Glass Insurance is generally taken as a section within a Commercial Business Pack, as a non-expensive and often required coverage item. Many leases will specify that a tenant is responsible for Glass Insurance, as well as the landlord and property owner also covering it to ensure there is no lack of coverage.
Lets take a closer look at Glass Insurance?.
What is Glass
(a) Fixed glass forming part of or fixed to the exterior of the building including glass in fixed signs; or
(b) Fixed internal glass including fixed glass in furniture, counters, shelving and showcases, fixed and hanging mirrors,
fixed washbasins, sinks, toilet pans and cisterns, contained within the building.
Glass includes external glass, internal glass and specified glass (if listed as specified).
The Insuring Clause of the standard business pack glass section is as follows:
We will insure You for breakage of glass which You own or for which You are legally responsible, occurring during the period of insurance at the premises.
Breakage requires a ‘fracture through its entire thickness’. It does not include a scratch.
We will pay for the cost of replacement of broken glass with glass of similar manufacture and quality including the reasonable costs for after-hours service by repairers, express delivery and overtime charges to repair or replace broken glass.
We will also pay the extra cost necessarily incurred to comply with the minimum requirements of any statutory authority when replacing the glass.
What’s the Sum Insured ?
There is no sum insured limit or specified limit – the glass is replaced at full replacement cost or ‘replacement value’.
Not a bad throw in by Insurers – considering the premium on Glass can be as low as $200 – with a no limit coverage option. Large shopfront panels are often $1000’s to fix, so its certainly favourably priced. Favourable enough to just include it, whenever in doubt!