davidcharles.co.uk · FirstPort Insurance Services Limited Policy Addendum . This addendum attaches...

policy documentPROPERTY INVESTORS INSURANCE

Version 2

FirstPort Insurance Services Limited Policy Addendum

This addendum attaches to your policy as an endorsement and amends the wordings stated

in the Property Investors Policy as follows:

Unoccupied buildings (or portions)

'General conditions' '4 Unoccupied buildings (or portions)' is deleted

Contents of common parts

'Section 1 Property Damage' ‘Cover' is deleted and replaced as follows:

WE will indemnify YOU (by payment up to the value of the ITEMS INSURED at the time of the DAMAGE or at OUR option repair reinstatement or replacement) in respect of DAMAGE to the ITEMS INSURED by any INSURED EVENT happening during the period of insurance

Providing that OUR liability in any one period of insurance shall not exceed the sums insured for each item nor the total sum insured for all items

Unless specified otherwise in the schedule OUR liability for the CONTENTS OF COMMON PARTS is limited to 2.5% of the BUILDINGS declared value any one PREMISES

‘Section 1’ Definitions – Contents of Common Parts’ is deleted and replaced as follows:

Contents of common parts

means furniture and furnishings owned by you or for which you are responsible in those parts of the

buildings to which all tenants have access and the maintenance and cleaning equipment machinery

and tools you keep in the buildings in connection with your business

But excluding

(a) landlord’s fixtures and fittings as defined under ‘Buildings’

(b) money securities coins stamps jewellery watches furs precious metals precious stones or articles

made from them computer systems records plans patterns moulds designs or explosives

(c) any other property more specifically insured

(d) curios works of art antiques rare books above £10,000 any one item

(e) sculptures above £50,000 any one item

Property in the open

'Section 1 Property Damage' extension ‘Property in the open’ is deleted and replaced as follows:

Damage to fixed landlords fixtures and fittings garden furniture ornaments statues sculptures gardening equipment and signage in the grounds of the premises unless more specifically insured

Limited in respect of Theft and Malicious Damage Perils to £50,000 any one claim but only in respect of unfixed property in the open

Storm

'Section 1 Property Damage' 'Insurable events 7' is deleted and replaced as follows: Storm Storm excluding (a) DAMAGE by (i) the escape of water from the normal confines of any natural or artificial water course or lake reservoir canal or dam (b) DAMAGE attributable solely to change in the water table level (c) DAMAGE by frost subsidence or landslip

(d) DAMAGE to moveable property in the open except as specifically provided for in the Property in the open extension

Flood

'Section 1 Property Damage' 'Insurable events 8' is deleted and replaced as follows: Flood Flood caused by (a) the escape of water from the normal confines of any natural or artificial water course (other than water tanks apparatus or pipes) or lake reservoir canal or dam (b) inundation from the sea but excluding

(i) DAMAGE attributable solely to change in the water table level

(ii) DAMAGE by frost subsidence or landslip

(iii) DAMAGE to moveable property in the open except as specifically provided for in the Property in

the open extension

Subsidence

Section 1 Property Damage’ ‘Insurable events 16’ is deleted and replaced as follows:

Subsidence Subsidence heave or landslip of the site on which the PREMISES stand excluding DAMAGE (a) attributable solely to change in the water table level (b) caused by or consisting of (i) the normal settlement or bedding-down of new structures (ii) the settlement or movement of made-up ground

(iii) coastal or river erosion (c) caused by defective design or workmanship or the use of defective materials (d) caused by fire subterranean fire explosion earthquake or the escape of water from any tank apparatus or pipe (e) which originated prior to the inception of cover (f) resulting from (i) demolition construction structural alteration or repair of any property (ii) groundworks or excavation at the same PREMISES

Damage to the buildings by theft

'Section 1Property Damage' 'Extension 24' is deleted and replaced as follows: Damage to the buildings by theft only applicable if the insurable event of Theft or attempted theft is operative The insurance extends to include (a) repairs to the BUILDINGS following theft or attempted theft of the fabric of the BUILDINGS including external metal (b) DAMAGE to the BUILDINGS caused by theft or attempted theft of CONTENTS OF COMMON PARTS

(c) DAMAGE to property insured directly caused as a result of the entry of rainwater following the theft or attempted theft of the fabric of the BUILDINGS including external metal This extension does not apply when scaffolding is erected at the PREMISES unless WE have agreed in writing to continue cover

Private residences (Temporary Accommodation)

'Section 1 Property Damage' 'Extension 27' is deleted and replaced as follows:

Private residences (Temporary accommodation)

If any private dwelling house or private flat (described as such in the schedule) cannot be lived in

following DAMAGE insured by this section (or in the case of a private flat if the resident is denied

access to it by an INSURED EVENT elsewhere within the building) WE will pay for the reasonable

and necessary additional costs that YOU are liable for in respect of the following

(a) residents' temporary accommodation and storage of furniture

(b) kennel accommodation for the residents' domestic cat(s) and dog(s)

(c) travelling expenses until the private dwelling house or private flat is fit to live in again or until access is restored WE will also pay for YOUR loss of service charges which YOU normally receive from the letting of the private dwelling house or private flat but which are reduced or diminished following DAMAGE

Limit 45% of the sum insured applicable to the residential portion of the building Managing Agents subrogation waiver

Applicable to ‘Section 1 Property Damage’ and ‘Section 4 Liabilities’ ‘Cover 2 - Public Liability’ Managing Agents subrogation waiver In the event of a claim under this section we will not enforce any rights against your Managing Agent Trace and Access Extension 18 ‘Trace and access’ of Section 1 Property Damage is deleted and replaced by the following 18 Trace and access The costs and expenses necessarily and reasonably incurred by you with our prior consent in locating the source of a leakage of oil or water from any fixed water or heating system in the buildings and in subsequent repair of damage caused by locating the source Limit £100,000 any one claim Contract works The definition for INSURED CONTRACT under 'Section 1 Property Damage' ‘Extension 19 Contract works' on page 27 of the policy wording is deleted and replaced as follows : INSURED CONTRACT Any JCT minor standard or intermediate building contract in which the employer is required to take out a joint names policy provided that the value of the contract does not exceed £500,000 Also any similar contract with OUR agreement In the case of separate contracts relating to one project at the PREMISES the limit of £500,000 referred to above relates to the total value of all the contracts involved Amount payable’ (b) on page 28 of the policy wording is deleted and replaced as follows: (b) £500,000 in respect of the CONTRACT WORKS and SITE MATERIALS

Contents

Introduction and claims enquiries 3

Helplines 4

Information services 5

General definitions 6

Insuring clause 6

General exclusions 7

General conditions 9

Claims conditions 13

Sections of the policy (see the schedule to see which are in force)

Section 1 – Property damage 14

Section 2 – Equipment breakdown 32

Section 3 – Rental income 38

Section 4 – Liabilities 45

Section 5 – Legal expenses 55

Section 6 – Terrorism 60

General information 63

– Complaints procedure 63

– The Financial Services Compensation Scheme (FSCS) 63

PROPERTY INVESTORS POLICY DOCUMENT 3

Please read this policy carefully toensure that it meets your needs.

This policy document must be read with theschedule which shows the sections that arein force and the details of your cover.

How we will use your data

We hold data in accordance with the DataProtection Act 1998. It may be necessaryfor us to pass data to other organisationsthat supply products and services for thispolicy.

Fraud prevention

We may check your details with variousfraud prevention and credit referenceagencies. If false or inaccurate informationis provided and fraud is identified, detailswill be passed to fraud prevention agencies.Law enforcement agencies may access anduse this information. If you make a claim,we will share your information (wherenecessary) with other companies to preventfraudulent claims.

For further information on how we useyour data and fraud prevention pleaserefer to our Privacy Policy atwww.ecclesiastical.com/privacypolicy

Claims enquiries

For claims other than legal expensesclaims call:

0345 603 8381 For new claims the service is available 24hours a day, 7 days a week.

For enquiries about existing claims, theservice is available from Monday to Friday8am to 6pm.

For legal expenses claims call:

DAS Legal Expenses Insurance CompanyLimited

0345 268 9124

For all claims

The action to be taken by the policyholderin the event of any incident which may giverise to a claim is shown in the Claimsconditions.

Introduction

In the event of a problem, you can obtain help from any of thefollowing helpline services. Theseare available 24 hours a day 365days a year for all ourpolicyholders.

Please make sure that you are able to giveyour policy number shown on your policyschedule.

Emergency glass replacement

0800 474747This is provided by Glassolutions Installation.If you suffer glass breakage you can callupon the services of GlassolutionsInstallation who will effect a rapid repair.

If you are insured for glass breakageGlassolutions Installation will issue twoseparate invoices, an invoice for you to cover the amount of any policy excess andrecoverable VAT and an invoice which is sent directly to us for the remaining costs.

If the glass is not insured you will be solelyresponsible for the entire cost of repairs.

The following are provided by DAS Legal Expenses InsuranceCompany Limited (DAS).

To help them check and improve theirservices all calls (except those relating tocounselling) are recorded.

DAS will not accept responsibility if theHelpline Services fail for reasons they cannot control.

Business assistance

0345 268 9124In the event of an unforeseen emergencyaffecting your premises which causesdamage or potential danger DAS will contact a suitable repairer or contractor and arrange assistance on your behalf.

You are responsible for paying contractors’fees, but if the damage is covered under yourpolicy you will be able to submit a claim inthe normal way.

Eurolaw commercial legal advice

0345 268 9124DAS can provide legal advice on anycommercial legal problem affecting you,under the laws of the member countries ofthe European Union, the Isle of Man, theChannel Islands, Switzerland and Norway.

Tax advice (commercial)

0345 268 9124DAS can provide advice on any tax mattersaffecting you, under the laws of the UnitedKingdom.

Counselling

0345 266 9667 DAS can provide all your employees(including any member of their immediatefamily who permanently live with them) with a confidential counselling service over thetelephone, including where appropriate,onward referral to relevant voluntary and/orprofessional services.

DAS are unable to provide the counsellingservice to persons under the age of 18.

Helplines

4 POLICY DOCUMENT PROPERTY INVESTORS

Employment manual

The DAS Employment manual provides up-to-date guidance on employment law.

To view the Employment manual please visitthe DAS website at www.das.co.uk

From the Home Page click on theEmployment manual icon. You can print anypart of this document for your own use.

Email DAS [email protected] withyour email address, quoting your policynumber and DAS will contact you by emailto inform you of future updates to theinformation.

DAS businesslaw

At www.dasbusinesslaw.co.uk there isan online reference, to help you run yourbusiness successfully. The material isupdated regularly by legal experts to helpyou keep your business one step ahead.

You can also access interactive documentbuilders, to help you compose commercialdocuments.

To register your details, access the DASbusinesslaw website atwww.dasbusinesslaw.co.uk

When asked for your policy number, pleaseinsert your Ecclesiastical policy numberprefixed with ‘EIG’ and the password isDAS472301

Information services Provided by DAS Legal Expenses Insurance Company Limited (DAS).


Each time the following appear in bold italictype (or in capital letters in the schedule) theywill take the meaning shown below unlessspecifically defined in a policy section

If they are not highlighted the everydaymeaning will apply

Business means the owner of the property andpremises insured by this policy

Company/we/our/us means Ecclesiastical Insurance Office plc

Condition precedent to liabilitymeans a condition of this policy where non-compliance (provided that such non-compliance is material to the loss) shall meanthe claim will not be paid and any paymenton account of the claim already made by usshall be repaid to us

Damage means physical loss destruction or damage

Excessmeans the first amount of each and everyloss (after applying any adjustment forunderinsurance) up to the amount set out inthe schedule to this policy relevant to thatloss

Geographical limitsmeans England Scotland Wales NorthernIreland the Channel Islands and the Isle ofMan

Insured/you/your means the Insured shown in the schedule

Premises means the buildings at the addresses shownin the schedule and the land within theboundaries belonging to them

Unoccupied means vacant untenanted or not in use for aperiod greater than 15 consecutive days

General definitions


This policy document and the scheduleincluding all clauses applied to the policy shalltogether form the policy and be considered asone document

In consideration of payment of the premiumwe will provide insurance against lossdestruction damage injury or liability (asdescribed in and subject to the termsconditions limits and exclusions of this policy orany section of this policy) occurring or arisingin connection with your business during theperiod of insurance or any subsequent periodfor which we agree to accept a renewalpremium

Insuring clause


This policy does not cover the following

Excess

Any excess

Other insurances

Property more specifically insured underanother policy

Radioactive contamination

Loss damage liability or expense directly orindirectly caused by or contributed to by orarising from(a) ionising radiation from or

contamination by radioactivity from anynuclear fuel or from any nuclear wasteor from the combustion of nuclear fuel

(b) the radioactive toxic explosive or otherhazardous or contaminating propertiesof any nuclear installation reactor orother nuclear assembly or nuclearcomponent thereof

(c) any weapon or device employingatomic or nuclear fission and/or fusionor other like reaction or radioactiveforce or matter

(d) the radioactive toxic explosive or otherhazardous or contaminating propertiesof any radioactive matter

Part (d) does not extend to radioactiveisotopes other than nuclear fuel ornuclear waste when such isotopes areon the property insured and are beingprepared stored or used in the normalcourse of operations by you for thecommercial agricultural medicalscientific or other similar peacefulpurposes for which they were intended

(e) any chemical biological bio-chemical orelectromagnetic weapon

However this exclusion does not apply tolosses arising from naturally occurringradioactive gases released from the earthsuch as Radon

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This exclusion does not apply to Cover 1 ofthe Liabilities section except in respect ofliability of any principal and liabilityassumed by agreement

War risks

Loss or damage directly or indirectlyoccasioned by happening through or inconsequence of war invasion act of foreignenemy hostilities (whether war be declaredor not) civil war rebellion revolutioninsurrection or military or usurped power

This exclusion does not apply to Cover 1 ofthe Liabilities section

Date recognition

Any claim directly or indirectly arising fromthe failure or possible failure of anycomputer(a) correctly to recognise any date as its

true calendar date (b) to save and/or correctly interpret or

process any data or command as aresult of treating any date other thanits true calendar date

(c) to save or correctly process any dataon or after any date

but this shall not exclude subsequentdamage or consequential loss nototherwise excluded which itself resultsfrom a defined peril

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General exclusions

Definitions specific to thisexclusion

Computer means computer or other equipment mediaor system (or any part of them) forprocessing storing or retrieving data toinclude without limitation any microchipintegrated circuit or similar device or anycomputer software

Defined peril means any of the insured events specifiedin any section(s) of this policy insuringproperty excepting

(a) the Equipment breakdown section(b) accidental loss destruction or damageand (c) causes excluded from these insured

events

This exclusion does not apply to theLiabilities section

Terrorism

Definitions specific to thisexclusion

Act of terrorism

In respect of(a) England Wales and Scotland (but

not the territorial seas adjacentthereto as defined by the TerritorialSea Act 1987)means acts of persons acting onbehalf of or in connection with anyorganisation which carries out activitiesdirected towards the overthrowing orinfluencing by force or violence of HerMajesty’s government in the UnitedKingdom or any other government dejure or de facto

(b) all other instancesmeans an act including but not limitedto the use of force or violence and/orthe threat thereof of any person orgroup(s) of persons whether actingalone or on behalf of or in connection

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with any organisation(s) orgovernment(s) committed for politicalreligious ideological or similar purposesincluding the intention to influence anygovernment and/or to put the public orany section of the public in fear

Any loss damage cost or expense directlyor indirectly caused by contributed to byresulting from or arising out of or inconnection with any act of terrorismregardless of any other cause or eventcontributing concurrently or in any othersequence to the loss

This insurance also excludes loss damagecost or expense of whatsoever naturedirectly or indirectly caused by resultingfrom or in connection with any action takenin controlling preventing suppressing or inany way relating to any act of terrorism

If we allege that by reason of this exclusionany loss damage cost or expense is notcovered by this policy the burden of provingthe contrary shall be upon you

This exclusion does not apply to thefollowing sections: Liabilities Legalexpenses and Terrorism



Policy voidable

You must ensure that a fair presentation ofthe risks to be insured is made to us

In the event of misrepresentationmisdescription or non-disclosure of anymaterial fact or circumstance we may voidthe policy and retain any premium paidwhere such misrepresentationmisdescription or non-disclosure isdeliberate or reckless

