What is Industrial Special Risks Insurance?
Industrial Special Risks (ISR) insurance is a type of Business or Commercial Property insurance designed for high-value assets, typically over $5 million. It is ideal for medium to large businesses but can also be suitable for smaller companies with significant assets.
What is covered?
ISR insurance offers coverage similar to Commercial Property insurance, with the primary difference being the value of the assets insured. Coverage can include:
- Loss and/or damage to buildings, machinery, contents, stock, raw materials, unregistered vehicles and property of Directors and employees
- Loss of profits, revenue or rentals and/or increased expenses caused by damage to insured property
- Burglary, theft of money and employee dishonesty
- Accidental damage and glass breakage
Client Example
A large manufacturing company suffers significant water damage from a burst pipe that floods their production facility, damaging machinery, stock, and the building. Due to the value of the company’s assets (over $10 million), their business insurance was an ISR policy, which they were able to claim under. The company was reimbursed the amount of $1 million which covered the property damage, loss of profits, and increased expenses which were incurred due to the temporary relocation of production.
