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1/1/09
INSTITUTE WAR CLAUSES (CARGO)
RISKS COVERED
Risks
1. This insurance covers, except as excluded by the provisions of Clauses 3 and 4 below,
loss of or damage to the subject-matter insured caused by
1.1 war civil war revolution rebellion insurrection, or civil strife arising therefrom,
or any hostile act by or against a belligerent power
1.2 capture seizure arrest restraint or detainment, arising from risks covered under
1.1 above, and the consequences thereof or any attempt thereat
1.3 derelict mines torpedoes bombs or other derelict weapons of war.
General Average
2. This insurance covers general average and salvage charges, adjusted or determinedaccording to the contract of carriage and/or the governing law and practice, incurred
to avoid or in connection with the avoidance of loss from a risk covered under these
Clauses.
EXCLUSIONS
3. In no case shall this insurance cover
3.1 loss damage or expense attributable to wilful misconduct of the Assured
3.2 ordinary leakage, ordinary loss in weight or volume, or ordinary wear and tear
of the subject-matter insured
3.3 loss damage or expense caused by insufficiency or unsuitability of packing or
preparation of the subject-matter insured to withstand the ordinary incidents of the
insured transit where such packing or preparation is carried out by the Assured or their
employees or prior to the attachment of this insurance (for the purpose of these Clauses
"packing" shall be deemed to include stowage in a container and "employees" shall not
include independent contractors)
3.4 loss damage or expense caused by inherent vice or nature of the subject-matter
insured
3.5 loss damage or expense caused by delay, even though the delay be caused by a
risk insured against (except expenses payable under Clause 2 above)3.6 loss damage or expense caused by insolvency or financial default of the owners
managers charterers or operators of the vessel where, at the time of loading of the
subject-matter insured on board the vessel, the Assured are aware, or in the ordinary
course of business should be aware, that such insolvency or financial default could
prevent the normal prosecution of the voyage This exclusion shall not apply where the
contract of insurance has been assigned to the party claiming hereunder who has bought
or agreed to buy the subject-matter insured in good faith under a binding contract
3.7 any claim based upon loss of or frustration of the voyage or adventure
3.8 loss damage or expense directly or indirectly caused by or arising from any
hostile use of any weapon or device employing atomic or nuclear fission and/or fusion or
other like reaction or radioactive force or matter.
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4. 4.1 In no case shall this insurance cover loss damage or expense arising from4.1.1 unseaworthiness of vessel or craft or unfitness of vessel or craft for the
safe carriage of the subject-matter insured, where the Assured are privy
to such unseaworthiness or unfitness, at the time the subject-matter
insured is loaded therein
4.1.2 unfitness of container or conveyance for the safe carriage of the
subject-matter insured,
where loading therein or thereon is carried out prior to attachment of
this insurance or by the Assured or their employees and they are privy
to such unfitness at the time of loading.
4.2 Exclusion 4.1.1 above shall not apply where the contract of insurance has been
assigned to the party claiming hereunder who has bought or agreed to buy the
subject-matter insured in good faith under a binding contract.
4.3 The Insurers waive any breach of the implied warranties of seaworthiness of the
ship and fitness of the ship to carry the subject-matter insured to destination.
DURATION
Transit Clause
5. 5.1 This insurance
5.1.1 attaches only as the subject-matter insured and as to any part as that
part is loaded on an oversea vessel and
5.1.2 terminates, subject to 5.2 and 5.3 below, either as the subject-matter
insured and as to any
part as that part is discharged from an oversea vessel at the final port
or place of discharge, or
on expiry of 15 days counting from midnight of the day of arrival of the
vessel at the final port or place of discharge, whichever shall first occur;
nevertheless, subject to prompt notice to the Insurers and to an
additional premium, such insurance
5.1.3 reattaches when, without having discharged the subject-matter insured
at the final port or place of discharge, the vessel sails therefrom, and
5.1.4 terminates, subject to 5.2 and 5.3 below, either as the subject-matter
insured and as to any part as that part is thereafter discharged from thevessel at the final (or substituted) port or place of discharge, or on expiry
of 15 days counting from midnight of the day of re-arrival of the vessel at
the final port or place of discharge or arrival of the vessel at a substituted
port or place of discharge, whichever shall first occur.
5.2 If during the insured voyage the oversea vessel arrives at an intermediate port or
place to discharge the subject-matter insured for on-carriage by oversea vessel
or by aircraft, or the subject-matter insured is discharged from the vessel at a
port or place of refuge, then, subject to 5.3 below and to an additional premium
if required, this insurance continues until the expiry of 15 days counting from
midnight of the day of arrival of the vessel at such port or place, but thereafter
reattaches as the subject-matter insured and as to any part as that part is loaded
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on an on-carrying oversea vessel or aircraft. During the period of 15 days the
insurance remains in force after discharge only whilst the subject-matter insured
and as to any part as that part is at such port or place. If the subject-matter
insured is on-carried within the said period of 15 days or if the insurance
reattaches as provided in this Clause 5.2
5.2.1 where the on-carriage is by oversea vessel this insurance continues
subject to the terms of these Clauses, or
5.2.2 where the on-carriage is by aircraft, the current Institute War Clauses
(Air Cargo) (excluding sendings by Post) shall be deemed to form part of
the contract of insurance and shall apply to the on-carriage by air.
5.3 If the voyage in the contract of carriage is terminated at a port or place other
than the destination agreed therein, such port or place shall be deemed the final
port of discharge and this insurance terminates in accordance with 5.1.2. If the
subject-matter insured is subsequently reshipped to the original or any other
destination, thenprovided notice is given to the Insurers before the
commencement of such further transit and subject to an additional premium,
this insurance reattaches
5.3.1 in the case of the subject-matter insured having been discharged, as the
subject-matter insured and as to any part as that part is loaded on the
on-carrying vessel for the voyage;
5.3.2 in the case of the subject-matter not having been discharged, when the
vessel sails from such
deemed final port of discharge; thereafter this insurance terminates in
accordance with 5.1.4.
5.4 The insurance against the risks of mines and derelict torpedoes, floating or
submerged, is extended whilst the subject-matter insured or any part thereof is
on craft whilst in transit to or from the oversea vessel, but in no case beyond the
expiry of 60 days after discharge from the oversea vessel unless otherwise
specially agreed by the Insurers.
5.5 Subject to prompt notice to Insurers, and to an additional premium if required,
this insurance shall remain in force within the provisions of these Clauses during
any deviation, or any variation of the adventure arising from the exercise of a
liberty granted to carriers under the contract of carriage.
(For the purpose of Clause 5 "arrival" shall be deemed to mean that the vessel isanchored, moored or otherwise secured at a berth or place within the Harbour
Authority area. If such a berth or place is not available, arrival is deemed to have
occurred when the vessel first anchors, moors or otherwise secures either at or off
the intended port or place of discharge "oversea vessel" shall be deemed to mean a
vessel carrying the subject-matter from one port or place to another where such
voyage involves a sea passage by that vessel)
Change of Voyage
6. 6.1 Where, after attachment of this insurance, the destination is changed by the
Assured, this must be notified promptly to Insurers for rates and terms to be agreed.
Should a loss occur prior to such agreement being obtained cover may be provided but
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only if cover would have been available at a reasonable commercial market rate on
reasonable market terms.
6.2 Where the subject-matter insured commences the transit contemplated by this
insurance (in accordance with Clause 5.1), but, without the knowledge of the Assured or
their employees the ship sails for another destination, this insurance will nevertheless
be deemed to have attached at commencement of such transit.
7. Anything contained in this contract which is inconsistent with Clauses 3.7, 3.8 or5 shall, to the extent of such inconsistency, be null and void.
CLAIMS
Insurable Interest
8. 8.1 In order to recover under this insurance the Assured must have an
insurable interest in the subject- matter insured at the time of the loss.
8.2 Subject to Clause 8.1 above, the Assured shall be entitled to recover for
insured loss occurring during the period covered by this insurance,
notwithstanding that the loss occurred before the contract of insurance was
concluded, unless the Assured were aware of the loss and the Insurers were
not.
