What is Burglary Insurance?

Difference Between Burglary and Theft

The following table shows how burglary is different from theft:

Key Features of Burglary Insurance

The following are the key features of burglary insurance:

Why Burglary Insurance is Important for Homeowners?

A burglary insurance policy helps homeowners protect against unexpected financial losses from theft, break-ins, or property damage during a burglary attempt. Modern homes often contain expensive electronics, appliances, furniture, jewellery, and personal belongings that can be costly to replace if stolen.

In addition to the loss of valuables, burglars may also damage doors, locks, windows, or interiors as they enter the property. A burglary insurance policy for your home gives financial security in such situations and helps reduce the burden of repair or replacement expenses. It also offers peace of mind, especially for people living in independent houses, urban areas, or homes that remain unoccupied for long periods.

How Does Burglary Insurance Work?

Burglary insurance in a home insurance policy works by offering monetary compensation to you for losses caused by a burglary or break-in at your home. Once you buy this plan, the insurer agrees to compensate you for the theft of insured household items and for any damage to the property caused by forced entry, according to the policy terms & condition.

In case of a burglary, you need to immediately inform the police and file a FIR, notify the insurance company, submit the required documents, and provide proof of loss or damage. After verifying the claim, the insurer assesses the value of the stolen or damaged items and settles the claim to accordance with the sum insured, coverage limits, and policy conditions.

Who Should Buy Burglary Insurance?

Burglary insurance can be useful for anyone who wants financial protection against home theft and break-ins. Therefore, this policy is beneficial for the following individuals:

• Homeowners with valuable household items
• People living in independent houses or villas
• Families with expensive electronics, appliances, or jewellery
• Tenants who want to protect their personal belongings
• Individuals living in areas with higher theft risks
• Owners of vacant or frequently unoccupied homes

Coverage Under Home Burglary Insurance

Inclusions

The policy provides coverage for burglary and housebreaking losses of insured property kept on the premises. Here are the general inclusions of a burglary & housebreaking insurance:

• Property Contents Cover: The policy covers insured property, such as stocks, furniture, fixtures, and goods, kept on the premises due to burglary or housebreaking. The coverage is available only for items specifically insured under the policy.
• Damage to Premises: Any damage to doors, windows, locks, or the insured premises caused by a burglary or attempted burglary is covered under the policy.
• Cash and Valuables Cover: The policy can also cover cash, valuables, and securities kept in a locked safe or cash box inside a locked steel cupboard, if specifically declared and insured.
• Theft Coverage: The policy offers protection against theft-related losses under specific extensions and coverage conditions.
• Riot, Strike & Malicious Damage Cover: Losses caused by riots, strikes, or malicious acts can be covered if this extension is opted for under the policy.
• First Loss Basis Cover: The policy provides an option to insure property on a first-loss basis, which helps reduce premiums when a total loss is unlikely.

Exclusions

Here is the list of several major exclusions where claims may not be payable by the insurer:

• Gold & Jewellery Exclusion: Gold, silver articles, jewellery, money, bonds, or securities are not covered unless they are specifically insured under the policy.
• Other Insurance Exclusion: Any loss already covered under another insurance policy, such as fire or plate glass insurance, will not be payable under this policy.
• Key Theft Exclusion: Losses involving the use of original or duplicate keys are excluded unless the keys were obtained through force, assault, or threat.
• War & Nuclear Risk Exclusion: The policy does not cover losses arising due to war, nuclear risks, or certain natural calamities categorised as acts of God.
• Riot & Strike Exclusion: Losses due to riot, strike, or malicious damage are excluded unless this cover is specifically included in the policy.
• Insider Involvement Exclusion: Losses involving employees, inmates, staff members, or the insured person are not covered under the policy.
• Consequential Loss Exclusion: Indirect financial losses, business interruption losses, or legal liabilities arising after the burglary are not covered.

*Disclaimer: The inclusions and exclusions mentioned above are indicative in nature and may vary depending on the insurer, policy terms, coverage selected, and underwriting guidelines. Please refer to the official policy wording and related documents for complete details on coverage, terms, conditions, and exclusions before purchasing the policy.

