Theft & Burglary Insurance: How Claims Are Processed In India (2025)

Theft and burglary remain one of the biggest risks for both homeowners and small businesses in India. Whether it’s jewelry stolen from a residence or inventory stolen from a shop, the financial hit can be devastating.

In 2025, theft & burglary insurance is becoming more popular as awareness grows, but many policyholders still don’t know how the claim process works. This article explains coverage, exclusions, and the step-by-step claim procedure.

What Is Theft & Burglary Insurance?

Theft & burglary insurance is a type of general insurance that covers loss or damage to insured property due to:

Housebreaking (for homes).
Burglary or robbery (for businesses/shops).
Damage to property caused during the burglary attempt.

Example: If burglars break into a jewelry shop and steal gold worth ₹10 lakh, the insurance policy reimburses the shop owner (after deductibles and documentation).

What Does It Cover?

Cash, valuables, and stock-in-trade.
Furniture, electronics, and office equipment.
Damage to locks, windows, and doors during burglary.
Loss during attempted burglary (even if no items stolen).

Common Exclusions

Theft by employees (covered under fidelity insurance).
Loss without visible signs of forced entry.
Gradual losses due to negligence.
Unreported or undocumented losses.

Claim Process for Theft & Burglary Insurance (2025)

Step 1: Inform the Insurer Immediately

Notify your insurance company as soon as you discover the theft.
Provide policy number and details of the incident.

Step 2: File an FIR

A First Information Report (FIR) is mandatory.
Attach a copy of FIR with your claim.

Step 3: Document the Loss

List stolen/damaged items with approximate value.
Bills, invoices, or stock records strengthen the claim.

Step 4: Survey & Verification

Insurer appoints a surveyor to inspect premises and verify the loss.
Photographs, CCTV footage, and witness statements help.

Step 5: Claim Settlement

After verification, insurer processes settlement.
Compensation is transferred directly to bank account.

Settlement timeline: Usually 30–45 days, depending on documentation.

Example Case: Retail Shop Burglary

A Delhi electronics shop insured under burglary cover faced a ₹7 lakh theft in 2024. The owner filed an FIR, submitted bills, and within 40 days received a ₹6.5 lakh claim settlement after deductibles.