Properties & Business Interruption Insurance
- Properties Insurance:
- “Fire and Named Perils” or “All Risks” cover for physical assets that is vulnerable to various risks, such as fire, explosions, water damage and natural catastrophe (such as earthquake)
- Business Interruption Insurance:
- Business interruption insurance is insurance coverage that replaces income lost in the event that business is halted due to direct physical loss or damage, such as might be caused by a fire or a natural disaster
- Business interruption insurance also covers operating expenses, a move to a temporary location if necessary, salaries and wages, and other payments
- Standard business interruption insurance does not reimburse policy holders if the business is closed due to a pandemic. Even some all-risk insurance plans have specific exclusions for losses due to viruses or bacteria
Comprehensive Office/Shop Package Insurance
- Office/ Shop Package Insurance:
- Covering office or shop premises comprehensive protection
- In addition to full property material damage, it includes coverage for mobile equipment, business interruption, loss of money, public liability, additional expenditures arising from unexpected circumstances
- In addition, it provides employees’ compensation insurance which protects you from exposure to statutory and common law liabilities under the local Hong Kong law
Machinery Breakdown Insurance
- Machinery Breakdown Insurance
- Covering sudden and unanticipated loss or damage of machinery and equipment that are installed and have already run in factories and mines, and such loss or damage is caused by human, technical operation, accidental or physical reasons when such machinery and equipment are in operation
Machinery Erection All Risks Insurance
- Machinery Erection All Risks Insurance:
- This insurance covers the risk present in the erection and installation of electrical or mechanical plants and machinery
- Losses (such as breakdown and explosion) during the testing and commissioning period preceding hand-over, and damage during the contractual maintenance period
Public/ General Liability Insurance
- Public/ General Liability Insurance:
- Covers you against liability claims for bodily injury and property damage by a third party arising out of your business operation
- Legal expenses arising from defending against such claims is also covered
- Can arrange off-premises public/ general liability insurance for a particular activity or event, such as an exhibition, a convention, concert, marketing promotion or sports competition
Employees’ Compensation Insurance
- Employees’ Compensation Insurance:
- A mandatory requirement in Hong Kong for an employer to arrange Employees’ Compensation insurance for their employees, as it is also a statutory liability under Employees’ Compensation Ordinance placed upon an employer to pay compensation in stipulated amounts to employees or their dependents in respect of injury or death caused by accident arising out of and in the course of their employment
- Apart from protecting you from exposure to statutory liability, this insurance also protects you against Common Law liabilities, which is employers’ liability that relates to liability in tort (mainly negligence) in respect of death of or injury to employees arising out of and in the course of their employment
Commercial Motor Insurance
- Commercial Motor Insurance:
- This insurance is compulsory for owners of commercial vehicles such as lorries, container trucks, tourist buses, taxis or public light buses, in order to cover the legal liability of the vehicle owners and the drivers against bodily injury to a third party caused by negligence (according to local legal requirements, commercial vehicle owners are required to arrange a motor third party insurance policy with a minimum compensation limit of HK$100 million)
- Vehicle owners may choose to purchase a Comprehensive Motor Policy, which is the widest form of motor coverage including Third Party cover and “all-risks” insurance on the insured vehicle, which covers any loss or damage arising from any conceivable risk unless exclusion applies
Products Liability and Products Recall Insurance
- Products Liability Insurance:
- Covering third party personal or bodily injury or property damage caused by the product (including the packing, warning or instruction). Insureds may include any parties involved in the design, manufacturing and distribution of the products including designers, manufacturers, importers, exporters, wholesalers and retailers
- Policy can be issued in either one of the two policy forms:
- Occurrence Form: based on the date of accident
- Claims-made Form: based on the date of reporting a claim to the insurer
- Additional covers include: Legal representation or investigation expenses; Worldwide jurisdiction and limit; Run-off cover for discontinuation of any line of products
- Optional covers include: Public Liability for Premises and Operation; Personal and Advertising Injury; Manufacturing Errors & Omission; Products Recall Expenses
- Products Recall Insurance:
- Covering expenses associated with recalling a product from the market. Product recall insurance is typically purchased by manufacturers such as food, beverage, toy, and electronics companies to cover costs such as customer notification, shipping costs, and disposal costs.