Increased Value
9. 9.1 If any Increased Value insurance is effected by the Assured on the
subject-matter insured under this insurance the agreed value of the
subject-matter insured shall be deemed to be increased to the total amount
insured under this insurance and all Increased Value insurances covering the
loss, and liability under this insurance shall be in such proportion as the sum
insured under this insurance bears to such total amount insured.
In the event of claim the Assured shall provide the Insurers with evidence of
the amounts insured under all other insurances.
9.2 Where this insurance is on Increased Value the following clause shall apply:
The agreed value of the subject-matter insured shall be deemed to be equal to
the total amount insured under the primary insurance and all Increased Value
insurances covering the loss and effected on the subject-matter insured by the
Assured, and liability under this insurance shall be in such proportion as thesum insured under this insurance bears to such total amount insured.
In the event of claim the Assured shall provide the Insurers with evidence of
the amounts insured under all other insurances.
BENEFIT OF INSURANCE
10. This insurance
10.1 covers the Assured which includes the person claiming indemnity either as the
person by or on whose behalf the contract of insurance was effected or as an
assignee,
10.2 shall not extend to or otherwise benefit the carrier or other bailee.
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MINIMISING LOSSES
Duty of Assured
11. It is the duty of the Assured and their employees and agents in respect of loss
recoverable hereunder
11.1 to take such measures as may be reasonable for the purpose of avertingor minimising such loss, and
11.2 to ensure that all rights against carriers, bailees or other third parties are
properly preserved and
exercised and the Insurers will, in addition to any loss recoverable hereunder,
reimburse the Assured for any charges properly and reasonably incurred in pursuance
of these duties.
Waiver
12.Measures taken by the Assured or the Insurers with the object of saving, protecting
or recovering the subject-matter insured shall not be considered as a waiver or
acceptance of abandonment or otherwise prejudice the rights of either party.
AVOIDANCE OF DELAY 13.It is a condition of
this insurance that the Assured shall act with
reasonable despatch in all circumstances
within their control.
LAW AND PRACTICE14.This insurance is subject to English law and practice.
NOTE:-Where a reattachment of cover is requested under Clause 5, or a change ofdestination is notified under Clause 6, there is an obligation to give prompt notice to
the Insurers and the right to such cover is dependent upon compliance with this
obligation.
Copyright: 11/08 -Lloyd's Market Association (LMA) and International Underwriting
Association of London (IUA).
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Institute war cancellation clause (CARGO)
The cover against war risks (as defined in the relevant Institute War
Clauses) may be cancelled by either the Underwriters or the Assured
except in respect of any insurance which shall have attached in
accordance with the conditions of the Institute War Clauses before the
cancellation becomes effective. Such cancellation shall however only
become effective on the expiry of 7 days from midnight of the day on
which notice of the cancellation is issued by or to the Underwriters.
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1/1/09
INSTITUTE STRIKES CLAUSES (CARGO)
RISKS COVERED
Risks
1. This insurance covers, except as excluded by the provisions of Clauses 3 and 4 below,
loss of or damage to the subject-matter insured caused by
1.1 strikers, locked-out workmen, or persons taking part in labour disturbances,
riots or civil commotions
1.2 any act of terrorism being an act of any person acting on behalf of, or in
connection with, any organisation which carries out activities directed towards
the overthrowing or influencing, by force or violence, of any government
whether or not legally constituted
1.3 any person acting from a political, ideological or religious motive.
General Average
2. This insurance covers general average and salvage charges, adjusted or determined
according to the contract of carriage and/or the governing law and practice,
incurred to avoid or in connection with the avoidance of loss from a risk covered
under these Clauses. EXCLUSIONS
3. In no case shall this insurance cover
3.1 loss damage or expense attributable to wilful misconduct of the Assured3.2 ordinary leakage, ordinary loss in weight or volume, or ordinary wear and tear
of the subject-matter insured
3.3 loss damage or expense caused by insufficiency or unsuitability of packing or
preparation of the subject-matter insured to withstand the ordinary incidents of the
insured transit where such packing or preparation is carried out by the Assured or their
employees or prior to the attachment of this insurance (for the purpose of this Clause
3.3 "packing" shall be deemed to include stowage in a container and "employees" shall
not include independent contractors)
3.4 loss damage or expense caused by inherent vice or nature of the subject-matter
insured
3.5 loss damage or expense caused by delay, even though the delay be caused by a
risk insured against (except expenses payable under Clause 2 above)
3.6 loss damage or expense caused by insolvency or financial default of the owners
managers charterers or operators of the vessel where, at the time of loading of the
subject-matter insured on board the vessel, the Assured are aware, or in the ordinary
course of business should be aware, that such insolvency or financial default could
prevent the normal prosecution of the voyage This exclusion shall not apply where the
contract of insurance has been assigned to the party claiming hereunder who has bought
or agreed to buy the subject-matter insured in good faith under a binding contract3.7 loss damage or expense arising from the absence shortage or withholding of
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labour of any description whatsoever resulting from any strike, lockout, labour
disturbance, riot or civil commotion
3.8 any claim based upon loss of or frustration of the voyage or adventure
3.9 loss damage or expense directly or indirectly caused by or arising from the use
of any weapon or device employing atomic or nuclear fission and/or fusion or other like
reaction or radioactive force or matter
3.10 loss damage or expense caused by war civil war revolution rebellion
insurrection, or civil strife arising therefrom, or any hostile act by or against a
belligerent power.
4. 4.1In no case shall this insurance cover loss damage or expense arising from4.1.1 unseaworthiness of vessel or craft or unfitness of vessel or craft for the
safe carriage of the subject-matter insured, where the Assured are privy
to such unseaworthiness or unfitness, at the time the subject-matter
insured is loaded therein
4.1.2 unfitness of container or conveyance for the safe carriage of the
subject-matter insured, where
loading therein or thereon is carried out prior to attachment of this
insurance or by the Assured or their employees and they are privy to
such unfitness at the time of loading.
4.2 Exclusion 4.1.1 above shall not apply where the contract of insurance has been
assigned to the party claiming hereunder who has bought or agreed to buy the
subject-matter insured in good faith under a binding contract.
4.3 The Insurers waive any breach of the implied warranties of seaworthiness of the
ship and fitness of the ship to carry the subject-matter insured to destination.
DURATION
Transit Clause
5. 5.1 Subject to Clause 8 below, this insurance attaches from the time the
subject-matter insured is first moved in the warehouse or at the place of storage
(at the place named in the contract of insurance) for the purpose of the
immediate loading into or onto the carrying vehicle or other conveyance for the
commencement of transit,
continues during the ordinary course of transit
and terminates either
5.1.1 on completion of unloading from the carrying vehicle or other conveyance
in or at the final warehouse or place of storage at the destination named in
the contract of insurance,
5.1.2 on completion of unloading from the carrying vehicle or other conveyance
in or at any other warehouse or place of storage, whether prior to or at the
destination named in the contract of insurance, which the Assured or their
employees elect to use either for storage other than in the ordinary course
of transit or for allocation or distribution, or
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5.1.3 when the Assured or their employees elect to use any carrying vehicle or
other conveyance or any container for storage other than in the ordinary
course of transit or
5.1.4 on the expiry of 60 days after completion of discharge overside of the
subject-matter insured from
the oversea vessel at the final port of discharge, whichever shall first
occur.
5.2 If, after discharge overside from the oversea vessel at the final port of discharge,
but prior to termination of this insurance, the subject-matter insured is to be
forwarded to a destination other than that to which it is insured, this insurance,
whilst remaining subject to termination as provided in Clauses 5.1.1 to 5.1.4,
shall not extend beyond the time the subject-matter insured is first moved for
the purpose of the commencement of transit to such other destination.
5.3 This insurance shall remain in force (subject to termination as provided for inClauses 5.1.1 to 5.1.4 above and to the provisions of Clause 6 below) during delay
beyond the control of the Assured, any deviation, forced discharge, reshipment
or transhipment and during any variation of the adventure arising from the
exercise of a liberty granted to carriers under the contract of carriage.
