P&I Insurance
Unless otherwise agreed,
the Assured is covered in respect of liabilities, costs or expenses as stated
in clauses 1 to 19 below.
The Assured is
only insured for liabilities, expenses and costs which arise
• out of an Incident occurring during the
Period of Insurance
• in respect of the Assured’s interest in the
Insured Vessel, and
• in direct connection with the operation of
the Insured Vessel in the Assured’s capacity
as owner of the Insured Vessel.
The coverage is
in accordance with the terms and conditions as agreed upon and up to the agreed
insured amount (as stated in the Certificate of Insurance) and there shall be
no
recovery
of any amount in excess of the same.
Clause 1. Cargo
Liabilities
1.1. Cover
The
liabilities, costs and expenses in respect of Cargo intended to be, or being,
or having been carried by the Insured Vessel, arising out of any breach by the
Assured or by any person for whose acts, neglect or default he may be legally
liable and his obligation to properly load, handle, stow, carry, keep, care
for, discharge or deliver the Cargo or out of unseaworthiness or unfitness of
the Insured Vessel.
1.1.1. The Assured as Cargo Owner
Where Cargo
(not including containers, fuel oil, stores and supplies belonging to the
Assured
or
for which he is responsible) is lost or damaged on board the Insured Vessel and
the
Cargo
belongs to the Assured, the Assured shall be entitled to recover the same
amount
from
the Company as would have been recoverable from him if the Cargo had belonged
to a
Third
Party and had been carried subject to a contract of carriage with the Assured
on terms
which
comply with the terms of carriage accepted by the Company (as mentioned under
clause
1.2.18)
1.2. Exclusions
and Limitations
The insurance
shall not cover liabilities, losses, expenses or costs arising out of or relate
to:
1.2.1. The issuance of a
bill of lading or other document containing or evidencing the
contract of carriage which
contains any misrepresentation, including but not limited to the issuance of an
antedated or post-dated bill of lading
1.2.2. Loss, shortage,
damage or delay occurring whilst the Cargo is in the custody
of another
carrier, unless approved by the Company in writing
1.2.3. Loss, shortage,
damage or delay during lightering operations, except when
lightering has been
approved by the Company in writing or occurs in port and is customary
1.2.4. The discharging of
Cargo at a port or place other than in accordance with the
contract of
carriage;
1.2.5. Failure to
discharge all the Cargo on board, except insofar as the Assured
takes all
reasonable steps to discharge the Cargo
INSURE Marine Underwriting 3
1.2.6. The
carriage of Cargo under a contract providing for carriage partly in the
Insured Vessel and partly
by some other means of transport, except insofar as the Company approved the
contract
1.2.7. The delivery of
Cargo carried under a negotiable bill of lading (including an
electronic bill
of lading) or similar document of title without production (or the equivalent
thereof in the case of an electronic bill of lading) of that bill of lading or
document by the person to whom delivery is made.
1.2.8. The failure to
arrive or the delayed arrival of an Insured Vessel at a port of
loading, or any
delay in loading or failure to load any particular cargo or
cargoes in an
Insured Vessel other than any such liabilities, costs and
expenses
arising under a bill of lading already issued, except in case the
liability arises because
of the application of the Hague or Hague-Visby Rules or compulsory law.
1.2.9. Failure to load or
delay in loading any particular Cargo in the Insured Vessel,
other than liabilities,
costs and expenses arising under a bill of lading already
issued
1.2.10. Claims
in respect of loss or damage suffered or liability incurred other than
between the time of receipt for
shipment and completion of delivery at final
destination
1.2.11. The
carriage of bullion, precious or rare metals or stone, plate, jewellery or
other objects of a rare,
valuable or precious nature, bank notes or other forms of currency, bonds or
other negotiable instruments or specie
1.2.12. The
carriage under an “Ad Valorem bill of lading”, where the value of any
Cargo declared
upon the bill of lading at a figure in excess of USD 2,500 (or the equivalent
in the currency in which the declared value is expressed) per unit, piece or
package, the liability of the Company shall not exceed USD
2,500
per unit, piece or package, unless the Company has agreed in writing to provide
cover at a higher value
1.2.13. The
misdelivery where Cargo is carried on board of the Insured Vessel under
a non-negotiable bill of lading or
other non-negotiable document and is
delivered to a person
other than the Person entitled to receive the Cargo under its terms
1.2.14. The
carriage of livestock, unless approved by the Company in writing
1.2.15.
Deviation or departure from the contractually agreed voyage or adventure
which deprives the Assured of the
right to rely on defences or rights of
limitation
which would otherwise be available
1.2.16. Delay,
except in case the liability arises because of the application of the
Hague or Hague-Visby Rules or
compulsory law
1.2.17.
Participation in or use of any Electronic Trading System, unless such system
has been approved by the Company in
writing, to the extent that such liability,
cost or expense
would not have arisen under a paper trading system
INSURE Marine Underwriting 4
1.2.18. The carriage of Cargo on terms which
are not made subject to the Hague
Rules or the
Hague Visby Rules (or terms which do not provide equal or
similar
protection to the carrier), and as a consequence the Assured incurs a
liability
which is greater or more extensive than if the carriage had been
subject
to those Rules, there will be no recovery to the extent of such
additional
liability.
Notwithstanding
the above, the cover shall extend to liabilities arising out of the Hamburg
Rules provided that the Hamburg Rules are by statue
compulsory
applicable to the contract of carriage and the loading and/or discharge port is
situated in a Hamburg Rule State.
1.2.19. The
carriage of Cargo on deck, except for:
1.2.19.1. Containers,
where the Insured Vessel is classed and designed and/or
adapted with the approval
of a classification society for the carriage of containers on deck
1.2.19.2.
The carriage of Cargo other than
containers on deck, where this is
recognized as a custom of
the trade, subject to prior approval of the
Company
1.2.19.3. Where carriage
of Cargo on deck is permitted under the contract of
carriage and
subject to prior written approval by the Company
1.2.19.4.
Where the bills of lading or other
contract of carriage states that the
Cargo is
carried on deck and either provides that the carrier is free
from all
liability for loss of or damage to Cargo howsoever caused, or provides the
carrier with rights, immunities and limitations no less favourable that The
Hague-Visby rules
1.2.20. The
issuance of a bill of lading, waybill or other document containing or
evidencing the contract of
carriage which contains a description of the cargo or its quality or condition
which the Assured or a person for whom he is liable knows is incorrect
Clause
2. Additional Cargo Liabilities and
Costs
2.1. Cover
Liability for
Cargo and for additional costs, in connection with or as a consequence of
handling and disposing of Cargo, where such liabilities and costs are
necessarily, reasonably and solely incurred, as a direct result of:
2.1.1. Discharging or disposing of damaged Cargo.
The additional
costs and expenses for which the Assured can be legally
liable over and above
those which would have been incurred by the Assured in any event under the
contract of carriage
2.1.2. Failure of consignee to remove Cargo.
The liabilities
and additional costs incurred by the Assured, over and above
the
costs which would have been incurred by him if the Cargo had been
collected
or removed, solely by reason of the total failure of a consignee to
collect
or remove Cargo at the port of discharge or place of delivery, but only
if
and to the extent that such liabilities or costs exceed the proceeds of sale
of
the Cargo.
INSURE Marine Underwriting 5
2.2. Exclusions
and Limitations
The insurance
shall not cover costs, or liability for costs:
2.2.1. Result from the
vessel being overloaded or improperly stowed, with
knowledge of
the Assured
2.2.2. Are in respect of
packing, rebagging, sorting and other measures taken in
order to comply
with ordinary obligations under the contract of carriage
2.2.3. Are for work which
could have been carried out by the Crew or by
reasonable use of the
Insured Vessel and her equipment or are normal costs of operating and trading
the Insured Vessel
2.2.4. Are incurred in
order to make the Insured Vessel seaworthy to receive the
Cargo
2.2.5. Result from any of
the matters referred to in clause 1.2 (Cargo - “Exclusions
and
Limitations”)
Clause 3. Crew
3.1. Cover
The Assured’
liability arising in respect of crew for:
3.1.1. Injury, illness or death
3.1.2. Costs of wages, repatriation and maintenance
ashore
3.1.2.1. Due to illness, injury or death
3.1.2.2. Under MLC Certificates or
3.1.2.3. Due to a major casualty to the Insured
Vessel which renders the
Insured Vessel unseaworthy
and necessitates the signing off of the
crew
3.1.3. Costs of providing a substitute to replace a
crew member repatriated under
3.1.2.1 or
3.1.2.2,
3.1.4. Wages to serving
crew members or, if deceased, their dependants as a
result of injury, illness or death,
3.1.5. Wages and compensation payable to a crew
member signed off due to a
major casualty to the
vessel which renders the Insured and necessitates the signing off of the crew,
3.1.6. The costs of
funeral arrangements and the repatriation of the remains, and
personal effects of a deceased crew
member, and
3.1.7. Loss of or damage to personal effects other
than valuables
3.2. Exclusions
and Limitations
The insurance shall not
cover liabilities, costs and expenses which arise under the terms of a
crew
contract or other agreement, unless those terms have been approved by the
Company
3.3. Contracts and Limitations
Liability for
loss of life, illness or personal injury, or for loss of or damage to property
under
the terms of any contract or indemnity made or given by the
Assured in respect of facilities or
services
rendered or to be rendered to the Insured Vessel, but only if and to the extent
such
INSURE Marine Underwriting 6
terms have been agreed and cover for the
liability has been confirmed by the Company in
writing.
Clause 4.
