IFFCO-TOKIO General Insurance Co.

Ltd

Underwriting Authority Manual

Rev1September1st2010

Page1

IFFCO-TOKIO General Insurance Co.Ltd

CONTENTS
1 GENERAL REGULATION 2 PROPERTY & ENGINEERING
2.1 FIRE
2.1.1 2.1.2 UNDERWRITING AUTHORITY MATRIX SEGMENTATION 5 7

3 4

2.2

ENGINEERING
2.2.1 2.2.2 2.2.3 2.2.4 2.2.5 UNDERWRITING AUTHORITY MATRIX C.A.R / E.A.R UNDERWRITING AUTHORITY MATRIX MBD / BOP /CPM UNDERWRITNG AUTHORITY MATRIX EEI SEGMENTATION CONTRACTORS ALL RISK INSURANCE SEGMENTATION ERECTION ALL RISK INSURANCE 9 12 13 14 15

2.3 2.4 2.5

DEVIATION AUTHORITY MATRIX REFUND AUTHORITY MATRIX POST LOSS ENDORSEMENT AUTHORITY MATRIX

18 19 20

Rev1September1st2010

Page2

IFFCO-TOKIO General Insurance Co.Ltd

GENERAL REGULATION

The authorities can be exercised by only those officers who are assigned the functions of underwriting by the organisation.

SBU Heads/ State Heads/ Commercial & Retail Heads of Mumbai/ Delhi and Head Mumbai Operations/ Corporate Underwriting Heads, by virtue of their assignments, will be considered as officers assigned with the function of Underwriting. They will carry the authority of the grade to which they belong.

The SBU heads etc. shall specifically assign the underwriting authorities to employees under their control, consistent with the cadre of employee only, specifying the class of business in which they can exercise their authorities. Copy of the delegation shall be marked to respective Underwriting Departments in Corporate Office as well as to Internal Audit Departments.

In case an Officer in any cadre applies for resignation, his authority will cease w.e.f. the date of the submission of the resignation.

These supersede all previous circulars issued in this regard and come into force with effect from 1st August, 2008.

Rev1September1st2010

Page3

IFFCO-TOKIO General Insurance Co.Ltd

PROPERTY & ENGINEERING

Rev1September1st2010

Page4

ANNEXURE 2A (i) U/W Authority Matrix for Fire/ IAR/ FLOP Authority as per the Segments (Occupancy / Risk Colour Code) For list of risk codes in each segments refer Segmental Occupancy list Industrial & Non Industrial Risks excluding Standalone Stock Risk U/W Authority Occupancy / (Total Value Risk Colour at Risk*- INR Code - Green Cr.)

Risk Assessment Matrix

Product / Coverage

Hierarchy Level M10 & Above

Occupancy / Risk Colour Code Yellow

U/W Authority (Total Value at Risk*- INR Cr.)

Occupancy / Risk Colour Code - Red

U/W Authority (Total Value at Risk*- INR Cr.)

Specific Exclusions (Refer to Corporate Office)

Risk Assessment Obligation S.I. (INR Cr.)

Risk Assessment Frequency

Remarks

All

Actuals

All

Actuals

All

Actuals

NIL a) Policies with Transmission lines as an item in the schedule, b) Nuclear Power station, c) All policies with Mining risk (even as an item in schedule), d) Offshore exposures like jetties, wet works, SBM, Oil platform, Sea pipelines, Drilling rigs

Std. Fire and M9 Special Perils/ FLOP/ IAR (excluding risks falling under the purview of Petrochemical Tariff)

Green:All Risk codes

Yellow: All except Gas processing plants, Refinery & Petrochemical, Fertilizer, Cotton Gin and Press Plants, Contractor plant and 500 Machinery

Red- Only Tyre and Tube Mfg Plants, Chemical Mfg plants, Industrial Gas Mfg., Sponge Iron Plants, Silent Risk, Plastic Goods Mfg, Building Under Course of 400 Construction;

e) Policies with add-on: Deterioration of stocks in cold storage, Molten metal, Spoilage Material Damge, Forest Fire f) Contingent Business Interupption (Supplier / Customer and Utility Extensions under FLOP) g) Risk With MCOPE risk Grade C. h) Risks where FLOP SI is more than INR 100 Crores. i) Kutcha Construction j) FLOP policies where Indemnity period is more than 24 months. k) Policies on First Loss basis / Loss limit basis.