Where such misrepresentationmisdescription or non-disclosure is notdeliberate or reckless we may at our option(a) void the policy and refund to you any

premium paid if we would have notentered into this policy on any termshad clear representation descriptionand disclosure been made

(b) proportionately reduce the amount tobe paid on any claim if we would haveentered into this policy on the sameterms but for a higher premium The reduction in claim payment willrepresent the percentage differencebetween the premium you have paidand the premium we would havecharged you had clear representationdescription and disclosure been made

(c) impose additional terms on this policyif we would have entered into thispolicy on such additional terms but atthe same premium had clearrepresentation description anddisclosure been madeWe may apply these additional termsto your policy with effect frominception

Reasonable care

It is a condition precedent to liability thatyou shall(a) take all reasonable precautions to

prevent damage accident illness anddisease

(b) exercise reasonable care in seeing thatall statutory and other obligations and

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regulations are observed and compliedwith

(c) maintain the premises worksmachinery and plant in sound condition

Alteration of risk

If after the commencement of thisinsurance (a) there is any alteration of risk which

increases the risk of damage accidentor liability

(b) the premises are undergoing majorstructural alterations or major repair(that does not include where workmenare allowed on the premises to carryout minor repairs alterations or generalmaintenance not involving externalscaffolding)

(c) your interest ceases except by will oroperation of law

(d) an administrator or a liquidator orreceiver is appointed or where youenter into a voluntary arrangement

(e) there is any other material change inuse of the premises

you must tell us as soon as is reasonablypossible

Upon any alteration described above weshall be entitled to cancel the policy fromthe date of the alteration or impose specialterms or charge an additional premium

This condition does not apply wherebuildings become unoccupied as this isdealt with under the ‘Unoccupied buildings(or portions)’ general condition

Unoccupied buildings (orportions)

If the period during which the building isunoccupied exceeds 3 calendar monthswe reserve the right to review the insurancein respect of such premises

It is a condition precedent to liability that(1) You must tell us as soon as is

practicable if any building or portionbecomes or is to become unoccupiedand

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General conditions


(2) You must comply with any extrasecurity measures or other protectionswe ask for and

(3) Unless agreed otherwise by us inwriting you must bring the followingmeasures into place by the 16th day ofvacation and continue to operate themthroughout the period during which thepremises or portion are unoccupied

(a) All electricity gas and waterservices must be turned off at themains and all water systemsdrained down except that you mustpreserve the services for anyintruder alarm or fire alarm orautomatic sprinkler system andensure that these continue in fulland effective operation at all times

If to preserve the automaticsprinkler system you are unable toturn off the water supply and draindown then you must set theheating so that a minimum of 5°Cis maintained

(b) You must ensure that any fuel orstorage tanks are drained down oremptied and their contentsremoved by your usual supplier

(c) You must keep the site clear ofwaste materials gas bottles andredundant contents

(d) You must close and secure allpoints of access to the premisesor portion and bring into operationall locks and other protections fittedto the premises or portion

In the absence of appropriate locksaccessible windows and doors mustbe boarded over or screwed shut

All letterboxes must be sealed shut (e) A responsible person must inspect

the premises or portion internallyand externally at least once a weekto ensure that there is nodeterioration in the fabric of thebuilding and that parts 3 (a) (b) (c)and (d) of this condition are beingwholly complied with

If there is any breach you must

notify us and take the necessaryaction to comply as soon as youbecome aware and

(4) You must tell us as soon as thebuilding or portion is to be occupiedagain and

(5) You must give us advice as soon as isreasonably possible of any illegal entryto or damage to the property whetheryou intend to make a claim or not and

(6) You must pay a suitable additionalpremium from the date of the changeif required

Where for any reason it is not possible tocomply with this condition you must tell uswhereupon we may agree an alternative inwriting

Multiple insurances

(a) Applicable to all sectionsexcept those detailed below

If at the time any claim arises under thispolicy there is any other insurance in forcewhether effected by you or not covering thesame damage we shall not be liable formore than our rateable proportion

If such other insurance is subject to anycondition of underinsurance this policy ifnot already subject to any condition ofunderinsurance shall be subject to thatcondition of underinsurance in like manner

(b) Applicable to the Equipmentbreakdown Liabilities andLegal expenses sections

If at the time of any claim arising under thispolicy you are or would but for theexistence of this policy be entitled toindemnity under any other policy or policieswe shall not be liable except in respect ofany additional amount beyond the amountwhich would have been payable under suchother policy or policies had this insurancenot been effected

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Fraudulent claims

If a claim made by you or anyone acting onyour behalf or any other person claiming toobtain benefit under this policy is fraudulentor exaggerated whether ultimately materialor not or if any damage is caused by yourwilful act or with your connivance we mayat our option(a) repudiate the claim(b) recover any payments already made by

us in respect of the claim(c) cancel the policy from the date of the

fraudulent act and retain the premiumdue for the unexpired period ofinsurance from the date of cancellationup to the renewal dateIf we cancel the policy we will notifyyou in writing by special delivery toyour last known address

Arbitration

Provided we have admitted liability for aclaim any dispute as to the amount to bepaid shall be resolved by arbitration inaccordance with the statutory provisions inforce at the time by

(a) an agreed arbitrator or if an arbitratorcannot be agreed

(b) an arbitrator appointed by theChartered Institute of Arbitratorsfollowing a request from either partyprovided they have given seven dayswritten notice to the other party

You must not take legal action against usover the dispute before the arbitrator hasreached a decision

Cancellation

In circumstances other than those in theAlteration of risk condition we may cancelthe policy or any section of it by sendingseven days’ notice commencing from thedate of posting by special delivery to you atyour last known address and shall refund toyou the proportionate premium for theunexpired period of cover

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Adjustment of premium

If any part of the premium has beencalculated on estimates you shall within 30days from the expiry of each period ofinsurance supply to us such information aswe may require

The premium for such period will beadjusted and the difference paid by orallowed to you subject to any minimumpremium

Long term agreement

Where shown in the schedule that adiscount of premium is allowed inconsideration of you having made anagreement to offer annually certaininsurances under this policy on the terms inforce at the expiry of each period ofinsurance and to pay the premium annuallyin advance it is understood that

(a) we shall be under no obligation toaccept an offer made in accordancewith the above-mentioned agreement

(b) the sum insured may be reduced atany time to correspond with anyreduction in value or variation in thebusiness

This agreement shall apply to any policy orpolicies which may be issued by us insubstitution for this policy and the samediscount shall be allowed from thecorresponding premium for any substitutedpolicy or policies issued by us

Sanctions

We shall not provide any cover under thispolicy or be liable to pay any claim orprovide any benefit to the extent that theprovision of such cover payment of suchclaim or provision of such benefit wouldexpose us to any sanction prohibition orrestriction under United Nations resolutionsor the trade or economic sanctions laws orregulations of the European Union UnitedKingdom or United States of America

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If any such sanction prohibition orrestriction takes effect during the period ofinsurance you or we may cancel that partof this policy which is affected withimmediate effect by giving such notice inwriting

In such circumstances we shall return aproportionate premium for the unexpiredperiod of cover provided no claims havebeen paid or are outstanding

Assignment

You shall not assign any of the rights orbenefits under this policy or any section ofthis policy without our prior written consentWe will not be bound to accept or beaffected by any notice of trust charge lienor purported assignment or other dealingwith or relating to this policy or any sectionof this policy

Law applicable

This policy (other than the Legal expensessection) shall be governed by andconstrued in accordance with the law ofEngland and Wales unless the Insured’shabitual residence (in the case of anindividual) or central administration and/orplace of establishment is located inScotland in which case the law of Scotlandshall apply

Rights of third parties

A person or company who is not a party tothis policy has no right under the Contracts(Rights of Third Parties) Act 1999 toenforce any term of this policy but this doesnot affect any right or remedy of a thirdparty which exists or is available apart fromthat Act

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Your duties

When an incident occurs that may result ina claim it is a condition precedent toliability that you shall

(a) take all practicable steps to recoverproperty lost and otherwise minimisethe claim

(b) tell the police as soon as is reasonablypossible if the damage is caused bythieves malicious persons vandals oras a result of riot civil commotionstrikes or labour disturbances

(c) tell us as soon as you become aware (d) within 30 days give us at your

expense any information we requireand continue to provide us with anyinformation and assistance we requirebefore or after we pay your claimunder the policy

(e) not make or allow to be made on yourbehalf any admission offer promisepayment or indemnity without ourwritten consent

(f) forward to us every letter claim writsummons and process immediatelyupon receipt withoutacknowledgement and advise us inwriting as soon as you have anyknowledge of any impendingprosecution inquest or inquiry inconnection with that event

Additional conditions apply to Legalexpenses cover which are detailed in thesection

Our rights

We may

(a) start take over defend and conduct anylegal action in your name

(b) prosecute in your name for our benefitany claim for indemnity or damages

We will have full discretion in the conductand settlement of any such action(c) enter any building where damage has

occurred and take and keeppossession of any property insured bythis policy

We will not accept property abandonedto us

This policy shall be proof that you haveauthorised our rights under thiscondition

(d) at any time pay to you the limit ofindemnity

(i) in the case of Employers’ liability orProsecution defence cost claimsless any amount already paid orincurred

(ii) in the case of Public liability claimsless any amount already paid orincurred as damages

or any lesser amount for which at ourdiscretion any claim or claims can besettled

We will then relinquish control of theclaim and have no further liabilityexcept for any Public liability claim(other than any claim originating fromwithin the legal jurisdiction of theUnited States of America or Canada)

We will also pay any legal costsincurred prior to the date of suchpayment

Additional conditions apply to Legalexpenses cover which are detailed in thesection

Claims conditions

The schedule will show if thissection applies and the cover inforce

Definitions

Each time any of the following words orphrases appear in this section in bold italictype (or in capital letters in the schedule)they will take the specific meaning shownbelow

Where words or phrases are not highlightedin this manner the normal everydaymeaning of the word or phrase will apply

Buildings means the buildings at the premisesincluding landlord’s fixtures and fittingsoutbuildings walls gates and fences pipingducting cables wires and associated controlgear and accessories on the premises andextending to the public mains but only tothe extent of your responsibility fixedaerials and satellite dishes wind turbinesfixed to the buildings solar panels yards carparks roads and pavements storage tanksartificial playing surfaces swimming poolsand associated apparatus

Bridges land piers jetties culverts andexcavations are excluded unless specificallymentioned in this policy

Unless stated otherwise buildings are brickstone or concrete built and roofed withslates tiles concrete metal asphalt or sheetsor slabs composed of incombustible mineralingredients

If on the schedule for any location the tradeis described as ‘private dwelling house(s)’the definition of buildings is amended toread as follows

Any private dwelling house includinggarages and outbuildings permanentfixtures and fittings swimming pools tenniscourts paths drives terraces patios wallsfences hedges and gates piping ductingcables wires and associated control gear

and accessories all within the boundaries ofthe land belonging to the private dwellingand used for domestic purposes

If on the schedule for any location the tradeis described as ‘private flat(s)’ the definitionof buildings is amended to read as follows

Any purpose-built block of flats or privatedwelling house converted to private flatsand their permanent fixtures and fittings(including whilst in or fixed to the commonparts entry systems security or surveillanceequipment and fitted floor coverings)domestic outbuildings and garagesswimming pools tennis courts paths drivesterraces patios walls fences hedges andgates piping ducting cables wires andassociated control gear and accessories allon the same site

Contents of common parts means furniture and furnishings owned byyou or for which you are responsible inthose parts of the buildings to which alltenants have access and the maintenanceand cleaning equipment machinery andtools you keep in the buildings inconnection with your business

But excluding(a) landlord’s fixtures and fittings(b) money securities coins stamps

jewellery watches furs precious metalsprecious stones or articles made fromthem computer systems records curiosworks of art antiques sculptures rarebooks plans patterns moulds designsor explosives

(c) any other property more specificallyinsured

Insured event(s) means any insurable event shown asincluded in the schedule to this policy

Item(s) insured means the items insured as set out in theProperty damage section of the schedule tothis policy

Property damage 1


Cover

We will indemnify you (by payment up tothe value of the items insured at the timeof the damage or at our option by repairreinstatement or replacement) in respect ofdamage to the items insured by anyinsured event happening during the periodof insurance

Provided that our liability in any one periodof insurance shall not exceed the suminsured for each item nor the total suminsured for all items

Unless specified otherwise in the scheduleour liability for the contents of commonparts is limited to £25,000 any onepremises

Insurable events

Fire lightning and explosion

Fire not caused by

(a) the property’s own spontaneousfermentation or heating or itsundergoing any process involving theapplication of heat

(b) earthquake subterranean fire riot orcivil commotion

Lightning

Explosion excluding

(a) damage in respect of and originatingin any vessel machinery or apparatusor its contents belonging to you orunder your control which is required tobe examined to comply with anystatutory regulations unless suchvessel machinery or apparatus is thesubject of a contract providing therequired inspection service

(b) damage consisting of the bursting ofa boiler economiser or other vesselmachine or apparatus in which internalpressure is due to steam only andbelonging to you or under your control

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Aircraft

Aircraft and other aerial devices or articlesdropped from them

Riot

Riot civil commotion strikers locked-outworkers or persons taking part in labourdisturbances excluding

(a) damage resulting from cessation ofwork

(b) damage occasioned by confiscation ordestruction or requisition by order ofthe government or any public authority

Malicious persons

Malicious persons excluding

(a) damage resulting from cessation ofwork

(b) damage by theft or attempted theft orby risks described in Insurable event 1Fire lightning and explosion

(c) damage to moveable property in theopen except as specifically providedfor in the Property in the openextension

(d) damage occasioned by confiscation ordestruction or requisition by order ofthe government or any public authority

Earthquake

Subterranean fire

Storm

Storm excluding

(a) damage by (i) the escape of water from the

normal confines of any natural orartificial water course or lakereservoir canal or dam

(ii) inundation from the sea whether resulting from storm or

otherwise

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(b) damage attributable solely to changein the water table level

(c) damage by frost subsidence orlandslip

(d) damage to fences gates hedges (ifinsured) and moveable property in theopen except as specifically providedfor in the Property in the openextension

Flood

Flood caused by

(a) the escape of water from the normalconfines of any natural or artificialwater course (other than water tanksapparatus or pipes) or lake reservoircanal or dam

(b) inundation from the sea

but excluding(i) damage attributable solely to change

in the water table level (ii) damage by frost subsidence or

landslip (iii) damage to fences gates hedges (if

insured) and moveable property in theopen except as specifically providedfor in the Property in the openextension

Escape of water

Escape of water from any tank apparatus orpipe including damage to any water tankapparatus or pipe itself caused by freezingof water excluding damage by waterdischarged or leaking from an installation ofautomatic sprinklers

Impact

Impact by any road or rail vehicle or animal

Falling trees

Falling trees branches telegraph poles lampposts or pylons

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Falling aerials

Breakage or collapse of television and radioreceiving aerials aerial fittings and mastssatellite dishes wind turbines solar panelsand security equipment attached to abuilding

Escape of oil

Escape of oil from any fixed oil-firedheating installation or storage tank

Sprinkler leakage

Accidental escape of water from anyautomatic sprinkler installation in thepremises not caused by explosionearthquake subterranean fire or heatcaused by fire

Accidental damage

Any other accidental damage excluding

(a) damage which is specifically includedor excluded elsewhere under thissection

(b) damage caused by or consisting ofinherent vice latent defect depreciationgradual deterioration wear and tear itsown faulty or defective design or materialsfaulty or defective workmanship but thisshall not exclude subsequent damagewhich itself results from a cause nototherwise excluded

(c) damage caused by or consisting ofcorrosion dust rust wet or dry rotcontamination mildew shrinkageevaporation loss of weight dampnessdryness marring scratching vermininsects change in temperature colourflavour texture or finish

(d) damage caused by or consisting oferasure loss distortion or corruption ofinformation on computer systems orother records programs or software

(e) damage to property resulting from itsundergoing any process of cleaning

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dyeing restoration production packingtreatment testing commissioningservicing or repair

(f) damage caused by atmospheric andclimatic conditions other than storm orflood

(g) damage consisting of (i) joint leakage failure of welds or

cracking fracturing collapse oroverheating of boilers economiserssuperheaters pressure vessels orany range of steam and feed pipingin connection therewith