Passengers
4.1. Cover
The Assured’s liabilities,
costs and expenses arising in respect of passengers carried on board the
Insured Vessel and in respect of:
4.1.1. Injury, illness or death
4.1.2. Costs of repatriation and maintenance ashore
of embarked passengers
4.1.2.1. Due to illness, injury or death
4.1.2.2. Under a deportation order
4.1.2.3. Arising out
of a casualty involving either collision, stranding, explosion,
fire or other similar cause
affecting the physical condition of the
Insured Vessel
so as to render it incapable of sage navigation to its intended destination or
a threat of the life, health or safety of
passengers
in general
4.2. Exclusions and Limitations
The insurance
shall not cover liabilities, costs and expenses which are in excess of the
liability which would have
arisen under the contract of carriage had the Assured restricted liability to
the maximum extent permitted under the applicable law.
Clause 5.
Personal Injury
5.1. Cover
The liability
for injury, illness or death of persons other than crew or passengers
Clause
6. Loss of or damage to property
6.1. Cover
Liability to
pay damages or compensation for or in relation to any loss of or damage to any
property (including infringement of rights in connection with that property)
whether on land or water and whether fixed or moveable
6.2. Exclusions
and Limitations
The insurance
shall not cover liabilities, losses, expenses or costs, which relates to
property
which
is owned, leased or otherwise within the possession, custody or control of the
Assured.
6.3. Contracts and Limitations
Liability for
loss of life, illness or personal injury, or for loss of or damage to property
under
the terms of
any contract or indemnity made or given by the Assured in respect of facilities
or
services
rendered or to be rendered to the Insured Vessel, but only if and to the extent
such
terms
have been agreed and cover for the liability has been confirmed by the Company
in
writing.
Clause 7.
Collision
7.1. Cover
7.1.1. Liability to pay costs and damages to any
other person and/or party arising
out of the collision of the Insured
Vessel and another vessel
7.1.2. Liability to pay for loss of or physical
damage to any other vessel or Cargo or
other property therein caused by the
wash of the Insured Vessel
INSURE Marine Underwriting 7
7.2. Exclusions and Limitations
7.2.1. The insurance shall not cover liabilities
that are recoverable under the
collision liability clause contained
in the Hull and Machinery policies
7.2.2. Recovery from the Company under this clause
shall be limited to the excess,
if any, of the amount which would
have been recoverable under the Hull and
Machinery policy if that
vessel had been insured at a value which at the discretion of the Company would
have been her full market value.
Clause 8. Wreck
removal
8.1. Cover
Liability for the costs
and expenses of raising, removing, destroying, lighting or marking the wreck of
an Insured Vessel, the equipment, bunkers or of any Cargo carried aboard such
Insured Vessel, as a result of a casualty but always provided that :
8.1.1. The raising and other operations are
compulsory by law
8.1.2. The realised value of the wreck and other
property saved shall be credited to
the Company
8.2. Exclusions and limitations
The insurance
shall not cover liabilities, expenses or costs
8.2.1. Which are covered under the Insured Vessels’
Hull and Machinery Policy
8.2.2. Where the Assured transfers his interest in
the wreck or other property saved
otherwise than by abandonment
Clause 9.
Pollution
9.1. Cover
Liability,
loss, costs and expenses, as set out below, in connection with the accidental
discharge or escape of oil
or any other substance from the Insured Vessel, or the threat of such discharge
or escape:
9.1.1. Liability for loss, damage or contamination.
9.1.2. The costs reasonably incurred for preventing
an imminent danger of the
discharge or
escape of any substances, or for avoiding or minimizing pollution or any
resulting loss or damage, including liability for damage to property
caused
by such measures
9.1.3. Costs or liabilities incurred in order to
comply with an order or direction given
by any government or authority for
the purpose of preventing or minimizing
actual or threatened
pollution, provided always that such costs or liabilities are not recoverable
under any other insurance.
9.2. Exclusions and Limitations
The insurance
will not cover the liabilities or costs:
9.2.1. Where the Assured is solely held liable as
owner of the Cargo, unless
approved by the Company in writing
9.2.2. Which are required as part of the normal
operation, salvage or repair of the
Insured Vessel
INSURE Marine Underwriting 8
9.2.3.
Resulting from the presence in or the threatened escape or discharge
from
any land based dump, site, storage
or disposal facility of any substance
previously carried on the
Insured Vessel as Cargo, fuel, stores, waste or
otherwise
9.2.4. Which would be recoverable in general average
if the Assured had
incorporated the un-amended
York-Antwerp Rules
Clause 10.
Quarantine Expenses
10.1.
Cover
Liability for
the additional costs and expenses necessarily, reasonably and solely incurred
in order to comply with quarantine and disinfection requirements which could
not have been avoided, as a result of infectious disease on board the Insured
Vessel
10.2.
Exclusions and Limitations
The insurance
shall not cover costs which form part of the daily running costs of the Insured
Vessel or which are incurred as a result of the Insured Vessel being ordered to
a port or loading a Cargo or otherwise being employed when the Assured knows or
ought to know that such costs would incur.
Clause 11. Towage
of the Insured Vessel
11.1.
Cover
11.1.1.
Liability under the terms of a contract for the customary towage of the Insured
Vessel for the purpose of entering
or leaving a port or manoeuvring within the
port during the
ordinary course of trading,
11.1.2.
Liability in the ordinary course of trading if the Insured Vessel is habitually
towed from port to port or from
place to place
11.1.3.
Liability under the terms of a contract for towage of an Insured Vessel other
than customary towage, but only if
and to the extent that cover for such
liability has
been agreed by the Company in writing
Clause 12. General
Average Contributions - Cargo
12.1.
Cover
The proportion
of general average expenditure (including salvage) and special charges
which should be paid by
the Cargo interest or some other party to the maritime adventure,
but
which are not legally recoverable by reason of a breach of the contract of
carriage.
12.2.
Exclusions and Limitations
The insurance shall not
cover loss which results from any of the matters referred to in section 1.2
(Cargo - “Exclusions and Limitations”)
Clause 13. General
Average Contributions - Hull
13.1.
Cover
The Insured
Vessels’ proportion of general average expenditure (including salvage) and
special charges
which are not recoverable under the Hull and Machinery Policy solely by
reason of the value of the
Insured Vessel being assessed for contribution to general average or salvage in
excess of her insured value under the Hull and Machinery Policy, provided that
there will be no cover for any part of such unrecoverable proportion arising
from the
INSURE Marine Underwriting 9
Insured’s failure to cover the Insured Vessel
for a proper value under the Hull and Machinery
Policy.
Clause 14. Salvage
14.1.
Cover
Liability to pay special
compensation to a salvor in respect of the Insured Vessel under the provisions
of Article 14 of the International Convention on Salvage 1989, or under a
Lloyd’s Open Form or any standard form of salvage agreement approved by the Company,
or under the Special Compensation P&I Club’s (SCOPIC) clause.
14.2.
Exclusions and Limitations
The insurance
shall not cover
14.2.1. Any
costs or expenses insofar as such special compensation is payable by
any third party also having an
interest in property which is the subject of
salvage
services.
14.2.2. Any
costs or expenses in case the Company has not been notified of the
salvage requiring Incident by the
Assured within 24 hours from the time in
which they gained
knowledge or could have been reasonably expected to gain knowledge.
14.2.3. In
respect of a recovery from the Company under this section, the value of the
wreck or of any related
appurtenances, equipment, Cargo, bunkers and
apparel in
respect of which the Assured has obtained any proceeds of sale or other
financial recovery whatsoever, shall be deducted from and set-off
against
the Company’s liability to pay.
Clause
15. Sue and Labour Costs and Expenses
15.1.
Cover
Costs and
expenses, other than those which would be incurred in the course of the
ordinary
operation
or trading of the Insured Vessel, necessarily incurred by the Assured, after an
Incident
suffered by the Insured Vessel, or an Incident likely to give rise to a claim
under this
policy,
solely to avoid or limit liabilities, costs or expenses in respect of risks
covered by this
policy,
provided that such costs and expenses have been incurred with the prior
approval of
the
Company
15.2.
Exclusions and Limitations
The insurance
shall not cover costs and expenses:
15.2.1. which
are claimable in General Average;
15.2.2. which
result from the Insured Vessel being overloaded or improperly stowed;
15.2.3. which
are incurred in order to make the Insured Vessel seaworthy to receive
the Cargo;
15.2.4. which
form part of the daily running costs of the Insured Vessel;
15.2.5. for
work which could have been carried out by the Crew or by reasonable use
of the Insured Vessel and her
equipment.
INSURE Marine Underwriting 10
Clause
16. Fines
16.1.
Cover
Liability for fines
imposed by any court, tribunal, or authority of competent jurisdiction upon the
Assured for any of the following:
16.1.1. Short
delivery or over-delivery of Cargo, or failure to comply with regulations
concerning the declaration of goods
on board other than Cargo, or
documentation
of Cargo
16.1.2. In
respect of the accidental escape or discharge of oil or other polluting
substance or threat thereof,
16.1.3.
Smuggling or any infringement of any customs law or customs regulation
other than in relation to Cargo
carried on the Insured Vessel,
16.1.4. Any
act, neglect or default, other than those specified above, of any servant or
agent of the Assured in the course
of their duties in respect of the Insured
Vessel,
16.1.5. Breach
of any law, regulation or requirement
16.1.6. An act
or omission by any member of the Crew, acting pursuant to their
obligations to the Assured under
their contract of employment.
16.2.
Exclusions and Limitations
The insurance
shall not cover fines arising out of:
16.2.1. Matters referred
to under the clause 1.2 (Cargo - “Exclusions and
Limitations”)
16.2.2. Entry of the Insured Vessel into prohibited
waters
16.2.3. Disregarding of routing regulations
16.2.4. Criminal
activity, of which the Assured had actual or constructive knowledge,
recklessly disregarded or failed
to take reasonable steps to prevent.
