eei policy

8/10/2019 EEI Policy

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ADAMJEE INSURANCE COMPANY LIMITEDHEAD OFFICE - ENGINEERING DEPARTMENT

10TH FLOOR, ADAMJEE HOUSE, I.I. CHUNDRIGAR ROAD, POST BOX 4850, KARACHI 74000 PAKISTAN

TELEPHONE (021) 241 2623 FACSIMILE (021) 241 [email protected]

Electronic Equipment insurance policy No

Whereas the Insurednamed in the schedule hereto has made to the

(hereinafter called the Insurers) a written proposal by completing a ques-tionnaire which, together with any other statements made in writing by theInsured for the purpose of this Policy, is deemed to be incorporated herein,

Now this Policy of Insurance witnessesthat, subject to the Insuredhaving paid to the Insurers the premium mentioned in the schedule andsubject to the terms, exclusions, provisions and conditions containedherein or endorsed hereon, the Insurers will indemnify the Insured in themanner and to the extent hereinafter provided.

This Policy applies whether the insured items are at work or at rest,

or being dismantled for the purpose of cleaning, overhauling or of beingshifted within the premises, or in the course of the aforesaid operationsthemselves, or during subsequent re-erection, but in any case onlyafter successful commissioning.

General Exclusions

The Insurers shall not indemnify the Insured in respect of loss or damagedirectly or indirectly caused by, arising out of or aggravated by

a) war, invasion, act of foreign enemy, hostilities (whether war bedeclared or not), civil war, rebellion, revolution, insurrection, mutiny, riot,strike, lock-out, civil commotion, military or usurped power, a group ofmalicious persons or persons acting on behalf of or in connection with

any political organization, conspiracy, confiscation, commandeering,requisition or destruction or damage by order of.any government de jureor de facto or by any public authority;

b) nuclear reaction, nuclear radiation or radioactive contamination;

c) wilful act or wilful negligence of the Insured or his representatives.

In any action, suit or other proceeding where the Insurers allege that, byreason of the provisions of Exclusion a) above, any loss, destruction ordamage is not covered by this Policy, the burden of proving that suchloss, destruction or damage is covered shall be upon the Insured.

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General Conditions1. The due observance and fulfilmentof the terms of this Policy, in so far asthey relate to anything to be done orcomplied with by the Insured, and thetruth of the statements and answersin the questionnaire and proposalmade by the Insured shall be a conditionprecedent to any liability ofthe Insurers.2. The schedule and the section(s)shall be deemed to be incorporatedin and form part of this Policy and theexpression this Policy, whereverused in this contract, shall be read asincluding the schedule and thesection(s). Any word or expressionto which a specific meaning has beenattached in any part of this Policy, of theschedule or of the section(s) shall bearsuch meaning wherever it may appear.3. The Insured shall at his ownexpense take all reasonableprecautions and comply with allreasonable recommendations of the

Insurers to prevent loss or damageand comply with statutory requirementsand manufacturers recommendations.4. a) Representatives of the Insurersshall at any reasonable time have theright to inspect and examine the riskand the Insured shall provide therepresentatives of the Insurers withall details and information necessaryfor the assessment of the risk.b) The Insured shall immediatelynotify the Insurers by telegram and inwriting of any material change in therisk and cause at his own expensesuch additional precautions to betaken as circumstances may requireto ensure safe operation of the insureditems, and the scope of cover

and/or premium shall, if necessary,be adjusted accordingly.No material alteration shall be madeor admitted by the Insured wherebythe risk is increased, unless thecontinuance of the cover providedunder this Policy is confirmed inwriting by the Insurers.5. In the event of any occurrence whichmight give rise to a claim under thisPolicy, the Insured shalla) immediately notify the Insurers bytelephone or telegram as well as inwriting, giving an indication as to thenature and extent of the loss or damage;b) take all steps within his power tominimize the extent of the loss or

damage;c) preserve the parts affected andmake them available for inspection bya representative or surveyor of theInsurers;d) furnish all such information anddocumentary evidence as theInsurers may require;e) inform the police authorities in thecase of loss or damage due toburglary.The Insurers shall on no account beliable for loss or damage of whichno notice has been received by

the Insurers within 14 days of its occur-ence. Upon notification being givento the Insurers under this condition, theInsured may carry out repairs of ormake good any minor damage; in allother cases a representative of theInsurers shall have the opportunity ofinspecting the loss or damage beforeany repairs or alterations are effected.If a representative of the Insurersdoes not carry out the inspectionwithin a period of time which couldbe considered adequate under thecircumstances, the Insured shall beentitled to proceed with the repairs orreplacement.The liability of the Insurers under thisPolicy in respect of any insured itemshall cease if said item is kept inoperation after a claim without beingrepaired to the satisfaction of theInsurers, or if temporary repairs arecarried out without the Insurers consent.6. The Insured shall at the expenseof the Insurers do and concur in doing

