Money Insurance
Money insurance is a specialized business insurance policy that provides coverage for the financial loss of physical money—including cash, bank drafts...
Money Insurance
Money insurance is a specialized business insurance policy that provides coverage for the financial loss of physical money—including cash, bank drafts, cheques, postal orders, and current postage stamps—due to theft, robbery, burglary, or accidental loss.
It is primarily designed for businesses that handle significant amounts of cash, such as retailers, restaurants, and banks.
Key Areas of Coverage
1Money in Transit
This covers loss of money while it is being transported by the insured or an authorized employee between specified locations, such as:
- The insured business premises and the bank.
- The bank or premises and a place of disbursement (e.g., to pay wages).
- Between the premises of the insured's offices or branches.
2Money on Premises
This covers loss of money while it is kept at the business location, with specific limits and conditions for different scenarios:
In a locked safe or strong room outside of business hours
Usually due to burglary or housebreaking.
On the cash counter or in a till during business hours
Usually due to robbery or hold-up.
In an employee's personal custody
For a short, specified period (e.g., up to 48 hours after collection and before deposit).
Common Exclusions
Money insurance policies typically do not cover:
- Shortages due to errors or omissions (e.g., miscounting, accounting mistakes).
- Losses from the safe if the key was used, unless obtained by violence or threat.
- Theft from an unattended vehicle.
- Losses due to war, terrorism, or civil commotion (unless purchased as an add-on cover).
- Loss caused by the fraud or dishonesty of the insured themselves.
- Counterfeit money accepted in error.