Termination of Contract of Carriage
6. If owing to circumstances beyond the control of the Assured either the contract of
carriage is terminated at a port or place other than the destination named therein or
the transit is otherwise terminated before unloading of the subject-matter insured as
provided for in Clause 5 above, then this insurance shall also terminate unless promptnotice is given to the Insurers and continuation of cover is requested when this
insurance shall remain in force, subject to an additional premium if required by the
Insurers, either
6.1 until the subject-matter insured is sold and delivered at such port or place, or,
unless otherwise specially agreed, until the expiry of 60 days after arrival of the
subject-matter insured at such port or place, whichever shall first occur, or
6.2 if the subject-matter insured is forwarded within the said period of 60 days (or
any agreed extension thereof) to the destination named in the contract of
insurance or to any other destination, until terminated in accordance with theprovisions of Clause 5 above.
Change of Voyage
7. 7.1 Where, after attachment of this insurance, the destination is changed by the
Assured, this must be notified promptly to Insurers for rates and terms to be
agreed. Should a loss occur prior to such agreement being obtained cover may be
provided but only if cover would have been available at a reasonable commercial
market rate on reasonable market terms.
7.2 Where the subject-matter insured commences the transit contemplated by this
insurance (in accordance with Clause 5.1), but, without the knowledge of the
Assured or their employees the ship sails for another destination, this insurance
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will nevertheless be deemed to have attached at commencement of such transit.
CLAIMS
Insurable Interest
8. 8.1 In order to recover under this insurance the Assured must have an insurableinterest in the subject- matter insured at the time of the loss.
8.2 Subject to Clause 8.1 above, the Assured shall be entitled to recover for
insured loss occurring during the period covered by this insurance,
notwithstanding that the loss occurred before the contract of insurance was
concluded, unless the Assured were aware of the loss and the Insurers were
not.
Increased Value
9. 9.1 If any Increased Value insurance is effected by the Assured on the
subject-matter insured under this insurance the agreed value of the
subject-matter insured shall be deemed to be increased to the total amount
insured under this insurance and all Increased Value insurances covering the
loss, and liability under this insurance shall be in such proportion as the sum
insured under this insurance bears to such total amount insured.
In the event of claim the Assured shall provide the Insurers with evidence of
the amounts insured under all other insurances.
9.2 Where this insurance is on Increased Value the following clause shall apply:
The agreed value of the subject-matter insured shall be deemed to be equal to
the total amount insured under the primary insurance and all Increased Value
insurances covering the loss and effected on the subject-matter insured by the
Assured, and liability under this insurance shall be in such proportion as the
sum insured under this insurance bears to such total amount insured.
In the event of claim the Assured shall provide the Insurers with evidence of
the amounts insured under all other insurances.
BENEFIT OF INSURANCE
10. This insurance
10.1 covers the Assured which includes the person claiming indemnity either as the
person by or on whose behalf the contract of insurance was effected or as anassignee,
10.2 shall not extend to or otherwise benefit the carrier or other bailee.
MINIMISING LOSSES
Duty of Assured
11.It is the duty of the Assured and their employees and agents in respect of loss
recoverable hereunder
11.1 to take such measures as may be reasonable for the purpose of averting or
minimising such loss,and11.2 to ensure that all rights against carriers, bailees or other third parties are
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properly preserved and
exercised and the Insurers will, in addition to any loss recoverable hereunder,
reimburse the Assured for any charges properly and reasonably incurred in pursuance
of these duties.
Waiver
12.Measures taken by the Assured or the Insurers with the object of saving,
protecting or recovering the subject-matter insured shall not be
considered as a waiver or acceptance of abandonment or otherwise
prejudice the rights of either party.
AVOIDANCE OF DELAY
13.It is a condition of this insurance that the Assured shall act with
reasonable despatch in all circumstances within their control.
LAW AND PRACTICE
14.This insurance is subject to English law and practice.
NOTE:-Where a continuation of cover is requested under Clause 6, or a change of
destination is notified under Clause 7, there is an obligation to give prompt notice to
the Insurers and the right to such cover is dependent upon compliance with this
obligation.
Copyright: 11/08 -Lloyd's Market Association (LMA) and International Underwriting
Association of London (IUA).
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INSTITUTE STRIKES CLAUSES (AIR CARGO)
RISKS COVERED
Risks
1. This insurance covers, except as excluded by the provisions of Clause 3 below, loss
of or damage to the subject-matter insured caused by
1.1 strikers, locked-out workmen, or persons taking part in labour disturbances,
riots or civil commotions
1.2 any act of terrorism being an act of any person acting on behalf of, or in
connection with, any organisation which carries out activities directed towards
the overthrowing or influencing, by force or violence, of any government
whether or not legally constituted
1.3 any person acting from a political, ideological or religious motive.
Salvage Charges
2. This insurance covers salvage charges incurred to avoid or in connection
with the avoidance of loss from any cause except those excluded in
Clause 3 below.
EXCLUSIONS
3. In no case shall this insurance cover
3.1 loss damage or expense attributable to wilful misconduct of the Assured
3.2 ordinary leakage, ordinary loss in weight or volume, or ordinary wear and tear
of the subject-matter insured
3.3 loss damage or expense caused by insufficiency or unsuitability of packing or
preparation of the subject-matter insured to withstand the ordinary incidents
of the insured transit where such packing or preparation is carried out by the
Assured or their employees or prior to the attachment of this insurance (for the
purpose of this Clause 3.3 "packing" shall be deemed to include stowage in a
container and "employees" shall not include independent contractors)
3.4 loss damage or expense caused by inherent vice or nature of the subject-matter
insured
3.5 loss damage or expense arising from unfitness of aircraft conveyance or
container for the safe carriage of the subject-matter insured, where loadingtherein or thereon is carried out prior to attachment of this insurance or by the
Assured or their employees and they are privy to such unfitness at the time of
loading. This exclusion shall not apply where the contract of insurance has been
assigned to the party claiming hereunder who has bought or agreed to buy the
subject-matter insured in good faith under a binding contract.
3.6 loss damage or expense caused by delay, even though the delay be caused by a
risk insured against
3.7 loss damage or expense caused by insolvency or financial default of the owners
managers charterers or operators of the aircraft where, at the time of loading
of the subject-matter insured on board the aircraft, the Assured are aware, or
in the ordinary course of business should be aware, that such insolvency or
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financial default could prevent the normal prosecution of the transit This
exclusion shall not apply where the contract of insurance has been assigned to
the party claiming hereunder who has bought or agreed to buy the
subject-matter insured in good faith under a binding contract
3.8 loss damage or expense arising from the absence shortage or withholding of
labour of any description whatsoever resulting from any strike, lockout, labour
disturbance, riot or civil commotion
3.9 any claim based upon loss of or frustration of the transit or adventure
3.10 loss damage or expense directly or indirectly caused by or arising from the use
of any weapon or device employing atomic or nuclear fission and/or fusion or
other like reaction or radioactive force or matter
3.11 loss damage or expense caused by war civil war revolution rebellion
insurrection, or civil strife arising therefrom, or any hostile act by or against a
belligerent power.
DURATION
Transit Clause
4. 4.1 Subject to Clause 7 below, this insurance attaches from the time the
subject-matter insured is first moved in the warehouse, premises or at the
place of storage (at the place named in the contract of insurance) for the
purpose of the immediate loading into or onto the carrying vehicle or other
conveyance for the commencement of transit,
continues during the ordinary course of transit
and terminates either
4.1.1 on completion of unloading from the carrying vehicle or other conveyance
in or at the final warehouse, premises or place of storage at the
destination named in the contract of insurance,
4.1.2 on completion of unloading from the carrying vehicle or other conveyance
in or at any other warehouse, premises or place of storage, whether prior
to or at the destination named in the contract of insurance, which the
Assured or their employees elect to use either for storage other than in the
ordinary course of transit or for allocation or distribution, or
4.1.3 when the Assured or their employees elect to use any carrying vehicle orother conveyance or any container for storage other than in the ordinary
course of transit or
4.1.4 on the expiry of 30 days after completion of unloading of the
subject-matter insured from the
aircraft at the final place of discharge, whichever shall first occur.