and permit to be done all such actsand things as may be necessary orrequired by the Insurers in the interestof any rights or remedies, or ofobtaining relief or indemnity fromparties (other than those insuredunder this Policy) to which the Insurersare or would become entitled orwhich is or would be subrogated tothem upon their paying for or makinggood any loss or damage under thisPolicy, whether such acts and thingsare or become necessary or requiredbefore or after the Insuredsindemnification by the Insurers.7. If any difference arises as to theamount to be paid under this Policy(liability being otherwise admitted),

such difference shall be referred tothe decision of an arbitrator to beappointed in writing by the parties indifference or, if they cannot agreeupon a single arbitrator, to the decisionof two arbitrators, one to be appointedin writing by each of the parties,within one calendar month after havingbeen required in writing so to doby either of the parties, or, in case thearbitrators do not agree, of an umpireto be appointed in writing by thearbitrators before the latter enter uponthe reference. The umpire shall sitwith the arbitrators and preside at theirmeetings. The making of an awardshall be a condition precedent to any

right of action against the Insurers.8. a) If the proposal or declaration ofthe Insured is untrue in any materialrespect, or if any claim made isfraudulent or substantially exaggerated,or if any false declaration or statementis made in support thereof, thenthis Policy shall be void and theInsurers shall not be liable to make anypayment hereunder.b) In the event of the Insurersdisclaiming liability in respect of anyclaim and if an action or suit is notcommenced within three months after

Such disclaimer or (in the case ofarbitration taking place in pursuanceof Condition 7 of this Policy) withinthree months after the arbitrators orumpire have made their award, allbenefit under this Policy in respectof such claim shall be forfeited.9. If at the time any claim arisesunder this Policy there is any otherinsurance covering the same lossor damage, the Insurers shall not beliable to pay or contribute morethan their rateable proportion ofany claim for such loss or damage.10. This Policy may be terminated atthe request of the Insured at anytime, in which case the Insurers willretain the customary short-periodrate for the time this Policy has beenin force. This Policy may equallybe terminated at the option of theInsurers by seven days notice to thateffect being given to the Insured, inwhich case the Insurers will be l iableto repay on demand a rateable

proportion of the premium for theunexpired term from the date ofcancellation less any reasonableinspection charges the Insurers mayhave incurred and less any long-termdiscount on premiums granted.11. Under an insurance for a thirdpartys account the Beneficiary shallbe entitled to exercise, in his ownname, the rights of the Insured. Withoutobtaining the Insureds approval,the Beneficiary shall further have theright to receive any indemnity paidunder this Policy and to transfer theInsureds rights even if the Beneficiaryis not in possession of this Policy.Upon payment of an indemnity theInsurers may require evidence of the

Beneficiary having given his consentto the insurance and of the Insuredhaving given his consent to the receiptof an indemnity by the Beneficiary.12. The indemnity shall be payableone month after determination by theInsurers of the full amount due.Notwithstanding the above, theInsured may, one month after theInsurers have been duly notified of theloss and have acknowledged theirliability, claim as an instalment theminimum amount payable under theprevailing circumstances. Therunning of the periods shall besuspended for the time during whichthe indemnity is unascertainable or

not payable due to reasons withinthe Insureds control.The Insurers shall be entitled towithhold indemnificationa) if there are doubts regarding theInsureds right to receive theindemnity, pending receipt by theInsurers of the necessary proof;b) if in connection with the claim anexamination by the police or aninquiry under criminal law has beeninstituted against the Insured,pending completion of such examinationor inquiry.


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Section 1 - Material Damage

Scope of Cover The Insurers hereby agree with the Insured that if at any time during theperiod of insurance stated in the schedule or during any subsequentperiod for which the Insured pays and the Insurers may accept the premiumfor the renewal of this Policy, the items or any part thereof enteredin the schedule suffer any unforeseen and sudden physical loss or damagefrom any cause other than those specifically excluded, in a mannernecessitating repair or replacement, the Insurers will indemnify the Insuredin respect of such loss or damage, as hereinafter provided, by paymentin cash, replacement or repair (at the Insurers option) up to an amount notexceeding in any one year of insurance in respect of each of the itemsspecified in the schedule the sum set opposite thereto and not exceedingin all the total sum expressed in the schedule as insured hereby.