Hotels and Hospital: First Time / Once in three years / Incase of Material Change Industrial Risk with S.I. less than 5 cr: No inspection Industrial Risk With S.I. between 5 to 100 cr: At the inception / Once in three years / in case of material change Industrial Risk With S.I. more than 100 Cr: At the inception / Once in two years / in case of material change Industrial Risk With S.I. more than 500 Cr: At the inception / Every year / in case of material change

250

100

M8

Green : All Risk Codes Green:All Risk codes Green:All Risk codes Green:All Risk codes

Yellow: All except Gas processing plants, Refinery & Petrochemical, Fertilizer, Cotton Gin and Press Plants, Contractor Plant and 400 Machinery;

Red- Only Tyre and Tube Mfg Plants, Chemical Mfg plants, Industrial Gas Mfg., Sponge Iron 300 Plants;

a) Risk With MCOPE risk Grade B and C** b) State Warehousing Corporation, c) Mid term Inclusion of STFI, RSMD Cover, d) Policies with Transmission lines as an item in the schedule,

200

e) Nuclear Power station, f) All policies with Mining risk (even as an item in schedule),

100 Do

M7

300 Do..

200 ..Do

100

g) Offshore Exposures like jetties, wet works, SBM, Oil platform, Sea pipelines, Drilling rigs h) Policies with Add-On: Deterioration of stocks in cold storage, Molten metal, Spoilage Material Damge, Forest Fire i) Contingent Business Interupption (Supplier / Customer and Utility Extensions under FLOP)

100 Do

M6

150 Do..

100 - No Authority-

- No Authority-

100 Do

M5

75 - No Authority-

- No Authority-

- No Authority-

- No Authority-

j) Risks where FLOP SI is more than INR 100 Crores. k) Kutcha Construction l) FLOP policies where Indemnity period is more than 24 months. m) Policies on First Loss basis / Loss limit basis.

Green:All Risk M4 codes 50 - No Authority- No Authority- No Authority- - No AuthorityNOTE 1 : Total Value at Risk is considering all policies at one location irrespective of ITGI share including MD and BI as applicable. NOTE 2 : Risk Rating shall be strictly as per Rating Tools. NOTE 3 : Coverage need to be strictly as per erstwhile tariffs. NOTE 4 : Treaty capacity is different for policies having Sum insured more than 2500 crores. Hence, these policies are to be referred to CO. NOTE 5: Treaty Exclusions (Applicable for 2A (i) and 2A(ii) )

100 Do

1) Policies with Tansmission & Distribution Line for Electrical Energy, Telephone or Telegraphic Signals and all Communication signals (both audio and video) as an item in the schedule. This exclusion includes above or below ground conductors (eg Transmission & Distribution Lines) including wires, cables, poles, scaffolding, pylons and masts or any other property forming a part thereof or connected therewith, it also includes standalone Substations and Transformer stations. 2) Nuclear Power station or any form of Nuclear Energy risks 3) Wet Risks exposed to Marine Perils 4) Offshore exposures like Jetty, Oil platform, SBM, Pipeline, Drilling Rigs, Pumping stations etc. 5) All policies with Underground Mining Risks (even as an item in Schedule) 6) Policies on First Loss Basis. 7) Policies with following add on covers : Deterioration of Stocks in Cold Storages Molten Metal Spillage Spoliage Material Damage Forest Fire 8) Policies on First Loss Basis / Loss Limit 9) Business Interruption cover with an Indemntiy period more than 24 months 10) Contingent Business Interruption (Supplier / Customer and Utility extensions)

ANNEXURE 2A (ii) U/W Authority Matrix for Fire/ IAR/ FLOP Authority as per the Segments (Occupancy / Risk Colour Code) For list of risk codes in each segments refer Segmental Occupancy list Standalone* Stocks Risk U/W Authority Occupancy / (Total Value Risk Colour at Risk*- INR Code - Green Cr.)

Risk Assessment Matrix

Product / Coverage

Hierarchy Level M10 & Above

Occupancy / Risk Colour Code Yellow

U/W Authority (Total Value at Risk*- INR Cr.)

Occupancy / Risk Colour Code - Red

U/W Authority (Total Value at Risk*- INR Cr.)

Specific Exclusions (Refer to Corporate Office)

Risk Assessment Obligation S.I. (INR Cr.)

Risk Assessment Frequency

Remarks

All

Actuals

All

Actuals

All

Actuals

NIL a) Policies with add-on: Deterioration of stocks in cold storage, Molten metal, Spoilage Material Damge, Forest Fire b) Risk With MCOPE risk Grade C. c) State Warehousing Corporation Hotels and Hospital: First Time / Once in three years / Incase of Material Change Industrial Risk with S.I. less than 5 cr: No inspection Industrial Risk With S.I. between 5 to 100 cr: At the inception / Once in three years / in case of material change Industrial Risk With S.I. more than 100 Cr: At the inception / Once in two years / in case of material change Industrial Risk With S.I. more than 500 Cr: At the inception / Every year / in case of material change

Std. Fire and Special Perils/ FLOP/ IAR (excluding risks falling under the M9 purview of Petrochemical M8 Tariff) M7

Green:All Risk codes Green : All Risk Codes Green:All Risk codes Green:All Risk codes Green:All Risk codes