4.2 If, after unloading from the aircraft at the final place of discharge, but prior to
termination of this insurance, the subject-matter insured is to be forwarded to a
destination other than that to which it is insured, this insurance, whilst
remaining subject to termination as provided in Clauses 4.1.1 to 4.1.4, shall not
extend beyond the time the subject-matter insured is first moved for the purpose
of the commencement of transit to such other destination.
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subject-matter insured shall be deemed to be increased to the total amount
insured under this insurance and all Increased Value insurances covering the
loss, and liability under this insurance shall be in such proportion as the sum
insured under this insurance bears to such total amount insured.
In the event of claim the Assured shall provide the Insurers with evidence of
the amounts insured under all other insurances.
8.2 Where this insurance is on Increased Value the following clause shall apply:
The agreed value of the subject-matter insured shall be deemed to be equal to
the total amount insured under the primary insurance and all Increased Value
insurances covering the loss and effected on the subject-matter insured by the
Assured, and liability under this insurance shall be in such proportion as the
sum insured under this insurance bears to such total amount insured.
In the event of claim the Assured shall provide the Insurers with evidence of
the amounts insured under all other insurances.
BENEFIT OF INSURANCE9. This insurance
9.1 covers the Assured which includes the person claiming indemnity either as the
person by or on whose behalf the contract of insurance was effected or as an
assignee,
9.2 shall not extend to or otherwise benefit the carrier or other bailee.
MINIMISING LOSSES
Duty of Assured
10.It is the duty of the Assured and their employees and agents in respect of loss
recoverable hereunder
10.1 to take such measures as may be reasonable for the purpose of averting or
minimising such loss,and
10.2 to ensure that all rights against carriers, bailees or other third parties are
properly preserved and
exercised and the Insurers will, in addition to any loss recoverable hereunder,
reimburse the Assured for any charges properly and reasonably incurred in pursuance
of these duties.
Waiver
11.Measures taken by the Assured or the Insurers with the object of saving, protecting or
recovering the subject-matter insured shall not be considered as a waiver or
acceptance of abandonment or otherwise prejudice the rights of either party.
AVOIDANCE OF DELAY 12.It is a condition of
this insurance that the Assured shall act with
reasonable despatch in all circumstances within
their control.
LAW AND PRACTICE13.This insurance is subject to English law and practice.
NOTE:-Where a continuation of cover is requested under Clause 5, or a change of
destination is notified under Clause 6, there is an obligation to give prompt notice to
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the Insurers and the right to such cover is dependent upon compliance with this
obligation.
Copyright: 12/08 -Lloyd's Market Association (LMA) and International Underwriting
Association of London (IUA).
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INSTITUTE RADIOACTIVE CONTAMINATION,CHEMICAL, BIOLOGICAL, BIO-CHEMICAL AND
ELECTROMAGNETIC WEAPONS EXCLUSION
CLAUSE
This clause shall be paramount and shall override anything
contained in this insurance inconsistent therewith
1. In no case shall this insurance cover loss damage
liability or expense directly or indirectly caused by or
contributed to by or arising from
1.1 ionising radiations from or contamination by
radioactivity from any nuclear fuel or from any nuclear
waste or from the combustion of nuclear fuel
1.2 the radioactive, toxic, explosive or other hazardous
or contaminating properties of any nuclear installation,
reactor or other nuclear assembly or nuclear component
thereof
1.3 any weapon or device employing atomic or nuclear
fission and/or fusion or other like reaction or radioactive
force or matter1.4 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
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purposes
1.5 any chemical, biological, bio-chemical, or
electromagnetic weapon.
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INSTITUTE CYBER ATTACK EXCLUSION CLAUSE
Subject only to clause 1.2 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.
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 1.1 shall not operate to excludelosses (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.
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INSTITUTE CHEMICAL, BIOLOGICAL,BIO-CHEMICAL, ELECTROMAGNETIC WEAPONS
AND CYBER ATTACK EXCLUSION CLAUSE
This clause shall be paramount and shall override anything
contained in this insurance inconsistent therewith
1. In no case shall this insurance cover loss damage
liability or expense directly or indirectly caused by or
contributed to by or arising from
1.1 any chemical, biological, bio-chemical or
electromagnetic weapon
1.2 the use or operation, as a means for inflicting harm,
of any computer, computer system, computer software
programme, computer virus or process or any other
electronic system.
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TERMINATION OF TRANSIT CLAUSE (TERRORISM) 2009
This clause shall be paramount and shall override anything contained in this
insurance inconsistent therewith.
1 Notwithstanding any provision to the contrary contained in the contract of
insurance or the Clauses referred to therein, it is agreed that in so far as the
contract of insurance covers loss of or damage to the subject-matter insured
caused by
any act of terrorism being an act of any person acting on behalf of, or in
connection with, any organisation which carries out activities directed
towards the overthrowing or influencing, by force or violence, of any
government whether or not legally constituted or
any person acting from a political, ideological or religious motive,
such cover is conditional upon the subject-matter insured being in
the ordinary course of transit and, in any event,SHALL TERMINATE:
either
1.1 as per the transit clauses contained within the contract of insurance,
or
1.2 on completion of unloading from the carrying vehicle or other
conveyance in or at the final warehouse or place of storage at the
destination named in the contract of insurance,
1.3 on completion of unloading from the carrying vehicle or other
conveyance in or at any other warehouse or place of storage, whether
prior to or at the destination named in the contract of insurance, which
the Assured or their employees elect to use either for storage other than
in the ordinary course of transit or for allocation or distribution, or
1.4 when the Assured or their employees elect to use any carrying vehicle or
other conveyance or any container for storage other than in the ordinary
course of transit,
or
1.5 in respect of marine transits, on the expiry of 60 days after completion of
discharge overside of the subject-matter insured from the oversea vessel
at the final port of discharge,1.6 in respect of air transits, on the expiry of 30 days after
unloading the subject-matter insured from the aircraft at the
final place of discharge,
whichever shall first occur.
2 If the contract of insurance or the Clauses referred to therein specifically provide
cover for inland or other further transits following on from storage, or
termination as provided for above, cover will re-attach, and continues during
the ordinary course of that transit terminating again in accordance with clause
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ELECTRONIC DATA EXCLUSION CLAUSE
This policy is not liable for claims arising directly or
indirectly out of Electronic Data. ELECTRONIC DATA
means facts, concepts and information converted to a form
useable for communications, display, distribution,
interpretation or processing by electronic and
electromechanical data processing or electronically
controlled equipment and includes programmes, software
and other coded instructions for such equipment. Where
'property' or 'Property' are used in the Policy, they do not
include Electronic Data.
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Absolute Theft Exclusion ClauseThis policy excludes absolutely loss or damage due to theft
of or from any vehicle and/or trailer and/or container left
loaded and unattended.
Accumulation Clause
The limits of liability expressed herein shall not apply in the
event of or during transhipment of or after the arrival" of the
oversea vessel or conveyance at the port or place of
discharge provided always that any accumulation of
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interests during the ordinary course of transits beyond
such limits of liability shall not have arisen from
circumstances within the control of the Assured.Should there be any other accumulation of interests
beyond such limits of liability by reason of interruption of
transit &lor other circumstances beyond control of the
Assured, Underwriters shall, provided notice be given in all
such cases as soon as known to the Assured, hold
covered such excess amount and be liable for the full
amount at risk but in no event shall Underwriters be liable
hereunder for more than double the limits of liability
expressed herein.
Airfreight Replacement Clause
In the event of loss or damage to insured goods covered
hereunder, Insurers agree to pay cost of airfreighting the
damaged goods to manufacturers for repair and return
&/or the airfreighting of replacement goods to destination
notwithstanding that the insured goods were not originally
despatched by airfreight.