Special Exclusions to Section 1 The Insurers shall not, however, be liable for

a) the deductible stated in the schedule to be borne by the Insured in anyone occurrence; if more than one item is lost or damaged in oneoccurrence, the Insured shall not, however, be called upon to bear morethan the highest single deductible applicable to such items;

b) loss or damage directly or indirectly caused by or arising out of earth-quake, volcanic eruption, tsunami, hurricane, cyclone or typhoon;

c) loss or damage directly or indirectly caused by theft;

d) loss or damage caused by any faults or defects existing at the time ofcommencement of this Policy within the knowledge of the Insured or hisrepresentatives, whether such faults or defects were known to the Insurersor not;

e) loss or damage directly or indirectly caused by the failure or interruptionof any gas, water or electricity service or supply;

f) loss or damage as a direct consequence of the continual influence ofoperation (e g wear and tear, cavitation, erosion, corrosion, incrustation)or of gradual deterioration due to atmospheric conditions;

g) any costs incurred in connection with the elimination of functionalfailures, unless such failures were caused by an indemnifiable loss of ordamage to the insured items;

h) any costs incurred in connection with the maintenance of the insured

items, such exclusion also applying to parts exchanged in the course ofsuch maintenance operations;

i) loss or damage for which the manufacturer or supplier of the insureditems is responsible either by law or under contract;

k) loss of or damage to rented or hired equipment for which the owner isresponsible either by law or under a lease and/or maintenance agreement;

I) consequential loss or liability of any kind or description;


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m) loss of or damage to bulbs, valves, tubes, ribbons, fuses, seals, belts,wires, chains, rubber tyres, exchangeable tools, engraved cylinders,objects made of glass, porcelain or ceramics, sieves or fabrics, or anyoperating media (eg lubrication oil, fuel, chemicals);

n) aesthetic defects, such as scratches on painted, polished or enamelledsurfaces.

In respect of the parts mentioned under m) and n) above, the Insurersshall be liable to provide compensation in the event that such parts areaffected by an indemnifiable loss of or damage to the insured items.

Provisions Applying to Section 1Memo 1 - Sum InsuredIt shall be a requirement of this insurance that the sum insured is equalto the cost of replacement of the insured items by new items of the samekind and capacity, which means their replacement costs including,eg, freight, customs duties and dues, if any, and erection costs. If thesum insured is less than the amount required to be insured, theInsurers shall pay only in such proportion as the sum insured bears tothe amount required to be insured. Every item if more than one shall besubject to this condition separately.

Memo 2 - Basis of indemnitya) In cases where damage to an insured item can be repaired, the In-surers shall pay expenses necessarily incurred to restore the damageditem to its former state of serviceability plus the cost of dismantling andre-erection incurred for the purpose of effecting the repairs as well as

ordinary freight to and from a repair shop, customs duties and dues, i f any,to the extent such expenses have been included in the sum insured.If the repairs are executed at a workshop owned by the Insured, the in-surers shall pay the cost of materials and wages incurred for the purposeof the repairs plus a reasonable percentage to cover overhead charges.No deduction shall be made for depreciation in respect of parts replaced,but the value of any salvage shall be taken into account.If the costs of repairs as detailed hereinabove equal or exceed the actualvalue of the insured items immediately before the occurrence ofthe damage, the settlement shall be made on the basis provided for in b)below.

b) In cases where an insured item is destroyed, the Insurers shall pay theactual value of the item immediately before the occurrence of the loss,including costs for ordinary freight, erection, customs duties and dues,if any, to the extent such expenses have been included in the sum insured,

such actual value to be calculated by deducting proper depreciation fromthe replacement value of the item. The Insurers shall also pay any normalcharges for the dismantling of the item destroyed, but the value of anysalvage shall be taken into account. The destroyed item shall no longer becovered under this Policy, and all necessary data on the relevant substituteitem shall be indicated for its inclusion in the schedule.(The Insurers may agree - by application of the relevant endorsement - toextend this insurance to cover reimbursement of the full replacement value.)

As from the date of an indemnifiable occurrence the sum insured shall bereduced for the remaining period of insurance by the amount of indemnity


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Section 2 External Data Media

Scope of Cover The Insurers hereby agree with the Insured that if the external datamedia entered in the schedule inclusive of the information stored thereon,which can be directly processed in EDP systems, suffer any materialdamage indemnifiable under Section 1 of this Policy, the Insurers willindemnify the Insured, as hereinafter provided, in respect of such lossor damage up to an amount not exceeding in any one year of insurance inrespect of each of the data media specified in the schedule the sumset opposite thereto and not exceeding in all the total sum insured hereby,provided always that such loss or damage occurs during the period ofinsurance stated in the schedule or during any subsequent period forwhich the Insured pays and the Insurers may accept the premium for the

renewal of this Policy: This cover applies while the insured data mediaare kept on the premises.

Special Exclusions to Section2 The Insurers shall, however, not be liable for

a) the deductible stated in the schedule to be borne by the Insured inany one occurrence;

b) any costs arising from false programming, punching, labelling orinserting, inadvertent cancelling of information or discarding of datamedia, and from loss of information caused by magnetic fields;

c) consequential loss of any kind or description whatsoever.

