Industrial Special Risks (ISR) Insurance Guide
Industrial Special Risks (ISR) Insurance Guide — guidance and information from Ipswich Insurance Brokers, a Steadfast and CBN member broker.
What is industrial special risks (ISR) insurance?
Industrial Special Risks (ISR) insurance is a specialist property and business interruption policy designed for larger commercial and industrial risks — typically properties with insured values above the thresholds for standard package policies. ISR policies are typically written on an ‘all risks’ basis (covering all perils except those specifically excluded) rather than the named-perils basis of standard commercial property policies.
What this cover may include
Cover availability and terms vary between insurers and depend on individual circumstances. Subject to acceptance, a policy may include:
- Material damage on an all-risks basis (subject to exclusions)
- Business interruption linked to property damage
- Machinery breakdown (where included as a section)
- Deterioration of stock (where applicable)
- Broadform liability (in some ISR structures)
Common exclusions to be aware of
The following are commonly excluded under standard policy wordings. Specific exclusions vary between insurers — always review the Product Disclosure Statement before purchasing.
- Wear, tear and gradual deterioration
- Design and specification defects
- Certain cyber perils (covered separately)
- Contractual liability
- Intentional or deliberate acts
How to arrange industrial special risks (ISR) insurance through Ipswich Insurance Brokers
- Submit a quote request or contact us directly to discuss your requirements
- We collect relevant information and approach appropriate markets
- We compare policy terms and conditions across insurers and present options
- We arrange binding and issue documentation once you confirm instructions
As a Steadfast and CBN member broker, Ipswich Insurance Brokers has access to a broad panel of approved insurers. We act on your behalf — not on behalf of any insurer. Our remuneration is disclosed in our Financial Services Guide.
General guidance — not personal advice
The information on this page is general guidance only. It does not constitute personal advice and does not take into account your individual circumstances. Before arranging any insurance, you should consider your specific needs and read the relevant Product Disclosure Statement. Our Disclaimer applies to all content on this site.
Frequently asked questions
When does a risk qualify for ISR rather than a standard package policy?
ISR policies are typically appropriate for commercial or industrial risks where the total insured values exceed standard package policy thresholds — often properties with total values above $5–10 million, or complex risks where the all-risks basis and broader scope of an ISR policy is more appropriate than a named-perils package. We assess this during placement based on your specific risk profile.
Is ISR appropriate for all industries?
ISR policies are used across a wide range of commercial and industrial sectors — manufacturing, logistics, retail chains, commercial property portfolios, hospitality groups and more. The all-risks structure provides broad coverage suited to complex operations where a standard package may not adequately address all exposures.
How does ISR business interruption work?
ISR policies typically include a business interruption section linked to the material damage section. The same all-risks approach applies — BI responds when any insured peril (not excluded) causes physical damage that results in a reduction in turnover or increased costs of working.
What to look for when comparing industrial special risks insurance policies
When reviewing options, the following points are worth considering. This is general guidance — the right approach depends on your specific situation.
ISR policies are complex — review the exclusions list carefully, as the ‘all risks’ basis is subject to significant specific exclusions. Confirm that the material damage and business interruption sections are coordinated with realistic sum insured and indemnity period respectively. Review any machinery breakdown section separately — definitions and conditions vary. Ensure all insured locations and operations are declared. For large or complex risks, our broking team can assist in structuring an appropriate ISR program.
For more detailed information, see our Industrial Special Risks Insurance page.
About Ipswich Insurance Brokers
Ipswich Insurance Brokers is a Steadfast and CBN member broker operating under an Australian Financial Services Licence. We act on your behalf — not on behalf of any insurer. We compare options across a broad panel of approved insurers, arrange cover, provide documentation and support claims. We are remunerated by commission from the insurer, disclosed in our Financial Services Guide. All information on this page is general guidance only — see our Disclaimer.
ISR policies are typically placed with specialist underwriters and require more detailed underwriting information than standard package policies. The broader coverage and higher limits available under ISR make them appropriate for complex commercial risks where standard package policy limits and wordings are inadequate. Contact us to discuss whether an ISR approach is suitable for your risk.