A professional indemnity cover is required to protect stock brokers like BSE, NSE, NCDEX, MCX against the losses specific to the stock broking industry. A standard Stockbrokers Indemnity policy is designed to cover stockbrokers against losses incurred in their ordinary business activities. Such Insurance covers ERRORS and OMISSIONS on the part of the Brokers their employees, their predecessors in their business while rendering their service / advice as brokers.
Infidelity of employees (dishonest/fraudulent act). Loss of securities/cash/property.
Incomplete transactions.
Forgery.
Legal fees/cost of defence.
Errors and omissions (third party/clients) with excess.
Proprietary trades (covering errors and omissions for rate only) with excess and limits.
Computer crime indemnity computer systems, electronic computer instructions, electronic data and media communications, insured service bureau operations transmissions and e-securities, computer virus, verification reconstruction expenses.
Demat securities trading and settlement, etc.
Intermediary cover.
Branches cover.
Book-building cover.