Provisions Applying toSection 2 Memo 1 - Sum InsuredIt shall be a requirement of this insurance that the sum insured is theamount required for restoring the insured external data media byreplacing lost or damaged data media by new material and reproducinglost information.

Memo 2 - Basis of IndemnityThe Insurers shall indemnify any expenses that can be proved to havebeen incurred by the Insured within a period of 12 months as from thedate of the occurrence strictly for the purpose of restoring the insuredexternal data media to a condition equivalent to that existing prior to theoccurrence and necessary for permitting data processing operations tobe continued in the normal manner.

If it is not necessary to reproduce lost data or information, or if such

reproduction is not effected within 12 months after the occurrence, theInsurers shall only be liable to indemnify the expenses incurred forreplacing the lost or damaged data media themselves by new material.

As from the date of an indemnifiable occurrence the sum insured shallbe reduced for the remaining period of insurance by the amount of indemnitypaid, unless the sum insured is reinstated.


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Section 3 - Increased Cost of Working

Scope of Cover The Insurers hereby agree with the Insured that if material damageindemnifiable under Section 1 of this Policy gives rise to a total or partialinterruption of operation of the EDP equipment entered in the schedule,the Insurers will indemnify the Insured, as hereinafter provided, for anyadditional expenditure incurred for the use of substitute EDP equipmentnot covered under this Policy up to an amount not exceeding the agreedindemnification per day and not exceeding in all the sum insured in anyone year of insurance, provided always that such interruption occursduring the period of insurance stated in the schedule or during anysubsequent period for which the Insured pays and the Insurers mayaccept the premium for the renewal of this Policy.

Special Exclusions to Section 3 The Insurers shall, however, not be liable for any additional expenditureincurred as a result of

a) restrictions imposed by public authorities concerning the reconstruct-tion or operation of the EDP equipment insured;

b) the necessary funds not being available to the Insured in time forrepairing or replacing damaged or-destroyed equipment.

Provisions Applying to Section 3Memo 1 - Sum InsuredIt shall be a requirement of this insurance that the sum insured stated in theschedule is the amount which the Insured would have to pay as additionalexpenditure for 12 months use of substitute EDP equipment of similarperformance to the EDP equipment insured. The sum insured shall be based

on the amounts agreed per day and per month as specified in the schedule.

The Insurers shall also reimburse the Insured for personnel expenses andcosts for transportation of materials following upon any event giving riseto a claim under this section, provided separate sums therefor have beenentered in the schedule.

Memo 2 - Basis of IndemnityIn the event of failure of the EDP equipment insured the Insurers shallbe liable for the additional expenditure that can be proved to have beenincurred for the period during which the use of substitute EDP equip-ment is essential, but at the most for the indemnity period agreed.

The indemnity period shall commence as soon as the substituteequipment is put into use.

The Insured shall bear that proportion of each claim which corresponds tothe time excess agreed.

If it is found following an interruption of the operation of the EDP equipmentinsured that the additional expenditure incurred during the periodof interruption is higher than the proportionate share of the annual suminsured which is applicable to this period, the Insurers shall only beliable to indemnify the insured in respect of that proportion of the agreedannual sum insured which is applicable to the period of interruption,duly taking into account the indemnity period agreed.


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Any savings in cost shall be taken into account when calculating the in-demnity amount to be paid by the Insurers.

As from the date of an indemnifiable occurrence the sum insured shallbe reduced for the remaining period of insurance by the amount of indemnitypaid, unless the sum insured is reinstated.


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Schedule

Branch Policy No. Currency Declaration No. Type of plant

Incorporated in this Policy is Questionnaire andProposal No.

Name and address of Insured

Name

The following endorsements are attachedto and form part of this Policy Street

Postal code and city

Address of risk

Street

Annual premium(inclusive of extra premiums for the

Above-mentioned endorsements)

Postal code and city

Policy inception date Policy due date/expiry Date of today New/alteration Country of risk City, town, village of risk

Section 1 - Material Damage Page 1 of Pages

Item No. Quan-ttity

Descript ion of equipment/systems Deductible Sum Insured

Code No. Type, manufacturer, serial No. etc Year of manufacture

To be continued on a separate specification Total sum insured


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Section 2 External Data Media

Insured item Sum insured

Data media (type and quantity)

Expenses for reconstruction andre-recording of information

Total sum insured

Deductible (% of loss amount) Minimum deductible

Section 3 Increased Cost of Working

Insured item Limit of indemnity Sum insuredper day per month

Rental of substitute electronicdata processing equipment

Personnel expenses

Expenses for transport of materials

Total sum insured

Indemnity period (months) Time excess (days)

In witness whereof the Undersigned being duly authorized by the insurers and on behalf of the Insurers has (have) hereuntoset his (their) hand(s)

