How The Fire Policy Is Affected?

1- Selection of insurance company
A person who wants to get his property insured against fire is to select the insurance company which has a sound financial backing and enjoys a good reputation in the early settlement of claims in the event of a loss.
2- Rates of premium
The companies which give coverage to insurance normally combine and do not compete among themselves in cutting down rates of premium.
3- Proposal form
The person who wants to get his property insured will furnish the facts in Utmost Good Faith.

4- Survey of the property
Before insuring the property against fire the expert surveyors engaged by the company inspect the property and prepare an estimate of the risk involved.
5- Acceptance of proposal
If the company is satisfied that the person is not insuring the property for nay profit motive, it on the basis of proposal form and surveyor report insurers the property and fixes up the premium on the face value of the money.

6- Rate of premium
The rate of premium is not uniform for all kinds of the company.
7- Cover note
On receipt of the premium the company issues a cover note.
8- Insurance of policy
The company after the completion of all formalities prepares the fire policy giving therein full details of the property and sends it to the insured.