16.2.5. Overloading of the Insured Vessel
16.2.6. Contravention of any law, regulation or
requirement in respect of fishing
16.2.7. The presence on
board of the Insured Vessel of a greater number of
Passengers than is legally
permitted
16.2.8. Failure to
maintain the Insured Vessel’s life-saving and/or navigational
equipment and/or to keep
prescribed certificates on board
16.2.9. Infringement of
MARPOL regulations where the Insured Vessels’ oily water
separator or similar pollution
prevention device has been bypassed or
rendered
inoperable
16.2.10. Inspection fees, including follow-up survey fees or
fines of any sort arising
out of any sort of or relating to
a port state control detention or other order
16.2.11. Landing of a member of the Crew, stowaways or refugee
without permission
of the necessary authorities
Clause
17. Stowaways; diversion and related
costs
17.1.
Cover
Liability to pay fines or
additional port charges and other costs reasonably, necessarily and
solely
incurred for landing or dealing with stowaways, refugees or persons rescued at
sea or
for
diverting to obtain necessary medical treatment for injured or sick persons or
for assisting
INSURE Marine Underwriting 11
in the search for or rescue of persons in
distress at sea, including the cost of extra fuel consumed as a result.
17.2.
Exclusions and Limitations
The insurance
will not cover in case the costs are incurred in respect of:
17.2.1. The
loss of freight or hire for the Insured Vessel
17.2.2.
Demurrage on, detention of or delay to the Insured Vessel
Clause 18. Enquiry
Expenses
18.1.
Cover
The Company may
cover, in its absolute discretion, costs and expenses approved in
advance by the
Company, incurred by the Assured in defending himself, or in protecting his
interests,
before a formal enquiry into the loss of, or into a casualty involving an
Insured
Vessel
but only to the extent that such enquiry related to a risk for which insurance
is
provided
hereunder
Clause 19.
Exceptional Circumstances
The Company may
cover, in its absolute discretion, the Assured’s liability, loss, expense or
costs
which would not otherwise be covered under these terms and conditions, to the
extent
that
the Company considers that such cover would be appropriate and consistent with
the
purpose
of the Company. The Company, in exercising its discretion under this clause
may,
in
exceptional circumstances, cover liability, loss, expense or costs, which are
otherwise
expressly
excluded.
INSURE Marine Underwriting 12
Module
II - Additional Coverages
In
addition to the risks covered under Module I of this Policy Wording, the
coverage can be extended with the following optional clauses at terms and
conditions to be approved and confirmed by the Company in writing, prior to
commencement of such risk:
Clause
20. Specialist Operations
Extension
20.1.
Cover
Where the Insured Vessel
is a vessel which carries out specialist operations, the Assured may also be
covered in respect of liabilities, costs and expenses covered under Module I,
always subject to written approval by the Company prior to inception.
Including, but
not limited to:
20.1.1. Salvage
20.1.2. Dredging, and the removal
and discharge of dredging or other spoil.
20.1.3. Cable or pipeline
laying or recovery, including preparatory surveying, laying
or
recovery operations and maintenance.
20.1.4. Waste incineration or
disposal
20.1.5.
Construction, including pile driving, blasting, and the transport and
construction
of offshore installations.
20.1.6.
Exploration, surveying, drilling, production, and associated services in
respect
of oil, gas or minerals
20.1.7. Firefighting
20.1.8. Oil Storage
20.1.9.
Underwater operations by a submarine or other submersible, commercial
diving
and underwater surveying
20.1.10.
Pollution control
20.1.11. Search
and rescue at sea
20.1.12. Leisure, accommodation and catering services on board a
permanently
moored vessel
20.1.13.
Research at sea
INSURE Marine Underwriting 13
Clause 21. Salvors
Extension
21.1.
Cover
Where the
Assured is the owner or operator of a salvage tug or other vessel designed and
intended to be used for salvage operations, the Assured may be covered in
respect of liabilities, costs and expenses:
21.1.1. Covered
under Module I, but only where such extended coverage has been
approved by the Company
21.1.2. In
respect of oil pollution arising out of salvage operations where such
liabilities do not arise
in relation to the Insured Vessel but arise in connection with the Assured’s
business as a professional salvor.
21.1.3. Other
than oil pollution arising out of salvage operations where such liabilities
do not arise in relation to the
Insured Vessel but arise in connection with the
Assured’s
business as a professional salvor.
21.2.
Exclusions and Limitations
21.2.1. The insurance
will not cover liabilities, costs and expenses, arising under the
terms
of any contract or indemnity entered into by the Assured that would
not have arisen but for such contract or indemnity, unless they
are assumed in respect of sub-contractors’ tortious and/or statutory
liabilities.
21.2.2. The insurance will not
cover liabilities, costs and expenses under clause
21.1:
21.2.2.1. For which the
Assured is covered with the Company when the Insured
Vessel is entered for standard
risks as set out in Module I of this Policy
of Insurance or
with another insurer affording equally wide cover
21.2.2.2. Relating to any of the risks which are
excluded in the Assured’s
Certificate of Insurance,
unless otherwise agreed by the Company and endorsed hereon.
21.2.3.
The applicable maximum amount insured and deductible shall be set out in
the Certificate of Insurance
Clause 22. Towage
Liability Extension
22.1.
Cover
The cover can
be extended to include those liabilities, costs and expenses, including those assumed
by reason of contract, to the extent they may be incurred by the Assured during
the course of performing towage.
22.2.
Exclusions and Limitations
22.2.1.
Unless specifically agreed in writing by the Company, the towage of rigs
or
platforms,
nor the towage under a contract governed by American law, will
not be covered
under the insurance
22.2.2. The contracts as
per clauses 22.2.3 and 22.2.4 are approved, provided they
are not amended in such a way,
that the liability of the Insured Vessel will be
increased. In
countries where the terms of those contracts would not be
enforceable
at law, the Company may approve, on a case by case basis,
contracts
in which the Assured contracts on the basis most likely to be
effective
in upholding the right to limit liability, provided always that the
towage
contract should not impose upon the tug and liability for the
negligence
of any other Party.
INSURE Marine Underwriting 14
22.2.3. Where there is a contract with the owner of
the tow:
22.2.3.1.
The United Kingdom, The Netherlands,
Scandinavian or German
standard towage
conditions
22.2.3.2.
The International Ocean Towage
Agreements “Towhire” or “Towcon”
conditions
22.2.3.3. Lloyd’s
Standard Form of Salvage Agreement 1980 (LOF 1980), or
Lloyd’s Standard Form of
Salvage Agreement 1990 (LOF 1990), or
Lloyd’s
Standard Form of Salvage Agreement 1995 (LOF 1995), or
Lloyd’s
Standard Form of Salvage Agreement 2000 (LOF 2000)
22.2.3.4.
Terms between the owner of the Insured
Vessel on the one part and
the owner of
the tow and the owners of any cargo or property on board
the
tow on the other part, that each shall be responsible for any loss or
damage
to his own vessel, cargo or other property on his own vessel
and
for the loss of life or personal injury of his own employees or
contractors,
without any recourse whatsoever against the other, that is
“knock
for knock” terms
22.2.4. Where there is no
direct contractual relationship with the owner of the tow, a
charter, which contains:
22.2.4.1. “Knock for
Knock” terms, as in clause 22.2.3.4, covering the property
of co-ventures or other
contractors of the charterers as well as the
property of the
charterers themselves.
22.2.4.2. A separate clause within the charter
requiring that all towage be
carried out on
terms no less favourable than “knock for knock” terms.
Clause
23. Contractual Liability Extension
23.1.
Cover
The cover can
be extended to include liabilities, costs and expenses insofar as they fall
within the
coverage of Module I, but which arise under the terms of an indemnity or
contract falling outside the coverage of Module I. The terms of any such
indemnity or contract made by the Assured must have been approved by the
Company. Cover is limited to such sum and to such of the liabilities covered
under Module I (and not excluded in the Assured’s
terms
of insurance) as may be agreed by the Company. The applicable maximum amount
insured and deductible shall be set out in the Certificate of Insurance
23.2.
Exclusions and Limitations
The insurance
shall not cover the liabilities, costs and expenses:
23.2.1.
Which would be covered under Module I with the Company or with another
insurer providing an equal wide
cover
23.2.2.
Relating to any of the risks which are excluded in the Certificate of
Insurance,
unless otherwise agreed by the Company
Clause 24. Divers Liability Extension
24.1.
Cover
The cover can
be extended to include the liabilities, costs and expenses arising from the
activities
of professional or commercial divers. The Assured is covered for liability
claims
made
against him in his capacity as an employer, or for other divers for whom the
Assured
has
responsibility, when resulting from incidents occurring whilst diving is taking
place from a
vessel
owned or chartered by the Assured, insured by the Company. The applicable
maximum
amount insured and deductible shall be set out in the Certificate of Insurance
INSURE Marine Underwriting 15
24.2. Exclusions and Limitations
The insurance
shall not cover the liabilities, costs and expenses:
24.2.1.
Which would be covered under Module I with the Company or with another
insurer providing an equal wide
cover
24.2.2. Which are
excluded in the Certificate of Insurance, unless otherwise agreed
by
the Company
24.2.3. In case the
divers covered are not properly certified, including medical
certification, at or during the
employment by the Assured
24.2.4. In case the
diving activities are taking place from a vessel not insured by the
Company, unless prior approved in
writing
24.2.5. In case damage is
caused to contract works, in which the divers are directly
engaged, with the understanding
that damage caused to an existing or a
third party
property are covered hereunder.
Clause
25. Underwater vehicles
Extension
25.1.
Cover
The cover can
be extended to include the liabilities, costs and expenses in connection with
any
claim brought against him arising out of the operation by the Assured of
underwater
vehicles
(Including but not limited to submarines, mini-submarines, remotely operated
vehicles,
autonomous underwater vehicles, sea-ploughs, scarabs, diving bells and similar
equipment).
25.2.
Exclusions and Limitations
The insurance
shall not cover the liabilities, costs and expenses:
25.2.1.
