Boiler and Pressure Plant Insurance Policy
Boilers and Pressure vessels are critical to the manufacturing units. A small damage can result into a big explosion. The impact from such events could assume catastrophic proportions not only to the property but also to the surrounding property. Owners of the boiler/pressure plant can take this policy which protects.
- Damage to the boilers and/or pressure vessels.
- Damage to the surrounding property of the insured.
Most of the manufacturing businesses have Boilers & Presser Plant in their operation. The biggest risk will be explosion, tearing apart, collapse which may entail catastrophic damages, to the equipment as well as to the surrounding properties.
‘Boiler’ shall mean any fired closed vessel or a combined container piping system in which steam is generated under pressure. ‘Pressure Plant’ shall mean any unfired closed container under steam gas or fluid pressure.
The policy covers the insured boiler and pressure plant against unforeseen and sudden physical loss or damage (other than Fire & Allied Perils). It also covers liability of the insured at law on account of death or bodily injury to any person excluding own employees and damage to third party property.
The sum insured should represent the present day new replacement value that included freight and customs duties (if any), erection costs, installation charges and incidental expenses.
It is warranted that:
- The Boiler and Pressure Plants are annually inspected by inspectors appointed by the appropriate Government except where there is no statutory requirement for Government Inspection. If so, the inspections are to be carried out by an independent competent person.
- The Boilers and Pressure Plant shall only be operated by attendants holding a valid certificate of competency issued under the Indian Boiler Act.
- You should possess unqualified permission in writing from the competent Inspecting Authority to operate the said Boilers and Pressure Plants.