Alarm and Protections Clause
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It is a condition precedent to the liability of the Underwriters
under this insurance that:
a) the premises containing the insured property are fitted
with a burglar alarm system approved by the Underwriters,
and that no withdrawal, alteration or variation of the system,
or any structural alteration which might affect the system,
shall be made without the consent of the Under- writers.
b) the burglar alarm system and all locks and padlocks
shall have been put into full and effective operation at all
times when the Insured's premises are closed for business,
and at all other appropriate times.
c) the burglar alarm system shall have been maintained in
good order throughout the currency of this insurance under
a maintenance contract with the installing company.
d) all other protections provided for the safety of the
insured property shall be maintained in good order
throughout the currency of this insurance and that they are
in full effective operation at all appropriate times.
e) all keys and duplicate keys relative to the above alarm
and protections are removed from the premises, when the
premises are closed for business, and at all other
appropriate times, and
f) immediate advice be given to the Underwriters of any
notice of with-drawal of police or any other security force or
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protection.
Alarm Warranty
Warranted that the alarm system fitted to the vehicles
owned by, hired by or under the control of the insured is
maintained in full and working order at all times and is
tested and set whenever the vehicle is left loaded and
unattended.
Antiques Clause
In the event of damage to antique items and/or works of art
insured hereunder, liability is restricted to the reasonable
cost of repairs and no claim is recover- able in respect of
depreciation. In no case shall liability hereunder for such
repairs exceed the sum insured bears to the total value of
the insured property.
Attachment and Termination of Cover
The Insurance hereunder attaches from the time the
subject-matter becomes at the Assured's risk or the
Assured assumes interest and continues during delays
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during transit &lor after discharge at the final port or airport
irrespective of whether such delays are within or beyond
the Assured's control and terminates either on;1. Delivery to the consignee's or other final warehouse at
the place where the transit covered hereunder is intended
to cease.
or
2. The expiry of 60 days after completion of dischargeover-side from the overseas vessel or aircraft, at the final
port or airport of discharge.
whichever shall first occur .
Including risks in customs as required, and transhipment,
craft and barge risks, whether customary or otherwise.
Also including loss of or damage to the subject-matter
during loading prior to despatch and unloading after arrival
at the Assured's or consignee's premises and, in the case
of containers, during the stuffing and un-stuffing thereof.
Average Clause
This Policy is subject to the Conditions of Average, that is
to say, if the property covered by this insurance shall at the
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time of any loss be of greater value than the sum insured
hereby, the Assured shall only be entitled to receive
hereunder such proportion of the said loss as the suminsured by this Policy bears to the total value of the said
property.
Brands Clause
The Assured shall have full rights to possession of all
goods bearing embossed or indented brands or labels or
other permanent markings identifying the Assured as the
manufacturer thereof, or exclusive &lor secret formulas
that may be involved in any loss hereunder, and shall
return control of all such goods.
On shipments covered under this Policy, Insurers are to
pay a total loss on any and all goods &lor containers
damaged by perils insured against which the Assured
elects to either destroy or return to their factory, or
recondition, Insurers being entitled to such salvage as may
be obtained.
The Assured, exercising a reasonable discretion shall be
the sole judge as to whether the goods involved in any loss
hereunder are suitable for marketing and no goods
deemed by the Assured to be unfit for marketing shall be
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sold or otherwise disposed of except by the Assured or
with the Assured's consent, but the Assured shall allow
Insurers any salvage obtained on any sale or otherdisposition of such goods.
Buyer's Contingency Clause -C I F
This policy extends to cover the Insured's Interest in all
imports purchased by them on CIF or similar terms but only
in respect of loss or damage to the goods as provided for
under the terms and conditions of this Policy and only to
the extent that the Insured is unable to recover such loss
under the ins~rance effected by the seller.
Warranted the existence of this insurance not to be
disclosed to the seller or other parties interested in the
shipment
Warranted this insurance not to be deemed a double
insurance.
It is a condition of this insurance that the Insured give
immediate notice to the company of any known loss or
damage to the goods insured or any circumstances known
to them which may render this cover effective.
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Upon settlement of any claim hereunder all the Insured's
rights of recovery against the seller and any third parties
will be subrogated to the Company.
Buyers Contingency Clause FOB C&F
Notwithstanding the responsibilities of the seller on interest
purchased F.O.B or C&F (or any similar terms of sale
whereby the seller is responsible for part or all the transit
risks within the country of origin) the Assured has the right
to hereby insure the interest from the interior at the place of
origin as though the purchase was ex works subject to the
terms and conditions of this Policy.
However the Assured only has the right to claim hereunder
providing that:- a) He has suffered a pecuniary loss.
b) He has taken all reasonable steps to invoke the contract
of sale and the
responsibilities thereunder and has attempted to recover
from the seller &/or seller's insurers, and pecuniary loss
which he has suffered by reason of loss or damage to the
subject-matter from a peril insured against during the
currency of the Policy.
c) He has not divulged the existence of this insurance to
the seller or the seller's insurers.
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If by reason of this extension, the Underwriters are called
upon to pay a claim the Assured subrogates all his rights
and remedies to the Underwriters who have the right tosue or proceed in any way against the seller or the seller's
insurers, either in their own name or the name of the
Assured.
This extension does not cover pecuniary loss by reason of
Exchange Control Regulations which apply in the country
of the seller or any other country on route to the port/place
of loading.
Buyers Interest Contingency (Difference in Conditions)
Clause
Where goods consigned to or for the Insured's account
have already been insured elsewhere but on terms which
are more restrictive than that which would be provided
hereunder or where the Insured is unable to obtain
settlement of legitimate claims under the insurance
arranged elsewhere then such goods shall be covered on
terms and conditions that shall apply hereunder subject to
the following.
a) Disclosure of the existence of this insurance to any third
party shall render it null and void.
b) The Insured has suffered a pecuniary loss.
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c) This insurance is for the benefit of the Insured
hereunder only and not to be treated as double insurance.
d) Upon settlement of any claim hereunder Underwriterswill be subrogated to all rights and remedies of the Insured
against all third parties including the Insured's suppliers
and such rights will be assigned to Underwriters.
To include the transit from port or airport in the country of
destination to final destination should cover under theinsurance arranged elsewhere cease at said port or
airport.
When required by the Insured Insurers agree to supply
General Average Guarantee or refund General Average
Deposits.
Cancellation Clause
This cover may be reviewed &lor cancelled by either party
having given in writing 30 days notice, but 7 days in
respect of War, Strikes, Riots and Civil Commotions but 48
hours for Strikes, Riots and Civil Commotions in respect of
sendings to or from the USA. Notwithstanding the
foregoing changes in the Institute Cargo Clauses &lor
other Institute Clauses contained herein are subject to
market notice of cancellation. Note. Such cancellation
however shall not apply to any transit risk or risks which
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shall have attached at the time such cancellation becomes
effective.
Claims Co-Operation Clause
Notwithstanding anything contained herein to the contrary
it is a condition precedent to any liability under this policy
that:
a) The reinsured shall upon knowledge of any loss(es) or
occurrence(s) which may give rise to a claim recoverable
hereunder advise the reinsurers thereof as soon as
practicable.
b)The reinsured shall furnish the reinsurers with all
information available respecting such loss(es) or
occurrence(s) and shall co-operate with the reinsurers in
the appointment of Adjusters, Assessors and/or Surveyors
and in all negotiations, adjustments and settlements.
Clause Paramount
Notwithstanding anything contained herein to the contrary
it is noted and agreed that irrespective of any
Declaration/Certificate of Insurance made out to the
Country , Airport or Port of Discharge and the interest
Insured is actually consigned to a destination in the country
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concerned other than the Airport or Port of Discharge, then
the insurance shall remain in force during the ordinary
course of transit to that final destination as per the DurationClause of the Institute Cargo Clauses applicable.
Climatic Conditions Clause
No claim to attach hereto for loss or damage caused by
climatic and/or atmospheric conditions and/or extremes oftemperature, unless such claim would be recoverable
under Institute Cargo Clauses (C). No claim to attach
hereto for breakage of strings, reeds and/or drumheads in
respect of musical instruments.Concealed Damages Clause
It is agreed that any loss or damage discovered on
opening containers, cases &for package within sixty days
of the cessation of risk hereunder shall be deemed to have
occurred during the transit Insured hereunder (and
irrespective of attachment of Insured's interest) and shall
be paid for accordingly unless proof conclusive to the
contrary be established, it being understood that any
containers, cases &for packages showing visible signs of
damage are to be opened immediately on the cessation of
risk hereunder .