Which would be covered under Module I with the Company or with another
insurer providing an equal wide
cover
25.2.2. Which are
excluded in the Certificate of Insurance, unless otherwise agreed
by
the Company
25.2.3. For loss of or damage to underwater vehicles
being operated by the Assured
INSURE Marine Underwriting 16
Module III - Defence Cover
In
addition to the risks covered under Module I of this Policy Wording, the
coverage can be extended with the following optional clause at terms and
conditions to be approved and confirmed by the Company in writing, prior to
commencement of such risk:
Clause 26. Defence
cover
26.1.
Cover
The Company
shall cover the Assured for the reasonable and necessary legal assistance in
relation to disputes which are directly connected with the operation of the
Insured Vessel and which are in respect of any of the following:
26.1.1. The carriage of Cargo
26.1.2. Contracts with port
agents
26.1.3. Charter parties,
bills of lading or other contracts of carriage in respect of the
Insured
Vessel
26.1.4. The use of port
facilities
26.1.5. Contracts with brokers
26.1.6. Crew employment Contracts
26.1.7. Loss, damage or delay to
the Insured Vessel
26.1.8. General or particular
average
26.1.9. Damage to Property
26.1.10.
Personal injuries or loss of life
26.1.11.
Supplies to the Insured Vessel
26.1.12. Loading, stowing, trimming, discharging, lightering of
Cargo on, or from the
Insured Vessel
26.1.13. Charges, disbursements and accounts received from
customs, harbour
authorities or other servants of
the Assured
26.1.14.
Salvage or towage services rendered to the Insured Vessel
26.1.15. Any contract of marine insurance in respect of the
Insured Vessel, or which
the Assured contends covers the
Insured Vessel, other than the evidence by
this Policy of
Insurance.
26.1.16. Representation of the Assured at official investigation
or other inquiries in
relation to the Insured Vessel
26.1.17.
Actions by or against:
26.1.17.1. Crew members,
or their personal representatives, dependents or
stowaways
26.1.17.2. Or on behalf
of a State or any public body against the Assured or the
Insured Vessel, but not taxes
or dues payable in countries where the
Insured Vessel is
registered or where the Assured is resident or where the Assured has a
permanent place of business
26.1.17.3. Builders and/or repairers of the Insured
Vessel
26.1.18.
Conversion, alteration, building, purchase, mortgaging or sale of the vessel
Any claim under
this clause must have arisen from occurrences or circumstances, which have
taken place after the attachment date under this Policy of Insurance and must
be notified to the Company
INSURE Marine Underwriting 17
26.2. Exclusions and Limitation
26.2.1. The insurance shall not
cover the costs which are incurred before the
Assured
notifies the Company of the dispute or in relation to a claim which
would
or could have been covered under Module I of these terms and
conditions
26.2.2. The insurance
shall not cover the costs where the dispute is between Joint-
Assureds
26.2.3. The insurance
shall not cover the costs where the dispute is in respect of a
class action or other legal
proceedings in which one or more persons sue or
are sued as
representatives of a group of persons with a common interest
26.2.4.
The insurance shall not cover the costs where the Assured appoints a
lawyer
without the approval of the Company
26.2.5.
The insurance shall not cover the costs in case there is no reasonable
relationship
between:
26.2.5.1. the amount in dispute and the costs which
are likely to be incurred,
26.2.5.2. the prospects
of successfully obtaining an award or judgment and
the costs which are likely to
be incurred,
26.2.5.3. the prospects of successfully obtaining
payment (due to the
financial position of the
other party or otherwise) and the costs which are likely to be incurred,
26.2.5.4. the prospects
of successfully defending a claim and the costs which
are likely to be incurred
26.2.6. The insurance shall not
cover the costs in case the Assured:
26.2.6.1. has failed to take reasonable care in the
chartering, control or
management of
the vessel, or the position adopted by the Assured is unreasonable or the
Assured conduct has been imprudent,
improper
or tainted with illegality,
26.2.6.2. fails to
provide information or documentation which is necessary for
the dispute to be properly
evaluated or handled,
26.2.6.3. refuses to
handle or settle the case in accordance with
recommendations of the
Company,
26.2.6.4. makes
concessions or enters into a settlement without the approval
of the Company, or
26.2.6.5. takes steps to initiate legal action or
arbitration, or makes an
application to
any court or arbitration tribunal, or takes any other
material step in a
dispute, without seeking the prior approval of the
Company
26.2.7.
The Company shall be entitled at any time, in their absolute discretion,
to
withdraw or limit the extent of
cover for any of the reasons set out in
“Exclusions and
Limitations” in the terms and conditions. In case the cover will be withdrawn,
the Assured will be liable to reimburse the Company for any costs previously
made by the Company
26.2.8. In the event a
dispute is only partially covered, the Company shall decide in
its absolute discretion, on the
applicable apportionment of costs.
26.2.9.
The insurance shall not cover the costs in case the dispute arises under
a
management
agreement
INSURE Marine Underwriting 18
26.2.10. The insurance shall not cover the
costs in case the dispute arises out of
damage to the
Insured Vessel, to the extent that the cost of repairs exceeds the deductible
or one percent of the insured value of the Insured Vessel under the Hull and
Machinery policy.
26.2.11. Insofar as the Assured costs are covered, the Company
shall be entitled to
any sum which the Assured recovers
in respect of costs pursuant to any
award, judgment or
settlement agreement, and in the event that a settlement
agreement
does not provide, or does not provide adequately for recoverable
costs,
the Company shall be entitled to such sum as it considers should
have been
attributable to costs pursuant to such an agreement.
26.2.12. With reference to clause 26.1.18, the Company shall be
under no liability to
reimburse the Assured for costs
where the dispute arises under the
conversion, alteration,
building, purchase, mortgage or sale of the vessel, unless cover has been
separately agreed in writing
INSURE Marine Underwriting 19
Module IV - War Protection and Indemnity
Cover
In
addition to the risks covered under Module I of this Policy Wording, the
coverage can be extended with the following optional clause at terms and
conditions to be approved and confirmed by the Company in writing, prior to
commencement of such risk:
Clause
27. War Protection and Indemnity cover
for Owners
27.1.
Cover
Subject always
to the exclusions hereinafter referred to and the provisions of this Policy of
Insurance, the Company shall indemnify the Assured against all the liabilities,
costs and
expenses
under Module I and III (if covered by the Company), which are incurred in
respect of the operation of the Insured Vessel, arising from Incidents
occurring during the Period of Insurance and caused by:
27.1.1. War, civil war, revolution, rebellion,
insurrection, or civil strife arising
therefrom, or for any
hostile act by or against a belligerent power or any act of terrorism.
27.1.2.
Capture, seizure, arrest, restraint or detainment and the consequences
thereof
or any attempt thereat.
27.1.3. Mines, torpedoes, bombs
or other weapons of war.
27.1.4. Any terrorist or any person acting
maliciously or from a political motive;
27.1.5. Confiscation or
expropriation.
27.1.6. Strikers,
locked-out workmen, or persons taking part in labour disturbances,
riots or civil commotions
27.2.
Exclusions and Limitations
The insurance
shall not cover liabilities, costs and expenses arising from:
27.2.1. Requisition,
either for title or use, or pre-emption
27.2.2. Capture, seizure,
arrest, restraint or detainment, confiscation or
expropriation by or under the order of the government or any
public or local
authority
of the country in which the Insured Vessel is owned or registered
27.2.3. Arrest,
restraint, detainment, confiscation or expropriation under quarantine
regulations or by reason
of infringement of any customs or trading regulations
27.2.4. The operation of
ordinary judicial process, failure to provide security or to
pay any fine or
penalty or any financial cause
27.2.5. Any claim for any
sum recoverable under any other insurance on the Insured
Vessel or which would be
recoverable under such insurance but for the existence of this insurance
27.2.6. Any claim for
expenses arising from delay except such expenses as would
be recoverable in
principle in English law and practice under the York-
Antwerp
Rules 1994 and subsequent amendments
INSURE Marine Underwriting 20
27.2.7. Liabilities, costs and expenses which exceed
amounts recoverable under
any such other insurance including
but not limited to the Insured Vessel’s
Hull and
Machinery insurance and in respect of Crew or war risks.
27.3. Notice of
Cancellation and Automatic Termination of Cover
Cover under
this clause shall be subject to the following:
27.3.1. The Company may, on
giving 7 days notice in writing:
27.3.1.1. Cancel the cover provided under this clause,
or
27.3.1.2. Vary or restrict the terms on which cover
under this clause is provided.
27.3.2. Cover under this clause
shall terminate automatically without notice:
27.3.2.1. On the
outbreak of war, whether declared or not, between any of the
following: the United Kingdom,
The United State of America, the
People’s
Republic of China, France or the Russian Federation.
27.3.2.2. the
requisitioning for any purpose of any Insured Vessel covered under
this Policy of Insurance
27.3.2.3. the hostile
detonation by any party anywhere, of a weapon of war
employing atomic or nuclear
fission and/or fusion or other similar
reaction or
radioactive force or matter.
27.3.3. There shall be no
cover under this clause for any loss, damage, liability or
expenses arising from or in
connection with:
27.3.3.1. the outbreak
of war whether declared or not, between any of the
following: United Kingdom,
United States of America, People’s
Republic of
China, France or the Russian Federation.
27.3.3.2. the
requisition for any purpose of any Insured Vessel covered under
this Policy of Insurance.
27.3.4. Cover under this
clause is subject always to clauses 41.4 (Institute
radioactive
contamination, chemical, biological, biochemical and
electromagnetic weapons
exclusion clause) and 41.5 (Institute Cyber Attack exclusion clause) of these
terms and conditions
27.3.5. There shall be no
cover under this Module if an Incident, which would give
rise to cover
ceasing automatically without notice under Clause 27.3.2
occurs after the agreement
of the Company in Writing has been provided to
the
Assured, but before the date and time for the attachment of the cover so
agreed.