Directors and Officers Liability Insurance, Employment Practices Liability Insurance
- Directors and Officers (D&O) Liability Insurance:
- This insurance coverage is intended to protect individuals from personal losses if they are sued as a result of serving as a director or an officer of a business or other type of organization, such as private or public company and NGO
- D&O insurance claims are paid to cover losses associated with the lawsuit, including legal defense fees
- Most policies exclude fraud and criminal offenses
- Optional covers include: Entity Cover for Securities Claims; Entity Cover for Employment Practices Liability; Crisis Management Cover
- Employment Practices Liability (EPL) Insurance:
- Covering against lawsuits by current, past, or prospective employees accusing your business of wrongful treatment such as discrimination, harassment, wrongful dismissal, failure to promote or other employment-related issues
- Apart from providing cover for legal representation costs for employment investigations, it can also reimburse your business for the cost of defending a lawsuit in court, as well as any judgments and settlements against you, but it does not cover any punitive damages or civil or criminal fines unless it can be insurable by law
Professional Liability Insurance, Medical Malpractice Insurance
- Professional Indemnity/ Liability Insurance:
- This insurance covers the insured against claims for negligence, malpractice, misrepresentation and other claims for civil liability initiated by their clients, whilst legal representation at investigations can also be covered
- Professions like Accountants, Architects, Engineers, Lawyers, Medical Physicians, Insurance Brokers are highly regulated by local authorities and in many cases these professions are legally required to have professional liability insurance in place
- Other miscellaneous professionals such as information technology consultants, human resource/recruitment, professional trainers project managers, property managers, real estate agencies, publishers, designers, surveyors, event managers and school educators etc. can also be covered
- Medical Malpractice Liability Insurance:
- This cover is a specific form of professional indemnity insurance, providing individual healthcare practitioners and medical establishments with protection for civil liability claims arising from an act, error or omission in the provision of professional healthcare services, even for Good Samaritan Acts
- Covering legal representation costs incurred directly in connection with formal inquiries into the conduct of professional healthcare services
- Covering vicarious liability for doctors (including locums), consultants, contractors, subcontractors and agents
- Coverage for Individuals – from generalists through to specialists, dentists, allied health professionals and even registered Traditional Chinese Medicine (TCM) practitioners
- Coverage for healthcare facilities – including, but not limited to: Hospitals and Clinics, Dental Clinics, Chinese Medicine Clinics, Aesthetics and Beauty Centers (excluding Elective Cosmetic Surgeries), Physiotherapy and Rehabilitation Centers, Health Check and Diagnostic Centers, Medical Laboratories, Elderly Homes
Cyber Security Insurance/ Cyber Insurance
- Cyber Security Insurance/ Cyber Insurance:
- Cyber insurance can help protect your business against a range of cyber threats and exposures, including cybercrime, data breaches, business interruption, major security breaches and system failure and interruption
- Coverage provided by cyber-insurance policies may include:
- (a) first-party coverage against losses such as data destruction, extortion, theft, hacking, and denial of service attacks;
- (b) liability coverage indemnifying companies for losses to others caused, for example, by errors and omissions, failure to safeguard data, or defamation;
- (c) other benefits including regular security-audit, post-incident public relations and investigative expenses; and
- (d) criminal reward funds
Trade Credit Insurance and Trade Financing
- Trade Credit Insurance and Trade Financing:
- Trade Credit Insurance (TCI) can protect your business from non-payment of account receivables/ trade receivables as a result of commercial risks, protracted default or political risks
- Commercial risk refers to the failure of a buyer to pay its trade credit debts within the agreed credit period, whether due to temporary financial problems or insolvency
- Political risk includes natural disasters; war in the buyer’s country; cancellation of contract by the government of the buyer’s country; or governmental regulations such as embargo or quotas that prevent the export or import of goods
- Trade credit insurance policy can be assigned to banks, factoring houses and financial institutions as collateral for trade financing or factoring facilities so as to help your business to grow
Marine Cargo & Inland Transit Insurance
- Marine Cargo and Inland Transit Insurance:
- Marine cargo insurance covers the risks of physical loss or damage to goods and merchandise while in transit by any method of conveyance or while in storage anywhere in the world
- The major risks causing such physical loss or damage include: Perils of the sea, Theft, Malicious Damage, Fire and Accidental Damage, etc
- It is an integral part of International Trade and is required by Importers, Exporters, Manufacturers, Distributors, Retailers, Wholesalers and others engaged in the transportation of goods by sea, air, road, rail and post
Marine Hull & Pleasure Craft/Yacht Insurance
- Marine Hull & Pleasure Craft/ Yacht Insurance:
- Marine Hull & Machinery (H&M) Insurance covers physical damage and collision liability for a wide variety of vessels including private boats, fishing boats, tugs, charter/passenger vessels, tankers, cargo ships, bulk carriers, yachts, jet skis and others
- Policy covers loss or damage to vessel due to theft, malicious damage, latent defect, repairer’s negligence, third party liability, fire, heavy weather, lightning, piracy
- Covering against the expenses that would be incurred in repairing, or replacement for loss or damage to the hull and its machinery
- Protection and indemnity (P&I):
- Protection and indemnity (P&I) insurance is the broadest of all liability coverages, and because maritime law is particular, you will need coverages that are designed for those exposures.