Executed at Date Signature


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D - 2 Endorsements

001 Strike, Riot and Civil Commotion006 Overtime, Night Work and Express Freight007 Airfreight502 Valves and Tubes

503 Theft504 Mobile and Portable Equipment505 Earthquake506 Hurricane, Cyclone and Typhoon507 Full Replacement Value508 Full Replacement Value (Fire and Allied Perils)510 Loss of Rental for Leased EDP Equipment511 Cover for Additional Expenditure Incurred Only Once for Reprogramming and

Transport512 Cover for Additonal Expenditure for the Restoration of EDP Systems531 Fire, Lightning, Explosion and Impact of Aircraft532 Mechanical and Electrical Breakdown533 Flood, Inundation, Storm or Tempest534 Air-Conditioning535 Scaffolding and Ladders

536 Masonry Work537 Computer Tomographs538 Lightning and Overvoltage Protection Devices561 X-Ray Films562 Waiver of Subrogation563 Obsolete Equipment564 Delay in Repair565 EDP Equipment Insured in Connection with a Hire or Lease Contract

567 Adjustment of Sum Insured and Premium591 Maintenance Agreement592 Maintenance Contract Services and Insurance Cover

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Endorsement 001 Cover for Loss or Damage due to Strike, Riot and Civil Commotion(SRCC)

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, and subject to the Insured having paid the agreed extra premium,this Policy shall be extended to cover loss or damage due to strike, riotand civil commotion which for the purpose of this Endorsement shallmean (subject always to the Special Conditions hereinafter contained) lossof or damage to the property insured directly caused by

1the act of any person taking part together with others in any disturbanceof the public peace (whether in connection with a strike or lock-out or not)not being an occurrence mentioned in condition 2 of the Special Conditionshereof,

2the action of any lawfully constituted authority in suppressing orattempting to suppress any such disturbance or in minimizing the cones-

quences of any such disturbance,

3the wilful act of any striker or locked-out worker performed in further-ance of a strike or in resistance to a lock-out,

4the action of any lawfully constituted authority in preventing or attemptingto prevent any such act or in minimizing the consequences of anysuch act.

Provided that it is hereby further expressly agreed and declared that

1all the terms, exclusions, provisions and conditions of the Policy shallapply in all respects to the insurance granted by this extension save in sofar as the same are expressly varied by the following Special Conditions,

and any reference to loss or damage in the wording of the Policy shall bedeemed to include the perils hereby insured against,

2the following Special Conditions shall apply only to the insurancegranted by this extension, and the wording of the Policy shall apply in allrespects to the insurance granted by the Policy as if this Endorsement hadnot been made thereon.

Special Conditions

1This insurance shall not cover

aloss or damage resulting from total or partial cessation of work or theretarding, interruption or cessation of any process or operation,

bloss or damage occasioned by permanent or temporary dispossessionresulting from confiscation, commandeering or requisition by any lawfullyconstituted authority,

closs or damage occasioned by permanent or temporary dispossessionof any building resulting from the unlawful occupation by any person ofsuch building,

dconsequential loss or liability of any kind or description, any payments

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(Endorsement 001)

over and above the indemnity for the material damage as provided herein.

Provided nevertheless that the Insurers are not relieved under b or cabove of any liability to the Insured in respect of physical damage to theproperty insured occurring before dispossession or during temporarydispossession.

2This insurance shall not cover any loss or damage occasioned by orthrough or in consequence, directly or indirectly, of any of the followingoccurrences, namely

awar, invasion, act of foreign enemy, hostilities or warlike operations(whether war be declared or not), civil war,

bmutiny, civil commotion assuming the proportion of or amounting to apopular rising, military rising, insurrection, rebellion, revolution, military orusurped power,

cany act of any person acting on behalf of or in connection with any or-ganization with activities directed toward the overthrow by force of thegovernment de jure or de facto or to the influencing of it by terrorism orviolence.

In any action, suit or other proceeding, where the Insurers allege that byreason of the provisions of this condition any loss or damage is not covered

by this insurance, the burden of proving that such loss or damage iscovered shall be upon the Insured.

3This insurance may at any time be terminated by the Insurers on noticeto that effect being given by registered post at the Insureds last known address,in which case the Insurers shall be liable to repay a rateable proportionof the premium for the unexpired term from the date of termination.

4The limit of indemnity any one occurrence as stated below shall be understood tolimit the indemnity for all loss or damage covered by this Endorsementduring a consecutive period of 168 hours.

The aggregate liability of the Insurers during the period of cover of this Policyshall be limited by twice the limit of indemnity any one occurrence.

Limit of indemnity: any one occurrence

Deductible: any one occurrence

Extra premium:

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Endorsement 006Cover of extra charges for overtime, night work, work on public holidays, express freight

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsed thereon and subjectto the Insured having paid the agreed extra premium, this insurance shall beextended to cover extra charges for overtime, night work, work on public holidaysand express freight (excluding airfreight).