50 Yellow 40 Yellow

40 Red 30 ..Do

25 20
a) Risk With MCOPE risk Grade B and C**

100 100 Do

30 Do..

20 ..Do

10

b) Short period policies for goods in open c) State warehousing corporation,

100 Do

M6

15 Do..

10 - No Authority-

- No Authority-

d) Mid term Inclusion of STFI, RSMD Cover, e) Policies with add-on: Deterioration of stocks in cold storage, Forest Fire

100 Do

M5

7.5 - No Authority-

- No Authority-

- No Authority-

- No Authority-

f)Stocks in Basement e) Stocks in Open

Green:All Risk M4 codes 5 - No Authority- No Authority- No Authority- - No AuthorityNOTE 1 : Following Categories of Risk will be treated as Standalone Stocks Risks for the purpose of application of this Authority Matrix(i) Proposals being rated under Section VI & Section VII of erstwhile All India Fire Tariff (ii) Proposals for Stocks & Stocks in Process being rated as Industrial or Non-Industrial Risks without a Corresponding Assets Policy NOTE 2 : Total Value at Risk is considering all policies at one location irrespective of ITGI share including MD and BI as applicable. NOTE 3 : Risk Rating shall be strictly as per Rating Tools. NOTE 4 : Coverage need to be strictly as per erstwhile tariffs.

100 Do

Segmentation Fire Portfolio

Preffered Occupancy (Green) Aerated water factories Caution (Yellow) Paper Mills, Card board Mills(Lamination)/Cardboard Box Mfg. / Gypsom board, Particle board Book Binders, Envelop & Paper Bag Extreme Caution (Red) Foam Rubber Manufacturing

Atta & Cereal grinding, Dal Mill,Grain / seeds

Rubber Factories

disintegrating / crushing / decorticating factories Bakeries / biscuit factories Sugar Factories Breweries Coffee curing, roasting & grinding Gas Processing Plants / LPG Bottling plants Refining and Petrochemical Plants

Rubber Goods Mfg with Spreading, without Spreading Tyres and Tubes Manufacturing Foamed Plastics Manufacturing/Foam rubber mfg. and / or converting plants Tyre Retreading and Resoling factories Chemical Manufacturing(Using materials O with Flash Point below 32 C), Bulk Drug Manufacturing Paint (others) & Varnish Factories Paints - Nitrocellulose based Camphor Mfg. Candle Works Celluloid Goods Mfg. Industrial Gas Mfg. Nitro Cellulose Mfg. Pan Masala Mfg.

Condensed milk factories, milk pasturisings plants and dairies Ice candy & ice-cream mfg / Ice factories

Fertilizer Plants Silk Mills/Spun Silk Mills

Confectionery mfg / Sugar candy mfg./ Sweet meat mfg. Distilleries Fruit products & condiment factory (including fruit pulp making) Rice mills (evaluate STFI exposure well) Sea food / meat processing Cement Factories Cement/ Asbestos/ Concrete Products Mfg. Ceramic Factories, Crockery And Stoneware Pipe Manufacturing/ Clay Works/ Tile And Pottery Work Thermal Power Plants D.G. set based Power plants Electric lamp, TV picture tube mfg Electronic goods mfg & assembly Electronic software parks

Wind Power Plants Oil Extraction (Excluding Solvent Based) Oil Mills/Oil Refining Ink Mfg. Cotton Gin & Press House Steel / Aluminium / Copper Smelters Coal / Coke / Charcoal Factories, Coal washeries Chemicals with Flash point > 32 deg C

Cashewnut factories Velvet cloth Mfg Standalone Cinema Theaters Contractor Plant & Machinery Flour Mill, Ghee incl. Veg. Ghee

Textile Mills Composite Spinning Mills Cotton Seed Clng & Delinting Jute Mills Wool Cleaning & Pressing Fac

Engineering workshop- structural steel fabricators, sheet metal fabricators, pipe extruding, stamping, pressing, forging mills Engineering workshop- machines shops (excl. Plastic and rubber component mfg.), assembly of metallic components / metallic spare parts Manufacture and assembly of electrical switchgear and panels. Metal/ tin printers Ore processing (refining)/ metal extraction Automobile Manufacturing Man made fiber Woolen mills Textile Process houses, Garment Mfg, Hosiery / lace / embroidery / thread factories, Yarn Processing, Weaving Mills Pharmaceutical, Toiletry Mfg, Detergent Manufacturing, Soap Mfg. Mineral Oil Blending & Processing Umbrella Assembly Vermicelli Tiny sector industries Industrial Diamond Mfg

Glass Mfg

Press For Coir Yarn/Cotton/Senna

Graphite Electrode Mfg, Industrial Gas

Carpet / Drugget Mfg.

