Now, when the RBI has notified that customers shall be keeping their belongings including jewellery, cash and other important documents etc . at their own risk and banks have no liability to compensate them. Further they justified the notification, saying that the relationship that banks share with their bank locker customers is that of a landlord and tenant and in such a relationship it is the responsibility of the bank locker holder to keep their valuables safely.
Customers are now on looking for either other safer avenues to keep their valuables intact. While others are looking to safeguard their valuables in the bank locker by buying exclusive cover for them as still this customer segment believe that bank lockers are far more safe than other options.
So, add-on covers available as All Risk Cover under Home Insurance or Householder's policy can be secured to insure your valuable outside your residential premises.
How the add-on cover offers protection under householder's policy?
Depending on the jewellery, limit for the cover can be set between Rs. 2 lakhs and Rs. 10 lakhs. However, for jewellery whose replacement cost is estimated to be over Rs. 10 lakhs, valuation certificate is to be submitted when buying the policy.
All such details with respect to the jewellery including type, weight as well as replacement cost has to be provided. Also, depending on the overaall cover for home insurance, there is sub-limit set for the jewellery cover by the different general insurance companies. Say for a total householder's policy of Rs. 3 lakh, the jewellery insurance of a maximum of 25% can be availed.
Premium amount for such insurance is low
In comparsion to the value of gold in the market, the premium for such an insurance polcy is low and ranges anyway between 0.5-1% of the jewellery market value.
Customers can claim for the loss if any
By submitting the claim form, customers can claim for the loss by providing relevant documents in support of such a loss such as evidence in lieu of damage or thef, total loss esrimate, FIR copy, valuation certificate or jewellery invoice. In case of a damage as a result of natural calamity, a report by the seismological or meteorological department has to be submitted.