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It is further agreed that subject to prompt advice to
Underwriters and the payment of an Additional Premium, if
required, the above mentioned period may be extended.
Condensation/Contamination Clause
Including condensation damage and damage caused by
change in temperature, humidity or contamination,
interruption of power, heat, airconditioning or refrigeration
howsoever arising.
Containers On-Deck Clause
Containerised shipments in &lor over, cover to includejettison, washing and loss overboard at rates as for
underdeck cargo. BUT conventionally packed cargo
shipped on deck cover to include jettison, washing and
loss overboard, at 150% of cover rate.
Contingency Conditions
1. This Open policy is extended to cover the contingent
insurable interest of the unpaid seller in respect of
sendings of interests described herein where the terms of
the contract of sale state that the buyer has responsibility
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to arrange insurance prior to arrival of the overseas vessel
or air- craft at the intended port or airport of destination.
2. The interests described herein are insured on policyconditions and insurers agree to grant, against this Open
policy, cover retrospective to the commencement of the
transit in the event of ownership and/or responsibility for
the goods remaining with, or reverting to, the seller if one
or more of the following contingencies occur:
i) The buyer fails or refuses to accept, or is prevented from
accepting, the documents of title.
ii) The buyer fails or refuses to accept, or is prevented from
accepting, the whole consignment.
iii) The seller exercises a right of lien on the goods, or
interrupts their transit, or suspends the sale contract whilst
the goods are in transit, when this is reasonable to
safeguard his interests.
3. Warranted that the seller shall advise the insurers
immediately he becomes aware of any circumstances
which may give rise to the occurrence of one or more ofthe contingencies in Clause 2 above.
4. The seller shall take all reasonable steps to protect the
cargo, to enforce the sale contract, or if this is not possible,
to expedite sale of the goods to another party or their
return to the seller.
5. Warranted that the existence of this insurance shall not
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be disclosed to the buyer or any other interested party.
6. Notwithstanding anything to the contrary contained
herein the period of cover available under this section ofthe Open policy shall not extend beyond 60 days after
completion of discharge overside of the goods from the
oversea vessel at the final port of discharge or at any
intermediate port where such discharge does not form a
normal part of the voyage stated in the Bill of Lading
except that where notice is given to insurers within the
above period of 60 days extension to the cover granted
may be arranged at rates and on conditions to be agreed.
7. All rights and benefits of any actions which the seller
may possess or acquire against the buyer and/or the
buyer's insurers, and/or carrier(sl and/or other persons are
to be subrogated to the insurers.
8. This insurance to be for the benefit of the Insured
hereunder only and not to be treated as double insurance.
9. Any assignment of this insurance or any interest or claim
hereunder shall discharge Underwriters from all liabilitywhatsoever.
Cutting Clause
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In the event of a claim for breakage, Underwriters shall
only be liable for the broken or damaged part of each pipe,
and this Policy shall only pay for such broken part or parts,provided that the damage be such that it is practicable to
use the sound portion or portions for the purpose which
they were originally intended.
Declaration Delay, Error Or Omission Clause
The Insured shall not be prejudiced by any unintentional
delay, error or omission in the declaration or reporting
hereunder of the amount or description of the interest,
vessel or voyage, or if the subject matter of the insurance
be shipped by any other vessel/conveyance or any fact
relative to this insurance, if notice be given to Underwriters
when practicable after said facts become known to the
Insured and a balance of premium, if any made goods.
Declaration Clause
The Assured warrant that during the currency of this Policy
they will declare each and every shipment prior to the
commencement of transit or inception of the risks or soon
thereafter as may be practicable (on forms supplied)
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before a known loss all shipments to which this Policy
attaches. Failure to do so declare shall at the Company's
option render this Policy null and void as from the date ofsuch failure.
Declined Goods Clause
Subject to prompt notice being given to Underwriters and
payment of any Additional Premium as required:
1. This insurance is extended in respect of those sendings
declared hereunder, to include goods declined by a
consignee. Cover to remain in force for up to three months
whilst goods are stored awaiting on-shipment to an
alternative buyer &lor returned to the original consignor or
other nominated destination.
2. This insurance shall also extend to include goods found
to be damaged on arrival at an intermediate point or final
destination, whilst stored pending sale or disposal &lor
transit to an alternative buyer or returned to the original
consignor or nominated destination.
Deliberate Damage (Pollution Hazard) Clause
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This Policy is extended to cover, but only whilst the
property insured is on board a waterborne conveyance,
loss of or damage to the said property directly caused bygovernmental authorities acting for the public welfare to
prevent or mitigate a pollution hazard or threat thereof,
provided that the accident or occurrence creating the
situation which required such governmental action would
have resulted in a recoverable claim under the Policy
(subject to all of its terms, conditions and warranties) if the
property insured would have sustained physical loss or
damage as a direct result of such accident or occurrence.
This Clause shall not increase the limits of liability provided
for elsewhere herein.
Depreciation Clause
In the event of damage to the interest insured hereunder,
liability is restricted to the reasonable cost of repairs and
no claim is recoverable in respect of depreciation. In no
case shall liability hereunder for such repairs exceed the
sum insured in respect of the damaged article.Documents, Slides and Prints Clause
Liability hereunder is limited to costs necessarily incurred
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in replacing the insured interest lost or damaged by a peril
insured against, or to the sum insured herein, whichever is
the lesser amount.Excluding faults resulting from processing.
Excluding Wear, Tear and Gradual Deterioration.
Subject to an excess of 1.00% of the total sum insured
each and every loss.
Duty Clause
On increased value of cargo by reason of payment of duty
at the port or place of destination.
Subject to the same clauses and conditions as the
insurance on cargo and to pay the same percentage of
loss (excluding charges and expenses as may be paid
thereon, but excluding claims in respect of;
(a) Total loss of whole or part of the cargo prior to the duty
becoming payable.
(b) General Average, salvage &lor salvage charges arising
from any casualty occurring prior to the duty becoming
payable.
In ascertaining the amount of claim recoverable hereunder,
credit shall be given for any rebate or refund of duty which
may become allowable.
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Exhibition Expenses Clause
It is agreed to include loss of incurred exhibition expenses
up to but not exceeding 2,500 each exhibit or exhibition
arising from failure of the exhibitor to exhibit the insured
goods due to the operation of a peril insured under the
transit section of this contract or due to the abandonment
of the exhibition by the exhibitor or cancellation of the
exhibition by the promoter due in either case to the
operation of a peril covered by the transit section of the
contract. In no circumstances, however, does this contract
cover:-
a. Loss of expenses arising from withdrawal of labour .
b. Cancellation of the exhibition due to an outbreak of war
(whether declared or not) or through fear of hostilities.
Exhibition Risks Clause
This insurance is extended to include on cover conditions
the insured property whilst in transit to and from exhibition
&lor demonstration site and whilst the insured property
remains on such premises during unpacking, assembly,
awaiting and on exhibition, dismantling, repacking and
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lifting for removal from the exhibition site. Subject to a limit
anyone exhibition as stated in the Policy schedule.
Including computer equipment the property of the Insured&lor their employees up to a maximum of 2,500 anyone
exhibition.
Including loss &lor damage to employees clothing and
personal effects subject to a limit of 250 anyone
employee and an excess of 25 each employee perincident.
Excluding credit cards, cheques, cash, bank notes, tickets,
vouchers or similar. Notwithstanding anything contained
herein to the contrary, this insurance excludes:-
1. Wear, tear and Gradual Deterioration.2. Loss or damage arising from latent defect or arising from
faulty assembly or construction.
3. Loss or damage resulting directly from mechanical,
electrical or manual operation of the insured property for
demonstration or other purposes.4. Theft &lor pilferage from unattended exhibition stand.
5. Theft &lor pilferage from unattended exhibition site
unless following forcible or violent entry or exit to the
premises.