Printing Press Stone Querries Resturant / Hotels Shops dealing in Non-Hazardous Goods Open Warehouse (Non Hazardous) Closed Warehouse (Category I Goods) Cold Storage Premises

Matress & Pillow Making Polyester/ BOPP Film Mfg. Bitumenised Paper And / Or Hessian Cloth Manufacturing. Shops dealing in Hazardous goods Cigar and Ciggarette Mfg. Exhibition / Fate / Madaps Hydro Power Plant

Cable Mfg.

Solvent Extraction Saw Mills Sponge Iron Plant Tobacco curing and Redrying Open Warehouse (Category I Goods) Open & Closed Warehouse (Category II & III Goods), Transporter Godowns, Container Freight Stations, Coir Waste, Coir Fibres, Caddies Building Under Course of Construction Plastic Goods Mfg. (Excluding Foam Plastic) Rope works (Plastic) and Others Assembling of Plastic Goods such as Toys and the like Silent Risk

Malt extraction Starch Factories, Tapioca Factories Tea blending / Packing Telephone Exchange Manure Blending Works Dwellings/ Residential society/ Malls/ Offices / BPO Motor vehicle showroom Multiplex incl. Cinemat Theater Closed Warehouse (Non Hazardous Goods)

Annexure 2G (i) U/W Authority Matrix for EAR/ CAR (New Projects/Policies) Authority as per the Segments (Occupancy / Risk Colour Code) For list of risk codes in each segments refer Segmental Occupancy list U/W Authority (Total Value at Risk*- INR Occupancy / Risk Cr.) Colour Code-Yellow

Product / Coverage

Hierarchy Level

Occupancy / Risk Colour Code-Green

U/W Authority (Total Value at Risk*- INR Cr.)

Occupancy / Risk Colour Code-Red

U/W Authority (Total Value at Risk*- INR Cr.)

Specific Exclusions(Refer to Corporate Office)

M10 & Above All Risk codes

Acutals

All Risk codes

Actuals

All Risk codes

Actuals

Nil
a) Penalty clauses (i.e. faulty or belated delivery of the insured objects) and guarantees of performance or production b) Decennial Liability Insurance c) Risks involving underground Works including tunnelling works. d) Wet Civil risks like Dams, Bridges (in/on Water), Jetties, Wharfs, Breakwaters, Ports etc

Contractor's All Risk/Erection All Risk

M9 M8 M7 M6 M5

Green:All Risk codes Green:All Risk Codes Green:All Risk Codes Green:All Risk Codes Green:All Risk Codes Green:All Risk Codes

250 200 150 100 75

CAR:Yellow: All risks except Roads, Sewage disposal system, railway lines. EAR:Yellow: All risks except Fetiliser plants, Hydro carbon processing plants, petroleum refineries, Power Plants of all kinds, OIl.Liquid chemical. LPG pipe lines,Gas works. 200 Do.. Do.. - No Authority- No Authority150 100 - No Authority- No Authority-

e) Oil, gas drilling and production rigs. f) Difference in Conditions/Contingency Policies. g) All project policies covering ALOP cover. h) Hydro power projects. i) Second hand Plant/ Machinery j) Policies with dismantling cover k) Policies with Testing period beyond 4 months. l) Policies having period longer than 48 months including the maintenance period and/or maintenance period. m) Policies having Maintenance/Extended Maintenance Period more than 24 Months n) Proposals with design defect covers DE-4 and DE-5. o) Contingent Business Interupption (Supplier / Customer and Utility Extensions under ALOP)

Red:- No Authori - No Authority- No Authority- No Authority- No Authority- No Authority- No Authority- No Authority- No Authority- No Authority-

M4

50

- No Authority-

- No Authority-

- No Authority-

- No Authority-

NOTE 1: Risk Rating shall be strictly as per Rating Tools provided. NOTE 2: All Proposals with ALOP cover should be referred to Co U/W . NOTE 3: The coverage shall be strictly as per erstwhile tariffs NOTE 4: Compulsory Endorsements for Project policies involving Roads (Township, Plain Areas & Hilly Areas)(Applicable for 2G(i) and 2G(ii) ) Sectional Clause Flood Prone Areas & Hilly Regions 300 Mts X 3 unconnected sections 500 Mts X 3 unconnected sections Other areas Internal & Access roads of Hydro Power Projects 100 Mts X 3 unconnected sections Endorsement regarding Existing underground cables Special conditions concerning safety measures with respect to precipitation, flood and inundation. Endorsement regarding crops, forests, cultivated areas Temporary access roads (please confirm the project sum insured includes temporary roads also) Minimum deductibles : 30 times of Normal deductibles

