Complete Home Protection for Every Indian Household — Building· Contents· Jewellery· Appliances· Family —
Householders Insurance Policy, the insurer

the insurer's Householders Insurance Policy is a comprehensive bundled package covering 10 sections of home risk — fire, burglary, jewellery, appliances, TV, bicycle, baggage, personal accident, and public liability — all in one policy.


→ Home owners — can insure the building structure (Section I-A) AND all contents
→ Tenants — "Even if you have rented your property you can cover the contents of the house against fire & allied perils, Burglary and/or housebreaking, hold-up, mechanical and electrical breakdown"
→ Residents of: flats, apartments, housing societies, bungalows, row houses — rural/semi-urban/urban/Metro

What tenants CAN insure:
All 9 sections except Section I-A (building) — because the building belongs to the landlord, not the tenant. The landlord insures the building separately. Tenants insure their own contents (Section I-B, compulsory), their jewellery, appliances, TV, bicycle, baggage, personal accident, and public liability.

What tenants CANNOT insure:
Section I-A (Building) — this is the landlord's asset and the landlord's insurance responsibility. If the landlord does not insure, that is the landlord's risk to bear.

Section I — Fire & Allied Perils: I-A (building) + I-B (household contents)
Section II — Burglary & Housebreaking including larceny/theft (contents only)
Section III — All Risk against valuable items (jewellery, cameras, watches)
Section IV — Plate Glass Cover (fixed, accidental breakage)
Section V — Breakdown of Domestic Appliances (mechanical/electrical)
Section VI — Television Sets (All Risk)
Section VII — Pedal Cycle (All Risks + third party liability)
Section VIII — Baggage Insurance
Section IX — Personal Accident Insurance
Section X — Public Liability & Workmen Compensation Risks

The only compulsory section:
Section I-B — Fire & Allied Perils for household contents. This must always be included. In addition to this, the proposer must choose at least 2 more sections (any 2 from the remaining 9). Minimum policy = 3 sections total.

Building SI (Section I-A) — Owners only:
Formula: Built-up Area × Cost of construction per sq ft

Steps:
1. Measure the built-up area of your home in sq ft
2. Estimate the construction rate for your type of construction:
→ Pucca RCC high-end: ~₹2,500–₹3,000/sq ft
→ Pucca RCC standard: ~₹1,800–₹2,500/sq ft
→ Semi-pucca: ~₹1,000–₹1,800/sq ft
→ Katcha: ~₹500–₹1,000/sq ft
3. Multiply: 1,200 sq ft × ₹2,200 = ₹26.4 lakh building SI

Important: Land value is NOT included in building SI. Insurance covers only the cost of reconstructing the structure. This is why building SI is lower than market value — and this is correct.

Contents SI (Section I-B):
List all household items by category: furniture, clothing, linen, utensils, crockery, kitchen items, curtains, etc. Estimate the MARKET VALUE (current value of used items) for each category. Total = your contents SI.

Use the interactive Building SI Calculator on this page for a quick estimate.

This is the most common source of confusion in Householders Insurance — and underinsurance often results from using the wrong basis.

Market Value (used for most sections):
→ (identical standard to the insurer): "the value for which this used item could be bought or sold in the market"
→ Accounts for age, depreciation, and current condition
→ Used for: Sections I-A/B, II, III, IV, VI, VII, VIII
→ Example: A sofa bought 4 years ago for ₹35,000 has a market value today of ₹14,000 → insure for ₹14,000

Replacement Value (Section V ONLY):
→ "Sum insured should represent the current replacement value"
→ The cost of a BRAND NEW similar item today, regardless of the age of your existing appliance
→ Used for: Section V — Breakdown of Domestic Appliances ONLY
→ Example: A 3-year-old Godrej 165L fridge → replacement value = price of a new 165L Godrej fridge today ≈ ₹28,000 → insure for ₹28,000

Why the difference?
Appliance breakdown repairs are priced at current spare parts and labour costs. If your old fridge breaks and needs a new compressor, the repair cost is based on current prices — not what you paid for the fridge. Replacement value SI ensures full claim payment at current repair/replacement cost.

Yes — Section III (All Risk against valuable items) specifically covers jewellery and valuables under the Householders Policy.

What's covered:
→ "Loss or damage caused to jewelry and valuables by accidental or misfortune, provided it happens in India only" —
→ Items: Jewellery (gold, silver, diamonds)· Cameras· Wrist watches· Musical instruments· Other declared valuables
→ At home: covered in your premises (even if not in a locked safe — all-risk cover)
→ In transit: covered while you carry them anywhere in India

Important rules:
→ 5% deductible: You bear 5% of each claim, minimum ₹25,000
→ India only: Jewellery taken outside India is NOT covered under Section III
→ Documentation: Keep purchase invoices and, for expensive heirlooms, a valuation certificate from a certified jeweller. This is your proof of value if you need to claim.
→ Annual update: Gold prices change significantly. Review and update your Section III SI at every renewal to avoid underinsurance.

Section III vs Section II for jewellery:
Section II (Burglary) covers jewellery stolen in a break-in (forced entry required). Section III covers jewellery lost or damaged by ANY cause — including accidental loss, misplacement, theft without forced entry — making it a far more comprehensive cover for valuable items.

Section V covers mechanical or electrical BREAKDOWN of domestic electrical, electronic, or mechanical appliances — not physical damage.

