Leasing and finance
By David Waters, Managing Director CHIS and PrimeCare Insurance
February 9, 2012
We are seeing an increasing number of clients lease equipment, especially office equipment such as photocopiers and similar.
When you lease a piece of kit, the lessors often include an insurance cover. This cover is at an additional premium which is invariably some 10 times greater than your own contents premium rate through your conventional insurance, especially if that insurance is provided by CHIS or PrimeCare Insurance.
The lessor will usually provide any lessee with a letter which summarises the inclusion of insurance and the monthly premium cost. If you get such a letter forward it to us or your insurance broker and let them know whether your contents sum insured needs to increased or not.
In most cases, the new leased photocopier replaces the old one. The old one had been included within your contents sum insured, so there is no need for any increase or change to your sum insured. This in turn means there is no need for any change to your premium.
To make sure you don’t pay insurance premiums twice for any piece of equipment the lessor requires us (or your broker) to call them, confirm your insurance details, the adequacy of your sum insured and endorse the policy to note the interest of the lessor.
To us this easy and routine, all you need to do to avoid paying excess premiums are fax or send us (or your broker) a copy of the letter from the lessor and ask us to make sure you are not charged by the lessor for the insurance cover being offered by the lessor.
CHIS & PrimeCare Insurance always helping care businesses to secure the best value for money.