Fire declaration policy is issued to take care of frequent fluctuations in stocks/stock values, Declaration Policy(ies) are granted subject to the following conditions

• The minimum sum insured shall be Rs 1 crore in one or more locations and the sum insured shall not be less than Rs. 25 lakhs in atleast one of these locations. It is necessary that the declared values should approximate to this figure at some time during the policy year.
• Monthly declarations based on a) the average of the values at risk on each day of the month or b) the highest value at risk during the month shall be submitted by the Insured latest by the last day of the succeeding month. If declarations are not received within the specified period, the full sum insured under the policy shall be deemed to have been declared.
• Reduction in sum insured shall not be allowed under any circumstances.
• Refund of premium on adjustment based on the declarations/ cancellations shall not exceed 50% of the total premium.
• The basis of value for declaration shall be the Market Value anterior to the loss.
• It is not permissible to issue declaration policy in respect of
  • Insurance required for a short period.
  • Stocks undergoing process.
  • Stocks at Railway sidings