Physical Loss or Physical Damage

Riots, Strikes, Civil Commotion, Malicious

Damage,
Terrorism and Sabotage
Insurance
Some of the words Underwriters use have a special meaning in this Insurance. If a word is in
bold type, please read the Definitions section.
INSURING CLAUSE
Subject to the exclusions, limits and conditions hereinafter contained, this Insurance covers
property as stated in the Risk Details against direct physical loss or physical damage to
tangible property caused by a Listed Peril occurring during the period of this Insurance:

DEFINITIONS
Occurrence

means each and every loss or series of losses arising out of and directly
caused by one event. However, the duration and extent of any one event
shall be limited to direct physical loss or physical damage which occurs
within a period of 72 consecutive hours. No such period of 72 hours may
extend beyond the expiry of this Insurance unless the Insured shall first
sustain direct physical loss or physical damage before the expiry of this
Insurance and within the aforesaid period of 72 consecutive hours, nor
shall any period of 72 consecutive hours commence before the start of
this Insurance.

Listed Peril

means any of the perils listed and defined below, or any combination
thereof:

Civil Commotion

means a substantial violent uprising by a large number of

persons assembled together and acting with common purpose
or intent.

Malicious Damage

means the loss, damage or destruction of property caused by

the actions of anyone intending to cause harm or mischief
during the disturbance of the public peace.

Riot

means a violent disturbance by a group of persons assembled

together for a common purpose which threatens the public
peace.

Sabotage

means a subversive act or series of acts committed for

political, religious or ideological purposes including the
intention to influence any government and/or to put the
public in fear for such purposes.

Strike

means a work stoppage to enforce demands made on an

employer or to protest against an act or condition.

Terrorism

means an act or series of acts, including the use of force or

violence, of any person or group(s) of persons, whether acting
alone or on behalf of or in connection with any
organisation(s), committed for political, religious or
ideological purposes including the intention to influence any
government and/or to put the public in fear for such
purposes.
LOSSES EXCLUDED

This Insurance does not cover:1. Loss or damage arising directly or indirectly from nuclear detonation, nuclear reaction,
nuclear radiation or radioactive contamination, however such nuclear detonation,
nuclear reaction, nuclear radiation or radioactive contamination may have been
caused.
2. Loss or damage occasioned directly or indirectly by war, invasion or warlike operations
(whether war be declared or not), hostile acts of sovereign or local government
entities, civil war, rebellion, revolution, insurrection, martial law, or usurpation of
power.
3. Loss by seizure or legal or illegal occupation unless physical loss or damage is caused
directly by a Listed Peril.
4. Loss or damage caused by confiscation, nationalisation, requisition, detention,
embargo, quarantine, or any result of any order of public or government authority
which deprives the Insured of the use or value of its property, nor for loss or damage
arising from acts of contraband or illegal transportation or illegal trade.
5. Loss or damage directly or indirectly arising from or in consequence of the seepage and
or discharge of pollutants or contaminants, which pollutants and contaminants shall
include but not be limited to any solid, liquid, gaseous or thermal irritant, contaminant
or toxic or hazardous substance or any substance the presence, existence or release of
which endangers or threatens to endanger the health, safety or welfare of persons or
the environment.
6. Loss or damage arising directly or indirectly from or in consequence of chemical or
biological emission, release, discharge, dispersal or escape or chemical or biological
exposure of any kind.
7. Loss or damage arising directly or indirectly from or in consequence of asbestos
emission, release, discharge, dispersal or escape or asbestos exposure of any kind.
8. Any fine or penalty or other assessment which is incurred by the Insured or which is
imposed by any court, government agency, public or civil authority or any other person.
9. Loss or damage by electronic means including but not limited to computer hacking or
the introduction of any form of computer virus or corrupting or unauthorised
instructions or code or the use of any electromagnetic weapon.
This exclusion shall not operate to exclude losses (which would otherwise be covered
under this Insurance) 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.
10. Loss or increased cost occasioned by any public or government or local or civil
authoritys enforcement of any ordinance or law regulating the reconstruction, repair
or demolition of any property insured hereunder.

11. Loss or damage caused by measures taken to prevent, suppress or control an actual or
potential Listed Peril unless agreed by the Underwriters in writing prior to such
measures being taken.
12. Any consequential loss or damage, loss of use, delay or loss of markets, loss of income,
depreciation, reduction in functionality, or increased cost of working.
13. Loss or damage caused by factors including but not limited to cessation, fluctuation or
variation in, or insufficiency of, water, gas or electricity supplies and
telecommunications or any type of service.
14. Loss or increased cost as a result of threat or hoax.
15. Loss or damage caused by or arising out of burglary, house - breaking, looting, theft or
larceny.
16. Loss or damage caused by mysterious disappearance or unexplained loss.
PROPERTY EXCLUDED
This Insurance does not cover direct or indirect physical loss or physical damage to:
1.