INSURE Marine Underwriting 21
General Terms and
Conditions
Unless otherwise agreed,
the insurance cover provided to the Assured, shall be subject to the following
provisions and conditions:
Clause
28. Application of Terms and Scope of
Cover
Any Owners’
P&I Insurance shall incorporate these general terms and conditions and the
terms
and conditions of the specific Modules of Insurance, if and when applicable.
The
Assured is only insured for liabilities, losses and costs which arise out of an
Incident
taking
place during the Period of Insurance and in direct connection with the
operation or
trading
of the Insured Vessel in the Assured’s capacity as owner of the Insured Vessel.
The terms and
conditions set out in each Module of insurance in this Policy of Insurance
shall prevail
over the general terms and conditions in the event of a conflict between them,
but any terms appearing in the Certificate of Insurance or any endorsement
thereto shall prevail above all others.
Provided always
that if any Certificate of Insurance or any endorsement slip shall in the
opinion of the Company contain any error or omission, the Company may issue a
new Certificate of Insurance or a new endorsement slip, which shall be binding
and conclusive evidence of the insurance.
Clause
29. Obligations of the Assured,
Joint-Assured and Misdirected Arrow
Assured
The Assured,
Joint-Assured and Misdirected Arrow Assured shall:
29.1. upon
the occurrence of any Incident, take all reasonable steps to avert or minimize
any
liabilities, losses, expenses and costs which may be covered by the Company
29.2. preserve
any right of recourse against third parties
29.3. refrain
from admitting liability, waiving rights, settling any claim or appointing any
lawyers or
arbitrators without the prior approval of the Company
29.4. allow the Company to handle or take over the handling of any claim
or legal or other
proceedings in
respect of any liability, loss, cost or expense for which the Assured,
Joint-Assured or Misdirected Arrow Assured is or may be wholly or partly
covered under these terms and conditions and to conduct such proceedings in the
name of the Assured, Joint-Assured or Misdirected Arrow Assured and authorize
the
Company
to appoint lawyers, experts, arbitrators, surveyors and other parties on behalf
of the Assured, Joint-Assured or Misdirected Arrow Assured
29.5. comply with all requirements (including the inclusion or exclusion
of contractual
terms), recommendations or
requests for surveys, information or documents made by the Company
29.6. notify the Company promptly of any Incident which may give rise to
liabilities, losses,
expenses or
costs which may be covered by the Company.
29.7. Comply
with all requirements or requirements of the classification society and flag
state
INSURE Marine Underwriting 22
29.8. Reimburse the Company for any claims paid
under certificates issued under
Regulation 2.5, Standard A2.5.2 of
the Maritime Labour Convention 2006
The insurance
shall not cover the Assured, Joint-Assured or Misdirected Arrow Assured for any
liabilities, losses, expenses or costs resulting from the Assured’s,
Joint-Assured’s or Misdirected Arrow Assured’s failure to comply with any of
the obligations set out in this
Clause,
to the extent that the failure has contributed towards the claim against the
Company or has otherwise materially prejudiced the Company’s interests.
Clause
30. Classification, Flag State and
Statutory Regulations
It is warranted
that:
30.1.1. The Insured
Vessel remains fully classed with a classification society which
is a member of the
International Association of Classification Societies or approved by the
Company, and
30.1.2. The Assured shall
maintain validity of all statutory certificates issued by or
on behalf of
the Vessel’s flag state in relation to the ISM Code and ISPS Code, failing
which the Assured shall not be entitled to any recovery from the Company during
the period of non-compliance or for claims caused by such non-compliance.
30.1.3. The Insured
Vessel is registered in a particular country and sails under a
particular flag and/or
management and shall remain so during the entire Period of Insurance
30.1.4. The Assured shall
comply with all Statutory regulations, laws and directions
relating to the
construction, adaption, condition, fitment and equipment throughout the entire
Period of Insurance.
30.1.5. The Insured
Vessel is to be crewed and manned in accordance with the
statutory
regulations, laws and directions applying to the Insured Vessel by
virtue
of its registry or flag and shall comply with the statutory regulations,
laws
or decrees relating to crewing and manning in each port which the
Insured
Vessel visits, whether or not in the course of its employment.
Clause 31.
Documentation
It is warranted
that the Insured Vessel, its Crew and its Cargo shall, at all times, be
properly documented, unless otherwise agreed in writing between the Assured and
the Company. Should the Insured Vessel at any time to the knowledge of the
Assured or any of its officers, or should any of them be reckless in relation
thereto, carry false papers relating to the
operation
of the vessel, the qualifications, number or competence of the Crew, or as to
the nature or condition of the cargo then this policy shall be rendered
automatically void and the Assured will forfeit all benefit under it and it
shall be of no further effect
Clause 32. Survey
and Audit
32.1.1. The
Company may at any time, for its sole benefit, conduct a survey of the
condition,
or operation of the Vessel or an
audit of the Assured’s management systems.
32.1.2. If the
survey or audit demonstrates that the condition or operation of the Vessel, or
the Assured’s
management systems are not satisfactory, the Assured shall indemnify the
Company against the cost of the survey or audit, and the Company shall be
entitled
to restrict cover until the condition or operation of the Vessel, and the
Assured’s
management systems are satisfactory
Clause 33. Premium
Any sums due to
the Company, including but not limited to premium and deductibles, in
respect of this
Policy of Insurance shall be paid on such terms as the Company shall agree
INSURE Marine Underwriting 23
in Certificate of Insurance. In the event of
failure by the Assured to pay premium or any instalment of premium due under
the said terms or any other sum or sums debited by the Company, the Company
may:
33.1. Cancel this Policy of
Insurance giving a minimum notice period of 7 days.
33.2. Vary or restrict the
terms on which cover under this Policy of Insurance is provided.
In the event of
the cancellation of this Policy of Insurance by the Company under this clause,
the Company shall not be liable in respect of any claim whatsoever, whether
arising before or after such cancellation.
Where the
Assured has paid the premium due under this Policy of Insurance and:
33.3. Termination of the
Policy of Insurance takes effect pursuant to clause 39.1, premium
under the Policy of Insurance shall
be returned to the Assured on a pro rata per day
basis.
33.4. Termination of cover in
respect of an Insured Vessel takes effect pursuant to clause
39.2, premium paid in
respect of that Insured Vessel shall be returned to the Assured on a pro rata
per day basis.
If and when
applicable, the Assured shall pay the Company the amount of any tax or duty
relating to premiums or other sums paid or payable by the Assured and for which
the
Company
is or may become liable.
The premium shall be
calculated and return premium (where applicable) refunded on the basis of whole
days on risk commencing at midnight GMT. Any part of a day on risk shall count
as a whole day for both calculating the premium and returning premium.
Clause 34. Limit
of Liability
The total limit
of liability of the Company under this Policy of Insurance in respect of
claims/Incidents
or series of claims/Incidents arising out of any one Incident including any
costs, fees and expenses, shall in no circumstances exceed the amount stated in
the
Certificate
of Insurance. The limit shall apply to all claims, costs, fees and expenses
arising out of the Incident whether they are made by one or by more than one
Assured, Joint
Assured
or Misdirected Arrow Assured.
Clause
35. Joint Assureds and
Misdirected Arrow Assureds
35.1.
Joint Assured
35.1.1.
The Company may accept an Insured Vessel owned by more than one party
or
managed by another company than the Assured, in which case each
party shall be
a Joint Assured
35.1.2. Joint Assureds
shall be jointly and severally liable to pay all amounts due to
the
Company
35.2.
Misdirected Arrow Assured
35.2.1.
The Company may agree to extend cover under the Policy of Insurance to a
Misdirected
Arrow Assured named in the Certificate of Insurance
INSURE Marine Underwriting 24
35.2.2. The
cover afforded to the Misdirected Arrow Assured shall extend only
insofar as such
Misdirected Arrow Assured may be found liable to pay in the
first
instance for loss or damage which is properly the responsibility of the
Assured
(or, in the case of Defence cover, insofar as such Misdirected
Arrow
Assured may be required to resist a claim which shall properly be
brought
against the Assured), and nothing herein contained shall be
construed
as extending cover in respect of any amount which would not
have
been recoverable from the Company by the Assured had the claim in
respect
of such loss or damage been made or enforced against him.
35.2.3. A Misdirected
Arrow Assured shall not be liable for amounts due to the
Company by the Assured,
unless they approach the Company for cover in
which
case they will be jointly and severally liable to pay all amounts due to
the
Company.
35.3.
Terms of cover
35.3.1. Any payment by
the Company to the Assured or any one of the Joint
Assureds, or
any Misdirected Arrow Assured, shall be deemed to be
complete
payment to the Assured and to all Joint Assureds and Misdirected Arrow Assured
jointly and shall fully discharge the obligations of the
Company
in respect of that liability related thereto.
35.3.2. The contents of
any communication between the Company and the Assured,
or any Joint
Assured or any Misdirected Arrow Assured, shall be deemed to be within the
knowledge of the Assured and all Joint Assureds and
Misdirected
Arrow Assured.
35.3.3. Any failure by
the Assured, or any Joint Assured, or any Misdirected Arrow
Assured to
comply with any of the obligations under this Policy of Insurance, shall be
deemed to be a failure of the Assured and all Joint Assureds and Misdirected
Arrow Assured.
35.3.4. Any conduct or
omission (including misrepresentation or non-disclosure) by
the Assured, or
any Joint Assured or any Misdirected Arrow Assured, which would have entitled
the Company to reject or reduce any claims shall be deemed to have been the
failure of the Assured and all Joint Assureds and Misdirected Arrow Assured.
