either one of the below is mandatory –
• Contact Details of Attesting Officer including the name, designation, office address, and contact number. This should be part of the attestation. If provided separately, it should be attested either by the Applicant or Attesting Officer
• Self-Attested copy of the Organizational Identity card of the Attesting Officer
• Organizational Documents can also be attested by Authorized Signatory. However, if the taxpayer fails to get the Organizational Documents attested by the authorized signatory, an attested copy of the organizational ID card of the authorized signatory is mandatory.

How Digital Signature work

Like handwritten signatures, digital signatures are unique to each signer. The providers of digital signing solutions, such as DocuSign, follow a specific protocol called Public Key Infrastructure (PKI). PKI requires the provider to use a mathematical algorithm to generate two long numbers called keys. One key is public, and one key is private.
When someone electronically signs a document, the signature is created using the signer’s private key, which is always securely kept by the signer. The mathematical algorithm acts as a cypher, creating data matching the signed document, called a hash, and encrypting that data. The resulting encrypted data is the digital signature. The signature is also marked with the time that the document was signed. If the document changes after signing, the digital signature is invalidated.
For instance, suppose that Jane signs a timeshare sale agreement with her private key. The buyer receives the document. A copy of Jane's public key is also sent to the document's purchaser. If the signature is not Jane's or the document has changed since it was signed, the public key will be unable to decrypt it using the cypher that produced the keys. The signature is then invalid. To ensure the integrity of the signature, PKI mandates that keys be generated, carried out, and stored securely. As a result, a reliable Certificate Authority (CA) is typically required. Companies that provide digital signatures, like DocuSign, address the PKI criteria for secure digital signatures.

Factors Affecting the Premium of ShopKeeper Insurance Policy:

Business Size and Type:

• Larger businesses: The size of your business is a significant determinant of your insurance premium. Larger businesses typically have more assets, employees, and operations to protect. Therefore, they may face higher premiums to cover the increased exposure to risk.


• High-risk industries: The nature of your business and the industry it operates in also plays a critical role. Businesses in high-risk industries, such as construction or healthcare, often face higher premiums due to the elevated likelihood of accidents or claims.

Location:

• The geographical location of your business can impact your insurance premium. If your business is situated in an area prone to natural disasters like earthquakes, floods, or hurricanes, your premium may be higher to account for the increased risk of property damage.

Coverage Limits:

• The coverage limits you choose for your policy directly influence the premium. Higher coverage limits result in higher premiums because the insurance company is taking on more financial responsibility to cover potential losses.

Business History:

• Your business's claims history can affect your premium. If you have a track record of frequent claims, particularly large ones, insurers may view your business as a higher risk. This may lead to increased premiums as the insurer anticipates a greater likelihood of future claims.

Security Measures:

• Implementing safety and security measures within your business can have a positive impact on your premium. Insurers often reward businesses that take steps to reduce risks. This can include measures like installing security systems, fire alarms, safety protocols, or employee training. These efforts can result in lower premiums as they demonstrate a commitment to risk mitigation.

Deductibles:

• The deductible you choose—the amount you're willing to pay out of pocket before the insurance coverage kicks in—can also impact your premium. Higher deductibles typically result in lower premiums, as you are assuming more of the financial risk in the event of a claim.

Business Revenue and Assets:

• Your business's annual revenue and the value of its assets are often used to determine the appropriate coverage and, consequently, the premium. Businesses with higher revenues and valuable assets may have higher premiums due to the potential for larger claims.

Type of Coverage:

• The specific type of coverage you choose, such as property, liability, or a combination of coverages, affects the premium. Additional coverage options, like cyber insurance or business interruption insurance, also influence the overall cost.