NOTE 5: Compulsory Endorsements for Project policies involving Canals / Culverts (Applicable for 2G(i) and 2G(ii) ) Endorsement regarding Open Trenches Flood Prone Areas 500 Mts X 3 unconnected section Other areas 750 Mts X 3 unconnected sections Endorsement regarding Existing underground cables Special conditions concerning safety measures with respect to precipitation, flood and inundation. Endorsement regarding crops, forests, cultivated areas Contract woks time schedule Temporary access roads, if any Minimum deductibles : 50 times of Normal deductibles NOTE 6: Compulsory Endorsements for Project policies involving laying of Pipelines (Water / Gas / Liquid chemicals) & Cables (Applicable for 2G(i) and 2G(ii) ) Endorsement regarding Open Trenches Flood Prone Areas & Hilly Regions 500 Mts X 3 unconnected sections Other areas 750 Mts X 3 unconnected sections Endorsement regarding Existing underground cables Special conditions concerning safety measures with respect to precipitation, flood and inundation. Endorsement regarding crops, forests, cultivated areas Contract woks time schedule Minimum deductibles : 30 times of Normal deductibles NOTE 7: Compulsory Endorsements for Project policies involving Transmission, Distribution lines & Rural Electrification (Applicable for 2G(i) and 2G(ii) ) Civil Engineering works Endorsement for Fire / Explosion claims and Fire fighting Endorsement concerning storage Endorsement regarding safety measures Endorsement regarding Damage to crops and Forests etc. Endorsement regarding stringing Mninimum Deductibles Normal and Testing Period Losses - 10 times the Normal deductibles Burglary losses - 25% of claim amount subject to minimum of Rs. 1.5 lacs Special Conditions for applicability of Deductibles Claims pertaining to each and every towe will be treated as single claim NOTE 8: Treaty Exclusions (Applicable for 2G(i) and 2G(ii) ) 1) Policies with Transmission & Distribution line for Electrical Energy, Telephone or Telegraphic Signals and all Communication signals (both audio and video) as an item in the schedule. This exclusion includes above or below ground conductors (eg Transmission & Distribution Lines) including wires, cables, poles, scaffolding, pylons and masts or any other property forming a pert thereof or connected therwith; it also includes standalone Substations and Transformer stations. This exclusion applies to policies having Sum insured more than 1000 crores. 2) Nuclear Power station or any form of Nuclear Energy Risks 3) Wet Risks or Risks exposed to Marine perils 4) Offshore exposures like Jetty, Oil Platform, SBM, Sea pipeline, Drilling Rigs, Pumping stations etc. 5) Extended / Visits Maintenance Period exceeding 24 months 6) Protoype Risks 7) Standalone / Midterm ALOP 8) Policies with Testing Period beyond 4 months 9) Hydro Power Projects 10) Projects periods beyond 48 months 11) Contingent extension of a ALOP section comprising of named or un-named Customers and Suppliers, Denial of Access and Public Utilities. 12) Coverage in respect of Design defect wider than DE-4 for EAR and DE-3 for CAR. 13) ALOP - Delay due to: a) Earthquake, volcanic eruption, tsunami b) Damage to Surrounding property and Contractor's Plant & Equipment c) Damage to operating media or feedback d) Shortage, destruction, deterioration of or damage to any materials necessary for the insured business. e) Restrictions imposed by a public authority f) Non - availability of funds g) Alterations, additions, improvements, rectification of defects or faults or elimination of any deficiancies carried out after the occurrence. h) Damage to items taken over or taken into use by the insured or for which cover under material damage section has ceased. i) Loss due to fitness or damages for breach of contract, for late or non-completion of orders, or for any penalties of whatever nature. j) Loss of business due to causes such as suspension, lapse or cancellation of a lessee, lcense or order etc., which occurs after the date actual k) Damage to Second hand plant or machinery testing.

Annexure 2G (ii) U/W Authority Matrix for EAR/ CAR (Extension of an Existing Policy) Authority as per the Segments (Occupancy / Risk Colour Code) For list of risk codes in each segments refer Segmental Occupancy list U/W Authority (Total Value at Risk*- INR Occupancy / Risk Cr.) Colour Code-Yellow

Product / Coverage

Hierarchy Level

Occupancy / Risk Colour Code-Green

U/W Authority (Total Value at Risk*- INR Cr.)

Occupancy / Risk Colour Code-Red

U/W Authority (Total Value at Risk*- INR Cr.)

Specific Exclusions(Refer to Corporate Office)

M10 & Above All Risk codes

Acutals

All Risk codes

Actuals

All Risk codes

Actuals

Nil
a) Policies involving underground works including Tunnelling. b) Policies involving Wet Civil risks like Dams, Bridges (in/on Water), Ports, Jetties, Breakwaters, Wharf etc c) Policies involving Difference in Conditions/Contingency Policies. d) Policies involving ALOP cover.