How to Calculate Burglary Insurance Premium?

The premium for home burglary insurance is calculated based on several risk-related and property-related factors. Insurers generally consider the following:

• Type and value of household contents insured
• Sum insured selected under the policy
• Property location and burglary risk in the area
• Type of house or construction
• Availability of security features such as CCTV, alarms, or security guards
• Add-on covers opted under the policy
• Occupancy status of the property
• Previous claim history of the policyholder
• Coverage type and policy tenure

*Note: A higher sum insured or broader coverage may increase the premium, while better security arrangements may help reduce it.

How to Reduce Burglary Insurance Premium?

You can reduce your burglary insurance premium by following some of the effective ways mentioned below:

1. Install Security Systems

   Installing CCTV cameras, burglar alarms, motion sensors, smart locks, and video doorbells can help reduce burglary risks. Lower risk means a lower premium, as the property is equipped with advanced security systems.

2. Choose the Right Sum Insured

   Always select the sum insured based on the actual value of your property and household contents. Overinsuring or underinsuring your belongings can unnecessarily increase or decrease your premium.

3. Improve Physical Security

   Strong doors, window grills, gated entry points, safety lockers, and proper lighting reduce the chances of burglary and may help lower insurance costs.

4. Maintain a Good Claim History

   Avoid making small or unnecessary claims frequently. A good claim record may help you get better premium rates during policy renewal.

5. Compare Burglary Insurance Plans Online

   Comparing burglary insurance plans online at Policybazaar will help you find affordable premium policies with sufficient coverage benefits.

6. Opt for Long-Term Policies

   Some insurers offer discounts on long-term burglary insurance policies, which ultimately reduce premiums.

7. Keep Property Well Maintained

   Regular maintenance of property is important. So, get your doors, locks, windows, and security systems checked in order to reduce risk exposure.

How to Buy/Renew Burglary Insurance Online?

Buying or renewing burglary insurance online through Policybazaar is quite simple. Also, you can compare plans here and select coverage based on your needs.

1. Enter Basic Details: Visit the official website of Policybazaar Insurance Brokers Private Limited, hover to 'Home Insurance' and provide basic information such as your name, mobile number, property type, and location.
2. Share Property Information: Enter details related to your home, including property value, household contents, security features, and the coverage amount required.
3. Compare Plans: Compare burglary insurance plans from multiple insurers based on coverage, premium, inclusions, exclusions, and add-on benefits.
4. Select the Policy: Choose the burglary insurance plan that best fits your budget and protection needs.
5. Make Payment: Complete the online payment securely through available payment options such as UPI, debit card, credit card, or net banking.
6. Receive Policy Document: Once the payment is successful, the policy document is shared instantly on your registered email ID and mobile number.

Why Buy Burglary Insurance from Policybazaar?

Here are a few reasons why you should buy burglary insurance from Policybazaar Insurance Brokers Private Limited:

• Compare plans from multiple insurers in one place
• Simple and hassle-free buying/renewing process
• Transparent comparison of premiums, features, and exclusions
• Get affordable premium options with easy plan comparison
• Choose from a wide range of coverage options and add-ons
• Instant policy issuance with digital documentation
• Get expert assistance to select the right insurance plan
• Dedicated support during the claim process

How to File Burglary Insurance Claims?

You can raise a burglary insurance claim online or offline by informing the insurer immediately after the incident and following the required claim process.

1. Notify the Insurance Company: Inform the insurer about the incident as soon as possible and register the claim with complete details of the loss.
2. Get FIR (if advised by insurer): If required by your insurer, file an FIR at the nearest police station immediately upon discovering the burglary or housebreaking.
3. Submit Required Documents: Provide all necessary documents, including a copy of the FIR, the claim form, photographs, and proof of ownership of the stolen items.
4. Survey & Verification: The insurer may appoint a surveyor to inspect the property damage and assess the loss incurred due to burglary.
5. Claim Settlement: After successful verification and document review, the insurer processes and settles the claim in accordance with the policy terms and conditions.

