Secure that Vault – An Introduction to Insuring Your Cash

Yes, India has become a digital country, especially in the last decade. The country has embraced digital transactions in a big way, and the best proof of this is the 164 billion digital payments that took place in the last financial year. But there is a large chunk of society that still deals in cash. Yes, many traditionalists believe in holding and transacting in cash, and that’s fine too. If you are one of those who likes to keep cash at home or has a business that requires a lot of liquid cash, you need to do one thing – get insurance on your money.

When Can Your Cash Be Insured

• You can buy insurance for the money that is stored in your home or business premises, as long as you have taken all measures possible to keep it secure like keeping the money in a safe, under lock and key.
• Money that is in transit can also be insured. If the transfers are being done by trusted persons, right from the moment money leaves one premises to the point it reaches its destination, the money can be insured.
• Money of one firm, or the money being carried by a firm on behalf of another can be insured as long as it is in possession of a trusted agent.

Insurance of the cash in the above cases can further be insured to cover conditions like money being stored in a standard burglar-proof safe on a premises overnight for more than 48 hours. And theft by the trusted person handling the cash can also be insured if the insurer provides additional coverage for such a situation.

Different Types of Cash and Cash Equivalent

• Cash/Currency
• Treasury Notes
• Bank Drafts
• Postage Stamps
• Cheques

Types of Insurance

Cash in Transit Insurance: This type of insurance is taken on the large sum of money that is being transferred from one location to another. So, if there is a loss of that cash owing to theft, misplacement, accident, or calamity, the sum of the money can be recovered from the insurer as long as you have taken all the required precautions to protect the cash in transit. Some insurers allow the extension of the coverage up to the cash stored on the premises as well.

Money Insurance: This type of insurance covers the large sums of money you might have stored in your business premises or your home. So, if your stored money is lost, or gets stolen, the insurer will reimburse your money. However, you have to ensure that the money is stored in a burglar-proof safe, and the money is not stolen by the person responsible for handling the cash. In such a case, you must buy additional coverage for theft by an employee.

To know more about these types of insurances that can protect your cash, get in touch with Money with Mansy. We are insurance experts and can guide you to get the right insurance policies for your business and home. Many people avoid getting insurance owing to the costs but don’t realize that insurance can protect their homes and businesses. Therefore, you need guidance from an expert like Money with Mansy. Get in touch today!