35.3.5. The Company shall
not cover any liability, loss, expense or costs in respect
of any dispute
between the Assured and any Joint Assured, Misdirected Arrow Assured or
Affiliate, or between Joint Assureds, or between
Misdirected
Arrow Assured and Affiliates.
35.3.6. The total
liability of the Company in respect of any one Incident, to the
Assured, and to any Joint
Assured or Misdirected Arrow Assured shall not exceed such sum as would have
been recoverable from the Company only by the Assured.
35.3.7. In the event that
the total liability of the Company is less than the total sum
claimed by the
Assured and by any Joint Assured or Misdirected Arrow
Assured, the Company shall
be entitled to apportion payment in proportion to the respective amounts
claimed.
INSURE Marine Underwriting 25
Clause
36. Assignment
The Assured
shall not, without the written consent of the Company, assign or otherwise
transfer its rights under
this Policy of Insurance, but in no circumstances, shall any assignee or
transferee have a greater right than the Assured. Any assignment or transfer
without the Company’s written consent shall not bind the Company
Clause 37. Double
Insurance
There shall be
no recovery from the Company of any claim in respect of liabilities or
expenses which are
recoverable under any other insurance effected by the Assured, nor shall the
Company be liable for any franchise, Deductible or deduction of a similar
nature borne by the Assured under such other insurance.
Clause 38. Law and
Jurisdiction
38.1. The rules and any contract of insurance between the club and any
insured party are
governed by and
construed in accordance with English law. In particular, they are subject to
and incorporate the Marine Insurance Act 1906, the Insurance Act 2015 and any
statutory modifications thereto unless such Acts or modifications may have been
excluded by the rules or by any term of such contract.
38.2. Any disputes arising out of this Policy of Insurance shall be
subject to the exclusive
jurisdiction of
the High Court of Justice in England.
38.3. The
following provisions of the Insurance Act 2015 are excluded from the rules and
any contract of
insurance as follows:
38.3.1. Section 8 of the
Act is excluded.
As a result,
any breach of the duty of fair presentation shall entitle the
Company to avoid the
policy, regardless of whether the breach of the duty of fair presentation is
innocent, deliberate or reckless.
38.3.2. Section 10 of the
Act is excluded.
As a result,
all warranties in the terms and conditions or any contracts of
insurance must
be strictly complied with and if the Assured and any insured party fails to
comply with any warranty the Company shall be discharged
from
liability from the date of the breach, regardless of whether the breach is
subsequently remedied.
38.3.3. Section 11 of the
Act is excluded.
As a result,
the terms and conditions and all terms of the contracts of
insurance
between the Company and the Assured and any insured party,
including terms
which tend to reduce the risk of loss of a particular kind, loss at a
particular location and/or loss at a particular time, must be strictly
complied
with and if the Assured and any insured party fails to comply with any such
term, the Company’s liability may be excluded, limited or
discharged
in accordance with these terms and conditions notwithstanding that the breach
could not have increased the risk of the loss which actually occurred in the
circumstances in which it occurred.
38.3.4. Section 13 of the
Act is excluded.
As a result,
the Company shall be entitled to exercise its right to terminate
the contracts of insurance
in respect of the Assured and all insured parties in
the
event that a fraudulent claim is submitted by or on behalf of the Assured
and/or
any insured party and/or any affiliated or associated company of the
Assured
INSURE Marine Underwriting 26
38.3.5. Section 13A of the Act is excluded.
As a result,
the Rules and all contracts between the Company and the
Assured and any Assured
shall not be subject to nor shall the Company be
in
breach of any implied term that it will pay any sums due in respect of any
claim
within a reasonable time save where the breach is deliberate or
reckless and
Section 13A of the Act is excluded to this extent.
38.3.6. Section 14 of the Act is
excluded.
As a result,
the contracts of insurance between the Company, the Assured and any insured
party shall be deemed to be contracts of the utmost good faith, and any breach
of the duty of the utmost good faith shall entitle the Company to avoid the
contract of insurance.
38.4. The Insurance provided
by the Company shall not nor is intended to confer any right
or benefit on any Third Party under
the Contracts (Rights of Third Parties) Act 1999
or any similar provision,
enactment or principle of law contained in the laws of any State which purports
to do so
Clause 39.
Termination of Insurance
39.1.
Assured
39.1.1. Automatic Termination
This Policy of Insurance
shall terminate automatically without notice in the following circumstances:
39.1.1.1. The Assured
becomes insolvent, bankrupt, is dissolved or wound up,
has a receiver or liquidator
appointed or commences proceedings
under any bankruptcy or
insolvency laws to seek protection from
creditors
39.1.1.2. Is the subject of the appointment of a
receiver, administrator or
manager or
analogous person in respect of all or part of its business
39.1.1.3. Initiates any proceedings to achieve legal
protection from its creditors
39.1.2. Termination with Notice
The Company
may, at any time and without giving reasons, terminate the Insurance of an
Insured Vessel(s) by not less than 14 days written notice of termination,
effective from the expiry thereof.
39.2.
Insured Vessel
Cover in respect of an
Insured Vessel shall cease without notice on the occurrence of any of the
following:
39.2.1. Sale of the Insured
Vessel
39.2.2.
Divestment or assignment by the Assured of part of his interest in the
Insured
Vessel
39.2.3. Change of manager or flag
state in respect of the Insured Vessel
39.2.4. Mortgage or hypothecation
of the Insured Vessel
39.2.5.
Relinquishing of possession or control of the Insured Vessel by the
Assured
or
foreclosure by a mortgage bank in respect of the Insured Vessel
INSURE Marine Underwriting 27
39.2.6. Total loss of the Insured Vessel, whether:
39.2.6.1. Actual
39.2.6.2. Constructive,
on tender by the Assured of notice of abandonment to
the Insured Vessel’s Hull and
Machinery insurers
39.2.6.3. Compromised or
agreed with the Inured Vessel’s Hull and Machinery
insurers
39.2.6.4. In
circumstances where the Company concludes that the Insured
Vessel is a total loss and
notifies the Assured in writing accordingly
39.2.7. If the Insured
Vessel is missing for 10 days from the date she was last heard
of, or upon her being posted at
Lloyd’s as missing, whichever shall be the
earlier
The Assured
shall notify the Company in writing immediately on the occurrence of a
circumstance or
Incident referred to in this clause. Where cover ceases pursuant to this
clause the
Company shall be liable only in respect of any claim arising prior to the time
when cover ceases, except that, where cover ceases by virtue of Clause 39.2.6,
the Company
shall
also be liable in respect of any claims which arise directly by reason of the
casualty giving rise to the Insured Vessel becoming a total loss.
Clause
40. U.S.A. Oil Pollution Disclaimer
Notwithstanding
any other provision of this Policy of Insurance or of any underlying
insurance, this
Policy of Insurance is not evidence of financial responsibility under the Oil
Pollution
Act of 1990 or any similar federal or State laws. Any showing or offering of
this
Policy
of Insurance by the Assured as evidence of insurance shall not be taken as any
indication
that the Company consents to act as guarantor or to be sued directly in any
jurisdiction
whatsoever. The Company does not consent to be guarantor or to be sued
directly.
Clause 41.
Exclusions and Limitations
There shall be no recovery
from the Company for any liabilities, losses, expenses or costs which arise out
of or in respect of:
41.1. The Assured’s failure to promptly provide the Company or its
nominated
representative with any
information or documentation relating to any claim or dispute under this Policy
of Insurance.
41.2. A claim or dispute between Joint Assureds
41.3. An
Insured Vessel carrying contraband, blockade running or being employed in an
unlawful trade
or if the Company, having regard to all the circumstances, shall be of
the
opinion that the carriage, trade or voyage was imprudent, unsafe, unduly
hazardous
or improper or that the Cargo carried and/or the method of its securing or
unsecuring,
carriage, loading, discharging, inspection, maintenance, treatment or
lack
thereof during the voyage was unduly hazardous, patently inappropriate or
improper
41.4. Institute radioactive contamination, chemical, biological,
biochemical and
electromagnetic
weapons exclusion clause (Cl. 370)
This clause shall be
paramount and shall override anything contained in this insurance inconsistent
therewith
INSURE Marine Underwriting 28
In no case shall this
insurance cover loss damage liability or expense directly or indirectly caused
by or contributed to by or arising from:
41.4.1. Ionising
radiations from or contamination by radioactivity from any nuclear
fuel or from any nuclear waste or
from the combustion of nuclear fuel
41.4.2. The radioactive, toxic,
explosive or other hazardous or contaminating
properties of any nuclear
installation, reactor or other nuclear assembly or nuclear component thereof
41.4.3. Any weapon or
device employing atomic or nuclear fission and/or fusion or
other like reaction or radioactive
force or matter
41.4.4. The radioactive, toxic,
explosive or other hazardous or contaminating
properties of
any radioactive matter. The exclusion in this sub-clause does
not
extend to radioactive isotopes, other than nuclear fuel, when such
isotopes
are being prepared, carried, stored, or used for commercial,
agricultural,
medical, scientific or other similar peaceful purposes
41.4.5. Any chemical, biological,
bio-chemical, or electromagnetic weapon
41.5. Institute
Cyber Attack exclusion clause (Cl. 380)
41.5.1.
Subject only to clause 41.5.2 below, in no case shall this insurance
cover
loss
damage liability or expense directly or indirectly caused by or
contributed to by or
arising from the use or operation, as a means for
inflicting
harm, of any computer, computer system, computer software
programme,
malicious code, computer virus or process or any other
electronic
system.
41.5.2. Where this clause
is endorsed on policies covering risks of war, civil war,
revolution, rebellion,
insurrection, or civil strife arising therefrom, or any
hostile act by
or against a belligerent power, or terrorism or any person acting from a
political motive, clause 41.5.2 shall not operate to exclude losses (which
would otherwise be covered) arising from the use of any
computer,
computer system or computer software programme or any other electronic system
in the launch and/or guidance system and/or firing
mechanism
of any weapon or missile.
