Theft vs Burglary - a lot of us think it is the same thing, in fact it is not. Theft is the illegal taking of personal property and burglary is known as breaking and entering, where illegal entry is gained.

Lately we have seen a lot of claims come through for theft when clients think it was a burglary because it was reported to the police and entry was gained. The question is, was the property locked and forced/visible entry used? If not your Insurer may see that as theft and the higher excess may apply. If forced/visible entry was used that would be seen as a burglary and the lower excess may apply.

An example for you:-

Theft

Hair Salon 'broken into' and equipment stolen. It was reported to the police and noted as a burglary. Entry was gained through an unlocked door, so no forcible entry. Insurer's applied theft excess of $2,500.

Burglary

Car yard broken into and batteries stolen. It was reported to the police and noted as a burglary. Entry was gained through the main gate, via the lock and chain being cut with bolt cutters. Insurer's applied the burglary excess of $1,000 as forcible entry was gained.

Be aware of these excesses. Check your policy and if you are not sure double check with your Broker.

By Chantal Tar, previously Claims Manager.