Risk Information Definitions

CARE INSURANCE RISK INFORMATION FORM – DEFINITIONS

Where any word or phrase is in bold italics in this form, it has a specific meaning as defined below.

Amount Outstanding
Insurers will always put an estimate/reserve against any claim which is outstanding which
represents the total amount including costs and fees they think they are likely to pay in a
realistic worst case scenario

It is in your interests to put an amount in if you either know or can find out rather than leave any
Insurer to assume the worst.

Book Debts

Depending on your credit terms, you may well have monies due but that you have not yet
received at the point of any damage which results in a loss of profits claim

However, this is profit earned before the damage and so wouldn’t be covered because
Business Interruption covers you for loss of profits after (and as a direct consequence of)
damage insured by the policy

A sum insured of £25,000 will be included automatically and higher limits can be selected.

Buildings Sum Insured

You have already provided the required values for the main building(s) themselves but only for
Sum Insured the contents of any outbuildings to be insured and not for the outbuildings themselves

You should therefore consider increasing the total building sum insured stated above to include
all outbuildings together with boundary walls, gates, fences, car parks, driveways, pavements
and patios so the total amount is an accurate reflection of the overall rebuilding cost

Buildings

Each of the structures at the premises you wish to insure including boundary walls, gates,
fences, car parks, driveways, pavements and patios

Regardless of Insurer, your insurance will likely have a condition which means that, if you
insure for less than the full rebuilding cost as described below, Insurers have the right to reduce
any claim by an equivalent proportion so it is important that you insure for an adequate amount

You should insure for the cost to rebuild/replace together with the costs of demolition/site
clearance and architect’s/surveyors/professional fees, usually at 10% each of the rebuilding
sum insured for the building and often referred to as the ‘Declared Value’

Ideally, you should obtain a professional valuation of the rebuilding cost every 5 years and,
should you require any assistance, we are happy to work with you to find a suitable provider

Business

The Business for which insurance is being proposed and for whom this form is being
completed.

Business Contents
All contents of the business you wish to insure in this building including supplies and medicines,
furniture, kitchen equipment, business machines including nurse call systems (but excluding
computers) ground maintenance equipment etc.

Regardless of Insurer, your insurance will likely have a condition which means that, if you
insure for less than the full replacement cost as described below, Insurers have the right to
reduce any claim by an equivalent proportion so it is important you insure for an adequate

Business Legal Status

Please select from the self-explanatory list which best describes the Business.

If you are a registered charity operating as a limited company then please select ‘Limited
Company’.

Computers

This means Desktop Computers, Servers, Printers, Modems and all similar equipment whether
linked up as a network or stand-alone but do not include any portable devices

Contract Works

This provides cover for fixed and unfixed materials on the site of building works which is not
ordinarily covered under a Care Package policy

If you have or are planning building works then, ticking the box will prompt us to contact you to
discuss your demands and needs in more detail

Convictions

There are some convictions which, after a certain number of years, are considered as spent.
This means that you no longer have to declare them and cannot be prejudiced for not doing so.
For details on the type of convictions this applies to, the number of years until ‘spent’ and for
more information about convictions generally, please visit the Ministry of Justice site
(http://www.justice.gov.uk/)

Cyber Risks

If you operate a website or store any data on-line, you are vulnerable to the risks of hacking,
breaches of personal data and viruses corrupting your data and even passing these to other
systems which can result in huge losses or compensation payments so often featured in the
media nowadays.

Please tick the box which will prompt us to contact you to discuss your demands and needs to
enable us to provide you with an appropriate quotation.

Declared Value

This is the value you place on the building representing the costs of debris removal plus the
costs of architects and surveyors fees (the latter two typically each 10% of rebuild costs)

Directors & Officers

Today’s directors, officers and senior management owe a personal duty of care to their
company, shareholders, creditors, employees, regulator, and could face charges of breach of
trust, duty, neglect, error, misleading statements or wrongful trading.

Even if a claim proves unfounded, defence costs and expert legal advice can be financially
damaging.

This insurance is designed to protect you from those costs and give you best prospect of a
successful defence. Please tick the box which will prompt us to contact you to discuss your
demands and needs to enable us to provide you with an appropriate quotation.

