Define: Conditional Sales Floater

A Conditional Sales Floater is a type of insurance policy that provides coverage for goods or equipment that are sold on a conditional sales basis. It protects the seller’s interest in the goods until the buyer completes the payment.

Sellers or vendors who sell goods or equipment on a conditional sales basis often purchase a Conditional Sales Floater to protect their financial interest in the items until the buyer fulfills the payment obligations.

A Conditional Sales Floater typically covers the seller’s interest in the goods or equipment until the buyer completes the payment. It provides protection against loss or damage to the items during the conditional sales period.

No, a Conditional Sales Floater is primarily designed to protect the seller’s interest. However, the buyer indirectly benefits from the policy as it ensures that the goods or equipment they are purchasing are protected until they complete the payment.

Yes, there may be certain limitations to the coverage provided by a Conditional Sales Floater. These limitations can vary depending on the specific terms and conditions of the policy, so it is important to carefully review the policy documents.

Yes, a seller can cancel a Conditional Sales Floater if they no longer have an interest in the goods or equipment covered by the policy. However, cancellation may be subject to certain conditions and may require notifying the insurance provider.

If the buyer defaults on the payment while the Conditional Sales Floater is in effect, the seller may have the right to repossess the goods or equipment covered by the policy. The insurance provider may also be notified to initiate the claims process if there is any loss or damage to the items.

No, a seller cannot make a claim under a Conditional Sales Floater solely based on the buyer’s default on the payment. The policy primarily covers loss or damage to the goods or equipment and not the financial loss incurred due to non-payment.

To obtain a Conditional Sales Floater, you can contact an insurance provider or broker specializing in commercial insurance. They will guide you through the process of obtaining the policy and provide you with the necessary information and documentation required.