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Section 2-4: Liability of the assured arising from collision or striking

  • Clause 18-35. Scope of liability of the insurer

    The insurer will indemnify  the assured for loss which is a result of liability imposed on the assured due to collision or striking by the MOU, its accessories, equipment or cargo, or by a tug used by the MOU.

    However, the insurer will  not cover:

    • liability arising while the MOU is engaged in towing or caused by the  towage, unless this occurs in connection with a salvage operation  referred to in Cl. 3-12, sub-clause 2,
    • liability for personal injury or loss of life,
    • other loss suffered by third party personnel, visitors or crew on the  insured MOU,
    • liability for damage to or loss of cargo, third party equipment, supplies  or other effects on board the insured MOU, or equipment which the MOU uses,
    • liability to charterers or others who have an interest in the insured MOU,
    • liability for pollution damage and damage resulting from fire or explosion caused by oil or other liquid or volatile substances, contamination  damage caused by radioactive substances and damage to coral reefs  and other environmental damage. The insurer is nevertheless liable if,  in the event of a collision with another MOU, ship or other navigable  unit, liability is imposed on the assured for such damage to the other  MOU, ship or unit with equipment and cargo,
    • liability for loss caused by cargo or bunkers after grounding or striking  against ice,
    • liability for loss caused by the use of anchor, subsea equipment, mooring  and towing gear, loading and discharging appliances, gangways and  the like, and liability for damage to or loss of these objects,
    • liability for removal of the wreck of the insured MOU and for  obstructions to traffic created by the insured MOU,
    • refund of amounts which a third party has paid by way of compensation for loss as mentioned under sub-clauses (a) to (i)  above.
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    Clause 18-35. Scope of liability of the insurer

    This Clause was new in the 2013 Plan and is verbatim the same as Cl. 13-1. Reference is made to the Commentary to Cl. 13-1. Under Cl. 18-14 of the 1996 Plan, MOU owners’ liability for damage to or loss of fixed installations on the continental shelf was excluded from the cover. This exclusion is...

  • Clause 18-36. Limitation of liability based on tonnage or value of more than one MOU

    If the assured’s liability is limited on the basis of the tonnage or value of more than one MOU, and these MOUs are insured with different insurers, each individual insurer is liable for such proportion of the liability as corresponds to the tonnage or value of the MOU in question.

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    Clause 18-36. Limitation of liability based on tonnage or value of more than one MOU

    This Clause was new in the 2013 Plan and is verbatim the same as Cl. 13-2. Reference is made to the Commentary to Cl. 13-2.

  • Clause 18-37. Maximum liability of the insurer in respect of any one casualty

    The insurer is liable up to an amount equivalent to the sum insured, not exceeding USD 500,000,000 or 50 % of the sum insured, whichever is the higher, in respect of liability for damages arising from any one casualty.

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    Clause 18-37. Maximum liability of the insurer in respect of any one casualty

    This Clause was new in the 2013 Plan and corresponds to Cl. 13-3. Reference is made to the Commentary to Cl. 13-3. As the exclusion of liability for damage to or loss of fixed installations that was contained in Cl. 18-14 of the 1996 Plan was removed is considered to represent a significant...

  • Clause 18-38. Deductible

    For each casualty the amount stated in the insurance contract shall be deducted. Litigation costs, cf. Cl. 4-4, costs in connection with the claims settlement, cf. Cl. 4-5, and loss arising from measures to avert or minimise the loss, cf. Cl. 4-7 to Cl. 4-12, are recoverable without any deductible.

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    Clause 18-38. Deductible

    This Clause was new in the 2013 Plan and is verbatim the same as Cl. 13-4. Reference is made to the Commentary to Cl. 13-4.