Land or land values.

2.

Power transmission, feeder lines or pipelines not on the Insureds premises.

3.

Any building or structure, or property contained therein, while such building or

structure is vacant or unoccupied or inoperative for more than thirty days, unless the
property is intended to be unoccupied in its normal operations.

4.

Aircraft or any other aerial device, or watercraft.

5.

Any land conveyance, including vehicles, locomotives or rolling stock, unless such land
conveyance is declared hereon and solely whilst located at the property insured herein
at the time of its damage.

6.

Animals, plants and living things of all types.

7.

Property in transit not on the Insureds premises.

CONDITIONS
1. JOINT INSUREDS
The Underwriters total liability for any loss or losses sustained by any one or more of
the Insureds under this Insurance will not exceed the Sum Insured stated in the Risk
Details. The Underwriters shall have no liability in excess of the Sum Insured whether
such amounts consist of insured losses sustained by all of the Insureds or any one or
more of the Insureds.
2. OTHER INSURANCE

This Insurance shall be excess of any other insurance available to the Insured covering a
loss or damage covered hereunder except such other insurance which is written
specifically as excess insurance over this Insurance. When this Insurance is written
specifically in excess of other insurance covering a Listed Peril, this Insurance shall not
apply until such time as the amount of the underlying insurance, (whether collectible
or not), has been exhausted by loss and/or damage covered by this Insurance in excess
of the Deductible (if any) with respect to each and every covered loss and/or damage.
3. SITUATION
This Insurance covers tangible property located at the addresses stated in the Risk
Details.
4. SUM INSURED (TOTAL DECLARED VALUE OF PROPERTY INSURED)
The Underwriters hereon shall not be liable for more than the Sum Insured stated in the
Risk Details in respect of each Occurrence and in the aggregate during the Period of
Insurance.
5. DEDUCTIBLE
Each Occurrence shall be adjusted separately and from each such adjusted amount the
sum stated in the Risk Details shall be deducted.
6. DEBRIS REMOVAL
This Insurance also covers, within the Sum Insured stated in the Risk Details, expenses
incurred in the removal from the insured location of debris of property stated in the
Risk Details damaged by a Listed Peril.
The cost of removal of debris shall not be considered in determination of the valuation
of the property covered.
7. DUE DILIGENCE
The Insured (or any of the Insureds agents, sub or co-contractors) must use due
diligence and do (and concur in doing and permit to be done) everything reasonably
practicable, including but not limited to taking precautions to protect or remove the
property insured, to avoid or diminish any loss or damage herein insured and to secure
compensation for any such loss or damage including action against other parties to
enforce any rights and remedies or to obtain relief or indemnity.
8. PROTECTION MAINTENANCE
It is agreed that any protection provided for the safety of the property insured shall be
maintained in good order throughout the Period of Insurance and shall be in use at all
times, and that such protection shall not be withdrawn or varied to the detriment of
the interests of the Underwriters without their consent.
9. VALUATION
It is understood that, in the event of loss or damage, settlement shall be based upon
the cost of repairing, replacing or reinstating (whichever is the least) property on the
same site, or nearest available site (whichever incurs the least cost) with material of
like kind and quality without deduction for depreciation, subject to the following
provisions:

The repairs, replacement or reinstatement (all hereinafter referred to as

replacement) must be executed with due diligence and dispatch.

Until replacement has been effected the amount of liability under this Insurance
in respect of loss or damage shall be limited to the actual cash value at the time
of loss or damage.

If replacement with material of like kind and quality is restricted or prohibited by

any by-laws, ordinance or law, any increased cost of replacement due thereto
shall not be covered by this Insurance.

The Underwriters liability for loss or damage under this Insurance shall not exceed the
smallest of the following amounts:

The total declared value applicable to the destroyed or damaged property.

The replacement cost of the property or any part thereof which was intended for
the same occupancy and use, as calculated at the time of the loss or damage.

The amount actually and necessarily expended in replacing said property or any
part thereof.