(ii) mechanical or electrical breakdownor derangement in respect of theparticular machine apparatus orequipment in which suchbreakdown or derangementoriginates

(h) damage caused by or consisting of (i) acts of fraud or dishonesty (ii) disappearance unexplained or

inventory shortage misfiling ormisplacing of information

(i) damage (i) to a building or structure caused by

its own collapse or cracking (ii) to moveable property in the open

fences gates and hedges (ifinsured) by wind rain hail sleet orsnow

(iii) to wind turbines

Subsidence

Subsidence heave or landslip of the site onwhich the premises stand excludingdamage

(a) attributable solely to change in thewater table level

(b) to bridges (if insured) boundary wallsgates fences piping ducting cableswires and associated control gear andaccessories yards car parks roads andpavements storage tanks artificialplaying surfaces and swimming poolsunless also resulting in damage to abuilding insured under this policy

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(c) caused by or consisting of (i) the normal settlement or bedding-

down of new structures (ii) the settlement or movement of

made-up ground (iii) coastal or river erosion (d) caused by defective design or

workmanship or the use of defectivematerials

(e) caused by fire subterranean fireexplosion earthquake or the escape ofwater from any tank apparatus or pipe

(f) which originated prior to the inceptionof cover

(g) resulting from (i) demolition construction structural

alteration or repair of any property (ii) groundworks or excavation at the same premises

Special condition

You shall notify us as soon as you becomeaware of any demolition groundworksexcavation or construction being carried outon any adjoining site

We shall then have the right to vary theseterms or cancel this cover

Theft or attempted theft

Theft or attempted theft of the contents ofcommon parts

Excluding damage to the buildings as aresult of theft or attempted theft

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Glass and sanitary fixtures

Accidental damage of any part of theexterior and interior glass sanitary fixturesor signs including the reasonable cost of

(a) repairs to framework followingbreakage of the insured glass

(b) necessary boarding-up pendingreplacement of the insured glass

(c) in the case of multiple glazing theadditional cost of re-creating vacuumsor the purchase and installation of newsealed units

(d) replacing any lettering painting oralarm foil on such glass

but excluding(i) damage for which the tenant is

responsible under the terms of anylease

(ii) damage which is specifically includedor excluded elsewhere under thissection

(iii) damage to glass sanitary fixtures orsigns already damaged at thecommencement of the insurance

(iv) disfiguration or damage to glass notextending through the entire thicknessof the glass

(v) damage to glass while not fixed (vi) damage caused by or traceable to

alterations to the premises or in theglass whereby the risk of damage isincreased

(vii) damage to bulbs or tubes unless thesigns in which they are contained aredamaged at the same time

18Basis of settlement

Reinstatement Applicable unless stated otherwise in theschedule

Subject to the following special conditionsthe basis upon which the amount payable inrespect of property insured under thissection is to be calculated shall be thereinstatement of the property lost destroyedor damaged

For this purpose “reinstatement” means

(a) the rebuilding or replacement ofproperty lost or destroyed whichprovided our liability is not increasedmay be carried out

(i) in any manner suitable to yourrequirements

(ii) upon another site (b) the repair or restoration of property

damaged

In the case of (a) or (b) to a conditionequivalent to or substantially the same asbut not better or more extensive than itscondition when new

Special conditions applicable tothis basis of settlement

1 If at the time of reinstatement the sumrepresenting 85% of the cost whichwould have been incurred in reinstatingthe whole of the property covered byany item subject to this memorandumexceeds its sum insured at the time ofcommencement of any damage ourliability shall not exceed that proportionof the amount of the damage whichthe said sum insured adjusted forindex linking shall bear to the sumrepresenting the total cost ofreinstating the whole of such propertyat that time

2 Our liability for the repair or restorationof property damaged in part only shallnot exceed the amount which would


have been payable had such propertybeen wholly destroyed

3 No payment beyond the amount whichwould have been payable in theabsence of this memorandum shall bemade

(a) unless reinstatement commencesand proceeds without unreasonabledelay

(b) until the cost of reinstatement shallhave been actually incurred

(c) if the property insured at the timeof its damage shall be insured byany other insurance effected byyou or on your behalf which is notupon the same basis ofreinstatement

4 All the terms and conditions of thepolicy shall apply

(a) in respect of any claim payableunder this memorandum exceptinsofar as they are varied hereby

(b) where claims are payable as if thismemorandum had not beenincorporated

Loss of market value If you elect not to rebuild or repair thebuildings and we choose not to reinstatebuildings lost destroyed or damaged as setout in the Reinstatement basis ofsettlement above we will pay the reductionin the market value of the buildingsimmediately following damage solely as aresult of the damage but not exceedingthe amount which would have been payablehad the buildings been rebuilt or repairedand in no case shall the total amountrecoverable under any item exceed its suminsured

Loss of market value and capitalsums payableIf rebuilding or repair of the buildings isfrustrated completely by the public authorityresponsible for granting planningpermission we will pay the loss of marketvalue and the capital sums payable being

(a) the reduction in market value of yourinterest in the land and buildings solelyas a result of damage immediatelyfollowing agreement by us that suchfrustration is unavoidable plus

(b) any capital sums legally payable byyou to any lessees under the terms ofthe lease or otherwise in consequenceof such frustration

Provided that(i) you have made every effort to regain

the original planning consent(ii) you shall not have nor had any reason

to be aware of stipulations which couldresult in the buildings not beingrepaired or restored in their originalform

(iii) the total amount recoverable under anyitem of the policy shall not exceed itssum insured

Cost of construction and loss ofmarket value and capital sumspayableIf rebuilding or repair of the buildings isfrustrated by the said public authority’srefusal to allow a building of the same sizeand/or use we will pay the cost ofconstruction and the loss of market valueand the capital sums payable being

(a) the cost of constructing a building tothe extent permitted by the publicauthority plus

(b) the reduction in market value of yourinterest in the land and buildingssolely as a result of damageimmediately following our agreementthat such frustration is unavoidableplus

(c) any capital sums legally payable byyou to any lessees under the terms ofthe lease or otherwise in consequenceof such frustration


Provided that(i) you have made every effort to regain

the original planning consent(ii) you shall not have nor had any reason

to be aware of stipulations which couldresult in the buildings being repairedor restored in their original form

(iii) the total amount recoverable under anyitem of the policy shall not exceed itssum insured

Where any payment we make includes anycapital sum for loss of market value theamount payable shall be reduced to takeaccount of any compensation payable orallowance made to you

Memoranda

Reinstatement of property

We shall not be bound to reinstate exactlyor completely any property that is thesubject of a claim but only ascircumstances permit and in reasonablysufficient manner

We shall not pay out in respect of any oneof the items insured more than the suminsured

Day One Basis - nonadjustable

This applies if a Day One figure is shownagainst an item in the schedule

1 You have agreed the declared valueincorporated in each item to which thisextension applies and the premium hasbeen calculated accordingly

“Declared value” means yourassessment of the cost ofreinstatement of the property insured(as defined in the Reinstatement basisof settlement) at the level of costsapplying at the inception of the periodof insurance (ignoring inflationaryfactors which may operatesubsequently) together with insofar as

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the insurance by the item provides dueallowance for

(a) the additional cost of reinstatementto comply with the stipulationsdefined in the European Union andPublic Authorities (includingundamaged portions) extension

(b) professional fees (c) debris removal costs

2 At the inception of each period ofinsurance you shall notify us of thedeclared value of the property insuredby each of the said item(s)

In the absence of such declaration thelast amount declared by you (adjustedto reflect index linking) shall be takenas the declared value for the ensuingperiod of insurance

3 In respect of each item to which thisextension applies the followingreplaces Special conditions 1 and 4 ofthe Reinstatement basis of settlement

(1) Each item insured under thismemorandum is declared to beseparately subject to the followingcondition of underinsurance namely

If at the time of damage thedeclared value of the propertycovered by such item be less thanthe cost of reinstatement (asdefined in paragraph 1 of the DayOne memorandum) at the inceptionof the period of insurance then ourliability shall be limited to thatproportion thereof which thedeclared value bears to such costof reinstatement

(4) Where by reason of any of theabove Special conditions nopayment is to be made beyond theamount which would have beenpayable under the policy if thismemorandum had not beenincorporated the rights andliabilities of the Company and theInsured in respect of the damage


shall be subject to the terms of thepolicy including any condition ofunderinsurance as if thismemorandum had not beenincorporated except that the sumsinsured shall be increased inproportion with the additionalamount charged in respect of thismemorandum

Index-linking

Unless the Day One Basis - non adjustablememorandum applies the sum insured byeach item insured (but not extensionlimits) under this section will be adjusted inaccordance with suitable indices selectedby us

The annual renewal premium will beamended accordingly

In the event of damage index-linking willcontinue from the date of damage until theresulting claim is settled but we will not payfor increased costs which arise due tounnecessary delay on your part

Underinsurance

Unless otherwise shown in the schedule orelsewhere in this policy the sum insured byeach item insured is subject to thefollowing condition of underinsurance

If the property insured by any item of thissection shall at the commencement of anydamage to such property be collectively ofgreater value than such sum insured asadjusted for index-linking you will beconsidered as being your own insurer forthe difference and shall bear a rateableproportion of the loss accordingly

Other interests

The interest in the insurance by this sectionof the various mortgagees lessors andfreeholders of the property is noted

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Subrogation waiver

In the event of a claim we shall not enforceany rights against(a) any company being parent of or

subsidiary to the insured(b) any company which is a subsidiary of a

parent company of which the insuredare themselves a subsidiary

in each case within the meaning of theCompanies Act prevailing at the time ofdamage(c) any tenant of the premises

irrespective of whether they contributeto the insurance premium or notprovided that the damage did notresult from a criminal fraudulent ormalicious act of the tenant

Non-invalidation

The cover by this section shall not beinvalidated by any act omission or alterationwhereby the risk of damage is increasedunknown to you or beyond your control

Provided that on becoming aware of thisyou give notice to us as soon as isreasonably possible and pay an additionalpremium if required

Extensions

The insurance cover provided by this sectionis extended to include the following

Unless specifically stated otherwise theseextensions do not increase our liability asstated in the Cover paragraph to thissection

Reinstatement of sum insured

Not applicable to any limits in theextensions to this section

In consideration of your agreement to paysuch additional premium as may be requiredwe will automatically reinstate the suminsured in full after damage has occurred

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provided that we have not given you noticewithin 30 days of you reporting thedamage to us that we will not reinstate thesum insured

Reinstatement to match

Where buildings have suffered damageyou may replace repair or restore theproperty with equivalent property whichemploys current technology andreplacement repair or restoration of suchproperty shall not for the purposes of thispolicy be regarded as being better or moreextensive than when new

This policy further extends to include thereplacement or modification of undamagedproperty insofar as it is necessary to adaptit to operate in conjunction with thatproperty which has been replaced repairedor restored

Limit £250,000 any one period of insurance

Fees

Architects’ surveyors’ consulting engineers’and legal fees necessarily and reasonablyincurred in the reinstatement of theproperty insured consequent upon itsdamage by an insured event but not forpreparing any claim it being understood thatthe amount payable for such damage andfees shall not exceed in the aggregate thesum insured by each item

Removal of debris

(a) Costs and expenses necessarilyincurred by you with our consent in

(i) removing debris (ii) dismantling and/or demolishing (iii) shoring up or propping of the portion or portions of the propertyinsured by the said items destroyed ordamaged by any insured event it beingunderstood that the amount payable forsuch damage and costs incurred under (i)(ii) and (iii) shall not exceed in theaggregate the sum insured by each item

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4

(b) Irrecoverable costs and expensesnecessarily incurred by you with ourconsent in removing the debris ofcontents (not belonging to you)destroyed or damaged by an insuredevent occurring at the premises itbeing understood that the amountpayable for such costs and expensesshall not exceed the buildings suminsured to which such contents relate

(c) Costs and expenses necessarilyincurred by you with our consent inremoving fallen trees within thegrounds of the premises

Provided that (1) the trees have fallen as a result of

an insured event and (2) the buildings of the premises are

damaged by the same insuredevent occurring at the same timeand a claim for this damage hasbeen admitted by us

We will not pay for any costs or expenses (i) incurred in removing debris except

from the site of such propertydestroyed or damaged and the areaimmediately adjacent to such site

(ii) arising from pollution or contaminationof property not insured by this policy

Loss minimisation expenses

Costs and expenses necessarily andreasonably incurred by you or on yourbehalf to prevent or minimise actual orimminent damage at the premisesprovided such costs are(a) directly related to damage which is

likely to occur in the immediate futureunless urgent preventative action istaken

(b) not more specifically insuredelsewhere

Limit£25,000 per premises any one period ofinsurance

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Sale of the building

The interest of the purchaser in theinsurance by this section for the periodfrom the written offer and acceptance orexchange of contracts until completion ofthe sale is noted Provided that (a) the buildings are not insured

elsewhere for the benefit of thepurchaser

(b) the purchaser complies with and isbound by the terms of the policy

European Union and PublicAuthorities (includingundamaged portions)

The additional cost of reinstatement of thedestroyed or damaged property andundamaged portions as may be incurredsolely by reason of the necessity to complywith the stipulations of

(1) European Union legislation or (2) building or other regulations under or

framed in pursuance of any Act ofParliament or bye-laws of any publicauthority

(hereinafter referred to as “theStipulations”)

Excluding(a) the cost incurred in complying with the

Stipulations (i) in respect of damage occurring

prior to the granting of thisextension

(ii) in respect of damage excluded orotherwise not insured by this policy

(iii) under which notice has beenserved upon you prior to thehappening of the damage

(iv) for which there is an existingrequirement which has to beimplemented within a given period

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(b) the additional cost that would havebeen required to make good theproperty lost destroyed or damaged toa condition equal to its condition whennew had the necessity to comply withthe Stipulations not arisen

(c) the amount of any charge orassessment arising out of capitalappreciation which may be payable inrespect of the property or by the ownerof the property by reason ofcompliance with the Stipulations

Special Conditions applicable tothis extension

1 The work of reinstatement must becommenced and carried out withoutunreasonable delay and in any casemust be completed within 12 monthsafter the damage or within suchfurther time as we may allow (duringthe said 12 months) and may becarried out upon another site (if theStipulations so necessitate) subject toour liability under this extension notbeing increased

2 If our liability under the policy apartfrom this extension shall be reduced bythe application of any of the terms andconditions of the policy then ourliability under this extension (in respectof any such item) shall be reduced inlike proportion

3 The total amount recoverable underany item of the policy under thisextension shall not exceed

(a) 15% of its sum insured or (b) where the sum insured by the item

applies to property at more thanone premises 15% of the totalamount for which we would havebeen liable had the propertyinsured by the item at thepremises where damage hasoccurred been wholly destroyed


4 The total amount recoverable underany item of the policy shall not exceedits sum insured

5 All the terms of this policy exceptinsofar as they may be expressly variedshall apply as if they had beenincorporated herein

Capital additions

The cover provided by this extensionincreases the sums insured that apply butonly to the extent stated

Under the Buildings and Contents ofcommon parts items

(a) alterations and additions to theproperty insured but not in respect ofany appreciation in value

(b) newly acquired property so far as it isnot otherwise insured anywhere in thegeographical limits

up to a limit of £5,000,000 in respect ofany one property and £2,000,000 inrespect of any unoccupied property

Provided that you undertake to give detailsof such extension of cover as soon aspracticable (at no later than six-monthlyintervals) and to effect specific insuranceand pay any additional premium that isrequired from inception of the cover

Inadvertent omission toinsure

Premises in the geographical limits whichyou own or which you are responsible toinsure which you have inadvertently failedto insure

a) under this or any other policyb) against all the insured events insured

by this policy but cover is restricted tothose uninsured insured events

Provided that(a) as soon as you become aware of (i) premises not insured (ii) any premises not insured for all the

insured events insured by thispolicy

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you shall arrange insurance from the date onwhich your responsibility attached and paythe appropriate additional premium

(b) this extension shall not apply to anypremises covered under the Capitaladditions extension of this section

(c) our liability any one claim shall notexceed £5,000,000 any one premisesand £2,000,000 any one unoccupiedpremises

Third Party failure to insure

Any premises within the geographicallimits owned or leased by you whichbecause of lease requirements are requiredto be insured by another party and wherethat party has(a) failed to insure against all the insurable

events in this policy or(b) failed to insure for a sufficient amount

to provide for reinstatement of thebuildings and/or for loss of rent asspecified in the lease or