Contractor's All Risk/Erection All Risk

M9

Green:All Risk codes Green:All Risk Codes Green:All Risk Codes Green:All Risk Codes Green:All Risk Codes - No Authority-

200

CAR:Yellow: All risks except Roads, Sewage disposal system, railway lines. EAR:Yellow: All risks except Fetiliser plants, Hydro carbon processing plants, petroleum refineries, Power Plants of all kinds, OIl.Liquid chemical. LPG pipe lines,Gas works. 150

e) Policies involving Hydro power projects. f) Policies involving Second hand Plant/ Machinery g) Policies with dismantling cover h) Policies having Period longer than 48 months including Extended Maintenance period. i) Policies having Maintenance/Extended Maintenance Period more than 24 Months j) Policies with design defect covers DE-4 and DE5. m) Policies where proposed Extension Period is beyond 24 Months k) Policies where the Loss Ratios under the existing Policy is in excess of 60% l)Policies involving a Break between the expiry of the Policy and inception of Extension Period

- No Authority-

- No Authority-

M8 M7

150 100

Do.. - No Authority-

100 - No Authority-

- No Authority- No Authority-

- No Authority- No Authority-

M6

75

- No Authority-

- No Authority-

- No Authority-

- No Authority-

M5 M4

50

- No Authority-

- No Authority- No Authority-

- No Authority- No Authority-

- No Authority- No Authority-

- No Authority- - No Authority-

NOTE 1: Risk Rating shall be strictly as per Rates Provided in Internal Rating Guide NOTE 2: All Proposals with ALOP cover should be referred to Co U/W . NOTE 3: The coverage shall be strictly as per erstwhile tariffs

Annexure-2H U/W Authority Matrix for MBD/ BOP/ CPM U/W Authority (Total Value at Risk*- INR Cr.)

Product / Coverage

Hierarchy Level

Occupancy / Risk Code

Specific Exclusions (Refer to Corporate Office)

Remarks
In respect of MBD, CPM, BOP it is mandatory to collect the serial number (identification number and other name plate specifications.) No parts of the equipment should be insured separately except as for provision under engineering tariff.

M10 & Above

All Risk codes

Actuals

Nil Machinery breakdown insurance: 1. Stone Crushers 2. Rolling mill stands, pedestal bearing, Raymond mill. 3. PVC/ Rubber lined Vessels 4. Radios / Tapes recorders, TV sets, Electric measuring Instruments except under Home Protector policy 5. Imported Machineries which cannot be repaired in India. 6. Cupolas and Oil Fired Furnaces 7. Pumps with Glass, Graphite, Rubber Impellers 8. Pipe Lines 9. Equipment in Foundries having induction furnaces 10. Equipment in the plant/ area with lot of dust. 11. Portable and Mobile equipment 12. Small electrical motors of less than 10 HP 13. Starters/ Switch fuse units (SFUs) for electrical motors up to 20 HP 14. Thyrister converters 15. Washing machines/ Air-conditioners except under Home Protector policy 16. Oil/ well/ ocean drilling machines under Machinery breakdown 17. Single equipment costs more than Rs.5 Crs 18. MLOP cover 19. Machinery having an age more than 15 Years 20. Policies having a Claims Experience of more than 60% in previous 5 years 21. Prototype machine Contractors' Plant and Machinery: 1. Railway trackage 2. Gas power-generating plant 3. Locomotives and steam generating engines 4. Site power-generating plant 5. Cranes above 10 tonnes capacity 6. Mobile diving rigs 7. Drilling machines for water supply 8. Tunnel Boring Machines 9. Policies on first loss basis for CPM cover 10. Extension of breakdown cover for CPM equipments. 11. Single equipment costs more than Rs.5 Crs 12. MLOP cover 13. Machinery having an age more than 15 Years 14. Policies having a Claims Experience of more than 60% in previous 5 years Boliers and Pressure Plant Insurance: 1. Non IBR equipment 2. Boilers with conditional approval by Boiler inspector. 3. MLOP cover 4. Non certified Boiler 5. Surrounding Propoerty to be specified.

Machinery Breakdown/Boiler and Pressure Vessels Insurance/Contractors' Plant and machinery

M9 M8 M7 M6

All Risk codes All Risk Codes All Risk codes All Risk codes

10 9 7.5 5

M5

All Risk codes

2.5

M4
NOTE 1: Risk Rating shall be strictly as per Rating Tables provided.

All Risk codes

NOTE 2:All the above authorities for MBD are subject to proposals with fire policies. Stand alone policies should be referred to CO U/W. NOTE 3: All Proposals with MLOP cover should be referred to Co U/W . NOTE 4: The coverage shall be strictly as per erstwhile tariffs NOTE 5: Treaty Exclusions 1) Standalone MBD and MBLOP policy for Gas Turbine Genenrators 2) CPM policies covering TBMs 3) MLOP cover with an Indemnity Period more than 24 months 4) Prototype Machines

Annexure-2I U/W Authority Matrix for Electronic Equipment Insurance U/W Authority (Total Value at Risk*INR Cr.)

Product / Coverage

Hierarchy Level

Occupancy / Risk Code

Specific Exclusions (Refer to Corporate Office)

Remarks
In respect of EEI it is mandatory to collect the serial number (identification number and other name plate specifications.) No parts of the equipment should be insured separately except as for provision under engineering tariff.

