Bharat Griha Raksha Policy: Comprehensive Protection for Your Home and Belongings

Shelter is one of our basic needs, alongside food and clothing. It provides us with protection and serves as a landmark we call home. It is where we live with our families, fostering happiness and peace. Our homes bring us joy and play an integral role in our lives, which is why many of us invest our lifelong savings in purchasing a home. While we recognize the importance of life, health, and motor insurance for financial protection during uncertain times, it’s equally important to safeguard our homes from potential financial loss. We invest a significant amount of time, money, and love into building our homes. Understanding this, the Insurance Regulatory and Development Authority of India has introduced a comprehensive home insurance policy called the “Bharat Griha Raksha Policy” to help protect citizens and their homes.

Let’s see what the Bharat Griha Raksha Policy is:

a. Bharat Griha Raksha Policy Coverage:

This is a home insurance policy that covers both the structure of the building and the contents inside. If either the structure or the contents suffer physical damage due to any uncertain events as covered under the policy, then the insurance company will compensate for the loss incurred, including the cost of reconstruction and/ or the cost of repair. When you purchase insurance cover for the structure of the building, the contents inside are automatically insured up to 20% of the sum insured of the home structure with a maximum limit of INR 10 lakhs. If you wish to insure the contents for a higher sum, you must declare the details of the content to the insurance company.

b. The policy also offers some add-on covers:

1. Personal accident cover: This add-on can be added to the base policy. In the unfortunate event that causes damage to the structure and contents and also leads to the death of the insured or their spouse, a compensation of INR 5 lakh per person will be paid to the nominees.

2. Cover for valuable items on an agreed value basis: Items like paintings, jewellery, silverware or similar valuable items can be covered on an agreed value basis mutually negotiated between the insurance company and the insured.

c. Perils covered under the policy:

1. Fire

2. Implosion explosion

3. Lightning

4. Earthquake, volcanic eruption and other convulsions of nature

5. Storm, Tempest, Flood and Inundation

6. Subsidence, landslide and rockslide

7. Bush fire and forest fire

8. Impact damage from external objects

9. Missile testing operations

10. Riots, strikes and malicious damage

11. Act of Terrorism

12. Bursting of water tanks, apparatus and pipes

13. Leakage from automatic water sprinklers

14. Theft within 7 days from happening of the above-insured perils as a proximate cause

However, it’s important to read the exclusions mentioned on the insurance policy related to the above perils, like for example, the fire caused by an order of any public authority is an exclusion. Also, there are some general exclusions like deliberate and wilful damages caused by the insured to the property for benefit purposes. Hence, reading the policy document is a crucial practice. Insurance claims are not triggered if the damage has occurred due to events mentioned under the exclusion section.

d.Home structure cover

The home structure cover is for the building of your home. It can be extended to include additional structures such as garages, verandahs, domestic outhouses for residence, compound walls, retaining walls, parking spaces, solar panels, Storage water tanks, permanent fixtures and fittings, and internal roads are also covered.

For internal contents coverage, assets present inside the home like televisions, refrigerators, furniture, and other household articles, are covered. Valuable items like jewellery can be covered on an agreed-value basis.

e. Who can buy this insurance policy?

This insurance policy can be purchased by various individuals, including the property owner, an authorized occupier under an agreement, a landlord, a tenant under an agreement, or anyone with a legal right to insure the property.

This cover can be taken only if the property is used for residential and dwelling purposes; in case of commercial use, a Bharat Sookshma Udyam Suraksha or Bharat Laghu Udyam Suraksha policy can be taken.

f. Insurance amount

The appropriate insurance amount for your home should be based on the cost required to rebuild it in the same condition as it was at the commencement of the policy. A unique feature of this coverage is that underinsurance does not apply. This policy also allows the insured to choose a long-term insurance period of up to 10 years. Additionally, the sum insured appreciates by 10% each year if you opt for a longer insurance period without any premium increase. Terrorism coverage is included as part of the base policy. You also have the option to opt for cover loss of rent and rent for alternative accommodation under this home insurance product.

The Bharat Griha Raksha Policy is a comprehensive and user-friendly home insurance product designed to offer complete protection for your home against a wide range of risks. It provides a one-stop solution to safeguard your home and the valuable assets within it. By ensuring that your home is financially protected, the policy offers peace of mind, allowing you to feel secure about one of your most significant investments, it’s not just important but essential to have Home insurance. This policy helps ensure that your most cherished asset remains safe, providing you and your family with the confidence and stability to face any unforeseen challenges.