Provided always that such extra charges shall be incurred in connection with anyloss of or damage to the insured items recoverable under the Policy.

If the sum(s) insured of the damaged item(s) is (are) less than the amount(s)required to be insured, the amount payable under this Endorsement for such extracharges shall be reduced in the same proportion.

Limit of indemnity: any one occurrence

Extra premium:

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Endorsement 007 Cover of Extra Charges for Airfreight

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, and subject to the Insured having paid the agreed extra premium,this insurance shall be extended to cover extra charges for airfreight.Provided always that such extra charges are incurred in connectionwith any loss of or damage to the insured items recoverable under thePolicy.

Provided further that the amount payable under this Endorsement inrespect of airfreight shall not exceed during theperiod of insurance.

Deductible: 20% of the indemnifiable extra charges,minimum any one occurrence.

Extra premium

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Endorsement 502 Cover of Valves and Tubes

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, this insurance shall be extended to include loss of or damageto valves and tubes. Indemnification shall be limited to the actual valueof such items (cf 1 - 7) immediately prior to the occurrence of theloss or damage, including ordinary freight, erection costs and customduties and dues, if any.

1. Actual values of

1 .1. stationary anode X-ray tubes in single-tank setup and rotatinganode X-ray tubes without exposure counters for diagnostic equipment

1.2. surface and close-range radio-therapy X-ray tubes and valves

1.3. video amplifier tubes

Age Actual value in % of(months) new replacement value

= more than

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(Endorsement 502)

2. Actual values of valves for diagnostic equipment

Age Actual value in % of(months) new replacement value

< 33 100< 36 90< 39 80< 42 70< 45 60< 48 50< 51 40

< 54 30< 57 20< 60 10> 60 0

3. Actual values of rotating anode X-ray tubes with lead-sealed expo-sure counters for diagnostic equipment

Number of Actual value in % ofexposures new replacement value

< 10,000 100< 12,000 90

< 14,000 80< 16,000 70< 19,000 60< 22,000 50< 26,000 40< 30,000 30< 35,000 20< 40,000 10> 40,000 0

< = less than> = more than

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(Endorsement 502)

4. Actual values of deep therapy X-ray tubes and valves

Period of operation or1 age Actual value in % of

(hours) (months) new replacement value

< 400 < 18 100< 500 < 22 90< 600 < 26 80< 700 < 30 70< 800 < 35 60< 900 < 40 50< 1,000 < 45 40< 1,100 < 50 30

< 1,200 < 55 20< 1,300 < 60 10> 1,300 < 60 0

5. Actual values of X-ray tubes and valves for material testing equip-Ment

Period of operation or1 age Actual value in % of

(hours) (months) new replacement value

< 300 < 6 100< 380 < 8 90< 460 < IO 80< 540 < 12 70< 620 < 14 60< 700 < 16 50< 780 < 18 40< 860 < 20 30> 860 > 20 20

1 whichever results in the lower actual value

< = less than> = more than

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(Endorsement 502)

6. Actual values of picture and pick-up tubes for TV equipment

After 12 months use, the actual values of picture and pick-up tubesshall be reduced by 3 % per month down to a minimum of 20 % ofthe new replacement values.

7. Actual values of other types of tubes and valves

For other types of tubes and valves the actual values on the date ofan occurrence shall be determined on the basis of data furnished bythe supplier.

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Endorsement 503 Cover for Theft

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon and subject to the Insured having paid the agreed extra premium,this insurance shall be extended to include the risk of theftof the insured items whilst on the premises provided, however, theInsured informs the police authorities immediately after any loss ordamage due to theft is discovered.

Deductible: 25 % of each loss or damage due to theft, minimumany one occurrence.

Extra Premium

Section 1:Section 2:Section 3:

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Endorsement 504 Cover of Mobile and Portable Equipment Outside the Premises

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsed thereon andsubject to the Insured having paid the agreed extra premium, this insuranceshall be extended to include loss of or damage to the mobile and/or portableequipment as specified underitem(s) No(s)contained in the schedule of the Policy

whilst stationary or in transit anywhere within the territorial limits of

The Insurers shall not be liable under this Endorsement for

- loss or damage occurring whilst the above items are unattendedunless locked inside a building or vehicle,

- loss or damage from any cause whatsoever whilst the above itemsare installed or carried in or on aircraft or aerial devices or waterbornevessels or craft.

Extra Premium


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Endorsement 505 Cover for Earthquake

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsed thereon andsubject to the Insured having paid the agreed extra premium, this insuranceshall be extended to include the risk of earthquake, volcanic eruption andtsunami up to a limit of any one event.

