Acts of God in Insurance
It amazes me how many times people have spoken of Act of God being both an insured or excluded peril under an insurance policy.
There was even a famous Billy Connolly with this as its theme. My nephew, Jeffery, one of the guys sending me a joke questioned me on it and I thought it was worth setting the record straight.
Despite having read thousands of policies of insurance and being involved in the drafting of 100’s more, I have never seen the words ‘Act of God’ appear in a policy as an insured, or excluded peril.
What it means in layman’s term is:
a completely unforeseeable event where there has been no human intervention
Things such as fire, lightening, earthquake, tornado, hurricane, cyclone, flood, landslip, and the like.
Under policies such as a comprehensive motor vehicle policy, all these perils are in fact, insured. Most property policies, such as your home and contents, business pack or ISR, the vast majority would be insured, although landslip, action by the sea, storm surge and flood may be excluded.
If you are in any doubt as to the cover afforded by the policy which you have in place, I recommend that you speak to your insurance broker.