Definition - What does Burglary Insurance mean?
Burglary insurance refers to an insurance policy that covers losses resulting from a burglary. It is worth noting that burglary denotes the act of entering a property unlawfully with the intention of committing a crime (that might not always be theft). This insurance policy will cover property damage as well as financial losses arising from:
- The theft of property from within the household premises or within the automobile
- The entry of an intruder by force
Insurance companies require policyholders to notify the authorities of the burglary as one of the first steps before they file a claim.
People also refer to burglary insurance as crime insurance.
Insuranceopedia explains Burglary Insurance
In many cases, people use the terms robbery and burglary interchangeably. However, the definition of both terms in legal parlance is not the same. Burglary and robbery are both property crimes. Therefore, they typically involve:
- The theft of property from an individual
- The unlawful entry to a property with the intent of stealing something or for committing a felony
The law defines robbery as the act of taking or attempting to take something that has value from someone by using intimidation, force or threats. For the law to recognize an act as a robbery, a victim must be present at the scene of the crime. Bank hold-ups are typical examples of robbery.
On the other hand, burglary is the unlawful entry to a structure for committing theft or another felony. It is worth noting that a victim does not need to be present at the scene of a crime for a burglary to take place.
Insurance companies typically include burglary insurance as a part of other insurance policies. These policies could include:
- Travel insurance
- Home insurance
- Personal property insurance
Before paying any claims, insurance companies require documented proof of ownership of the existence of the goods prior to the burglary. This enables them to avoid losses arising from individuals fabricating the ownership of goods for monetary gain.