M10 & Above M9 Electronic equipment Insurance M8 M7 M6 M5 M4

All Risk codes All Risk codes All Risk Codes All Risk codes All Risk codes All Risk codes All Risk codes

Actuals 2.5 2 1.25 0.5 0.3 0.2

Nil Nil
Electronic Equipment: 1. Photocopiers 2. Medical equipment like Sonography machine, X-ray machine, CT scan etc. 3. Laser machine 4. Thyristor panels 5. Portable equipments 6. Single equipment costs more than Rs.1 Crs. 7. Increased cost of working. 8. Equipments having an age more than 10 Years 8. Policies having a Claims Experience of more than 60% in previous 5 years

NOTE 1: Risk Rating shall be strictly as per Rating Tables provided. NOTE 2:All the above authorities for EEI are subject to proposals with fire policies. Stand alone policies should be referred to CO U/W. NOTE 3: All Proposals with MLOP/ ICOW cover should be referred to Co U/W . NOTE 4: The coverage shall be strictly as per erstwhile tariffs

Annexure-2J

CONTRACTORS' ALL RISK INSURANCE

PREFERRED SEGMENT (Green)
Residential and commercial buildings.

CAUTION(Yellow)
Chimneys, Silos and Cooling Towers, TV Towers.

EXTREME CAUTION(Red)
Roads-In Hilly Areas

Theaters, Auditorium and Cinema Halls. Factory sheds, Warehouses, Cold storages, Hangars.

Runways, Aprons and Air Taxiways at Airports. Roads-In Plain Areas

Roads In townships only Road bridges on land Interior decoration works Reservoirs/Tanks Subways on Land Water supply installations for housing colonies. Underground and overhead water storage tanks for residential/ Sewage Disposal System commercial buildings and housing colonies Pile Foundations alone in respect of buildings & other structures Ground leveling Railway Gauge conversion (Meter gauge to Broad gauge), Under ground cable ducting Railway lines(Greenfield lines)

Water supply for cities and industrial areas. Works in water-Bridges on rivers/ creeks, dams/ coffer dams, aquaducts, via-ducts, barrages, structural works in water. Tunnels Canals/ culverts Area reclamation work

Annexure-2K

ERECTION ALL RISK INSURANCE

PREFERRED SEGMENT (Green)
Air Compressors Air Conditioning Plant Annealing Furnace Asbestos Plant Ash Handling Plants Auto Cycles Assembling Plants Air Separation Plant Aluminum products Manufacturing Food and Beverages plants Brick Works Battery Manufacturers. Belt Conveyor Systems Cable Works Cellular Telephone Cement Pipes Mfg. Chalk Factories Chain/Chain links Mfg. Plants. Chilling Plants Cigarette Factories

CAUTION(Yellow)
Furnace(Electric arc,Induction/coal,gas,oil fired) Ariel Rope ways Aluminum plants Boilers Cable laying Cardboard Factories Cement Factories Ceramic Tiles Manufacturing Plants Chemical Plants Coal Handling Plants Coke Oven Plant Continuous Casting Plants Colliery Mine Dyestuff Manufacturers Electrification of factories/ buildings/roads. Electrostatic Precipitators Foundries Fertilizer plant/Hydrocarbon Processing plant & Petrochemical Plants Fabrication on land of Drilling & Production Platforms or any sections thereof required in the exploration/ production of Oil and Gas Flight Simulator (Environmental & Visual) Gas Works Graphite electrode plant Glass Works LPG Plants/Gas Sweetening Plants/ LPG Bullets, Tank Farm Oil/ Liquid Chemical/ Liquid Petroleum products/LPG pipelines Laying of Water Pipelines Material Handling Equipments Nylon Plant Ore Preparation Plant Paint Factories

EXTREME CAUTION(Red)
Steel Plants/ Blast Furnace and Sponge Iron plants Explosives Factories Gas Turbines/ Combined Cycle Power Plants HVDC Transmission system (excluding transmission lines)/ HVDC Back to Back Stations Hydro Power Plants Laying of optical Cables below sea bed Water Works Transmission lines(including Electrification of rural areas and railways) Power Plant (Biomass)

Clinker Factories Coal Crusher Cold Storages Computers/Electronic equipments Control Panels Cotton Seed Processing Plants Cranes Cycle Plants Cooling Towers Diagnostic Equipments Dyeing Works

Effluent Treatment Plants Electric Motors Electroplating Plant Elevating Equipments Engineering workshop Fire Fighting Systems Forging Shops Gas receiving Terminal /metering Terminal Glass Fibre Mfg. Plants Glass lined/ Graphite/ Car bate/Glass vessels Hardboard Mfg. Plant Heat Treatment Plant Hospital Equipments Mfg Instrumentation (All types) Insulator Mfg. works Jib Hoist Jute Mills Laundries Leather Goods Factories Lifts Machine Tools Marble Works Match Factories Medical Treatment Equipments Metal Fabrication Mica Products Mfg. Mobile Cranes Pharmaceuticals Photo Film Mfg. Plastic Products Factories Plywood Factories Pottery Printing Press