(c) invalidated the policy or claim

Provided that(1) as soon as you become aware of (i) any premises not insured for all the

insurable events in this policy youshall arrange insurance for suchuninsured events

(ii) any premises not insured for asufficient amount to provide forreinstatement of the buildingsand/or loss of rent as specified inthe lease you shall arrangeinsurance for the reinstatement ofthe buildings and/or loss of rent asspecified

(iii) any facts or circumstances thatmight invalidate the policy or a claimyou shall notify us accordingly

(2) this extension shall not apply to anypremises covered under the Capitaladditions and Inadvertent omission toinsure extensions and for premisesunder (a) above shall apply only for theinsurable events not insured by the thirdparty’s policy

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(3) there shall be in force at the time ofdamage a valid and enforceable leaserequiring the property to be insuredagainst some or all of this policy’sinsurable events

(4) you have procedures in place toensure that the third party effects andmaintains adequate insurance andwherever possible your interest isnoted and protected by a non-invalidation clause and lapse orcancellation notification condition

(5) the insurance under this provision shallbe subject to all the terms conditionsand exclusions of this policy with theexception of the Subrogation waiver

(6) our liability any one claim shall notexceed £5,000,000 any one premisesand £2,000,000 any one unoccupiedpremises but in no case shall ourliability exceed

(i) the difference between the amountpayable under any insuranceeffected by the third party or anyother insurance on the premisesand the total cost of reinstatementand loss of rent as provided by thispolicy or

(ii) the value of your interest in thepremises

whichever is less

Privity of contract

We will indemnify you in respect of all suchsums as you become legally liable to payfollowing damage caused by an insuredevent and pay as indemnity to tenants inrespect of repair or reinstatement ofpremises previously owned but which areno longer your property and where thecurrent owner has failed to maintainadequate insurance cover subject to theterms and conditions of this policy

Excluding contribution in respect of anymore particular insurance effected by anysucceeding owner or tenant or sub-tenant

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It is a condition precedent to liability inrespect of this cover that you must take allreasonable steps to obtain release fromyour liabilities under the covenants toinsure such property on its disposal

Limit£1,000,000 any one period of insurance

Value Added Tax

For any buildings item we will pay theValue Added Tax payable by you which youare not subsequently able to recoverprovided that

1 (a) your liability for such tax arisessolely from the rebuilding orrestoration of the buildingsfollowing damage

(b) we have paid or agreed to pay forsuch damage

(c) if the payment we make for therebuilding or restoration is less thanthe actual cost of rebuilding orrestoration we will only pay thesame proportion of the ValueAdded Tax applicable

2 your liability for such tax does notarise from the replacement buildingshaving a greater floor area than orbeing in a better condition or moreextensive than the damaged buildings

3 if the buildings are rebuilt on anothersite following damage we will not paymore Value Added Tax than we wouldhave done had the rebuilding beencompleted at the original site

4 we will not pay any amounts in relationto penalties imposed upon you for lateor non-payment of Value Added Tax

5 for the purposes of anyunderinsurance penalty rebuildingcosts shall be exclusive of ValueAdded Tax

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6 our liability may exceed the suminsured by an item or in the whole thetotal sum insured where suchadditional amount is solely for ValueAdded Tax due

Emergency services damageto the grounds

Damage caused by the emergencyservices at any part of the premises or toinsured property or the grounds for whichyou are responsible excluding police raids

Extinguisher and alarm re-setting expenses

The reasonable costs incurred by you inrefilling fire extinguishing appliancesreplacing sprinkler heads and resetting fireor intruder alarm systems solely inconsequence of their activation following aninsured event

Sprinkler upgrade costs

The additional costs incurred in upgradingan automatic sprinkler installation to thecurrent Loss Prevention Council Rules (onlywhen the upgrade is imposed upon you byus) following damage to the buildingsprovided that at the time of damage theinstallation conformed to the Rules forAutomatic Sprinkler Installations as issuedby the Loss Prevention Council and currentat the time of installation but did notconform to subsequent amendments tothose Rules

Clearing of drains

The reasonable costs incurred by you forclearing or repairing drains gutters sewersand the like for which you are responsibleincurred as a direct result of damagecaused by an insured event

Limit £50,000 any one claim

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Underground pipes andcables

Accidental damage to underground pipesand cables for which you are responsible

Trace and access

The costs and expenses reasonablyincurred by you with our consent in locatingthe source of a leakage of oil water or gasat the premises and in subsequent repairof damage caused by locating the source


Contract works

Explanatory notes (not formingpart of the policy)

1 This extension only applies if thebuildings are insured under thesection against all of the specifiedperils as defined below

2 If you have decided not to include theTerrorism section under your policythen the full insurance requirementsof the building contract will not bemet - to help we can extend yourinsurance to include Terrorism or youcan ask your architect to reduce therequirements of the building contractwith the agreement of all parties

3 Please remember that if your policy isnot renewed with us then there willbe no cover for the building works ifthey should continue beyond theperiod of cover


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Definitions specific to thisextension

All risksmeans all of the insured events under thissection of the policy inclusive of accidentaldamage

Contractor(s)shall have the meaning attached to them inthe insured contract

Contract worksmeans the permanent works and thetemporary works executed in performanceof the insured contract

Site materialsmeans all unfixed materials and goodsdelivered to placed on or adjacent to thecontract works and intended forincorporation within the contract works

Insured contractAny JCT minor standard or intermediatebuilding contract in which the employer isrequired to take out a joint names policyprovided that the value of the contract doesnot exceed £250,000

Also any similar contract with ouragreement

In the case of separate contracts relating toone project at the premises the limit of£250,000 referred to above relates to thetotal value of all the contracts involved

Specified perilsmeans fire lightning explosion stormtempest flood escape of water from anywater tanks apparatus or pipes aircraft andother aerial devices or articles dropped fromthem riot civil commotion and earthquake

Cover

In respect of repairs alterations and/orextensions to existing building structuresthis section extends to cover yourinsurance obligations as employer forspecified perils or all risks as required bythe insured contract

For the purposes of this extension and forthe period of the insured contract theinsurance for

(a) the existing structures and anycontents for which you are responsible

(b) the contract works and sitematerials

is considered to be in the joint names ofyou and the contractor but only in so far asthis is required under the terms of theinsured contract

Amount payableWe will indemnify you (by payment or atour option by repair reinstatement orreplacement) subject to our liabilityinclusive of all professional fees and VATwhere applicable not exceeding

(a) for existing structures and contents forwhich you are responsible the sumsinsured by the relevant Building andContents of common parts items at thetime of the damage

(b) £250,000 in respect of the contractworks and site materials

Notwithstanding anything contained withinthe Alteration of risk General Condition theerection of scaffolding in connection withthe cover provided under this extension isdeemed not to constitute an alteration inrisk

Off-site storage Cover extends to include materials or goodsdesignated to be included in the contractworks whilst temporarily held in store awayfrom the contract site but not while they arebeing worked upon

Limit£7,500 any one storage site

Exclusions applicable to thisextension

We shall not be liable for damage to (a) deeds bonds bills of exchange

promissory notes cash bank notescheques securities for money orstamps


(b) any craft designed to travel in on orthrough water air or space

(c) any mechanical plant and equipment(d) any property (including that being

altered or repaired) which alreadyexisted at the time of thecommencement of the insuredcontract other than site materials

(e) the permanent works or any partthereof in respect of which a certificateof completion has been issued by or tothe Insured or which has beencompleted and handed over to ortaken into use with the permission ofthe Insured for a purpose other thanfor the performance of the insuredcontract

(f) penalties under the insured contractfor delay or non-completion orconsequential loss of any natureexcept as specifically provided forunder this extension

Landscaping costs

The necessary and reasonable costs torestore landscaped gardens or grounds atthe premises following damage to itsappearance when first planted excludingany cost arising from the failure of seed togerminate or trees plants or turf to becomeestablished

Limit£100,000 any one period of insurance

Property in the open

Damage to garden furniture ornamentsstatues gardening equipment and signagein the grounds of the premises unlessmore specifically insured

Limit£15,000 any one claim

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Planning (Listed Buildingsand Conservation Areas) Act1990


The cost of meeting local authorityconditions made under the Planning (ListedBuildings and Conservation Areas) Act1990 and amending legislation (orequivalent legislation in Scotland andNorthern Ireland) following damage by anyof the insured events should these costsexceed the cover provided within thebuildings sum insured

The maximum we will pay under thisextension is 20% of the buildings suminsured

Archaeological costs

The on-site costs of archaeologicalrescue work (including the recording ofstanding and collapsed fabric and damagedfloor surfaces but not the excavation ofbelow ground deposits) necessarily andreasonably incurred with our consent as aresult of damage to the buildings

Excluding(i) the costs of any archaeological

research work which may be enabledor facilitated as a result of damagebut which is not a necessary part ofthe process of repair or rebuilding

(ii) the costs of analysis of datasubsequent to archaeological rescuework (except in so far as such costsare a necessary and integral part ofthe process of repair or rebuilding)

(iii) the costs of conservation or scientificanalysis of materials or objectsretrieved in the course of anarchaeological exercise


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Definitions specific to thisextension

Archaeological rescue workmeans any archaeological exerciseconcerned with the recording of informationwhich would otherwise be lost or in dangerof being lost

Archaeological research workmeans any other archaeological exercise

Damage to the buildings bytheftonly applicable if the insurable eventof Theft or attempted theft isoperative

The insurance extends to include

(a) repairs to the buildings following theftor attempted theft of the fabric of thebuildings including external metal upto £15,000 per premises in any oneperiod of insurance

(b) damage to the buildings caused bytheft or attempted theft of contents ofcommon parts for an amount notexceeding £25,000 per premises inany one period of insurance

(c) damage to property insured directlycaused as a result of the entry ofrainwater following the theft orattempted theft of the fabric of thebuildings including external metal upto £25,000 per premises in any oneperiod of insurance

This extension does not apply whenscaffolding is erected at the premisesunless we have agreed in writing tocontinue cover

Loss of oil gas or water

(a) Loss of oil (other than covered by (c)below) gas or metered water from thewater or heating system after damageby an insured event to that system

(b) The cost of replacing liquid petroleumgas or oil following accidentaldischarge from the storage containerat the premises

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(c) Theft of oil from any storage tank usedfor the heating system at thepremises provided theft is an insuredevent under this policy

(d) The cost of decontaminating thegrounds of the premises to a depth nogreater than one metre followingaccidental discharge of oil from any oilfired heating installation or storagetank

The most we will pay under (a) or (b) or (c)is £5,000 any one claim

The most we will pay under (d) is £25,000any one claim

Unauthorised use of utilities

The cost of metered water oil electricity orgas for which you are legally responsiblearising from its unauthorised use bypersons taking or keeping possession oroccupying the buildings without yourauthority provided that the buildings areinspected weekly by a responsible personon your behalf and all practicable steps aretaken to terminate such unauthorised useas soon as it is discovered

Limit £25,000 per premises any one period ofinsurance

Private residences(Temporary accommodation)


If any private dwelling house or private flat(described as such in the schedule) cannotbe lived in following damage insured bythis section (or in the case of a private flat ifthe resident is denied access to it by aninsured event elsewhere within thebuilding) we will pay for the reasonable andnecessary additional costs that you areliable for in respect of the following(a) residents’ temporary accommodation

and storage of furniture

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(b) kennel accommodation for theresidents’ domestic cat(s) and dog(s)

(c) travelling expensesuntil the private dwelling house or privateflat is fit to live in again or until access isrestored

Limit 20% of the sum insured on the building inrespect of private dwelling houses

20% of the sum produced by dividing thebuildings sum insured by the number offlats in respect of each private flat

Temporary removal

Any parts of the buildings and contents ofcommon parts are covered whiletemporarily removed for cleaning renovationrepair or other similar purpose elsewhereon the premises or to any other premisesand in transit between such locations in thegeographical limits

Spontaneous heating

Damage to coal coke or wood blocks by itsown spontaneous fermentation heating orcombustion

Fly tipping

Costs and expenses necessarily andreasonably incurred by you in clearingtreating and removing anything illegally ormaliciously deposited at the premises

This cover will not apply in respect of anyunoccupied premises


Loss of keys

The reasonable cost necessarily incurred byyou to replace locks at the premisesfollowing (a) accidental loss of keys(b) damage to keys or the premises(c) theft of keys from the premises or

from your home or the home of any

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principal director partner or employeeauthorised to hold such keys


Trees

The costs of felling lopping or removingtrees which represent an immediate threatto the safety of life or damage to thebuildings

Limit£2,500 per premises any one period ofinsurance

Removal of insect nests

We will pay the costs incurred by you inremoving wasp bee or hornet nests fromthe buildings


Exclusions

We shall not be liable in respect of

1 damage caused by pollution orcontamination unless resulting from asudden identifiable unintended andunexpected cause which

(a) occurs in its entirety at a specificmoment in time and place duringany one period of insurance

(b) is not otherwise excluded

2 consequential loss of any kind

3 Definitions specific to this exclusion

Data means information represented or

stored electronically including but notlimited to code or series of instructionsoperating systems software programsand firmware

Failure of a system means the complete or partial failure or

inability whether in terms of availability

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functionality and/or performance orotherwise of a system whether or notowned by you to operate at any timeas desired as specified or as requiredin the circumstances of your businessactivities

Microchip(s) means a unit of packaged computer

circuitry manufactured in small scaleand made for program logic and/orcomputer memory purposes andexpressly includes integrated circuitsand microcontroller

System(s) shall include computers other

computing and electronic equipmentlinked to a computer hardwareelectronic data processing equipmentmicrochips and anything which relieson a microchip for any part of itsoperation and includes for theavoidance of doubt any computerinstallation

Virus means programming code designed to

achieve an unexpected unauthorisedand/or undesirable effect or operationwhen loaded onto a systemtransmitted between systems bytransfer between computer systems vianetworks extranets and internet orelectronic mail or attachments theretoor via floppy diskettes or CD-ROMS orotherwise and whether involving self-replication or not

damage to

(a) data which shall include but shallnot be limited to(i) damage to or corruption of

data whether in whole or inpart

(ii) unauthorised appropriation ofuse of access to ormodification of data

(iii) unauthorised transmission ofdata to any third parties

(iv) damage arising out of anymisinterpretation use ormisuse of data

(v) damage arising out of anyoperator error in respect ofdata

(b) any items insured arising directlyor indirectly from(i) the transmission or impact of

any virus(ii) unauthorised access to a

system(iii) interruption of or interference

with electronic means ofcommunication used in theconduct of your businessincluding but not limited toany diminution in theperformance of any websiteor electronic means ofcommunication

(iv) failure of a system(v) anything described in (a)

above

but in respect of (b) (i) (b) (ii) (b)(iii) and (b) (iv) this shall notexclude subsequent damage orloss resulting from subsequentdamage which itself results froma cause not otherwise excludedprovided that such damage doesnot arise by reason of anymalicious act or omission

4 damage to any electrical plant orapparatus caused by self-ignition butthis exclusion shall apply only to thatpart of the electrical plant or apparatusin which self-ignition occurs



Definitions



Accident(s)means(a) electrical or mechanical breakdown

including rupture or bursting caused bycentrifugal force

(b) artificially generated electrical currentincluding electric arcing that disturbselectrical devices appliances or wires

(c) explosion or collapse of steamboilers steam pipes steam engines orsteam turbines owned or leased byyou or operated under your control

(d) damage to covered equipmentoperating under steam or fluidpressure caused by or resulting fromany condition or event (not otherwiseexcluded) occurring inside suchequipment

(e) damage to hot water boilers or otherwater heating equipment and theirassociated oil or water storage tankscaused by or resulting from anycondition or event (not otherwiseexcluded) occurring inside suchequipment

Additional expensesmeans expenses incurred to clean up ordispose of the covered equipmentresulting from contamination by ahazardous substance

Breakdownmeans(a) the actual breaking failure distortion or

burning out of any part of the coveredequipment whilst in ordinary usearising from defects in the coveredequipment causing its suddenstoppage and necessitating repair orreplacement before it can resume work

(b) fracturing of any part of the coveredequipment by frost when suchfracture renders the coveredequipment inoperative

