Bankers Indemnity Insurance Policy

The Banks carry a heavy financial risk in their day to day operation. For this purpose, HDFC ERGO brings to the Banking institutions a unique comprehensive policy called "Banker's Indemnity Policy.

This policy is blend of various sections of coverage that protect the banks from loss of money and/or securities on premises and in transit due to various perils. It also provides for cover against financial loss arising from forgery, fraud and dishonesty. The product is blanket one with the client having the choice of selection higher limits of insurance under "on Premises" and "In Transit" sections This insurance cover can be availed by different Institutions as listed below:-

1. Nationalized Bank, Foreign Banks
2. Private Banks/Schedule Banks registered with RBI
3. Other including District Central, Co Operative Banks etc. registered with RBI

There are 8 sections under this policy to provide complete insurance solution to the banks.

Section A- On Premises
Loss of money and / or securities (for which the Insured is responsible) from the insureds premises, mobile offices, other bank’s premises due to fire, riot & strike, burglary, housebreaking, theft, robbery, hold-up.

Section B- In Transit
Money and/ or Securities being lost, stolen, mislaid, misappropriated, made away with due to negligence or fraud of the employees of the Insured while in transit which commences from the moment the money is received by the employee and continues until delivery.

Section C- Forgery or Alteration
The payment made in respect of bogus, fictitious, forged or raised cheques or drafts, genuine cheques (excluding bills of discounts and other credit facilities), travelers cheques, draft or fixed deposit receipts bearing forged endorsements.

Section D- Dishonesty
Dishonesty or criminal act of the insured’s employee wherever committed and whether singly or jointly in connivance with others.

Section E- Hypothecated Goods
Fraud and/ or dishonesty of the insured’s employees in respect of any goods and/or commodities pledged or hypothecated to the Insured and under Insured’s control.

Section F- Registered Postal Sending
Robbery, theft or by other causes not excluded while in direct transit by registered insured port from the insured’s office to the consignee provided such parcel in insured with post office for value equal to 10% of the basis sum insured or Rs. 500,000/- whichever is less.

Section G- Appraisers
Infidelity/ criminal acts on the part of appraisers (who are on the approved list of insured bank). Insurer’s liability in respect of each appraiser: 5% of the Basis Sum Insured or Rs. 250,000/- which ever is less.

Section H- Janta Agents/ Chhoti Yojna Agents/ Pygmie Collectors
Infidelity/ criminal acts on the part of Janta Agents/ Chhoti Yojna Agents/ Pygmie Collectors etc who are regular part time agent of the insured bank. Insurer’s liability in respect of each appraiser: 5% of the Basis Sum Insured or Rs. 50,000/- whichever is less.

The Company shall not be liable in respect of:

(a) Any loss or damage occasioned by or through or in consequence whether directly or indirectly of any of the following occurrences:

  • Earthquake, volcanic eruption, subterranean fire, or any other convulsions of nature.
  • Flood, inundation, Hurricane, Typhoon, Storm, Tempest, Tornado, Cyclone or Atmospheric disturbances (not applicable to mobile Offices including ATMs)
  • War, invasion, act of foreign enemy, hostilities or warlike operation (whether war be declared or not), civil war
  • Mutiny, military or popular rising, insurrection, rebellion, revolution, military or usurped power, martial law or state of siege or any of the events or causes which determine the proclamation or maintenance of martial law or state of siege

In event of a claim please contact the Policy issuing office immediately or call us at our Toll Free Number -1800-2-700-700 (Accessible from India only)

"For complete details on coverage, terms, conditions and exclusions, please refer our policy wordings."