What it covers:
→ "Damages occur to the appliances due to mechanical or electrical breakdown" —
→ Internal failure: compressor failure, motor burnout, PCB failure, electrical surge damage
→ Any domestic electrical/electronic/mechanical appliance

What it does NOT cover:
→ Physical damage — item dropped, broken by impact, cracked (this would be accidental damage — different cover)
→ Damage by fire (covered under Section I)
→ Damage by burglary (covered under Section II)
→ Wear and tear — normal ageing and gradual deterioration
→ Television sets (TVs have their own dedicated Section VI — All Risk cover)

Sum Insured — Replacement Value basis:
Unlike most sections (market value), Section V uses REPLACEMENT VALUE — the cost of a new similar appliance today. This is: "sum insured should represent the current replacement value of a similar item."

Example: A 5-year-old Samsung 1-ton AC breaks down (compressor failure). Section V covers the repair/replacement cost at current prices. SI should be declared as the new price of a similar 1-ton Samsung AC today — even though your existing AC is 5 years old.

The premium discount is own website:

15% discount: "The proposer is entitled to 15% discount for opting more than four sections" — meaning if you choose 5 or more sections in total, you get 15% discount.

20% discount: "20% discount on premium for opting more than six sections" — meaning if you choose 7 or more sections in total, you get 20% discount.

What the discount applies to:
The discount applies to NON-TARIFF section premiums only. Tariff sections (Section I — Fire, and Section X — Public Liability) have fixed premiums that the discount doesn't reduce.

What counts toward the threshold:
ALL sections — both tariff AND non-tariff — count when determining whether you've reached 5 or 7 sections. So Section I (Fire) and Section X (Public Liability) count toward your total, even though their premiums don't receive the discount.

Practical example:
You choose: I-B (compulsory) + I-A + II + III + V + VII + IX = 7 sections total. You qualify for 20% discount on sections II, III, V, VII, IX premiums (the non-tariff ones). Section I-A and I-B premiums remain unchanged.

Strategy tip:
If you need 4 sections anyway, check whether adding a 5th section (e.g., Section VIII Baggage at a small premium) saves more in 15% discount than it costs. Often the answer is yes.

Yes — Section X (Public Liability & Workmen Compensation Risks) covers domestic servants working in your home.


"Covers Insured's legal liability for bodily injury or loss of or damage to property of third party limited to amount specified in the schedule and workmen's compensation liability to domestic servants engaged in insured's premises."

What this means in practice:
If your domestic servant (cook, maid, driver, gardener, watchman) is injured while working at your premises, you as their employer have a legal liability to compensate them under the Workmen's Compensation Act. Section X of the Householders Policy covers this liability.

Example: Your cook slips and falls in the kitchen, fracturing their wrist. Unable to work for 3 months. They claim compensation from you. Section X responds and covers this liability up to the schedule limit.

Also covers: Third-party public liability — if a visitor to your home is accidentally injured on your premises (slips on wet floor, staircase accident), Section X covers your legal liability to that visitor.

Note: Section X is a tariff section. Its premium is fixed. If you have domestic servants, Section X is one of the most valuable additions to your policy and is worth including even if you wouldn't otherwise reach a discount threshold.

Burglary claim — Section II — Step by step:

Step 1 — Call police IMMEDIATELY:
Lodge an FIR with the nearest police station as soon as you discover the burglary. Note the FIR number. "Damage should happen to contents which are kept in the premises" — forced/violent entry is a key condition.

Step 2 — Do not disturb the scene:
Preserve evidence for the police and the insurance surveyor. Photograph everything — broken locks, entry points, damaged property, empty drawers. Do not clean up or discard items until the surveyor visits.

Step 3 — Notify the insurer immediately:
Call 022 4302 0000 on the same day. Give policy number, FIR number, and description of what was taken/damaged.

Step 4 — Prepare inventory of stolen/damaged items:
List every stolen/damaged item with: Description· Year of purchase· Original purchase price· Current market value. Attach purchase invoices/bills wherever possible.

Step 5 — Surveyor assessment:
the insurer appoints a surveyor. Cooperate fully. Provide FIR copy, photographs, all purchase receipts, and the inventory list.

Step 6 — Settlement:
Claim paid at market value of stolen/damaged items (not purchase price) less the applicable excess. Claims for jewellery under Section II require forced entry to be proven; for broader jewellery cover, Section III (All Risk) is recommended.

Note: Cash is NOT covered under Section II (Burglary) of the Householders Policy. Cash is a separate product (Money Insurance).

By default, terrorism is excluded from the base Householders Insurance Policy.

"Loss or damage due to terrorism activities unless otherwise specifically included" — meaning terrorism cover can be specifically added.

How terrorism cover is added:
Terrorism cover can be included as a specific add-on for an additional premium. This is done at inception or at renewal — not after a terrorism event has occurred.

Is terrorism cover necessary?
For most residential properties in standard urban/suburban locations, the base policy without terrorism cover is adequate. The terrorism add-on is more commonly relevant for:
→ Properties in areas with elevated risk (border areas, areas with civil unrest history)
→ High-value properties where the financial exposure from terrorism damage would be significant
→ Commercial properties (where terrorism is more commonly purchased)

What is NOT covered regardless of terrorism add-on:
War, war-like operations, invasion, hostilities, civil war, mutiny — these remain excluded even if the terrorism add-on is purchased. Terrorism and war are distinct categories in insurance.

Call 022 4302 0000 to discuss whether the terrorism add-on is appropriate for your specific property location and situation.