(c) the actual and complete severance ofa rope but not breakage or abrasion ofwires or strands even thoughreplacement may be necessary

Collapsemeans the sudden and dangerous distortion(whether or not attended by rupture) of anypart of the covered equipment caused bycrushing stress by force of internal steamor other fluid pressure (other than pressureof chemical action or ignited flue gases orignition of the contents)

Computer equipmentmeans equipment that is electroniccomputer or other data processingequipment including media software andperipherals used in conjunction with suchequipment belonging to you or for whichyou are responsible

Covered equipmentmeans equipment owned by you or forwhich you are responsible built to operateunder vacuum or pressure (other thanweight of contents) or used for thegeneration transmission or utilisation ofenergy including but not limited to (a) heating systems and hot water heaters(b) air circulation ventilation air

conditioning and non-processrefrigeration systems

(c) electrical panels emergency generatorsand electrical distribution systems

(d) security alarm systems(e) lifts and escalators

Equipment breakdown 2


(f) office equipment including telephonesystems fax machines copiers andprinters

(g) retail equipment bar-code scannerscredit and debit card payment systemsand cash registers

(h) forklift trucks at the premises(i) computer equipment

Excluding(i) any structure foundation masonry

brickwork cabinet compartment or airsupported structure or building

(ii) any insulating or refractory material(iii) any sewer piping underground vessels

or piping or piping forming a part of asprinkler system

(iv) any water piping other than boilerfeedwater piping boiler condensatereturn piping or water piping forming apart of a refrigerating or airconditioning system

(v) any vehicle or mobile lifting equipment(other than forklift trucks at thepremises) or aircraft or floating vesselincluding any equipment mounted onsuch vehicle or mobile liftingequipment or aircraft or floating vessel

(vi) any dragline excavation or constructionplant or equipment

(vii) any tool die cutting edge crushingsurface trailing cable non-metalliclining driving belt or band or any otherpart of covered equipment which isexchangeable and requires periodicrenewal

This exclusion is limited to damageinvolving those parts themselves andshall not apply to other resultantdamage

(viii) any equipment manufactured by youfor sale

(ix) kitchen and food preparationequipment laundry and cleaningequipment and audio-visual equipmentwhilst in a private dwelling or privatedwelling quarters

(x) fixed aerials satellite dishes windturbines and solar panels

Explosionmeans the sudden and violent rending ofthe covered equipment by force of internalsteam or other fluid pressure (other thanpressure of chemical action or ignited fluegases or ignition of the contents) causingbodily displacement of any part of thecovered equipment together with forcibleejection of the contents

Hazardous substancemeans any substance other than ammoniathat has been declared to be hazardous tohealth by a governmental agency

Mediameans all forms of electronic magnetic andoptical tapes and discs for use in anyelectronic computer or electronic dataprocessing equipment

Cover

We will indemnify you (by payment up tothe value of covered equipment at thetime of the damage or at our option byrepair reinstatement or replacement) inrespect of damage to covered equipmentat the premises by any accidenthappening during the period of insurance

Our liability in any one period of insuranceshall not exceed the sum insured under theappropriate section of material damageinsurance provided by this policy for eachitem of covered equipment nor in all thetotal sum insured subject to the maximumliability below

Maximum liability

The total amount we will pay in respect ofthis section shall not exceed £5,000,000 inany one period of insurance subject to alimit of £250,000 any one period ofinsurance for computer equipment

If an initial accident causes otheraccidents all will be considered oneaccident


All accidents that are the result of thesame event will be considered oneaccident

Extensions

The insurance by this section is extended toinclude the following

These extensions do not increase the limitsor sums insured that apply

Computer equipment

Damage caused by or resulting from anaccident to computer equipmentoccurring whilst anywhere in the EuropeanUnion but only whilst in the custody orcontrol of you or your employee


Reinstatement of data

We will pay the costs you incur inreinstating data that is lost or damaged as aconsequence of an accident to computerequipment

Providing that(a) our liability is limited solely to the cost

of reinstating data to media(b) we shall not be liable for any losses

discovered later than 180 days afterthe loss was initiated

(c) we shall not be liable for loss ordamage to software

(d) we shall not be liable under thisextension for costs more specificallydescribed under the Increased cost ofworking extension

Special condition – Back-uprecords

It is a condition precedent to liability thatyou shall maintain a minimum of 2generations of verified back-up computerrecords taken at intervals no less frequentlythan 48 hours one copy as a minimum

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2

being held off site and take all reasonableprecautions to store and maintain records inaccordance with the makers recommendations


Increased cost of working

We will pay costs necessarily andreasonably incurred by you for the solepurpose of avoiding or diminishinginterruption or interference to yourcomputer operations as a consequence ofan accident to computer equipment


Rental income

If the Rental income section of this policy isoperative we will pay to you in respect ofeach item in the Rental income schedulethe loss occurring during the indemnityperiod (as defined in the Rental incomesection) following an accident to coveredequipment that results in the businessbeing interrupted or interfered with

Our liability shall not exceed the suminsured for each item nor in all the totalsum insured and in any event our maximumliability shall not exceed £30,000 any oneperiod of insurance

Hazardous substances

Damage to covered equipment at thepremises caused by contamination by ahazardous substance including anyadditional expenses incurred and if theRental income section of this policy isoperative loss occurring during theindemnity period (as defined in the Rentalincome section) in consequence of thebusiness carried on by you at thepremises being interrupted or interferedwith


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5


Expediting expenses

Reasonable costs necessarily incurred byyou to make temporary repairs andexpedite permanent repairs or permanentreplacement of damaged coveredequipment


European Union and PublicAuthorities (Including undamaged portions)

If in force the European Union and PublicAuthorities extension of the Propertydamage section of this policy applies tocovered equipment damaged as a resultof an accident


Loss avoidance measures

Reasonable costs necessarily incurred byyou to take exceptional measures toprevent or mitigate impending damage tocovered equipment as a result of anaccident

Provided that(a) damage would reasonably be

expected if such measures were notimplemented

(b) we are satisfied that damage hasbeen avoided or mitigated by means ofthe exceptional measures

(c) the amount payable will be limited tothe cost of damage which would haveotherwise occurred

(d) the terms conditions and exclusions ofthis section and the policy apply as ifdamage had occurred

(e) if damage had occurred it would haveresulted in a claim that would havebeen accepted by us under thissection of the policy


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Damage to own surroundingproperty

We shall be liable for damage to propertybelonging to you or in your custody andcontrol and for which you are responsibledirectly resulting from explosion or collapseof any steam boiler steam generatoreconomiser superheater steam pipework orsteam vessel

Limit£1,000,000 any one accident

Memoranda

Reinstatement of property

We shall not be bound to reinstate exactlyor completely any property that is thesubject of a claim but only ascircumstances permit and in reasonablysufficient manner

We shall not pay out in respect of any oneof the items insured more than the suminsured

Reinstatement basis ofsettlement in the event of aclaimApplicable unless stated otherwise inthe schedule

Subject to the following special conditionsthe basis upon which the amount payable inrespect of covered equipment is to becalculated shall be the reinstatement of thecovered equipment that is the subject ofan accident

For this purpose ‘reinstatement’ means(a) the replacement of covered

equipment that is the subject of anaccident which provided our liability isnot increased may be carried out

(i) in any manner suitable to yourrequirements

(ii) upon another site

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(b) the repair or restoration of coveredequipment that is the subject of anaccident

In the case of (a) or (b) to a conditionequivalent to or substantially the same asbut not better or more extensive than itscondition when new

Special condition applicable tothis memorandum

1 Our liability for the repair or restorationof covered equipment that is thesubject of an accident shall notexceed the amount payable forreplacement of the coveredequipment

2 No payment beyond the amount whichwould have been payable in theabsence of this memorandum shall bemade

(a) unless reinstatement commencesand proceeds without unreasonabledelay

(b) until the cost of reinstatement shallhave been actually incurred

3 All the terms and conditions of thepolicy shall apply

(a) in respect of any claim payableunder this memorandum except inso far as they are varied hereby

(b) where claims are payable as if thismemorandum had not beenincorporated

Exclusions

We shall not be liable in respect of

(1) damage caused by or resulting from (a) a hydrostatic pneumatic or gas

pressure test of any boiler orpressure vessel or an insulationbreakdown test of any type ofelectrical equipment

(b) depletion deterioration corrosionerosion wear and tear or othergradually developing conditions

But if damage from an accident

results we shall be liable for thatresulting damage

(c) mould fungus mildew or yeast (d) the direct application of any tool or

process during the course of repairmaintenance inspectionmodification or overhaul

(e) installation erection dismantling re-siting transportation or removal ofcovered equipment other than re-siting transportation or removalunder its own power whilst at itsoperating site

(f) accidental failure of the powersupply

(2) damage to computer equipmentwhich is recoverable under amaintenance agreement warranty orguarantee

(3) in respect of the Rental incomeextension any delay in resumingoperations resulting from the need toreconstruct or re-input data orprograms on media nor for the costsincurred in so doing where the Insuredhas not fully complied with the SpecialCondition – Back-up records

(4) any liquidated damages penalties fordelay or detention or in connectionwith guarantees of performance orefficiency of covered equipment

(5) damage resulting from maliciouspersons riot civil commotion strikerslocked-out workers or persons takingpart in labour disturbances occurring inNorthern Ireland

(6) any damage or loss directly orindirectly caused by or in consequenceof the act or order of any lawfullyconstituted authority

(7) Definitions specific to this exclusion

Data means information represented or

stored electronically including but notlimited to code or series of instructionsoperating systems software programsand firmware


Failure of a system means the complete or partial failure or

inability whether in terms of availabilityfunctionality and/or performance orotherwise of a system whether or notowned by you to operate at any timeas desired as specified or as requiredin the circumstances of your businessactivities

Microchip(s) means a unit of packaged computer

circuitry manufactured in small scaleand made for program logic and/orcomputer memory purposes andexpressly includes integrated circuitsand microcontroller

System(s) shall include computers other

computing and electronic equipmentlinked to a computer hardwareelectronic data processing equipmentmicrochips and anything which relieson a microchip for any part of itsoperation and includes for theavoidance of doubt any computerinstallation

Virus means programming code designed to

achieve an unexpected unauthorisedand/or undesirable effect or operationwhen loaded onto a systemtransmitted between systems bytransfer between computer systems vianetworks extranets and internet orelectronic mail or attachments theretoor via floppy diskettes or CD-ROMS orotherwise and whether involving self-replication or not

damage to

(a) data (other than as provided forunder the Reinstatement of dataextension) which shall include butshall not be limited to(i) damage to or corruption of

data whether in whole or inpart

(ii) unauthorised appropriation ofuse of access to ormodification of data

(iii) unauthorised transmission ofdata to any third parties

(iv) damage arising out of anymisinterpretation use ormisuse of data

(v) damage arising out of anyoperator error in respect ofdata

(b) any items insured arising directlyor indirectly from(i) the transmission or impact of

any virus(ii) unauthorised access to a

system(iii) interruption of or interference

with electronic means ofcommunication used in theconduct of your businessincluding but not limited toany diminution in theperformance of any websiteor electronic means ofcommunication

(iv) failure of a system(v) anything described in (a)

abovebut in respect of (b) (i) (b) (ii) (b)(iii) and (b) (iv) this shall notexclude subsequent damage orloss resulting from subsequentdamage which itself results froma cause not otherwise excludedprovided that such damage doesnot arise by reason of anymalicious act or omission

(8) damage cost or expense that is or canbe insured elsewhere in this policy

(9) damage caused by or resulting fromthe deliberate act of any person carriedout with the intention to causedamage

(10) damage to livestock plants orperishable stock



To the extent that you are accountable tothe tax authorities for Value Added Tax allterms in this section shall be exclusive ofsuch tax

For the purpose of these definitions anyadjustments implemented in current costaccounting shall be disregarded

Definitions



Adjustedmeans adjusted as necessary to provide forthe trend of the business and any othercircumstances affecting the businesseither before or after the damage or whichwould have affected the business had thedamage not occurred so that the adjustedfigures represent as near as possible theresults which would have been obtainedduring the relative period after the damagehad the damage not occurred

Annual rent receivable means the actual annual rent prevailing atthe commencement of the period ofinsurance or the estimated annual rentreceivable during the period of insuranceafter allowance for rent reviews whicheveris the greater

Computer equipmentmeans equipment that is electroniccomputer or other data processingequipment including all forms of electronicmagnetic and optical tapes and discs foruse in any electronic computer or electronic

data processing equipment software andperipherals used in conjunction with suchequipment belonging to you or for whichyou are responsible

Damagemeans destruction or damage caused byany of the insured events

Indemnity periodmeans the period beginning with theoccurrence of the damage and ending notlater than the expiry of the maximumindemnity period during which the results ofthe business are affected as a result of thedamage

Insured eventsmeans unless stated otherwise in theschedule those events which are insured bythe Property damage section

For the purpose of this section ‘explosion’shall include explosion of any boiler oreconomiser on the premises

Rent receivablemeans the amount of the rent and servicecharges received or receivable from theletting of the premises

Standard rent receivable means the rent receivable during theperiod corresponding with the indemnityperiod in the 12 months immediatelybefore the date of the damageproportionately increased where themaximum indemnity period exceeds 12months adjusted

Cover

If any property used by you at thepremises suffers damage during theperiod of insurance and as a result thebusiness at the premises is interrupted orinterfered with we will pay to you thefollowing

For each item in the schedule the amountof loss as a result of the interruption orinterference

Rental income3


Provided that

(1) our liability shall not exceed the suminsured for each item nor in all the totalsum insured

(2) at the time of the damage there isinsurance in force covering yourinterest in the property at thepremises against damage andpayment shall have been made orliability admitted under that insurance(but this proviso shall not apply if nopayment is made solely due to anexcess)

Amount payable The amount payable is limited to

(a) loss of rent receivable and(b) additional expenditure

occurring during the indemnity period andthe amount payable as indemnity shall be

(i) for loss of rent receivable the amountby which the rent receivable duringthe indemnity period shall as a resultof the damage fall short of thestandard rent receivable

(ii) additional expenditure necessarily andreasonably incurred for the solepurpose of avoiding or diminishing theloss of rent receivable which but forthat expenditure would have takenplace during the indemnity period inconsequence of the damage but notexceeding the amount of the reductionin rent receivable avoided less anysum saved during the indemnityperiod for such expenses of thebusiness payable out of rentreceivable which cease or arereduced as a result of the damage

Provided that (1) our maximum liability shall not exceed

on each item of rent receivable 200%of the sum insured to take intoaccount any rent reviews which wouldnormally have taken place but for theoccurrence of damage during the

indemnity period(2) if the sum insured is less than the

annual rent receivable (or aproportionately increased multiple of itwhere the maximum indemnity periodexceeds 12 months) the amountpayable shall be proportionatelyreduced

In the absence of written notice by you orus to the contrary our liability shall not bereduced by the amount of any loss providedthat you pay the appropriate additionalpremium for such automatic reinstatementof cover

Additional increase in cost ofworkingIf the schedule shows that further additionalincrease in cost of working applies we willalso pay such further additional expenditurefor an amount not exceeding £25,000beyond that recoverable under Amountpayable paragraph (b) (ii) necessarily andreasonably incurred during the indemnityperiod in consequence of the damage forthe purpose of avoiding or minimising theloss of rent receivable

Alternative trading clauseIf during the indemnity period thebusiness is conducted elsewhere than atthe premises the money paid or payable toyou for rent at such other premises will betaken into account in arriving at the rentreceivable during the indemnity period

Professional accountants’ chargesAny details contained in your businessbooks which are requested by us for thepurpose of dealing with your claim can beproduced by your professional accountantsand their report shall be accepted asevidence of these details

We will pay to you the reasonable chargespayable by you to your professionalaccountants for producing these details orany other information requested by us


The sum of amount payable under thisclause and the amount otherwise payableunder this section shall not exceed the suminsured

Payments on accountPayments on account will be made duringthe indemnity period

Unoccupied or untenantedbuildingsWhere the buildings or any part of thebuildings are unoccupied and aredestroyed or damaged during the period ofinsurance by an insured event ourmaximum liability shall be the loss ofestimated rental income during the periodof the rebuilding or repair which amountshall be calculated based solely upon anytenancy agreement for such buildings inexistence at the time of the damageoccurring

