Page 282 - DMGT303_BANKING_AND_INSURANCE

Unit 13: General Insurance

Dictionary meaning of the terms are listed below: Notes
1. Cyclone: Violent Hurricane
2. Hurricane: Violent Storm
3. Tempest: Furious Storm

4. Flood: Great flow of water
5. Inundation: Water rising to an abnormal level

Impact Damage

Impact by any rail/road vehicle or animal by direct contact with the insured property is covered.
However, such vehicles or animals should not belong to or be owned by the insured or any
occupier of the premises or their employees while acting in the course of their employment.

Impact: Collision

Subsidence and Landslide including Rockslide

Destruction or damage caused by subsidence of part of the site on which the property stands or
landslide/ rockslide is covered. While subsidence means sinking of land or building to a lower
level. Landslide means sliding down of land usually on a hill. However, normal cracking,
settlement or bedding down of new structures; settlement or movement of made up ground;
coastal or river erosion; defective design or workmanship or use of defective materials; and
demolition, construction, structural alterations or repair of any property or ground - works or
excavations, are not covered.
1. Subsidence: Sinking down
2. Landslide/landslip: The sliding down of a large mass of rock material, soil etc. Down the
side of a mountain or cliff.

Bursting and/or Overflowing of Water Tanks, Apparatus and Pipes

Loss or damage to property by water or otherwise on account of bursting or accidental
overflowing of water tanks, apparatus and pipes is covered.

Missile Testing Operation

Destruction or damage due to impact or otherwise from trajectory/projectiles in connection
with missile testing operations by the insured or anyone else is also covered.

Leakage from Automatic Sprinkler Installation

Damage caused by water accidentally discharged or leaked out from automatic sprinkler
installations in the insured's premises is covered. However, such destruction or damage caused
by repairs or alterations to the buildings or premises; repairs removal or extension of the
sprinkler installation; and defects in construction known to the insured, are not covered.

Bush Fire

This covers damage caused by burning, whether accidental or otherwise, of bush and jungles
and the clearing of lands by fire, but excluding destruction or damage caused by forest fire.

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