41.6. Cargoes
that are not carried in accordance with the specific international guidelines
applicable including, but
not limited to, the IMDG, IBC or IMSBC Code, and port/local regulations; or
which are carried on board Insured Vessels which do not comply with the
requirements as set for the carriage of such Cargo. The transport of this type
of Cargo to be always approved under the Charter Party and done with the
knowledge and consent of the master / Owners.
41.7. Liabilities, costs, losses or expenses are caused by:
41.7.1. War, civil war, revolution, rebellion,
revolution, military or usurped power
insurrection, terrorist
act or civil strive arising from that, or any hostile act by or against a
belligerent power.
41.7.2. Capture, seizure,
arrest, restraint or detention (barratry and piracy excepted)
and the consequences thereof or
any attempt thereat
41.7.3. Any weapons of war, unless by reason of
transport on the Insured Vessel
41.7.4. Nuclear risk
Possible buy-back of this exclusion - section
41.7 under Module IV (War Protection and Indemnity Cover - Clause 27)
41.8. The Assured’s deliberate breach of any contract, fraudulent act or
wilful misconduct
INSURE Marine Underwriting 29
41.9. The performance of specialist operations,
unless covered under Module II section 20.
41.10. The detention, delay (except for delay incurred in order to
avert or minimise any
liabilities, losses,
expenses and costs cover by the Company under this insurance), loss of use of
the Insured Vessel or in respect of hire, freight or demurrage, except insofar
as this is covered under Clause 1 (Cargo)
41.11. The failure to arrive or
late arrival of the Insured Vessel at the port of loading, or
cancellation or termination of, any
charter party or other engagement.
41.12. Contractual or assumed liabilities other than those of the
Assured’s liabilities as
owner, which are established by the
specimen Charter Party and rider clauses or
under any Bill
of Lading issued pursuant to the said Charter Party as provided and approved by
the Company hereon. Any enhancement of, or addition to these
liabilities
which may fall upon the Assured through employment of alternative /
additional
Charter Parties or rider clause will not be covered hereunder unless and until
specifically accepted by the Company
41.13. Consequential loss, general monetary loss, or loss of time, loss
through price, market
or currency fluctuations, loss of
market or similar loss, loss of production,
depreciation,
loss of opportunity, loss of profit, or similar loss, except where the
Assured is liable to a
third party for such loss and such liability is covered under this Policy of
Insurance
41.14. Asbestos, or any materials containing asbestos in whatever form
or quantity.
41.15. The Assured knowingly instructing or operating an Insured Vessel
in an unseaworthy
condition
41.16. Irrecoverable debts or the insolvency of the Assured or any
other party, or fraud of
any agent or an
associated company or of employees of the Assured acting as agent.
41.17. No (re)insurance shall be deemed to provide cover and no
(re)insurance shall be
liable to pay
any claim or provide any benefit hereunder to the extent that the
provision of
such cover, payment of such claim or provision of such benefit would
expose that
(re)insurer to any sanction, prohibition or restriction under United Nations
resolutions
or the trade or economic sanctions, laws or regulations of the European
Union,
United Kingdom, United States of America, Belgium, Netherlands or
Luxembourg
41.18. Any claim recoverable by the Assured under another insurance
policy, or any
deductible
under another insurance, or any claim which would have been recoverable
under
the Insured Vessels’ Hull and Machinery policy had the Insured Vessel been
properly
insured for her uncommitted market value on standard terms without
deductible
41.19. The terms of an indemnity or contract which has not been
approved by the Company,
except insofar as the Assured would
have been liable in any event in the absence of
the indemnity
or contract
INSURE Marine Underwriting 30
41.20. The loss of or damage to
the Insured Vessel or any other property owned or leased
by the Assured or by any party
associated with or under the same management as
the Assured
41.21. Any
claim for liquidated damages
Clause 42. Claims
and Recoveries
It is the duty
of the Assured to take and continue to take all such steps as may be
reasonable for
the purpose of minimising or averting any expense or liability in respect of
which he may be insured by the Company. If the Assured commits any breach of
this obligation, the Company may reject any claim by him
The Assured
must promptly notify the Company of any such casualty or Incident and or any
related formal enquiry or legal proceedings involving the Insured Vessel. The
Assured must also promptly notify the Company when a claim has been made
against them, which may give rise to a claim upon the Company.
42.1.
Notification and Disclosure
The Assured
must, at all times, promptly:
42.1.1. notify the
Company in case of an Incident or a matter that could result to a
claim
42.1.2. provide to the Company
any documents, reports, evidence or other
information relevant to
the claim, matter or Incident which has led or which is liable to lead to a
claim under the Policy of Insurance.
In case the
Company considers it necessary, the Assured shall permit to interview any
servant, agent
or other person who may have been working for the Assured at the material
time,
who may have knowledge of the matter giving rise to a claim under the Policy of
Insurance.
42.2.
Deductibles
Any claim
payable under this policy shall be limited to the excess of the Deductibles
specified in
the Certificate of Insurance. The Assured shall pay the Deductible on the date
as specified by the Company. Non-payment of a deductible on the due date
constitutes a
breach
equal to non-payment of premium with the same consequences.
42.3.
Limitation of Liability
Where an
Assured or Joint Assured is entitled to limit any liability covered by the
Company, there shall be no recovery in respect of such liability for more than
the amount to which liability could have been limited.
42.4.
Pay to be paid Indemnity cover
Unless the
Company otherwise agrees in advance, it is a condition precedent of the
Assured’s right to recover
from the Company in respect of any liabilities, costs and expenses that he
first shall have discharged the same.
It is a further
condition precedent to the Company’s liability under this insurance, failing
which
all and any liability of the Company under this Insurance shall be discharged
immediately,
that the discharge or payment of all and any legal cost and expenses or any
liability,
cost or expense which the Assured subsequently seeks to recover from the
Company
under this Insurance is paid for by funds belonging to the Assured,
unconditionally
and
not by way of loan or otherwise. The discharge or payment of all and any legal
cost and
expense
or any liability, cost and expense which the Assured subsequently seeks to
recover
INSURE Marine Underwriting 31
from the Company under
this insurance by any party other than the Assured, or by way of loan or
otherwise shall not constitute fulfilment of the condition precedent set out
above and the Company shall be under no liability under this insurance.
42.5.
Time Limit
Without
prejudice to the duty of prompt notification, the Assured’s claim against the
Company shall be
extinguished and the Company shall under no further liability in respect
thereof if the Assured:
42.5.1.
Fails to give notice to the Company of an Incident which may give rise
to a
claim
on the Company within 12 months of the Assured becoming aware of
that Incident
42.5.2. Fails to submit a
claim to the Company for reimbursement of any liabilities,
costs
or expenses within 12 months after discharging the same
42.6.
Fraudulent Claim
In case the
Assured would make any request for payment under the cover, knowing or ought to
be knowing to be fraudulent or false in any respect, or where the Assured
colludes with any third party with the intend to make a fraudulent claim under
this Policy of Insurance, the Company may reject this request for payment
42.7.
Burden of Proof
The Assured shall have the
burden of proving that any claim against the Company results from a risk
covered under the insurance.
42.8.
Insolvency
In case the
Assured becomes insolvent during the course of any claim to which the
Company has given support,
the Company shall thereupon reserve their right to withdraw the support
forthwith
42.9.
Handling and Settlement of Claims
42.9.1. The Company shall
have the right, if they so decide, to control or direct the
conduct of any claim or legal or
other proceedings relating to any matter
which may
result in loss, damage, expense or liability in respect of which the Assured is
or may be insured under these terms and conditions and the
Certificate
of Insurance and to require the Assured to settle, compromise or otherwise
dispose of such claim or proceedings in such manner and upon such terms as the
Company see fit.
42.9.2. If the Assured does not settle, compromise,
or dispose of a claim or of
proceedings
after being required to do so by the Company in accordance
with Clause
38.9.1 any eventual recovery by the Assured from the Company in respect of such
claim or proceedings shall be limited to the amount he would have recovered if
he had acted as required by the Company
INSURE Marine Underwriting 32
42.9.3. Where the Company makes a payment to or
discharges a liability of an
Insured Party
and the Insured Party has rights against a third party, whether
by
way of a claim for contribution, indemnity or otherwise, arising out of a
claim
or matter in respect of which the Company has made such payment or
discharged
such liability, the Company shall be subrogated to the rights of
the
Insured Party in respect of the claim or matter to the extent of that
payment
or discharge, including the right to any interest accruing and the
right
to recover any costs incurred in relation to the exercise of such rights.
Further,
the Insured Party agrees to provide or execute any documents
required
to allow the Company to enforce such rights. All such recoveries,
including
interest and recovered costs, are to be paid to the Company,
provided
that if any such recovery exceeds the amounts paid or discharged
by
the Company, the balance shall be paid to the Assured.
42.9.4. APPOINTMENT
42.9.4.1. Without
prejudice to any other provision of these terms and conditions
and without
waiving any of the Company’s rights hereunder, the
Company may at
any and all times appoint on behalf of the Assured, upon such terms as the
Company may think fit, lawyers, surveyors or other persons with a view to
advising them upon, investigating or
dealing
with any matter which may result in loss, damage, expense or liability in
respect of which the Assured is or may be insured under
these
terms and conditions, including taking or defending legal or other proceedings
in connection therewith. The Company may also at any time discontinue such
employment if they think fit.
42.9.4.2. All lawyers,
surveyors or other persons appointed by the Company on
behalf of the
Assured, or appointed by the Assured with the prior
consent of the Company,
shall at all times be and be deemed to be appointed and employed on the terms:
(i) that they have
been instructed by the Assured at all times (both
while so acting
and after having retired from the matter) to give
advice
and to report to the Company in connection with the
matter
without prior reference to the Assured and to produce to
the
Company without prior reference to the Assured any
documents
or information in their possession or power relating to
such
matter, all as if such person had been appointed to act and
had
at all times been acting on behalf of the Company;
(ii) that any advice
they may give to the Assured is that of an
independent contractor
employed by the Assured and shall in no way bind the Company.