Managing agents’ chargesWe will indemnify you for Managing agents’charges necessarily and reasonablyincurred in connection with re-lettingpremises following insured loss under thissection

Rent-free periodIf there is a clause in the lease of thepremises that allows a free rent period tothe leaseholder then the definition of theindemnity period is amended to read asfollows

Indemnity periodmeans the period beginning with the dateon which but for the damage rent wouldhave commenced to be received andending not later than the expiry of themaximum indemnity period specified in theschedule during which the results of thebusiness shall be affected in consequenceof the damage

Break clausesThis insurance shall not be prejudiced byany insurance or causality break clause in alease that enables a lessee to determinethe lease in the event of damage

Buildings awaiting saleIf at the time of the damage you havecontracted to sell your interest in thebuildings or have accepted an offer inwriting to purchase your interest in thebuildings subject to contract and the saleis cancelled or delayed solely as a result ofthe damage provided that you make allreasonable efforts to complete the sale ofthe buildings as soon as practicable afterthe damage you may opt for the amountpayable by us to be

(1) during the period prior to the dateupon which but for the damage thebuildings would have been sold

the loss of rent being the actualamount of the reduction of rentreceivable by you solely as a result ofthe damage

(2) during the period commencing with thedate upon which but for the damagethe buildings would have been soldand ending with the actual date of saleor with the expiry of the maximumindemnity period if earlier the loss ofinterest being

(a) the actual interest incurred oncapital borrowed (solely to offset inwhole or part the loss of use of thesale proceeds) for the purpose offinancing the business the rate ofinterest not to be more than 4%above the London Interbankoffered rate applying during theindemnity period and

(b) the investment interest lost to youon any balance of the saleproceeds (after deduction of anycapital borrowed provided under(a))

less any amount of rent receivable

the additional expenditure being(a) the expenditure necessarily and

reasonably incurred solely as a resultof the damage solely to avoid orminimise the loss payable under (1) or(2) above but not exceeding theamount of loss avoided by suchexpenditure


(b) the additional legal fees and otherexpenditure incurred solely followingcancellation or delay as a result of thedamage but not exceeding theamount equivalent to the expenditureincurred immediately prior to thedamage

(c) the amount payable shall be adjustedto provide for any benefit you derivefrom cancellation of or delay in thesale so that it represents as nearly asmay be practicable the actual loss yousuffer

(d) in the event of underinsurance theamount payable shall be adjusted inaccordance with the underinsurancememoranda

provided that the maximum amount payablefor any item of rent under this section is200% of the sum insured stated in theschedule for such item before anyadjustment for underinsurance

Extensions

This section is extended to cover lossresulting from interruption of or interferencewith the business carried on by you at thepremises as a result of the following

Unless specifically stated otherwise theseextensions do not increase our liability asstated in the Cover paragraph to thissection

Prevention of access

Access to or use of the premises or anypremises occupied by your Managingagents being prevented or hindered by

(a) damage to neighbouring property byany of the insured events

(b) any action of Government Police orLocal Authority due to an emergencywhich could endanger human life orneighbouring property

Excluding(i) any loss covered under the Utilities

extension

1

(ii) in respect of (b) any restriction of useof less than 4 hours

(iii) any period when access to thepremises or any premises occupied byyour Managing agent was notprevented or hindered

(iv) closure or restriction in the use of thepremises due to the order or advice ofthe competent local authority as aresult of an occurrence of an infectiousdisease (or the discovery of anorganism resulting in or likely to resultin the occurrence of an infectiousdisease) food poisoning defectivedrains or other sanitary arrangementsor vermin or pests

Our liability for any one occurrence shallnot exceed the sum insured by the items orany limit of liability shown in the schedule

Utilities

Damage by any of the insured events atany

(a) generating station or sub-station ofyour electricity supplier

(b) land-based premises of your gassupplier or any directly linked naturalgas producer

(c) water works or pumping station ofyour water supplier

(d) land-based premises of yourtelecommunications services provider


Managing agent’s premises

The definition of premises is extended toinclude the premises of your Managingagents for any irrecoverable losses sufferedby you resulting from damage at suchpremises

Limit£50,000 or 20% of the rent receivablesum insured whichever is the less

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Loss of investment income

Where following the operation of aninsured event we are making payments forrent receivable and the payment we maketo you is made later than the date uponwhich you would normally expect to receivesuch rent from the lessee we will pay theinterest which you would have earned byplacing the money in your normal depositaccount on the earlier date

Reinstatement of data

We will pay the costs you incur inreinstating data that is lost or damaged as aconsequence of damage to computerequipment at your premises

Providing that(a) our liability is limited solely to the cost

of reinstating data to any form ofelectronic magnetic and optical tapesand discs for use in any electroniccomputer or electronic data processingequipment

(b) we shall not be liable for any lossesdiscovered later than 180 days afterthe loss occurred

(c) we shall not be liable for loss ordamage to software

(d) we shall not be liable under thisextension for costs more specificallydescribed under Computers -Increased Cost of Working extension

Special condition – Back-uprecords

It is a condition precedent to liability thatyou shall maintain a minimum of 2generations of verified back-up computerrecords taken at intervals no less frequentlythan 48 hours one copy as a minimumbeing held off site and take all reasonableprecautions to store and maintain records inaccordance with the makersrecommendations


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Computers - Increased Costof Working

We will pay costs necessarily andreasonably incurred by you for the solepurpose of avoiding or diminishinginterruption or interference to yourcomputer operations as a consequence ofdamage to computer equipment at yourpremises


Book debts

If following damage to your records at thepremises by any of the insured eventsyou are unable to trace outstanding debitbalances owed to you we will indemnifyyou for such loss as follows

(a) we will pay the difference between thetotal outstanding debit balances andthe total of the amounts received ortraced for such balances

(b) we will pay additional expenditureincurred with our previous consent intracing and establishing customers’debit balances after the damage

(c) we will pay for reasonable professionalaccountants’ charges necessarilyincurred in providing any evidencerequired by us in support of a claim

excluding loss arising from misfiling erasuredistortion deliberate falsification of businessrecords abnormal conditions of trade orfrom bad debts


Special condition

It is a condition precedent to liabilityunder this extension that you keep a recordof the total amount outstanding incustomers’ accounts as at the end of eachmonth and within 30 days of the end ofeach month deposit this record in a buildingother than that in which the original recordsare kept

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Specified disease murderfood poisoning defectivesanitation vermin

(a) any occurrence of a specifieddisease at the premises

(b) any discovery of an organism at thepremises resulting in or likely to resultin the occurrence of a specifieddisease

(c) any injury or illness sustained by anyperson arising from or traceable toforeign or injurious matter in food ordrink provided at the premises

(d) any accident causing defects in drainsor other sanitary arrangements at thepremises

(e) any discovery of vermin or pests at thepremises

which causes restrictions in the use of thepremises on the order or advice of thecompetent local authority

(f) murder rape or suicide at thepremises

Definition specific to thisextension

Specified disease means

Acute encephalitisAcute poliomyelitisAnthraxCholeraDiphtheriaDysenteryLegionellosisLegionnaires diseaseLeprosyLeptospirosisMalariaMeaslesMeningitisMeningococcal septicaemia (without meningitis)MumpsOphthalmia neonatorumParatyphoid fever

8PlagueRabiesRelapsing feverRubellaScarlet feverSmallpoxTetanusTuberculosisTyphoid feverTyphus feverViral haemorrhagic feverViral hepatitisWhooping coughYellow fever

Special conditions applicable tothis extension

(i) We shall not be liable under thisextension for any costs incurred in thecleaning repair replacement recall orchecking of property

(ii) We shall only be liable for the lossarising at those premises which aredirectly affected by the occurrencediscovery or accidentIn the event that the policy includes anextension which deems damage atother locations to be damage at thepremises such extension shall notapply to this extension

(iii) Indemnity period shall mean theperiod during which the results of thebusiness shall be affected inconsequence of the occurrencediscovery or accident beginning withthe date from which the restrictions onthe premises are applied (or in thecase of f) above with the date ofoccurrence) and ending not later thanthree months thereafter

Provided that our liability under thisextension in respect of any one occurrencediscovery or accident shall not exceed thelesser of £250,000 or 25% of the suminsured by the items


Unlawful occupancy

Access to or use of the premises beinghindered or prevented due to the premisesor property in the vicinity of the premisesor any rights of way being unlawfullyoccupied by third parties

Excluding loss

i) arising from any cause within yourcontrol

ii) as a result of a dispute between anyemployer and employee or group ofworkers

iii) to the premisesiv) following any incident involving

prevention or hindrance of access to oruse of the premises for less than 12hours duration


Optional extension

The schedule will show if thisextension applies

Loss of attraction

Damage to buildings or other property inthe immediate vicinity of the premiseswhich would have such an effect on thebusiness at the premises that(a) an agreement to lease the premises

or any part of the premises in courseof negotiation or review is avoided oramended and the rent receivable byyou is reduced

(b) the turnover of any lessee’s business isaffected and rent receivable by you isreduced


9

10



Definitions



Act of terrorismmeans an act including but not limited tothe use of force or violence and/or thethreat thereof of any person or group(s) ofpersons whether acting alone or on behalfof or in connection with any organisation(s)or government(s) committed for politicalreligious ideological or similar purposesincluding the intention to influence anygovernment and/or to put the public or anysection of the public in fear

Asbestosmeans asbestos asbestos fibres or anyderivatives of asbestos including anyproduct containing asbestos asbestos fibresor any derivatives of asbestos

Bodily injurymeans bodily injury death disease or illness

Businessmeans as defined in the General Definitionsincluding(a) the routine repair maintenance and

decoration of the premises(b) private work undertaken with your

consent by any employee for anydirector partner or employee of yours

but this does not include any workundertaken offshore

Datameans information represented or storedelectronically including but not limited to

code or series of instructions operatingsystems software programs and firmware

Employed personmeans(a) any employee(b) any person supplied to or hired or

borrowed by you or on your behalf orany work experience student or youthtraining scheme participant while underyour direct control and supervision

Employee(s)means any person under a contract of serviceor apprenticeship with you

Event(s)means one occurrence or series ofoccurrences arising from or attributable toone source or original cause

Injurymeans bodily injury wrongful arrest or falseimprisonment

Legal costsmeans(a) claimant's costs and expenses

recoverable from you in respect of anyclaim which is the subject matter ofindemnity under this policy

(b) (i) the costs of legal representation at (1) any coroner's inquest or inquiry in

respect of any death (2) proceedings in any court arising

out of any alleged breach ofstatutory duty which may be thesubject of indemnity under thissection of the policy

(ii) all other costs and expenses inrelation to any matter which may formthe subject of a claim for indemnityunder this section of the policy

incurred with our prior written consent

Offshoremeans embarkation onto a vessel or aircraftfor conveyance to an offshore rig platform orservice or accommodation vessel untildisembarkation from the conveyance ontoland upon return from such offshore rigplatform or service or accommodation vessel

Liabilities4


Pollution or contaminationmeans injury or damage directly orindirectly caused by or arising out ofpollution or contamination of buildings orother structures or of water land or theatmosphere

Principalmeans any party (other than a directortrustee partner or employee of yours) onwhose behalf you are undertaking work(excluding the sale or supply of products)in connection with the business

Productsmeans goods (including containers andpackaging) not in your custody or controlsold supplied installed erected servicedrepaired altered or treated by you inconnection with the business

Any error in the sale supply or presentationof such goods is included in this definition

Propertymeans material property but this does notinclude data

You/your/yoursmeans the Insured named in the schedule

Unless we specifically state otherwise wewill also indemnify(a) your personal representatives in

respect of legal liability incurred by you(b) at your request (i) any principal (ii) any director trustee partner or

employed person of yoursin respect of liability for which you wouldhave been entitled to indemnity had theclaim been made against you(c) any officer or member of your canteen

social sports and welfare facilities andfire first aid ambulance and securityservices in their individual capacities assuch

(d) any director trustee partner oremployee of yours in respect ofprivate work carried out with your priorconsent by an employed person for

such director trustee partner oremployee

We will not provide an indemnity to anymedical or dental practitioner in respect ofmedical services provided

Cover 1 – Employers’ liability

This insurance is provided on a 'CostsInclusive' basis

This means that legal costs are includedwithin the limit of indemnity specified in theschedule

Cover

We will indemnify you against your legalliability to pay damages and legal costsarising out of bodily injury to an employedperson caused during the period ofinsurance (a) within the geographical limitsor(b) while temporarily outside these

territoriesin connection with the business

The total amount we will pay in respect of(a) any one event which is directly or

indirectly caused by results from or isin connection with any act ofterrorism shall not exceed£5,000,000

If we allege the bodily injury hasresulted from any act of terrorism theburden of proving the contrary shall beupon you

(b) any other event shall not exceed thelimit of indemnity shown in theschedule

This insurance complies with the provisionsof any law enacted in the geographicallimits relating to the compulsory insuranceof liability to employees

You will repay any sums paid by us whichwe would not have been obliged to pay butfor the provisions of such law


Employers’ liability extension

The following is subject to the terms of thepolicy

Unsatisfied court judgements

Where a judgement for damages has beenobtained(a) by one of your employees or their

personal representatives in respect ofbodily injury caused during any periodof insurance and which arises out ofand in the course of their employmentwith you

(b) in any court situated within thegeographical limits

(c) against any company or individualoperating from premises within thegeographical limits

(d) which remains unsatisfied in whole orin part six months after the date of thejudgement

we will at your request pay to theemployee or their personal representativesthe amount of damages and any awardedcosts which remain unsatisfied subject tothere being no appeal outstanding

Any payment under this extension isconditional upon the judgement beingassigned to us by the employee or theirpersonal representatives

Employers’ liability exclusion

No indemnity will be provided in respect ofany liability in respect of bodily injury forwhich you are required to arrange motorinsurance or security in accordance withany road traffic legislation within theEuropean Union

Cover 2 – Public liability

This insurance is provided on a ‘Costs inAddition’ basis unless stated otherwise

This means that (with the exception ofclaims which are brought within the legaljurisdiction of the United States of Americaor Canada) legal costs are payable inaddition to the limit of indemnity specifiedin the schedule

Cover

We will indemnify you against your legalliability to pay damages arising out of

(a) accidental injury of any person(b) accidental damage to property(c) nuisance trespass to land trespass to

goods or interference with anyeasement of air light water or way

We will not provide indemnity inrespect of any liability which arisesfrom any deliberate act or omission byyou which could reasonably have beenexpected having regard to the natureand circumstances of such act oromission or which is a naturalconsequence of the ordinary conductof your business

happening during the period of insuranceand caused in connection with thebusiness

We will in addition indemnify you againstlegal costs other than in respect of

(a) any claim which is brought within thelegal jurisdiction of the United Statesof America or Canada in whichcircumstances legal costs shall beincluded within the limit of indemnity

(b) any claim as insured under theLegionellosis and Financial lossextensions in which circumstanceslegal costs shall be included withinthe limit of indemnity


The total amount we will pay in respect ofdamages for(a) all events arising from pollution or

contamination (other than as insuredby the Legionellosis extension) whichwe deem to have occurred during anyperiod of insurance shall not exceedthe limit of indemnity shown in theschedule

(b) any other event shall not exceed thelimit of indemnity shown in theschedule

Where we are liable to indemnify more thanone person the total amount of indemnity toall parties including you in respect ofdamages arising from one event shall notexceed the limit of indemnity shown in theschedule

Public liability extensions

Each of the following is subject otherwiseto the terms of this policy

Cross liabilities

If you consist of more than one party (andin the case of partnerships this shall meaneach individual partner) we will indemnifyeach party in the terms of this policyagainst liability incurred to the other in thesame manner and to the same extent as ifa separate policy had been issued to eachsubject to the maximum amount payable inrespect of damages arising out of oneevent not exceeding the limit of indemnity

Contingent motor liability

Notwithstanding exclusion 5 regardingvehicles we will indemnify you alone inrespect of legal liability for injury ordamage arising out of the use by anyemployee in the course of the business ofany mechanically propelled vehicle which isneither owned by nor provided by you

1

2

We will not provide an indemnity in respectof(a) damage to such vehicle or any

property contained or beingtransported within it

(b) injury or damage arising while thevehicle is being driven by you or anyperson who to your knowledge doesnot hold a licence to drive such avehicle (unless they have held and arenot disqualified for holding or obtainingsuch a licence)

