Fire & Special Perils: What's Covered and What's Not

When most people think of property insurance, they think of fire. But a well-structured Fire & Special Perils policy covers far more than flames - and understanding what those extra perils are, and what exclusions lurk in the fine print, can make the difference between a full settlement and a partial one.

What Is Fire & Special Perils Insurance?

Fire & Special Perils insurance protects your property - buildings, contents, or both - against physical loss or damage caused by a defined list of perils. A standard policy in Zambia typically includes:

• check_circleFire (including fire resulting from explosion)
• check_circleLightning
• check_circleExplosion
• check_circleAircraft and other aerial devices
• check_circleImpact by road vehicles
• check_circleStorm, wind, and flooding
• check_circleEarthquake or subterranean fire
• check_circleBurst pipes and water damage from tanks or apparatus

Extensions You Can Add

The standard perils above can be extended - often for a modest additional premium - to include:

• Malicious damage (deliberate acts of vandalism or riot)
• Subsidence, ground heave, or landslip
• Accidental damage to the building fabric
• Business interruption / loss of rent (for commercial properties)

Buildings vs Contents Cover

Most insurers allow you to insure the building, its contents, or both. Building cover protects the permanent structure - walls, roof, floors, fixed installations, fitted kitchens, plumbing, and electrical wiring. The sum insured should reflect the full rebuild cost, not the market value of the property.

Contents cover protects movable items. For businesses, this includes stock, office equipment, machinery, and furniture. For homes, it covers everything you would take if you moved out.

Getting the Sum Insured Right

Underinsurance is the most common reason claims are settled for less than expected. In Zambia, where construction costs have risen sharply, many policies are based on outdated rebuild values. Your insurer may apply 'average' - meaning if you're insured for only 60% of the true rebuild value, they'll pay only 60% of any claim, not the full loss.

• check_circleReview your sum insured at every renewal
• check_circleGet a professional valuation for commercial properties every 3–5 years
• check_circleFor contents, create a room-by-room inventory with approximate replacement costs
• check_circleDon't confuse market value with rebuild cost - they're often very different

Making a Claim

After a fire, flood, or other covered event, contact your insurer immediately. Key steps:

• Secure the property to prevent further damage (you have a duty to mitigate)
• Do not throw away damaged items until the loss adjuster has inspected
• Document everything with photographs and keep a list of damaged items
• Retain receipts or invoices for any emergency repairs you carry out

Protecting What You've Built

At Insizwe, we place Fire & Special Perils cover with underwriters who offer comprehensive wordings and fair claims handling. Whether you're insuring a family home, a rental property, or a commercial building, we'll make sure your policy covers the perils most relevant to your location and situation.