The fire insurance policy covers loss or damage resulting from fire (whether resulting from explosion or otherwise), lightning or explosion.
The policy can also be extended to cover perils of storm, flood, burst pipes, overflowing of water tanks, impact by vehicles, malicious damage, earthquake damage, aircraft damage, bush fire, explosion, riot and strike. It covers buildings, contents and stock-in-trade, plant and machinery and loss or rent. This policy insures your company against loss or damage to property as a direct result of fire out break, lightning or explosion.
Other perils such as social disturbances like strikes and riots, and natural disasters like storm damages, floods and earthquakes can also be covered by an extension of the standard scope of the cover. The items to be insured are usually made up of buildings, office furniture, electrical & electronic equipment, plants and machineries, stock of raw materials and finished goods, and loss of annual rent for alternative accommodation.
The policy also contains various other extensions that are granted at minimal extra cost to the policyholder.