(c) circumstances where you are entitledto indemnity under any other insurance

(d) injury or damage arising outside thegeographical limits

Data Protection Act 1998

We will indemnify you and if you requestany employee director or partner of yoursagainst legal liability to pay damages andclaimant’s costs and expenses for damageor distress as described in Section 13 ofthe Data Protection Act 1998

This indemnity is subject to you beingregistered in accordance with the Act orhaving applied for such registration whichhas not been refused or withdrawn and thatyou have taken all reasonable care tocomply with its requirements

We will not provide any indemnity in respectof(a) the payment of fines or penalties(b) the costs of replacing reinstating

rectifying erasing blocking ordestroying any personal data

(c) liability arising from or caused by adeliberate or intentional act by oromission of any person entitled toindemnity

(d) claims arising out of circumstanceswhich have been notified to previousinsurers or which were known to youat the inception of this extension

(e) legal liability where indemnity isprovided by any other insurance

3


Defective Premises Act

We will indemnify you against legal liabilityincurred by virtue of Section 3 of theDefective Premises Act 1972 or Section 5of the Defective Premises (NorthernIreland) Order 1975 in respect of injury ordamage which occurs within a period ofseven years from the expiry or cancellationof this policy

No indemnity will be provided(a) if you are entitled to indemnity under

any other insurance(b) in respect of the cost of remedying any

defect or alleged defect in thepremises disposed of

Overseas personal liability

We will indemnify you and if you requestany employee director or partner of yoursfor personal liability for injury or damagearising other than in connection with thebusiness or any business of the personclaiming indemnity while such persons aretemporarily outside the geographicallimits in connection with the business

No indemnity will be provided by thisextension(i) for any liability which attaches solely

because of a contract(ii) arising out of the ownership or

occupation of land or buildings(iii) where indemnity is provided by any

other insurance(iv) arising from any craft designed to

travel in on or through water air orspace but this exclusion shall not applyto any watercraft hired or borrowedand which are less than 9 metres inlength and with a maximum speed ofless than 15 knots while operated oninland waterways or within 3 miles ofthe coast

We will in addition indemnify you againstlegal costs other than in respect of anyclaim which is brought within the legal

4

5

jurisdiction of the United States of Americaor Canada in which circumstances legalcosts shall be included within the limit ofindemnity

The total amount we will pay for damagesfor any one event is £5,000,000

Legionellosis

The insurance provided by this extension ison a claims made basis inclusive of legalcosts subject to

(a) cover being operative solely at thepremises

(b) the Retroactive Date being the date ofinception of this extension

We will indemnify you against your legalliability to pay damages and legal costs inrespect of accidental bodily injury causedby Legionellosis arising out of the business

Provided that this indemnity only applies to(i) any claim which is first made in writing

to you during the period of insurance(ii) any incident which has caused or

alleged to have caused bodily injuryor can be reasonably expected to giverise to a claim

and which is notified to us within the periodof insurance or within 30 days of its expiry

The most we will pay in respect of any oneclaim and in the aggregate for all claimsinclusive of legal costs in any one periodof insurance is £1,000,000 (or any otherlimit as shown in the schedule)

All claims arising out of the same isolatedrepeated or continuing incidence ofLegionellosis shall be deemed to be madein the period of insurance when(a) the first claim was first made in writing

to you and notified to us(b) the first notification of the

circumstances was first made to us

6


ExclusionsThe indemnity will not apply to legal liability(i) arising out of or in connection with any

products supplied by you or contractwork executed by you

(ii) arising from or in connection with anyadvice design or specification providedby you

(iii) in respect of Legionellosis whichcommenced prior to the RetroactiveDate

Special provision

It is a requirement of this extension to coverthat you adhere to the current Health andSafety Executive’s Approved Code ofPractice for the Prevention of LegionnairesDisease: The control of legionella bacteriain water systems

Environmental statutoryclean up costs

We will indemnify you against your legalliability in respect of the cost of(a) Remediation which you are legally

required or ordered to conduct by aregulatory authority

(b) Reimbursing a regulatory authoritywhere remediation has beenconducted by or on behalf of theregulatory authority

arising from pollution or contaminationcaused by a sudden identifiable unintendedand unexpected incident which takes placein its entirety at a specific point in time andplace during the period of insurance and inconnection with the business

All pollution or contamination whicharises out of one incident shall be deemedto have occurred at the time such incidenttakes place

You shall be liable for 10% of the cost ofany claim giving rise to indemnity under thisextension subject to a minimumcontribution of £2,500

7

The maximum amount payable under thisextension shall not exceed £1,000,000 inthe aggregate in respect of all incidentsoccurring during the period of insurance

ExclusionNo indemnity will be provided in respect ofthe removal or disposal of any wastedeposited by you or on your behalf

Definitions applying to thisextension

Environmental legislationmeans any legislation enacted within theUnited Kingdom governing the(a) prevention and control of pollution and

contamination(b) protection of the environment

Regulatory authoritymeans any statutory authority regulator orlegal body which has authority underenvironmental legislation to legallyrequire or order remediation or to conductremediation itself and to recover the costsof doing so from others

Remediationmeans the minimum level of works oroperations necessarily conducted under theprovisions of the environmentallegislation to investigate treat removedispose of curtail or minimise pollution butthis will not include any works or operations(a) to reinstate reintroduce or restore flora

or fauna(b) to restore natural habitats or species

protected by environmental legislationor the services that those naturalhabitats or species perform

(c) which improve the state or condition ofland or water in comparison with itsstate or condition immediately prior tothe incident that caused the pollutionor contamination


Financial loss

Definitions applying to thisextension

Computermeans computer or other equipment mediaor system (or any part of them) forprocessing storing or retrieving data toinclude without limitation any microchipintegrated circuit or similar device or anycomputer software

We will indemnify you for all sums whichyou become legally liable to pay (other thanarising under contract) as damages andlegal costs in respect of any claim orclaims for financial loss first made againstyou during the period of insurance or within30 days of its expiry in connection with thebusiness

The most we will pay in respect of any oneclaim and in the aggregate for all claimsinclusive of legal costs in any one periodof insurance is £250,000 (or any other limitas shown in the schedule)

ExclusionsThe indemnity will not apply to legal liability (i) arising out of any breach of anti-trust

laws(ii) arising directly or indirectly from or out

of damage to data including but notlimited to any

- loss of or corruption to datawhether in whole or in part

- unauthorised appropriation useaccess to or modification of data

- unauthorised transmission of anydata to any third party

- misinterpretation use or misuse ofdata

- operator error (iii) arising out of any defamation injurious

falsehood passing off or infringementof any patent trademark copyrightregistered design technical orcommercial information or otherintellectual property

8(iv) arising from the diminution of value of

any property(v) arising directly or indirectly from or out

of - the transmission or impact of any

virus or similar mechanism - any unauthorised access to any

computer - interruption of or interference with

electronic means of communicationused in the conduct of thebusiness including but not limitedto any diminution in theperformance of any website orelectronic means of communication

- failure of any computer(vi) for any financial loss sustained by any

employee arising out of and in thecourse of employment by you in thebusiness

(vii) to any statutory authority arising fromthe enforcement of statutoryrequirements or the performance ofstatutory duties

(viii) for financial loss arising from anyreciprocal arrangement for the storageor processing of computer data or useof computer facilities

(ix) arising out of or in connection with anydelays strikes or labour disturbances

Public liability exclusions

No indemnity will be provided in respect of

(1) any liability connected directly orindirectly in any way with any error oromission in the provision ofprofessional services

(2) any liability arising from bodily injuryto any employed person caused inconnection with the business

(3) any liability arising from damage toproperty which is owned or held intrust by you or which is in yourcustody or control

Exclusion (3) will not apply in respectof


(a) personal effects including vehiclesand their contents belonging toresidents employees directorstrustees partners or visitors

(b) premises and their contents notowned by leased or rented by youat which you are undertaking workin connection with the business

(c) premises including fixtures andfittings hired by or leased rented orborrowed by you but we shall notbe liable for

(i) the first £250 of any damageother than caused by fire orexplosion

(ii) any liability arising solely underthe terms of any contract oragreement

(iii) any liability which arises from anagreement to maintain in forceinsurance against loss of ordamage to the premises andtheir fixtures and fittings

(4) any liability arising out of or inconnection with excavation siteclearance construction erectionstructural extension alteration ordemolition

(5) any liability arising from ownershippossession or use by you or on yourbehalf of

(a) any mechanically propelled vehiclebut (except where indemnity isprovided by any motor insurancepolicy or in circumstances whereinsurance or security is requiredunder any road traffic legislation)this exclusion will not apply inrespect of

(i) the use of plant as a tool oftrade on site

(ii) the use of plant at thepremises

(iii) the loading or unloading of anyvehicle

(iv) the movement of any vehicle notbelonging to you which isinterfering with the execution ofthe business

(b) any craft designed to travel in on orthrough water air or space but thisexclusion shall not apply to any non-mechanically propelled waterbornecraft of less than 9 metres in lengthwhilst operated on inland waterwaysor within 3 miles of the coast

(6) any liability arising directly or indirectlyfrom pollution or contaminationunless the pollution or contaminationis caused by a sudden identifiableunintended and unexpected incidentwhich takes place in its entirety at aspecific moment in time and placeduring the period of insurance

For the purposes of this exclusion allpollution or contamination whicharises out of one incident shall bedeemed to have occurred at the timesuch incident takes place

(7) any liability arising from advice designor specification provided for a fee or forwhich a fee would normally be charged

(8) any liability arising from the sale orsupply of any products but thisexclusion shall not apply to the disposalof furniture furnishings and officeequipment originally used in connectionwith the business and which is nolonger required for that purposeproviding that these are not to yourknowledge to be exported to the UnitedStates of America or Canada

The total amount we will pay in respectof damages for all events happeningduring any period of insurance causedby the disposal of such furniturefurnishings and office equipment shallnot exceed the limit of indemnity shownin the schedule

(9) the costs of remedying any defect oralleged defect in premises which youhave disposed of

(10) (a)fines or penalties (b) liquidated damages (c) any compensation awarded by a

court of criminal jurisdiction (d) multiplied aggravated exemplary or

punitive damages


(11) any liability arising from the ownershipor use by you or on your behalf of anypremises situated in the United Statesof America or Canada

(12) any liability arising from the supervisionor execution of any manual work orcontract undertaken outside of theEuropean Union

(13) any liability arising directly or indirectlyfrom mining processing manufacturingremoving handling disposing oftreatment of distributing or storing ofasbestos

However this shall not apply whereremoving handling or disposing ofasbestos does not form part of yourusual business or any contract workundertaken and

(a) you have complied with any legalobligations to manage asbestosand

(b) any discovery of asbestos by youis unintentional and accidental and

(c) whereupon discovery of asbestosall work immediately stops and

(d) a HSE licensed asbestos removalcontractor is employed to makesafe the area in which the discoveryis made as soon as is practicableand who has Employers’ and Publicliability insurance in force whichprovides limits of indemnity no lessthan those provided by yourpolicies and which do not excludethe work to be carried out

(14) any liability arising directly or indirectlyfrom fears of the consequences ofexposure to or inhalation of asbestos

(15) any liability arising from damage toproperty where there is a requirementto arrange cover under clause 6.5 ofthe 2007 JCT conditions or any similarcontract clause

(16) any loss damage cost or expense (a) directly or indirectly caused by

contributed to by resulting from orarising out of or in connectionwith any act of terrorismregardless of any other cause or

event contributing concurrently orin any other sequence to the loss

(b) of whatsoever nature directly orindirectly caused by resulting fromor in connection with any actiontaken in controlling preventingsuppressing or in any way relatingto any act of terrorism

If we allege that by reason of thisexclusion any loss damage cost orexpense is not covered by this policythe burden of proving the contrary shallbe upon you

Liability section extensions

If in force the covers of this section areextended for the following and are subjectto terms conditions and exclusions of therelevant cover

Compensation for courtattendance

If we request any of the followingcategories of people to attend court as awitness in connection with a claim underthis section of the policy we will provideyou with the following rates ofcompensation for each day on whichattendance is required

Any of your directors trustees or partners£500Any employee £250

Corporate manslaughterdefence costs

We will indemnify you in respect of legalcosts and expenses incurred with our priorwritten consent in connection with thedefence of any criminal proceedings or anappeal against conviction which arise fromcriminal proceedings for any offence asdefined in Section 1 of the CorporateManslaughter and Corporate Homicide Act2007 committed or alleged to have beencommitted during the period of insurance inthe course of the business

1

2


Provided that(a) our liability under this extension shall

not exceed £1,000,000 in any oneperiod of insurance

This limit will form part of and not be inaddition to the limit of indemnity statedin the schedule

(b) if this policy provides Legal expensesinsurance this extension shall onlyoperate in respect of any excessbeyond the amount payable under theLegal expenses section

(c) where we have already provided anindemnity in respect of any legal costsincurred in the defence of any criminalproceedings arising out of the sameevent which has given rise to theproceedings in respect of corporatemanslaughter or corporate homicide anyamount already paid by us will be takeninto account in calculating our liabilityunder this extension

(d) we must consent in writing to theappointment of any solicitor or counselwho is to act for and on your behalf

(e) any appeal can only commence ifcounsel has advised that it is more likelyfor an appeal to be successful than not

No indemnity will be provided (i) where indemnity for defence costs is

available from any other source or isprovided by any other insurance orwhere but for the existence of thisextension indemnity would have beenprovided by such other source orinsurance

However this exclusion shall not applyin the circumstances outlined in proviso(b)

(ii) in respect of any proceedings whichresult from your deliberate act oromission or deliberate act or omissionof any trustees managerial employeespartners directors of yours while actingin their corporate capacity and whichcould reasonably have been expectedhaving regard to the nature andcircumstances of such act or omission

(iii) in respect of fines or penalties of anykind including the costs of remedial or

publicity orders or the steps required tobe taken by such orders

Prosecution defence costs

We will subject to the limit of indemnityindemnify you in respect of(a) legal costs and expenses incurred

with our written consent (b) costs awarded against youin connection with the defence of anycriminal proceedings or an appeal against aconviction arising from such proceedingsbrought for a breach of(i) the Health & Safety at Work etc. Act

1974(ii) Part II of the Consumer Protection Act

1987alleged to have been committed during theperiod of insurance in connection with thebusiness

Exclusions

We will not provide any indemnity(a) where indemnity is provided by any

other insurance(b) in circumstances where injury or

damage has occurred which may bethe subject of a claim under either theemployers' liability or public liabilitycovers of this section

(c) in respect of fines or penalties of anykind

(d) where the proceedings have resultedfrom any deliberate act or omission by

(i) you or any director trustee orpartner of yours

(ii) any employee of yours who hasspecific responsibility forcompliance with the abovelegislation

which could reasonably have beenexpected to constitute a breach of theabove legislation

Limit of indemnityThe total amount we will pay in respect ofany one claim shall not exceed £500,000


The schedule will show if thissection applies and the coverin force

Note (not forming part of the policy):

To ensure an expert service the cover underthis section has been arranged by us inconjunction with DAS Legal ExpensesInsurance Company Limited (DAS).

We are responsible for paying any claimsunder this section but DAS manage allclaim matters and correspondence on ourbehalf. The legal advice service and claimshandling service is provided by DAS LawLimited and/or a preferred law firm onbehalf of DAS.

If you wish to speak to DAS about a legalproblem or make a claim, please phone:

0345 268 9124DAS will ask you about your legal issue andif necessary call you back to give you legaladvice.

If your issue cannot be dealt with throughlegal advice and needs to be dealt with as apotential claim under this section of thepolicy, DAS will give you a referencenumber. At this point they will not be able totell you whether the claim is covered or notbut will pass your information to theirclaims-handling team and explain what todo next.

When presenting a claim for legalexpenses, the insured person must informDAS as soon as possible and within thetime limits stipulated under the individualcovers, conditions and exclusions to thissection, giving full details in writing of theinsured incident and provide such proofs,supporting evidence and other informationas DAS may require.

Please do not ask for help from a solicitoror accountant before DAS have agreed. Ifyou do we will not pay the costs involved.

DAS Head and Registered Office:DAS Legal Expenses Insurance CompanyLimited,DAS House,Quay Side, Temple Back,Bristol BS1 6NH.