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Periods at exhibition site in excess of 60 days held covered
on terms to be agreed.
Warranted repacked to not less than same standard as foroutward journey and that repacking is supervised by a
responsible official of the Insured.
First Loss Clause
In the event that the amount at risk in anyone location, in
the normal course of transit, exceeds the limit expressed
above, this Contract shall become a first loss insurance up
to the amount of such limit.
F.O.B Clauses
RISKS COVERED
1. This insurance covers, except as provided in Clause2
and 3 below,
1.1 all risks of loss of or damage to the subject matter
insured
1.2 loss of or damages to the subject matter insured
caused by
1.2.1 strikers, locked out workmen, or persons taking part
in labour disturbances, riot or civil commotions
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1.2.2 any terrorist or any person acting from a political
motive.
EXCLUSIONS
2 In no case shall this insurance cover
2.1 loss damage or expense attributable to wilful
misconduct of the Assured
2.2 ordinary leakage, ordinary loss in weight or volume, or
ordinary wear and tear of the subject-matter insured.
2.3 loss damage or expense caused by insufficiency or
unsuitability of packing or preparation of the subject matter
insured (for the purpose of this Clause 2.3 "packing" shall
be deemed to include stowage in a container or liftvan but
when such stowage is carried out prior to attachment ofthis Insurance or by the Assured or their servants)
2.4. loss damage or expense caused by inherent vice or
nature of the subject-matter Insured.
2.5 loss damage or expense proximately caused by delay,
even through the delay be caused by a risk insuredagainst.
2.6 loss damage or expense arising from the use of any
weapon of war employing atomic or nuclear fission and/or
other like reaction or radioactive force or matter.
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2.7 Loss damage or expense arising from the absence
shortage or withholding of labour of any description
whatsoever resulting from any strike, lockout, labourdisturbance, riot and civil commotion.
3 In no case shall this Insurance cover loss, damage or
expense caused by
3.1 war, civil war, revolution, rebellion, insurrection, or civil
strife arising therefrom, or any hostile act by or against abelligerent power.
3.2 capture, seizure, arrest, restraint or detainment and the
consequences thereof or any attempt thereat.
3.3 derelict weapons of war.
DURATION
4. This Insurance attaches from the time the subject matter
Insured leaves the warehouse or place of storage for the
commencement of the transit, continues during the
ordinary course of transit until delivered on board the
export steamer at port of shipment, including the risk whilstremaining on quays or wharves and/in warehouses (other
than packers warehouse) or sheds whilst awaiting
shipment for a period not exceeding 30 days. Any period in
excess of 30 days held covered at a rate to be agreed.
CLAIMS
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5. In order to recover under this Insurance, the Assured
must have an Insurable Interest in the subject matter
insured at the time of the loss.BENEFIT OF INSURANCE
6. This Insurance shall not inure to the benefit of the carrier
or other bailee or any Fire insurance policy or policies,
carriers Liability insurance or Marine insurance policy or
policies covering goods from warehouse in Great Britain towarehouse or destination overseas.
MINIMISING LOSS
7. It is the duty of the Assured and their servants and
agents in respect of loss recoverable hereunder
7.1 to take such measures as may be reasonable for thepurpose of averting or minimising such loss, and
7.2 to ensure that all rights against carriers, bailees or
third parties are properly preserved and exercised and the
Underwriters will, in addition to any loss recoverable
hereunder, reimburse the Assured for any chargesproperly and reasonably incurred in pursuance of these
duties.
8. Measures taken by the Assured or the Underwriters with
the object of saving, protecting or recovering the
subject-matter insured shall not be considered as a waiver
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or acceptance of abandonment or otherwise prejudice the
rights of either party.
AVOIDANCE OF DELAY
9. It is a condition of this Insurance that the Assured shall
act with reasonable despatch in all circumstances within
their control.
LAW AND PRACTICE
10. This Insurance is subject to English Law and Practice.
NOTE: It is necessary for the Assured when they become
aware of the event which is held covered under this
insurance to give prompt notice to the Company and the
right to such cover is dependent upon compliance with this
obligation.
Extended Conditions (Fruit Clause)
Including loss or damage caused by a breakdown of the
machinery of the ship &lor craft &lor refrigerated machinery
&lor ventilating machinery &lor installations &lor insulation
&lor piping &lor leakage of piping &lor defective insulation.
To pay all damage or depreciation owing to or in
consequence of any of the insured perils. Also to pay
damage to, or depreciation of the interest hereby insured
arising from delay provided such delay be caused by any
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of the insured perils, or by total or partial disablement of
the vessel (or craft). It is expressly declared and agreed
that damage or depreciation arising from delay is onlyprotected when the cargo is actually on board the vessel
(or craft) at the time of the accident giving rise to the delay.
To pay the reasonable cost of extra coal &lor fuel &lor
expenses incurred as a direct result of the operation of a
peril covered by the policy in any port of refuge or
elsewhere in keeping refrigerating machinery running to
prevent loss &lor damage to produce.
Notwithstanding anything contained herein to the contrary
the following risks are especially covered by the Policy.
(a) Risk of collapse, subsidence &lor floods whilst on
shore.
(b ) Whilst in transit by rail &lor road to include all risks of
collision, derailment, fire or loss incurred through damage
to insulation of the vans from an accident, also loss
through delay arising from breakdown of the engines &lor
train &lor vehicle.
(c) Including loss, damage &lor expense resulting from
explosion however caused.
(d) Loss &lor damage &lor deterioration to cargo resulting
from negligent operation &lor defective conditions to the
vessel &lor craft &lor conveyance &lor propelling &lor
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refrigerating &lor auxiliary machinery &lor insulating plant
&lor pipes &lor boilers &lor equipment &lor negligent
stowage.(e) Including damage caused by sea &lor fresh water,
sweat &lor condensation also by other cargo of foreign
matter, oil,vermin, rats and mice.
(f) Depreciation in value caused solely by damage to
cartons packaging.
Fumigation Clause
Should cargo be fumigated cover shall include:-
a) The costs incurred in the fumigation operation providedsuch operation is outside
of or additional to any normal procedure and the need for
such operation is brought about by the operation of or
insured peril.
b) Damage resulting from the fumigation operation.
c) The above shall be payable irrespective of whether
actual infestation has been identified as being in existence.
General Average and Salvage Charges Clause
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This insurance covers general average and salvage
charges, adjusted or determined according to the contract
of affreightment &lor the governing law and practice (or, ifthere is no contract of affreightment, according to Foreign
Statement or to York-Antwerp Rules) incurred to avoid or
in connection with the avoidance of loss from any cause
except those specifically excluded here from.
For the purpose of claims for general average
contributions and salvage charges recoverable hereunder,
the subject-matter insured shall be deemed to be insured
for its full contributory value.
General average deposits shall be payable on production
of general average deposit receipts.
Glass Clause
Excluding breakage of glass but including damage caused
by breakage of glass.
Goods in Vehicles Under The Control of the Insured & / or
Their Employees:
Limit AnyOne Vehicle 750,000 *
* Amounts in excess of this figure subject to terms and
conditions to be agreed prior to attachment of risk.
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AT ANY TIME PRIOR TO OR AFTER COMPLETION OF
THE WORKING DAY OR ON NON-WORKING DAYS
Excluding any loss or destruction of or damage to theInsured property arising from theft or any attempt thereat
whilst on or contained in any vehicle when left unattended:
unless it is reasonably possible for such vehicle to be, and
such vehicle is either:
1. Garaged at the time in a fully enclosed building ofsubstantial construction which is locked or under constant
supervision OR
2. In a vehicle security park which is permanently attended
OR
3. In any other agreed location OR
4. Is under constant surveillance by the driver or on other
responsible person authorised by the Insured. .
In which case theft cover will apply.
If it is not reasonably possible to comply with any of the
above alternatives, it is a condition of this Policy Insured
property if portable shall be removed from the vehicle to a
private dwelling house, hotel room or other secure
premises and theft cover will then be operative following
forcible &/or violent entry or exit but not otherwise.