- Longshore and harbor workers’ coverage and Jones Act coverage (for the yacht’s crew) are included and important
- P&I will cover any judgements against you and also pays for your defense in admiralty courts
Employees Benefits/ Group Insurance: Medical, Life, Personal Accident, Travel Insurance, MPF
- Group Medical Insurance:
- Employers is the policyholder covering their employees as insured members, and may include employees’ dependents (spouse and children)
- Covering typically medical, surgical, prescription drug and sometimes maternity-related and dental expenses incurred by the insured, on pay-and-claim/ reimbursement basis, or on direct settlement basis with the network health service providers
- Can be divided into different classes with different defined benefits amount
- Group Life and/or Personal Accident Insurance:
- Covering term life and/or personal accident insurance for the employees, and may include employees’ dependents
- Sum insured can be determined by fixed amount or a pre-determined number (e.g. 24 or 36 months) of multiple based on Basis Monthly Salary (BMS)
- Can be divided into different classes with different defined benefits amount
- Group Travel Insurance:
- Covering travel insurance for the employees who require overseas travelling
- Can be divided into different classes with different defined benefits amount
- Can arrange annual cover on declaration basis for premium calculation, or at fixed annual premium with unlimited number of trips during the period of insurance, yet still will have restriction on the duration of each trip
- Mandatory Provident Fund (MPF):
- The Mandatory Provident Fund, often abbreviated as MPF, is a compulsory saving scheme for the retirement of residents in Hong Kong. Most employees and their employers are required to contribute monthly to mandatory provident fund schemes provided by approved private organisations, according to their salaries and the period of employment.
- Up to 30th October 2020, there are 14 Approved Trustees for MPF Schemes.
Contractors’ All Risks Insurance and Single Project Professional Indemnity (SPPI) Insurance
- Contractors’ All Risks Insurance:
- This insurance plan provides comprehensive protections to construction companies and, as well as principals engaging the services of a construction company, covering all scales of contracted works from large-scale construction projects like high-rise buildings and highways to small-scale jobs such as household or shop renovations
- Can be short-term period or multi-years policy period
- Covering property damage and third-party injury or damage claims, the two primary types of risks on construction projects:
- The 1st section covers accidental damage (such as fire, flooding, etc.) to the contracted projects, including finished works, works-in-progress, temporary work erected on-site and the raw materials for those projects
- The 2nd section protects the construction company and the principal’s legal liability against death or bodily injury or property damage to a third party due to negligence while performing the contracted work
- CAR insurance not only covers those associated risks but also bridges these two types of risks into a common policy designed to cover the gap between exclusions that would otherwise exist if using separate policies
- Single Project Professional Indemnity (SPPI) Insurance:
- Single Project Professional Indemnity (SPPI) is an insurance solution arranged around the lifecycle and needs of a specific construction project
- SPPI can be provided from the first provision of professional services on a construction project, right through to completion with an extended claims reporting period of up to 10 years
- It is designed to cover all project participants with responsibility for professional services rendered in connection with the construction process, including contractors and consultants alike, whether working individually, joint venture or consortia
Transport & Logistics Liability Insurance
- Transport & Logistics Liability Insurance:
- It protects companies involved in the movement of cargo against legal
liabilities arising out of the conduct of their business. Cover will
normally include: Loss or damage to cargo, Errors and Omissions, Third
Party Liability, On-forwarding costs, Consequential losses, Legal costs
and defense expenses. Target insureds include Freight forwarders,
Logistics operators and Warehouse operators
- It protects companies involved in the movement of cargo against legal