This policy is essential when pledged with a financial institution. A good security system will benefit the insured in reducing the premium. if the goods insured are bulky and have a low value, an estimate of the total value of the goods that can be burgled at a time is made and the premium is charged on this value as the maximum probable premium. This is done till there is a change in the stock level. The Premium paid depends on the value of cover as well as the occupant, resale value of the goods and security provided. A discount may be given based on claims history and the quality of protection i.e. fire protection, security etc. Duly completed the policy proposal form with all the details of the property to be insured. This will include value, criteria for valuation as well as additional cover required. Once this has been done, the premium will be determined and once paid, the policy will be prepared.