INSURE Marine Underwriting 33
42.9.4.3. Without prejudice to the generality of the
above provisions or Clause
38.10, nothing
said, seen or done by the surveyor appointed by the
Company or
advice given prior to, during, or after survey and/or
inspection
shall be taken as in any way derogating from the Assured’s
responsibility
for the safety and seaworthiness of the Insured Vessel
and
its mandatory compliance with any classification, statutory, flag
state
or port state requirement or any other issues relating to the
safety
of the Insured Vessel, its crew, cargo, and any other person,
places
or entities which may be affected by the operation of the
Insured
Vessel.
42.9.5. BAIL
42.9.5.1. The Company is under no obligation to
provide bail or other security
on behalf of
any Assured, but where the same is provided it shall be
on such terms
as the Company may consider appropriate and shall not constitute any admission
of liability by the Company for the claim in respect of which the bail or other
security is given. Unless the
Company,
in the exercise of their discretion shall otherwise determine in no case shall
cash deposits be made by the Company.
42.9.5.2. It shall be a
condition of the provision of bail or other security on behalf
of any Assured, that the
Assured shall indemnify the Company for any
costs
associated with the provision of such bail or other security and for any
liability the Company may incur to a third party under or in connection with
such bail or other security.
PROVIDED ALWAYS THAT in
Clause 42.9.5.2 the indemnity shall not extend to those amounts that the
Assured would have been entitled to recover from the Company under these terms
and conditions had he paid them directly.
42.9.5.3. The Assured
agrees that by authorising the provision of bail or other
security, the Company is given
full power to conduct and control all
related
proceedings (including the power to settle, compromise or
dispose of such
proceedings) and the Assured shall provide or
execute any documents
required to allow the Company to effect such conduct or control.
42.10. Forbearance
No act,
omission, course of dealing, forbearance, delay, indulgence or conduct
(including
negligence)
of the Company whatsoever and whensoever occurring, whether by or through
its
officers, servants or agents or otherwise, shall constitute any admission or
promise that
the
Company will forego any of its rights under these terms and conditions or
relevant
statutory
enactments.
INSURE Marine Underwriting 34
Clause
43. Imprudent or Hazardous Operations,
Contraband, Blockade
Running, or Unlawful
Trading, Wilful Misconduct or Privity
No claim on the
Company shall be allowed:
43.1. if it arises out of or
is consequent upon an Insured Vessel carrying contraband,
blockade running or being employed
in an unlawful trade, or
43.2. if the Company, having
regard to all the circumstances, shall be of the opinion that
the nature of the
carriage, trade or voyage in which the Insured Vessel was engaged was
imprudent, unsafe, unduly hazardous or improper, or
43.3. if the Company, having
regard to all the circumstances, shall be of the opinion that
the claim arose out of the wilful
misconduct of any Insured Party or his managers or
managing
agents, (being an act intentionally done, or a deliberate omission with
knowledge that the
performance or omission will probably result in loss, damage or injury, or an
act done or omitted in such a way as to allow an inference of a reckless
disregard of the probable consequences), or
43.4. if the Company, having
regard to all the circumstances, shall be of the opinion that
the claim arose out of the sending
to sea of the Insured Vessel in an unseaworthy
state with the
privity of the Assured or his managers or managing agents.
Clause 44.
Sanctions
44.1. An Assured shall cease to be insured by the Company in respect of
an Insured
Vessel upon the
Insured Vessel being employed by the Assured in a carriage, trade or on a
voyage which, or the provision of insurance for which, will thereby in any way
howsoever expose the Company to the risk of being or becoming subject to any
sanction,
prohibition or adverse action in any form whatsoever by any state,
international
organization or other competent authority.
44.2. The
Company shall in no circumstances have a liability to an Assured in respect of
that part of
any liabilities, costs and expenses which is not recovered by
the Company
from any reinsurance contract because of a shortfall in recovery from such
reinsurers by reason of any sanction, prohibition or adverse action against
them by any state, international organization, or other competent authority, or
the risk
thereof
if payment were to be made by such reinsurers.
INSURE Marine Underwriting 35
Definitions
Assured: the party insured under this Policy of Insurance as stated on
the Certificate of
Insurance
Cargo: A lawful and merchantable commodity or goods that are the
subject of a contract of carriage and are intended to be, are, or were carried
on the Insured Vessel, other than
containers
leased or owned by the Assured
Cargo Owner: An owner, shipper, buyer, seller, holder of the bill of lading,
or cargo trader, where they have the ownership on the Cargo In Transit.
Certificate of Insurance: The document issued by the
Company stating the details of risks attached and which is evidence of the
contract of insurance.
Charterer: A Charterer of a vessel, or part of a vessel, insured by the
Company under the terms and conditions and named in any Certificate of
Insurance as the Assured.
Charter Party: A contract of carriage including any time charter (not being a
bareboat
charter or a Charter Party
by demise), any voyage Charter Party or any space or slot charter or booking
note on terms approved by the Company
Company: 24Vision for and on behalf of the risk carrier as stated on the
Certificate of Insurance.
Crew: Any person (including the Master) employed or engaged to serve
on board the Insured Vessel(s) under Articles of Agreement or other crew
agreement or contract of service of or employment, including a substitute for
such a person
Deductible: The proportion, percentage or the limited sum of money to be
borne by the Assured in respect of any claim.
Electronic Trading System: Any system which replaces
or is intended to replace paper
documents used for the
sale of goods and/or their carriage by sea or partly by sea and other means of
transport and which
A) are
documents of title, or
B) entitle the
holder to delivery or possession of the goods referred to in such documents, or
C) evidence a contract of
carriage under which the rights and obligations of either of the contracting
parties may be transferred to a third party.
For the purpose
of this definition, a “document” shall mean anything in which information of
any description is recorded, including, but not limited to, computer or other
electronically generated information.
Hague Rules: The International Convention for the Unification of Certain
Rules Relating to Bills of Lading signed at Brussels on 25 August 1924.
Hague-Visby Rules: The International Convention for the
Unification of Certain Rules
relating to
Bills of Lading signed at Brussels on 25th August 1924, as amended by the
Protocol signed at Brussels on 23rd February 1968 and The
Protocol signed at Brussels on 21st December 1979.
INSURE Marine Underwriting 36
Hamburg Rules: The United Nations
Convention on the Carriage of Goods by Sea done at Hamburg on 31 March 1978.
Hull and Machinery Policies: The insurance policy or
policies effected on the Hull and
Machinery of the Insured
Vessel, including any interest, increased value, excess liability, war &
strikes risks and other total loss policies.
Incident: Any Incident, including any occurrence or occurrences arising
out of any such
Incident unless
the Company elects to treat each occurrence as a separate Incident. An
Incident shall be deemed
to have taken place at the time of the first occurrence which results in a
claim or claims.
Insured Vessel: A ship, boat, hydrofoil, hovercraft or other description of
vessel (including a lighter, barge or similar vessel howsoever propelled but
excluding a fixed platform or fixed rig) used or intended to be used for any
purpose whatsoever in navigation or otherwise on, under, over or in water which
has been declared by the Assured and accepted by the
Company
and is named in the Certificate of Insurance.
In Transit: Cargo is “In Transit” when, during the Period of Insurance, it
is:
• Laden on an Insured Vessel
• In the process of being loaded on to or
discharged from an Insured Vessel
• Being transhipped or lightered to or from
an Insured Vessel Provided always that:
• The transhipment or lightering is performed
as a regular custom of the port or
trade
• An appropriate
written receipt has been obtained for the Cargo (or any part
thereof) from those interested in the
transhipment vessel or lighter carrying
the Cargo (or
any part thereof)
Joint-Assured: Where the Certificate of Insurance names more than one Person as
Assured, any of those so named
Misdirected Arrow Assured: A party, other than the
Assured, who is named on the
Certificate of Insurance,
to whom the Company has agreed (subject to restrictions) to extend the cover
afforded to the Assured.
Module of Insurance: Any Module which is referred to in the
Certificate of Insurance.
Owner: The Owner of an Insured Vessel or a Disponent Owner under the
terms of a charter
party,
as defined in this Policy of an Insured Vessel to which the Assured is party as
Charterer.
Period of Insurance: Twelve months as from the attachment date of
insurance of the
Insured Vessel or such
lesser period as the Company shall agree. Unless otherwise agreed, the period
running from 00:00 GMT on the date of commencement of the insurance to 00:00
GMT on the same date in the following calendar year
Policy of Insurance: Full set of general terms and conditions,
together with those terms and conditions specified in the separate Modules of
Insurance, the Certificate of Insurance and endorsement slips
Specialist Operations: Specialist operations are considered to be
salvage, fire fighting,
exploration, surveying,
drilling, production, and associated services in respect of oil, gas or
minerals, oil storage, underwater operations by a submarine or other
submersible,
INSURE Marine Underwriting 37
commercial diving and
underwater surveying, construction, including pile driving, blasting, and the
transport and construction of offshore installations, dredging and the removal
and discharge of dredging or other spoil, cable or pipeline laying or recovery,
including
preparatory
surveying, laying or recovery operations, maintenance, waste incineration or
disposal, pollution control, professional oil spill response and tank cleaning
(otherwise than on the Insured Vessel), search and rescue at sea, research at
sea, leisure, accommodation and catering services on board a permanently moored
vessel.
Wilful Misconduct: An act intentionally done, or a deliberate
omission by the Assured, with knowledge that the performance or omission will
probably result in injury, loss or damage, or an act done or omitted in such a
way as to allow an inference of a reckless disregard of the probable
consequences
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