Documents Required to File Burglary Insurance Claims

The following documents are generally required while filing a burglary insurance claim:

• Duly filled claim form
• Copy of FIR or police complaint (if required)
• Insurance policy document copy
• Identity proof of the policyholder
• List of stolen or damaged items
• Purchase invoices or ownership proof of valuables
• Photographs of damaged property or forced entry
• Repair estimates or bills, if applicable
• Any additional documents requested by the insurer during claim assessment

*Disclaimer: The claim process, timelines, and documentation requirements may vary depending on the insurer, policy terms, and nature of the loss. Please refer to the official policy wording for complete claim-related guidelines.

Common Reasons for Burglary Insurance Claim Rejection

Understanding the common reasons for claim rejection can help you avoid potential issues:

1. No Signs of Forced Entry

   One of the most prominent requirements for proving burglary is the presence of forced entry. Most burglary insurance policies cover losses only when there is evidence of forcible or violent entry. The claims may get rejected if there are no visible signs of break-in, such as damaged locks, doors, or windows.

2. Delay in Informing the Insurer

   Another reason is that delaying notification to the insurer immediately after the burglary can lead to claim rejection. In India, insurers usually require prompt intimation for proper investigation and claim assessment.

3. FIR Not Filed

   An FIR (First Information Report) is one of the most important documents for burglary claims. The claims may be denied when the policyholder fails to file an FIR with the police.

4. Supporting Documents are Missing

   Other than FIR, if there are insufficient documents, such as invoices, ownership proof, photographs, repair estimates, or other required documents, it can affect claim approval.

5. Theft Not Covered Under Policy Terms

   Some policies cover only burglary involving forcible entry and may not cover simple theft, mysterious disappearance, or unattended property loss. So, you need to read the policy terms & conditions before finalising it.

6. Property Left Unsecured

   The claims may be rejected if the insurer finds that the property was left unlocked, unattended, or without proper security arrangements. Therefore, make sure you have working locks.

7. Non-Disclosure of Material Facts

   Providing incorrect information or hiding important details while purchasing the policy may result in claim rejection.

8. Claim for Excluded Items

   Certain items, such as cash, important documents, antiques, or high-value valuables, may not be covered unless specifically insured.

9. Fraudulent or Exaggerated Claims

   Submitting false information, inflated loss amounts, or fake bills can lead to immediate claim rejection and possible legal action.

10. Policy Expired or Premium Unpaid

    If the policy has expired or premiums were not paid on time, the insurer may reject the burglary claim due to the policy being inactive.

Tips to Prevent Home Burglary

Here are some simple yet effective ways to reduce the risk of burglary and improve the safety of your home:

1. Secure All Entry Points

   Always lock all doors, windows, balconies, and gates properly before leaving your home, even for a short duration. Burglars often target homes with weak locks or easily accessible entry points.

2. Install a Home Alarm System

   A home alarm system acts as a strong deterrent against burglars and immediately alerts you to any suspicious activity. Many insurers may also offer lower premiums for homes equipped with security systems.

3. Use CCTV Surveillance

   Installing CCTV cameras helps monitor your property and record suspicious movements around your home. Regularly maintaining and checking the cameras ensures that your security system remains effective.

4. Avoid Publicly Sharing Travel Plans

   Avoid announcing vacations or long absences on social media or to unknown people. Informing only trusted neighbours or relatives can help keep an eye on your property while you are away.

5. Improve Outdoor Lighting

   Well-lit entrances, parking areas, and pathways make it difficult for burglars to hide or enter unnoticed. Motion-sensor lights can further improve home security at night.

6. Keep Valuables Safe

   Store jewellery, cash, important documents, and other valuables in lockers or secure safes to minimise losses in the event of a burglary.

Conclusion

Burglary insurance helps protect your home and belongings against financial losses from burglary, housebreaking, and theft. From covering stolen valuables and property damage to providing financial security in unexpected situations, the policy offers much-needed peace of mind for property owners and tenants alike. By choosing the right coverage, maintaining proper security measures, and comparing plans online, you can secure your property with comprehensive protection at an affordable premium.