Extra Premium



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Endorsement 506 Cover for Hurricane, Cyclone and Typhoon

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsed thereon andsubject to the Insured having paid the agreed extra premium, thisinsurance shall be extended to include the risk of hurricane, cyclone andtyphoon up to a limit of any one event.

Extra Premium


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Endorsement 507 Cover of Full Replacement Value

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon and subject to the Insured having paid the agreed extra premium,where an insured item is totally destroyed or damaged beyond repair, the basisupon which the amount payable under the Policy is tobe calculated shall be the full replacement value of the item destroyedor damaged.

Replacement value shall mean the costs which would have to beincurred immediately before destruction of or damage to an insureditem for replacing the destroyed or damaged item by a new item ofa similar kind, capacity, size and quality.

Provided that

- the replacement work shall be commenced and carried out withreasonable dispatch, otherwise no payment shall be made beyondthe amount which would have been payable under the Policy if thisEndorsement had not been incorporated therein;

- no payment shall be made beyond the amount which would havebeen payable under the Policy if this Endorsement had not been incorporatedtherein, if at the time of destruction of or damage to theinsured item such destruction or damage is covered by any other insuranceeffected by or on behalf of the Insured, which is not basedon reimbursement of the full replacement value;

- the item involved shall be no older than years at the time ofthe loss, calculated from the year of construction indicated in thelist of machinery attached to the insurance contract; but no paymentshall be made beyond the amount which would have beenpayable under the Policy if this Endorsement had not been incorporatedtherein, if at the time of the destruction of or damage tothe insured item the manufacturer has ceased production of therespective model or if such model is no longer available as a newitem from the manufacturers or suppliers stock;

- the amount payable for the replacement of the destroyed or damageditem shall not exceed the sum insured set opposite to that itemin the schedule of the Policy.

Extra Premium

Section 1:

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Endorsement 508 Cover of Full Replacement Value in Case of a Loss Due to Fireand Allied Perils

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon and subject to the Insured having paid the agreed extra premium,where an insured item is totally destroyed or damaged beyond repairby fire and/or allied perils, the basis upon which the amount payableunder the Policy is to be calculated shall be the full replacementvalue of the item destroyed or damaged.

Replacement value shall mean the costs which would have to beincurred immediately before destruction of or damage to an insureditem for replacing the destroyed or damaged item by a new item of

a similar kind, capacity, size and quality.

Provided that

- the replacement work shall be commenced and carried out withreasonable dispatch, otherwise no payment shall be made beyondthe amount which would have been payable under the Policy if thisEndorsement had not been incorporated therein;

- no payment shall be made beyond the amount which would havebeen payable under the Policy if this Endorsement had not been incorporatedtherein, if at the time of destruction of or damage to theinsured item such destruction or damage is covered by any other insuranceeffected by or on behalf of the Insured, which is not based

on reimbursement of the full replacement value as defined above;

- the item involved shall be no older than years at the time of theloss, calculated from the year of construction indicated in the list ofmachinery attached to the insurance contract; but no payment shallbe made beyond the amount which would have been payable underthe Policy if this Endorsement had not been incorporated therein,if at the time of destruction of or damage to the insured item themanufacturer has ceased production of the respective model or ifsuch model is no longer available as a new item from manufacturersor suppliers stock;

- the amount payable for the replacement of a destroyed or damageditem shall not exceed the sum insured set opposite to that item

in the schedule of the Policy.

Extra Premium

Section 1:

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Endorsement 510 Cover in Respect of Loss of Rental for Leased Electronic DataProcessing (EDPI Equipment

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, cover will be extended according to the following conditions:

Scope of Cover The Insurers hereby agree with the Insured that if material damageindemnifiable under Section 1 of this Policy, however l imited tooccurrences for which the Insured is liable under the leasing contract,gives rise to a total or partial interruption of operation of theEDP equipment entered in the schedule, the Insurers will indemnifythe insured, as hereinafter provided, for loss of rental for leasedEDP equipment as a consequence of such loss or damage up to anamount not exceeding the agreed indemnification per day and not

exceeding in all the sum insured in any one year of insurance, providedalways that such interruption occurs during the period ofinsurance stated in the schedule or during any subsequent periodfor which the Insured pays and the Insurers may accept the premiumfor the renewal of this Policy.

Special Exclusions to The Insurers shall, however, not be liable for any loss of rentalthe Endorsement sustained as a result of

a. restrictions imposed by public authorities concerning the reconstructionor operation of the EDP equipment insured;

b. the necessary funds not being available to the Insured in timefor repairing or replacing damaged or destroyed equipment;

c. delayed or impossible procurement of spare parts;

d. delay due to the employment of foreign experts.

Provisions applying to Memo 1 - Sum Insuredthe Endorsement It shall be a requirement of this insurance that the sum insured

stated in the schedule is the amount of annual rental payable underthe leasing contract. The sum insured shall be based on the amountsagreed per day and per month as specified in the schedule.