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If the Insured cannot comply with the above requirements,
and provided the Insured nevertheless take reasonable
precautions to prevent or minimise the risk of theft,indemnity shall be provided for loss or destruction of or
damage to the Insured property attributed too theft or any
attempt thereat, but any settlement shall be subject always
to a 80%/20% co- insurance between Underwriters and the
Insured.
Immobilizer ClauseIt is a condition precedent to liability hereunder that all
vehicles and/or trailers and/or containers owned by, hired
by or under the control of the Insured are fitted with an
immobilizer approved by the Company and that the said
immobilizer is put into full and effective operation
whenever the vehicle and/or trailer and/or container is left
loaded and unattended.
Impairment of Recovery
In case of any agreement or act by the Assured whereby
any of their right to recover for loss of or damage to any
property insured herein against any carrier or bailee is
released, impaired or lost, which would on acceptance of
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abandonment or payment of a loss by the Insurers could
have inured to its benefit but for such agreement or act, the
Insurer shall not be bound to pay that portion of the losswhich would have been recoverable from the carrier or
bailee.
Important Clause in Respect of Claims Only
PROCEDURE IN THE EVENT OF LOSS OR DAMAGE
FOR WHICH THE COMPANY MAY BE LIABLE
LIABILITY OF CARRIERS, BAILEES OR OTHER THIRD
PARTIES
It is the duty of the Assured and their Agents, in all cases,
to take such measures as may be reasonable for the
purpose of averting or minimising a loss and to ensure that
all rights against Carriers, Bailees or other third parties are
properly preserved and exercised. In particular, the
Assured or their Agents are required:
1. To claim immediately on the Carriers, Port Authorities or
other Bailees for any missing packages.
2. In no circumstances, except under written protest, to
give clean receipts where goods are in doubtful condition.
3. When delivery is made by Container, to ensure that the
Container and its seals are examined immediately by their
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responsible official. If the Container is delivered damaged
or with seals broken or missing or with seals other than as
stated in the shipping documents, to clause the deliveryreceipt accordingly and retain all defective or irregular
seals for subsequent identification.
4. To apply immediately for survey by Carriers' or other
Bailees' Representatives if any loss or damage be
apparent and claim on the Carriers or other Bailees for any
actual loss or damage found at such survey.
5. To give notice in writing to the Carriers or other Bailees
within 3 days of delivery if the loss or damage was not
apparent at the time of taking delivery .
Increased Value on Arrival
Increased value of cargo by reason of liability for and/or
payment of freight and/or duty and/or any charges on
arrival at the place where these or any of them become
due. This policy covers all the risks and embodies all theliberties clauses and conditions of the insurance on the
cargo described above and is to be for the duration of such
insurance on such cargo.
This policy is to pay the same proportion of the amount of
insurance hereunder as the sum paid on the cargo
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insurance referred to above bears to the amount of such
cargo insurance except that until the liability to pay freight
and/or duty and/or charges arises this policy only coversparticular and/or general average loss (other than Liability
for General Average expenditure' of the cargo described
above. Should the liability to pay freight and/or duty and/or
charges be extinguished or diminished, then this insurance
in the proportion of such extinction or diminution shall be
deemed to be reduced.
Inland Transit Clause
RISKS COVERED
1. This insurance covers, except as provided in Clause2
and 3 below,
1.1 all risks of loss of or damage to the subject matter
insured
1.2 loss of or damages to the subject matter insured
caused by
1.2.1 strikers, locked out workmen, or persons taking part
in labour disturbances, riot or civil commotions
1.2.2 any terrorist or any person acting from a political
motive.
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EXCLUSIONS
2 In no case shall this insurance cover
2.1 loss damage or expense attributable to wilful
misconduct of the Assured
2.2 ordinary leakage, ordinary loss in weight or volume, or
ordinary wear and tear of the subject-matter insured.
2.3 loss damage or expense caused by insufficiency or
unsuitability of packing or preparation of the subject matter
insured (for the purpose of this Clause 2.3 "packing" shall
be deemed to include stowage in a container or liftvan but
when such stowage is carried out prior to attachment of
this Insurance or by the Assured or their servants)
2.4. loss damage or expense caused by inherent vice ornature of the subject-matter Insured.
2.5 loss damage or expense proximately caused by delay,
even through the delay be caused by a risk insured
against.
2.6 loss damage or expense arising from the use of anyweapon of war employing atomic or nuclear fission and/or
other like reaction or radioactive force or matter.
2.7 Loss damage or expense arising from the absence
shortage or withholding of labour of any description
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MINIMISING LOSS
7. It is the duty of the Assured and their servants and
agents in respect of loss recoverable hereunder
7.1 to take such measures as may be reasonable for the
purpose of averting or minimising such loss, and
7.2 to ensure that all rights against carriers, bailees or
third parties are properly preserved and exercised and the
Underwriters will, in addition to any loss recoverablehereunder, reimburse the Assured for any charges
properly and reasonably incurred in pursuance of these
duties.
8. Measures taken by the Assured or the Underwriters with
the object of saving, protecting or recovering thesubject-matter insured shall not be considered as a waiver
or acceptance of abandonment or otherwise prejudice the
rights of either party.
AVOIDANCE OF DELAY
9. It is a condition of this Insurance that the Assured shallact with reasonable despatch in all circumstances within
their control.
LAW AND PRACTICE
10. This Insurance is subject to English Law and Practice.
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Insolvency Exclusion Clause (JC 93)
It is hereby agreed that the exclusion "loss damage or
expense arising from insolvency or financial default of the
owners, managers, charterers or operators of the vessel"
is amended to read as follows:-
In no case shall this insurance cover loss, damage or
expense arising from insolvency or financial default of the
owners, managers, charterers or operators of the vessel
where the Assured are unable to show that, prior to the
loading of the subject-matter insured on board the vessel,
all reasonable, practicable and prudent measures were
taken by the Assured, their servants and agents, toestablish the financial reliability of the party in default.
Institute Radioactive Contamination Exclusion Clause
This clause shall be paramount and shall override anything
contained in this insurance inconsistent therewith.
In no case shall this insurance cover loss, damage, liability
or expense directly or indirectly caused by, contributed to
by or arising from:
a) Ionizing radiations from or contamination by radioactivity
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from any nuclear fuel or from any nuclear waste or from the
combustion of nuclear fuel,
b) The radioactive, toxic, explosive or other hazardous orcontaminating properties of any nuclear installation,
reactor or other nuclear assembly or nuclear component
thereof,
c) Any weapon of war employing atomic or nuclear fission
and/or fusion or other like reaction or radioactive force or
matter.
Cargo ISM Forwarding Charges Clause
(For use only with JCC Cargo ISM EndorsementJC98/019)
In consideration of an additional premium to be agreed,
this insurance is extended to reimburse the Assured, up to
the limit of the sum insured for the voyage, for any extra
charges properly and reasonably incurred in unloading,
storing and forwarding the subject matter to the destination
to which it is insured hereunder following release of cargo
from a vessel arrested or detained at or diverted to any
other port or place (other than the intended port of
destination) where the voyage is terminated due either:-
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a)to such vessel not being certified in accordance with ISM
Code.
Or
b) to a current Document of Complience not being held by
her owners or operators as required under the SOLAS
Convention 1974 as amended.
This clause, which does not apply to General Average or
Salvage or Salvage Charges, is subject to all other terms,conditions and exclusions contained in the Policy and to
JCC Cargo ISM Endorsement JC 98/019.
Jetty Clause
Notwithstanding the cover granted under the Warehouse
to Warehouse Clause it is a condition of this insurance that
Surveys shall be held on the Insured goods in the Landing
Shed and that Underwriters shall not be liable for any
losses by theft, pilferage and shortage occurring after the
above Survey nor for any loss or damage whatsoever
except loss or damage caused by fire, after the removal of
the goods Insured hereunder from the Landing Shed.
In any event it is a condition of this insurance that prior
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notification be given to Lloyds Agents at the port of
discharge in such time as to permit attendance both at the
time of discharge ex craft and the subsequent on to landconveyance.
Labels Clause
In case of damage from p