Registered in England and Wales, number103274. DAS Legal Expenses InsuranceCompany Limited is authorised by thePrudential Regulation Authority andregulated by the Financial ConductAuthority and the Prudential RegulationAuthority.

Website: www.das.co.uk

DAS Law Limited Head and RegisteredOffice:DAS Law Limited,North Quay,Temple Back,Bristol BS1 6FL.

Registered in England and Wales, number5417859. DAS Law Limited is authorisedand regulated by the Solicitors RegulationAuthority. DAS Law Limited is listed on theFinancial Conduct Authority register to carryout insurance mediation activity, includingthe administration of insurance contracts,on behalf of DAS Legal ExpensesInsurance Company Limited.

Website: www.daslaw.co.uk

Definitions



Legal expenses5


Costs and expensesmeans(1) Legal costs All reasonable and necessary costs

chargeable by the representative on astandard basis Also the costs incurred by opponentsin civil cases if an insured person hasbeen ordered to pay them or paysthem with the agreement of DAS

(2) Attendance expenses The insured person’s salary or wages

for the time that the insured person isoff work to attend any court hearing atthe request of the representative

We will pay for each half or whole day thatthe court tribunal or the insured person’semployer will not pay for

The amount we will pay is based on thefollowing(a) The time the insured person is off

work including the time it takes totravel to and from the hearing

This will be calculated to the nearesthalf day assuming that a whole day iseight hours

(b) If the insured person works full-timethe salary or wages for each whole dayequals 1/250th of the insuredperson’s yearly salary or wages

(c) If the insured person works part-timethe salary or wages will be a proportionof the insured person’s weekly salaryor wages

DASmeans DAS Legal Expenses InsuranceCompany Limited

Date of occurrencemeans for civil cases when the cause ofaction first accrued

Insured event(s)means the circumstances in which theinsurance provided by this section willoperate as described in each separatecover

Insured personmeans the insured and the directorstrustees partners managers employees andany other individuals declared to us by theinsured

Limit of indemnitymeans the sum shown in the schedulewhich is the most we will pay for all claimsresulting from one or more events arising atthe same time or from the same originatingcause

Period of insurancemeans the period for which we have agreedto cover the insured person and for whichthe premium has been paid

Representativemeans the lawyer or other suitably qualifiedperson who has been appointed to act foran insured person in accordance with theterms of this section

Territorial limitmeansThe United Kingdom of Great Britain andNorthern Ireland the Isle of Man and theChannel Islands

Cover

We will indemnify the insured person inrespect of any insured event shown asincluded in the schedule arising inconnection with the business as long as(a) the date of occurrence of the

insured event happens during theperiod of insurance and within theterritorial limit and

(b) any legal proceedings will be dealt withby a court or other body which DASagree to in the territorial limit and

(c) in civil claims it is always more likelythan not that an insured person willrecover damages or obtain any otherlegal remedy which DAS have agreedto or make a successful defence


For all insured events DAS will help inappealing or defending an appeal as longas the insured person tells DAS within thetime limits allowed that they want DAS toappeal

Before we pay any costs and expensesfor appeals DAS must agree that it isalways more likely than not that the appealwill be successful

If a representative is used we will pay thecosts and expenses incurred for this

We will pay compensation awards that DAShave agreed to

The most we will pay for all claims resultingfrom one or more event arising at the sametime or from the same originating cause isshown as the limit of indemnity in thepolicy schedule

Insured event

Removal of squatters

We will pay the costs and expenses tosecure the eviction of squatters from theinsured’s premises or land insured by thispolicy

Exclusions

1. Any claim relating to the eviction oftenants or ex-tenants of the insured

2 Any claim reported to DAS more than90 days after the date the insuredperson should have known about theinsured event

3 Costs and expenses incurred beforethe written acceptance of a claim byDAS

4 Fines penalties compensation ordamages which the insured person isordered to pay by a court or otherauthority

5 Any claim relating to patentscopyrights trademarks merchandisemarks registered designs intellectualproperty secrecy and confidentialityagreements

6 Any claim relating to rights under afranchise or agency agreemententered into by the insured

7 Any insured event deliberately orintentionally caused by an insuredperson

8 A dispute with us or DAS nototherwise dealt with under Condition 7of this section

9 Any claim relating to a shareholding orpartnership share in the insuredunless such shareholding was acquiredunder a scheme open to all employeesof the insured or a substantial numberof them of a certain minimum gradeother than the directors or partners ofthe insured

10 Judicial review

11 Any legal action an insured persontakes which DAS or therepresentative have not agreed to orwhere the insured person doesanything that hinders DAS or therepresentative

12 When either at the commencement ofor during the course of a claim notifiedunder this section the insured isbankrupt or has filed a bankruptcypetition or winding-up petition or hasmade an arrangement with its creditorsor has entered into a deed ofarrangement or is in liquidation or partor all of its affairs or property are in thecare or control of a receiver oradministrator


Conditions

1. An insured person must (a) keep to the terms and conditions of

the policy (b) notify us as soon as is reasonably

possible of any alteration whichmay materially affect ourassessment of the risk

(c) take reasonable steps to keep anyamount we have to pay as low aspossible

(d) try to prevent anything happeningthat may cause a claim

(e) send everything DAS ask for inwriting

(f) give DAS full and truthful details ofany claim as soon as possible andgive DAS any information theyneed

2. (a) DAS can take over and conduct inthe name of an insured personany claim or legal proceedings atany time DAS can negotiate any claim onbehalf of an insured person

(b) DAS will choose therepresentative to represent aninsured person in any proceedingswhere we may be liable to pay acompensation award

In other cases an insured personis free to choose a representative(by sending DAS the suitablyqualified person’s name andaddress) if

(i) DAS agrees to start legalproceedings and it becomesnecessary for a lawyer torepresent the interests of aninsured person in thoseproceedings or

(ii) there is a conflict of interest. (c) Before an insured person chooses

a lawyer or an accountant DAS canappoint a representative

(d) A representative will be appointedby DAS and represent an insuredperson according to DAS’sstandard terms of appointmentwhich may include a ‘no win no fee’agreement

The representative must co-operate fully with DAS at all times

(e) DAS will have direct contact withthe representative

(f) An insured person must co-operate fully with DAS and therepresentative and must keepDAS up-to-date with the progressof the claim

(g) An insured person must give therepresentative any instructionsthat DAS require

3. (a) An insured person must tell DASif anyone offers to settle a claimand must not agree to anysettlement without DAS’s writtenconsent

(b) If an insured person does notaccept a reasonable offer to settlea claim we may refuse to pay anyfurther costs and expenses

(c) We may decide to pay the insuredperson a reasonable sum of moneyin respect of the amount ofdamages the insured person isclaiming or is being claimed againstthem instead of starting orcontinuing legal proceedings


4. (a) If DAS ask an insured personmust tell the representative tohave costs and expenses taxedassessed or audited

(b) An insured person must takeevery step to recover costs andexpenses that we have to pay andmust pay us any costs andexpenses that are recovered

5. If a representative refuses to continueacting for an insured person withgood reason or if an insured persondismisses a representative withoutgood reason the cover we provide willend at once unless DAS agree toappoint another representative

6. If an insured person settles a claim orwithdraws their claim without theagreement of DAS or does not givesuitable instructions to arepresentative the cover we providewill end at once and we will be entitledto re-claim any costs and expensespaid by us

7. If there is a disagreement about theway DAS handle a claim that is notresolved through our complaintsprocedure DAS and the insured canchoose a suitably qualified person toarbitrate DAS and the insured must both agreeto the choice of this person in writing

Failing this DAS will ask the presidentof a national association relevant to thearbitration to choose a suitablyqualified person

All costs of resolving the matter mustbe paid by the party whose argumentis rejected If the decision is not clearly madeagainst either party the arbitrator willdecide how the costs are shared

8. DAS may at their discretion require theinsured to obtain an opinion fromcounsel at the insured’s expense asto the merits of a claim or proceedings

If counsel’s opinion indicates that thereare reasonable grounds for the pursuitor defence of a claim or proceedingsthe cost of obtaining the opinion willbe paid for by us

9. All Acts of Parliament within thesection wording shall includeequivalent legislation in ScotlandNorthern Ireland the Isle of Man or theChannel Islands as the case may be

10. This section will be governed byEnglish law


The schedule will show if thissection applies

Definitions



Act of terrorismmeans acts of persons acting on behalf ofor in connection with any organisationwhich carries out activities directed towardsthe overthrowing or influencing by force orviolence of Her Majesty’s government in theUnited Kingdom or any other governmentde jure or de facto

Business interruptionmeans loss arising from interruption orinterference with the business carried onby you at the premises as a result ofdamage to or destruction of property usedby you at the premises for the purpose ofthe business

Denial of service attackmeans any actions or instructionsconstructed or generated with the ability todamage interfere with or otherwise affectthe availability of networks network servicesnetwork connectivity or information systems

Denial of service attacks include but are notlimited to the generation of excess trafficinto network addresses the exploitation ofsystem or network weaknesses and thegeneration of excess or non-genuine trafficbetween and amongst networks

Eventmeans all individual losses arising inrespect of a continuous period of 72 hoursof which the proximate cause is the sameact of terrorism

The date and time that any such period of72 hours shall commence shall be set byus

Hackingmeans unauthorised access to anycomputer or other equipment or componentor system or item which processes storesor retrieves data whether your property ornot

Nuclear installationmeans any installation of such class ordescription as may be prescribed byregulations made by the relevant Secretaryof State from time to time by statutoryinstrument being an installation designed oradapted for(a) The production or use of atomic

energy(b) The carrying out of any process which

is preparatory or ancillary to theproduction or use of atomic energyand which involves or is capable ofcausing the emission of ionisingradiations

(c) The storage processing or disposal ofnuclear fuel or of bulk quantities ofother radioactive matter being matterwhich has been produced or irradiatedin the course of the production or useof nuclear fuel

Nuclear reactormeans any plant (including any machineryequipment or appliance whether affixed toland or not) designed or adapted for theproduction of atomic energy by a fissionprocess in which a controlled chain reactioncan be maintained without an additionalsource of neutrons

Phishingmeans any access or attempted access todata or information made by means ofmisrepresentation or deception

Terrorism 6


Property insuredmeans all property which is insured underother sections of this policy

Excluding(a) any land or building which is occupied

as a private residence or any partthereof which is so occupied unless(i) the remainder of the building is

not a private residence and isinsured under this policy

(ii) such land or building is notinsured in the name of anindividual

(b) any nuclear installation or nuclearreactor and all fixtures and fittingssituated thereon and attached theretoand all pipes wires cables drains orother conduits or service media of anydescription which are affixed orconnected to or in any way serve suchnuclear installation or nuclearreactor

Territorial limitsmeans England Wales and Scotland but notthe territorial seas adjacent thereto asdefined by the Territorial Sea Act 1987

Virus or similar mechanismmeans program code programminginstruction or any set of instructionsintentionally constructed with the ability todamage interfere with or otherwiseadversely affect computer programs datafiles or operations whether involving self-replication or not This includes but is not limited to Trojanhorses worms and logic bombs

Cover

We will pay you for(a) damage to or the destruction of

property insured belonging to you orfor which you are legally responsible

(b) business interruption as insured bythis policy

occasioned by or happening through or inconsequence of an act of terrorism withinthe territorial limits

Provided always that the insurance by thissection(i) is not subject to any of the General

exclusions of this policy(ii) is not subject to any long term

agreement or undertaking which mayotherwise apply

(iii) is not subject to any terms in thispolicy which provide for adjustments ofpremium

(iv) is subject otherwise to all the termsprovisions definitions and conditions ofthis policy except where expresslyvaried within this section

(v) is subject to a maximum period ofinsurance of 12 months from theinception or renewal date of this policyAny subsequent period of coverprovided by this section whether for 12months or less is deemed to constitutea new period of insurance providedthat(a) no subsequent period of

insurance by this section shallextend beyond the next renewaldate of this policy

(b) the renewal premium due inrespect of this section has beenreceived by us

Basis of settlement

As described in the relevant section of thispolicy in respect of damage to ordestruction of the property insured orbusiness interruption

The most we will pay for any one event isthe lesser of(a) the total sum insured or(b) for each item its individual sum insured

or(c) any other limit of liabilityas stated in the relevant section of thispolicy less the excess


The excess applicable to losses under thisTerrorism section shall be equal to theexcess applied in respect of the risk of fireand/or explosion under the other sectionsof this policy

Exclusions

We will not be liable for any losseswhatsoever(1) occasioned by riot civil commotion war

invasion act of foreign enemyhostilities (whether war be declared ornot) civil war rebellion revolutioninsurrection or military or usurpedpower

(2) arising under(a) marine aviation and transit policies(b) motor insurance policies(c) bankers blanket bond

(3) directly or indirectly caused bycontributed to by or arising from oroccasioned by or resulting from(a) the alteration modification

distortion corruption of or damageto any computer or otherequipment or component orsystem or item which processesstores transmits or receives dataor any part thereof whethertangible or intangible (includingbut without limitation anyinformation or programs orsoftware)

(b) any alteration modificationdistortion erasure corruption ofdata processed by any suchcomputer or other equipment orcomponent or system or item

whether your property or not wheresuch loss is directly or indirectlycaused by or contributed to by orarising from or occasioned by orresulting from virus or similarmechanism or hacking or phishingor denial of service attack

Condition

(1) If we allege that any loss is notcovered by this section the burden ofproving that such loss is covered shallbe upon you


Complaints procedure

If you are unhappy with our products orservice, please contact us as soon aspossible.

You can complain in writing or verbally atany time to:

For all complaints other than Legalexpenses complaintsEcclesiastical Insurance Office plcBeaufort House,Brunswick Road,Gloucester,GL1 1JZ.

Tel: 0345 777 3322Email: [email protected]

For Legal expenses complaintsDAS Legal Expenses Insurance CompanyLimitedDAS House,Quay Side, Temple Back,Bristol, BS1 6NH.

Tel: 0344 893 9013Email: [email protected]

Our promise to you

We will aim to resolve your complaint withinone business day.

To resolve your complaint we will:n Investigate your complaint diligently and

impartially.n Keep you informed of the progress of

the investigation.n For more complex issues, we may need

a little longer to investigate and we mayask you for further information to helpus reach a decision.

n Respond in writing to your complaint assoon as possible.

If you are not satisfied with our response, orif we have not completed our investigationwithin eight weeks, we will inform you ofyour right to take the complaint to:

The Financial Ombudsman ServiceExchange Tower,London, E14 9SR.

Tel: 0800 0 234 567Email: [email protected]: www.financial-ombudsman.org.uk

This complaints handling procedure doesnot affect your right to take legalproceedings.

The Financial ServicesCompensation Scheme (FSCS)

The Financial Services CompensationScheme (FSCS) is the independent body,set up by government, which gives you yourmoney back if your authorised* financialservices provider is unable to meet itsliabilities.

The FSCS protects a range of products forboth individuals and small businesses.Limits apply depending on the product youhave bought. The FSCS does not chargeindividual consumers for using its service.The FSCS cannot help you if the firm youhave done business with is still trading.

You can contact the FSCS helpline on0800 678 1100 or 0207 741 4100, writeto the address below or visit the website -www.fscs.org.uk

Financial Services Compensation Scheme 10th Floor, Beaufort House,15 St Botolph Street,London,EC3A 7QU

* The FSCS can only pay compensation forcustomers of financial services firmsauthorised by the PRA or the FCA.

General information


Notes

This contract is underwritten by: Ecclesiastical Insurance Office plc.

Our FCA register number is 113848. Our permitted business is general insurance.

You can check this on the FCA’s register by visiting the FCA’s website

www.fca.org.uk/register

or by contacting the FCA on

0800 111 6768

For further information on any of our products, please speakto your insurance broker.

Or visit us at

www.ecclesiastical.com

PD1341/2/0816© Ecclesiastical Insurance Office plc 2016

Ecclesiastical Insurance Office plc (EIO) Reg. No. 24869. Ecclesiastical Insurance Group plc (EIG) Reg. No. 1718196. Ecclesiastical Life Ltd (ELL) Reg. No. 243111. E.I.O. Trustees Ltd Reg. No. 941199. All companies are registered in England at Beaufort House, Brunswick Road, Gloucester, GL1 1JZ, UK.

EIO and ELL are authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Beaufort House, Brunswick Road,Gloucester GL1 1JZ

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