Memo 2 - Basis of IndemnityIn the event of failure of the EDP equipment insured the Insurersshall be liable for the loss of rental that can be proved to have been

sustained for the period during which the operation of the leasedEDP equipment is interrupted or interfered with, but at the mostfor the indemnity period limit agreed.

The indemnity period shall commence with the occurrence of theaccident.

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(Endorsement 510)

The Insured shall bear that proportion of each claim which correspondsto the time excess agreed.

If it is found following an interruption of the operation of the EDPequipment insured that the loss of rental sustained during the periodof interruption is higher than the proportionate share of the annualsum insured applicable to this period, the Insurers shall be liable toindemnify the Insured only in respect of that proportion of theagreed annual sum insured which is applicable to the period of interruption,duly taking into account the indemnity period agreed.

Any savings in cost shall be taken into account when calculating theindemnity amount to be paid by the Insurers.

As from the date of an indemnifiable occurrence the sum insuredshall be reduced for the remaining period of insurance by theamount of indemnity paid, unless the sum insured is reinstated.

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(Endorsement 510) Schedule

Rental for Leased EDP Equipment Page 1 of pages

Item No Quan- Description of equipment/systems Limit of indemnity Annual sum insuredtity per day per day

Total sum insured

Indemnity period limit (months) Time excess (days)

Indemnity period limit (months) Time excess (days)

The Insured under this Endorsement is the lessor the lessee of the equipment listedabove.

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Endorsement 511 Cover for Additional Expenditure Incurred Only Once forReprogramming and Transport

It is agreed and understood that otherwise subject to the terms,exclusions, provisions and conditions contained in the Policy orendorsed thereon and subject to the Insured having paid the agreedextra premium, this Policy shall cover, notwithstanding the provisionsof Section 3, Memo 2, the additional expenditure incurred once upto the agreed sum insured of for each and everyloss.

Notwithstanding the provisions of Section 3, Memo 2, the indemnityshall be reduced by a deductible of 20 % for each and every loss.

Extra Premium

Section 3

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Endorsement 512 Cover for Additional Expenditure for the Restoration of EDP Systems

It is agreed and understood that otherwise subject to the terms,exclusions, provisions and conditions contained in the Policy orendorsed thereon, all additional repair costs that can be proved tohave been incurred as a result of the loss event ofand the restoration effected in this connection shall be indemnified,provided there is a maintenance agreement.

\This cover shall be applicable for a period of asfrom the date the restoration is completed.

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Endorsement 531 Exclusion of Loss or Damage Due to Fire, Lightning, Explosion andImpact of Aircraft

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, the Insurers shall not indemnify the Insured in respect ofany loss or damage arising directly from lightning, directly or indirectlyfrom fire, the extinguishment of a fire, or clearance of debris anddismantling necessitated thereby, chemical explosion, smoke, soot, aggressivesubstances, impact of aircraft and other aerial devices and/orarticles dropped therefrom.

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Endorsement 532 Exclusion of Mechanical and Electrical Breakdown

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, the Insurers shall not indemnify the Insured in respect of anyloss or damage arising from mechanical or electrical breakdown of theinsured items.

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Endorsement 533 Exclusion of Loss or Damage Due to Flood, Inundation, Storm orTempest

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, the Insurers shall not indemnify the Insured in respect of anyloss or damage arising from

- flood or inundation and

- storm or tempest.

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Endorsement 534 Warranty Concerning Air-Conditioning Plant

It is agreed and understood that otherwise subject to the terms,exclusions, provisions and conditions contained in the Policy orendorsed thereon, the Insurers shall not indemnify the Insured inrespect of any loss or damage in regard to electronic equipment,data media and increased cost of working due to the failure of theair-conditioning plant, if this air-conditioning plant is not coveredagainst material damage and has not been equipped, installed ormaintained in accordance with the recommendations of themanufacturers of the electronic equipment and air-conditioningplant.

This means that the insured air-conditioning plant

- and the alarm and switch-off devices are maintained by qualifiedpersonnel of the manufacturer or supplier at least every six months;

- is equipped with independent sensors to monitor temperature andhumidity, to detect smoke and to release visual and acoustical alarms;

- is kept under supervision by trained personnel who are able to takeall loss prevention measures necessary in the event of an alarm;

- is provided with an automatic emergency switch-off device complyingwith the requirements stipulated by the manufacturers of theelectronic equipment.

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Endorsement 535 Exclusion of Cost of Scaffolding and Ladders

It is agreed and understood that otherwise subject to the terms, exclusions,provisions and conditions contained in the Policy or endorsedthereon, the Insurers shall not indemnify the Insured in respect of anycost of scaffolding and ladders required in connection with the repairand/or replacement of any of the insured items.

eei policy

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