Employee Dishonesty
Known in the industry as ‘Fidelity Guarantee’, this provides cover for loss of money by fraud or
dishonesty committed by an employee and would include money held in trust by you on behalf
of your Service Users

This is not part of the standard Money cover under a Care Package policy

Engineering

You may well have hoists, possibly lifts and other lifting equipment, all of which you are legally
obliged to have inspected and a certificate issued attesting to their safety

We can provide you with a quotation for this and can also include cover for the cost of repair
following electrical or mechanical breakdown

Less likely but you may also have vessels under pressure such as steam boilers which again
require inspection and certification and we can also provide quotations to include costs of
repair following explosion or collapse which would be otherwise excluded under a Care
Package policy

Please tick the box and we will provide you with an appropriate quotation

ERN

More commonly known by its acronym, ERN, or the Employer PAYE Reference, this is the
unique reference/identifier assigned to employers by HMRC

This is the unique identifier for companies on the Employers Liability Database which stores
details of Employers Liability insurance to help employees who have suffered injury or disease
in the workplace identify the relevant Insurer

Fire Type

There are 3 main types of fire alarm systems, each with sub-categories

Those beginning with ‘M’ comprise of manual points only, usually set at escape routes and are
operated manually by someone raising the alarm i.e. there is no automatic detection built in and
the system is less likely to dial out to the fire brigade or a central monitoring station

Those beginning with ‘L’ are concerned primarily with life preservation i.e. maximising the ability
of occupants to escape the building and are less concerned with protection of the property
itself. These will have automatic sensors rather than relying on manually raising the alarm like
‘M’ types and are less likely to be linked to the Fire Brigades or a central monitoring station

Those beginning with ‘P’ are automatic detection systems designed to both preserve life and
protect property so are more extensive and will automatically dial out to the Fire Brigade or a
central monitoring station as a matter of course

The sub-categories range from 1 (high) to 5 (low) denote the type and range of sensors, sirens
and beacons fitted making up the overall system

We are only concerned with and give you a choice of stating
• whether the system is manual or automatic and
• whether or not it dials out to the fire brigade or a central monitoring system

Home Buildings /Contents

Don’t fall into the trap of believing you must insure via your mortgage lender or that they have the best cover and price for you.

With access to over 100 competitive insurance products, you may well be pleasantly surprised
by the savings to be made for no reduction and, often, an increase in cover.

If anyone (other than Service Users) are resident at the care home, the Care Package policy
will not cater for their personal contents/possessions and you will need to arrange separate
cover.

Please tick the box which will prompt us to contact you to discuss your demands and needs to
enable us to provide you with an appropriate quotation

Legal Expenses

This provides cover for legal costs and expenses incurred together with compensation awards
following a number of issues arising from employment, tax, property ownership and contracts

You will be quoted for sum insured of £100,000 automatically and you can select a higher figure here

Loss Assessors Fees

Insurers appoint specialist Loss Adjusters to manage and finalise the claim.

Some claims, especially major fires and loss of profits, can be complicated and this cover
would pay for the costs of a specialist Loss Assessor to guide you through the complexities,
negotiate with Loss Adjusters on your behalf and maximise your chances of a successful and
satisfactory outcome

Please tick the box and we will provide you with an appropriate quotation

Main Usage Main Building –

By this we mean any building which, other than for laundry or storage purposes,
is occupied or used in the ordinary conduct of your activities and will therefore include any
buildings in addition to the main care home itself such as flats, houses, day care centres,
offices etc.

Manager

A registered manager is the person, or persons, in day to day charge of the regulated activities
of the business and who is registered with the relevant regulatory authority as such

For more information on either a registered manager or regulated activities, please visit the site
of the regulator relevant to your business

http://www.cqc.org.uk/content/step-step-guide-applying-new-registered- manager
http://www.ccwales.org.uk/adult-care-home-manager”
http://www.scswis.com/index.php?option=com_docman&task= search_result&Itemid=378
http://www.rqia.org.uk/what_we_do/registration__inspection_and_reviews/
service_provider_guidance.cfm

Minibus

Many Care Homes operate minibuses for their Service Users and, as specialist in the care
sector, we have access to competitive facilities for cover

Please tick the box which will prompt us to contact you to discuss your demands and needs to
enable us to provide you with an appropriate quotation

Money

Money is not just cash but cheques, postal orders, postage stamps, luncheon vouchers and
anything else which can be used as currency and exchanged for goods or services

This would also include money belonging to Service Users placed in your custody and control
for safe keeping.

Outbuildings

Outbuildings are those which are incidental to the Main Buildings as previously described and
would include those used for laundry, and/or storage

You do not need to detail them all but just those where you wish to insure contents such as
laundry contents, garden and maintenance equipment etc

Owner

We often find directors personally, or via their pension scheme, often own the building and, if
this is the case we need to cater for different ownership and property owner liability
requirements

Personal Accident

This provides benefits following bodily injury and can be selected for principals and key
employees or for all staff for accidents occurring whilst carrying out work duties on a 24 hour
basis

Portable Computers

By this we mean any devices capable of processing data electronically and which, by the nature of their design, are portable

This would include such items as laptop and notebook computers, tablets and smart phones

Prescribing Nurses

Prescribing Nurses are those who are qualified to prescribe medicines including some
controlled medicines

A Nurse Independent Prescriber is one who can make those prescriptions after making their
own assessment of patients with diagnosed and undiagnosed conditions and decisions about
clinical management needs.