Paper/pulp Factories Polyester Fibre Plant Power Plants-Diesel/Steam based Producer Gas Plants Petroleum products Pumping station Pig Iron Plants Precious Metals (Platinum, Gold, Silver etc.) Refining & Fabrication Plants. Rayon Plant Solvent Extraction Plant Substations including Transformers Sugar Factories Synthetic Fibre Plant Sintering Plant Ultrasonic Non-destructive Testing Equipments Video Tape & Pan Cakes Mfg. Plant Wind Turbine Generators

Refrigeration Plant/ Equipments Rinks Works Rolling Mills Rubber Factories Saw Mill Soap Factories Solar Water Heating System Spinning Mills Stationery Factories Steel Furniture Plant Steel Structure for Factories & Buildings. Stone Works Studio Equipments Sub Station Equipments,Switchgear-H.T.& L.T -Excluding Transformers Surgical Equipments Manufacturing Plant Tanks Tanneries Telephone Exchange Textile Mills Machinery Tobacco Factories Tractor Mfg. Plant Varnish Factories Vehicle Assembly Plants Veneer Factories Water Pumping Station Weaving Mills Weigh Bridge Wire Drawing Units Wood Works X-Ray Equipments

Deviation Authority Matrix for Property & Engineering Sr No Product Type Hierarchy Level Deviation % Actuals 1 Std Fire and Special Perils Policy M10 & Above M9 M8 M7 M6 M10 & Above M9 M8 M7 M6 M10 & Above M9 M8 M7 M6 M10 & Above M9 4 EAR/CAR/EEI/MBD/BOP/CPM M8 M7 15% 10% 7.5% 5% Section wise deviations to be considered, no additional deviation over the total IAR premium. Remarks

IAR

Consequential Loss of Profit

As the LOP Premium rates are based on Fire rates, no separate deviation will be allowed for FLOP over and above deviation considered in Fire Section.

Actuals 15% 10% 7.5%

M6 5% Note 1: Deviation are in built into the siebel rating tool (mentioned as Marketing flexibility in the discount Tab of Siebel) and shall be recorded along with the reason and description for deviation. Note 2: Deviation recording shall be strictly as per the deviation process provided in the Property Underwriting Manual. Deviations considered are subject to Technical audit by corporate office.

Annexure-4A

Sr No

Refund Authority Matrix

Description Refund due to.. M10 & Above M9 Hierarchy Level Refund Authority (INR) FIRE Actuals INR 100,000 Engineering Actuals INR 100,000 Remarks General 1. All refund shall be authorised only by the SBU head / State head as per the refund authority matrix. 2. All refund notes shall be serially numbered starting from 0 each financial year with separate serial and shall be in the refund format. 3. Reference of refunds to the corporate office shall be made along with following details: a) Refund Format b) Refund Calculation c) Supporting documents, if any

Finalisation of provisional Sum Insured, within 3 months of inception (Date of issue of endorsement in system)

M8 M7 M6

INR 50,000 INR 30,000 INR 20,000 Actuals

INR 50,000 INR 30,000 INR 20,000 Actuals

4 5 6

M10 & Above Cancellation of Policies including cancellations due to replacement by new policy / policies with same / larger M9 M8 SI M7 M6 M10 & Above Adjustment of Sum Insured on policies M9 subject to declaration / annual M8 adjustment for declaration / floater M7 declaration Policies M6 Adjustment of Sum Insured for LOP M10 & Above Policies M6-M9 Silent risk/ Standstill period Early completion of Project M10 & Above M6-M9 M10 & Above M6-M9

INR 100,000 INR 50,000 INR 30,000 INR 20,000 Actuals

INR 50,000 INR 30,000 INR 20,000 INR 10,000

INR 100,000 NA INR 50,000 INR 30,000 INR 20,000 Actuals Actuals - No AuthorityActuals Actuals - No AuthorityActuals Actuals - No Authority-

Annexure-4D

Post Loss Endorsement Authority Matrix

No Description Hierarchy Level Post Loss Endorsement Authority FIRE M10 & Above Actuals Engineering Actuals Nil Exclusions

Approval of Post Loss endorsement

M9

For risks within the underwriting For risks within the underwriting authority of M7 as per underwriting authority of M7 as per underwriting authority matrix. authority matrix. For risks within the underwriting For risks within the underwriting authority of M6 as per underwriting authority of M6 as per underwriting authority matrix. authority matrix. - No Authority- No Authority- No Authority- No Authority-

Changes to the RI cessions.

M8 M7 M6

Changes to the RI cessions.