Financial Lines Insurance
Stockbrokers Comprehensive Insurance provides coverage against various risks/perils to which a Stock broking firm is exposed in its regular operations.
Scope of Cover
Part I - Incomplete Transactions
This assures liability to third parties on account of failure or inability to complete transactions.
Part – II
Section 1 — Fidelity
Loss resulting directly from dishonest, fraudulent or malicious acts committed by an employee.
Section 2 — Loss of Property
Loss of property directly from robbery, theft, misplacement, mysterious unexplainable disappearance.
Section 3 — Forgery or Alteration
Loss resulting directly from forgery or fraudulent alteration of Negotiable Instrument.
Section 4 — Securities
Loss resulting directly from the Assured having acted in good faith, for its own account or for the account of others.
- Extended credit or assumed liability, on the faith of, any original certificated security, deed mortgage or other instrument conveying title to, or creating or discharging a lien upon, real property;
- Guaranteed in writing or witnessed any signature upon any transfer, assignment, bill of sale, power of attorney
Section 5 — Counterfeit Currency
Loss directly resulting from the receipt by the Assured having received, in good faith, any counterfeit money.
Section 6 — Official Investigation Costs
Insurer shall indemnify the Assured in respect of costs and expenses incurred with the written consent of underwriter in being represented at or in connection with any official investigation, examination or other proceedings ordered or commissioned by any official body or institution empowered under statute to investigate the affairs of the Assured during the Period of this policy.
Section 7 — Computer Crime Indemnity
Indemnity is afforded to the Assured in respect of direct financial loss sustained by the Assured in the following manner;
- Computer Systems
- Electronic Computer Programmes
- Electronic Data and Media
- Electronic Communications
- Assured Service Bureau Operations
- Electronic Transmissions and Uncertified Securities
- Tele-facsimile Communications
- Computer Virus
Errors & Omissions
Insurer will not indemnify the Assured for any loss on account of directly or indirectly trading for their own account or on behalf of employee, speculative activities or loss of market or delay or any other consequential losses. The following are also excluded from this policy cover:
- Loss on account of non-payment of, or default upon any loan, or transaction involving the Assured as a lender or borrower.
- Loss from failure or a financial or depository
- Loss resulting from withdrawal from customer’s account or any erroneous credits to such account
- Loss of potential income
- Indirect or consequential loss of any nature
Underwriting Information Required
- Completed Proposal Form