Prescribing Nurses are those who are qualified to prescribe medicines including some
controlled medicines

A Nurse Supplementary Prescriber is one who can make those prescriptions provided these
are part of an assessment of patients and decisions about their clinical needs have been
agreed with an independent prescriber

Principal

A director, partner or the owner if a sole trader of the business being proposed for this
insurance

Professional Indemnity

The Care Package policy covers your legal liability to pay compensation for injury or damage
including Mistreatment, Neglect or Abuse, but it does not cover you for any legal liability to pay
compensation for financial losses as a result of errors or omissions in your advice

Professional Indemnity insurance is specifically for this eventuality so, if you want cover for this
then please tick the box and we will provide you with an appropriate quotation

Public Liability

This will cover you for compensation you have to pay as a result of being negligent for injury to
persons or for damage to property, this includes neglect, abuse and mistreatment that is not
directly as a result of the provision of Treatment.

Any Injury arising from Treatment would be covered under a separate Treatment section of
your policy.

Rents

In the event you charge and receive a rental income, for example from tenants of close care
units at the premises, you should state this amount separately from your annual revenue

Reinstatement of Data
This is designed to cover the costs of additional staff or outside consultants hired specifically to
re-input all data lost as a result of damage to computers or portable electronic devices which is
insured by the policy. 

We will include £10,000 for you automatically and you can select a higher limit here.

RIDDORS

This refer to the ‘Reporting of Injuries, Diseases and Dangerous Occurrences Regulations’
which imposes legal requirements upon you to report such incidents.
You can find more information on what incidents fall within these rules, who is responsible for
reporting them and when from the health and safety executive website

Special Items

We mean:
• works of art such as paintings, sculptures, texts etc.
• smaller portable items of high value such as jewellery, watches etc.

Subsidiary

A subsidiary company is one where another company
• holds a majority of voting rights in it
• is a member in it and has the right to appoint or remove directors or controls a majority of the voting rights

Target Premium

By Target Premium we mean a price that, if met by an Insurer, you would be happy to proceed
with assuming you were satisfied with the Insurer and all other aspects of insurance cover

Some people are reluctant to provide a target premium believing it could then cost them more if
an Insurer’s original quotation price would have otherwise been lower

Our experience tells us that only rarely is a premium below expectations and, when it is, we
have never seen any evidence of an Insurer then increasing their price to match

What we do see is that, if an Insurer knows the price they have to get to they are far more likely
to decrease their price to match even if this is below the best price they would have quoted
otherwise

They are also far more likely to put quotes showing target premiums first in line to be
considered as they know they can quickly see if they are going to be able to beat/match or don’t
have to produce a quote at all if they know they wouldn’t be able to

It is, therefore, very much in your interests to give a Target Premium as we are much more
likely to get to the figure you are looking for

Tenants

If the business to be insured owns the building then this isn’t relevant at all but, if rented or
Improvements leased then you should include the value of improvements you have made to this building
which are fixtures to the structures such as new/replacement central heating, air conditioning,
false ceilings, kitchens or bathrooms.

Regardless of Insurer, your insurance will likely have a condition which means that, if you
insure for less than the full replacement cost as described below, Insurers have the right to
reduce any claim by an equivalent proportion so it important you insure for an adequate amount

You should insure for the equivalent cost to replace with items of the same age and condition

Terrorism

Loss or damage as a result of Terrorism is a standard exclusion under any Care Package
policy

Terrorism means acts by persons or groups committed for political, religious, ideological, ethnic
or similar reasons and designed to influence government and/or place the public in fear

Please tick the box and we will provide you with an appropriate quotation

Treatment Liability

This will cover you for compensation you have to pay as a result of being negligent for injury to
indemnity persons arising directly out of Treatment, which includes the administration of drugs.

Treatment is generally defined as nursing care given by a qualified nurse and non-nursing care
given by an appropriately qualified member of staff and in accordance with the Care Standards
Act 2000 or any relevant superseding or subsequent legislation.

Vehicles

You may operate a van and/or private cars that are owned and/or used by directors and
principals and we have access to 100 competitive insurance products

Please tick the box which will prompt us to contact you to discuss your demands and needs to
enable us to provide you with an appropriate quotation

We/Us/Our

ALDIUM Insurance Services Ltd

You/Your

The Business for which insurance is being proposed and for whom this form is being
completed.