The Underwriters will normally expect the Insured to carry out repair or replacement of
the property insured, but if the Insured and the Underwriters agree that it is
not practicable or reasonable to do this, the Underwriters will pay the Insured an
amount based on the repair or replacement costs, less an allowance for fees and
associated costs which are not otherwise incurred. The Underwriters will only pay the
Insured up to the Sum Insured stated in the Risk Details.
10. INCORRECT DECLARATION PENALTY
If the values declared as stated in the Risk Details are less than the correct insured
values as determined above, then any recovery otherwise due hereunder shall be
reduced in the same proportion that the values declared bear to the values that should
have been declared, and the Insured shall co-insure for the balance.
11. NOTIFICATION OF CLAIMS
The Insured, upon knowledge of any event likely to give rise to a claim hereunder, shall
give written advice as soon as reasonably practicable to the Underwriters via the
Insureds Broker, who is to advise the Underwriters within seven (7) days of such
knowledge of any event and it is a condition precedent to the liability of the
Underwriters that such notification is given by the Insured as provided for by this
Insurance.
If the Insured makes a claim under this Insurance he must give the Underwriters such
relevant information and evidence as may reasonably be required and co-operate fully
in the investigation or adjustment of any claim. If required by the Underwriters, the
Insured must submit to examination under oath by any person designated by the
Underwriters.
12. PROOF OF LOSS OR DAMAGE
The Insured shall render a signed and sworn proof of loss or damage within sixty (60)
days after the occurrence of a loss (unless such period be extended by the written
agreement of the Underwriters) stating the time, place and cause of loss or damage,
the interest of the Insured and all others in the property, the sound value thereof and
the amount of loss or damage thereto.
If the Underwriters have not received such proof of loss or damage within two years of
the expiry date of this Insurance, they shall be discharged from all liability hereunder.

In any claim and/or action, suit or proceeding to enforce a claim for loss or damage
under this Insurance, the burden of proving that the loss or damage is recoverable
under this Insurance and that no limitation or exclusion of this Insurance applies and
the quantum of loss or damage shall fall upon the Insured.
13. SUBROGATION
Any release from liability entered into in writing by the Insured prior to loss or damage
herein insured shall not affect this Insurance or the right of the Insured to recover
hereunder. The right of subrogation against any of the Insured's subsidiary or affiliated
companies or any other companies associated with the Insured through ownership or
management is waived;
In the event of any payment under this Insurance, the Underwriters shall be subrogated
to the extent of such payment to all the Insured's right of recovery therefor. The
Insured shall execute all papers required, shall cooperate with the Underwriters and,
upon the Underwriters request, shall attend hearings and trials and shall assist in
effecting settlements, securing and giving evidence, attaining the attendance of
witnesses and in the conduct of suits and shall do anything that may be necessary to
secure such right. The Underwriters will act in concert with all other interests
concerned (including the Insured) in the exercise of such rights of recovery. If any
amount is recovered as a result of such proceedings, such amount shall be distributed
in the following priorities:
(i)

any interest, (including the Insureds), exclusive of any Deductible or self

insured retention, suffering loss or damage of the type covered by this
Insurance and in excess of the coverage under this Insurance shall be
reimbursed up to the amount of such loss or damage (excluding the amount of
the Deductible);.

(ii)

out of the balance remaining, the Underwriters shall be reimbursed to the

extent of payment under this Insurance

(iii)

the remaining balance, if any, shall inure to the benefit of the Insured, or any
insurer providing insurance primary to this Insurance, with respect to the
amount of such primary insurance, Deductible, self insured retention, and/or
loss or damage of a type not covered by this Insurance.

The expense of all proceedings necessary to the recovery of any such amount shall be
apportioned between the interests concerned, including that of the Insured, in the
ratio of their respective recoveries as finally settled. If there should be no recovery and
proceedings are instituted solely on the initiative of the Underwriters, the expense
thereof shall be borne by the Underwriters.
14. SALVAGE AND RECOVERIES
All salvages, recoveries and payments recovered or received subsequent to a
settlement under this Insurance shall be applied as if recovered or received prior to the
said settlement and all necessary adjustments shall be made by the parties hereto.
15. FRAUDULENT CONDUCT AND MISREPRESENTATION
This Insurance and any loss, damage or claim hereunder will be void if, whether before
or after loss or damage, an Insured has:
(i)

intentionally concealed or intentionally misrepresented any material fact or

circumstance;

(ii)

engaged in fraudulent conduct; or

(iii)

made false statements;

relating to this Insurance or any loss, damage or claim hereunder.

In the event that any provision of this clause is found by a court of competent
jurisdiction to be invalid or unenforceable, the other provisions of this clause and the
remainder of the provision in question shall not be affected thereby and shall remain in
full force and effect.
16. ABANDONMENT
There shall be no abandonment to the Underwriters of any property.