Non Life Insurance

Force Majeure Clause in Insurance Coverage

In this photo from the Daily Mail, a car was wrecked when a tree fell down on it.

According to Wikipedia:

Force majeure (French; pronounced: [f?rs ma?œr], approximately fors ma-zhur) or vis major (Latin) “superior force”, also known as cas fortuit (French) or casus fortuitus (Latin) “chance occurrence, unavoidable accident”,[1] is a common clause in contracts that essentially frees both parties from liability or obligation when an extraordinary event or circumstance beyond the control of the parties, such as a war, strike, riot, crime, or an event described by the legal term act of God (such as hurricane, flooding, earthquake, volcanic eruption, etc.), prevents one or both parties from fulfilling their obligations under the contract.

With the many calamities happening around us that are destroying lives and property, people are encouraged to include the clause that covers “force majeure” or “acts of God” in their non-life insurance coverage.

If ever you already have or are planning to buy insurance, ask your agent about this, especially if your area is prone to disasters.

In the photo above, gales or strong winds swept across England and Wales. The highest speed was at 100mph, hitting the Pennines. It caused a lot of disruption, especially during the rush hour. And in this house in East London, a tree was uprooted and fell down on a parked car. A family was trapped inside.

Some Considerations in Finding House Insurance

Are you currently looking for a house insurance plan that will cover your new home? Then here are some tips that you can look into. After all, you would want the best house insurance policy that is worth every penny.

1. Ask for discounted insurance plans from different companies. If you already have an insurance policy with a particular company you will find that they are willing to give you a discount on your next policy. For example, you are already an existing customer with an insurance company because they are covering your vehicles. Having your house insured by them could get you some discounts. All you need to do is to contact them and tell them what your situation is.

Other discounts that sometimes apply are those senior citizen discounts and for those who live in areas with low-crime rates. You may also get some rate reduction if you have special security measures installed at your house from accredited security companies. You might also want to know if the insurance company has a referral system that rewards you with discounts if you refer people to them.

2. The cheapest policy is not always the best. Read your insurance policy before signing anything. Sometimes only the headline of the coverage looks good but the rest do not give you much benefit.

3. The most basic insurance plans for homes do not cover damages caused by natural calamities like floods and earthquakes. So if you are living in areas that are prone to some of these circumstances, then you should ask for a quote for a separate coverage.

4. If you are running a home-based business, you will also need additional coverage for these liabilities in order to be protected.

These are some things that you should look into when shopping around for a house insurance policy in order to get the best coverage for the best rates.

Good Service at Prudential Guarantee Assurance

Prudential Guarantee and Assurance Inc. is now one of the biggest and most esteemed non life insurance company in the Philippines. It was founded and organized by the late Robert Coyiuto, Sr., who was a known insurance man in the country. He was also the first Filipino to become a fellow at Lloyds of London.

At present, Prudential Guarantee’s gross premiums have reached almost P2 billion. But this figure does not mean anything if their service is bad. Thankfully, they are know to have the most sympathetic people who go out of their way at night and during weekends whenever there are emergency situations.

That is why Prudential Guarantee has grown to 33 branches all over the Philippines, with offices operating in the major cities and provinces. They handle more than 150,000 individual and corporate clients. Many of their corporate clientele are among the top 1,000 institutions in the country. Truly, the claim to fame of Prudential Guarantee and Assurance Inc. is substantiated. No question about that.

If you need a quotation for your property or your vehicle, you can call up any of their local offices nearest you. They would be happy to give you a quick quote.