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Section 5-1: General rules relating to the scope of war risks insurance

  • Clause 18-59. Applicable rules

    The insurance covers war perils, cf. Cl. 2-9.

    If the insurance against marine perils has been suspended under such circumstances as mentioned in Cl. 3-19, the insurance also covers marine perils, cf. Cl. 2-8.

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    Clause 18-59. Perils covered

    This Clause was new in 2016 and is verbatim the same as Cl. 15-1. Reference is made to the Commentary to Cl. 15-1.  Section 5 will only apply if it has been agreed that the insurance of the MOU also covers war perils. If the insurance contract is silent on whether it covers marine or war perils,...

  • Clause 18-60. Interests insured

    Subject to Cl. 18-61 the insurance covers:

    • total loss and damage, cf. Sections 2-1 to 2-3 above and 5-4 and 5-5 below,
    • collision liability, cf. Section 2-4 above,
    • hull interest/freight interest, cf. Section 3 above,
    • loss of hire, cf. Sections 4 above and 5-6 below,
    • owner’s liability (P&I), cf. Section 5-7 below including occupational injuries etc., cf. Section 5-8 below.
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    Clause 18-60. Interests insured

    This Clause was new in 2016 and is verbatim the same as Cl. 15-2 apart from the cross references to the relevant sections in Chapter 18. Reference is made to the Commentary to Cl. 15-2.

  • Clause 18-61. Sum insured

    Cover in respect of each of the interests listed in Cl. 18-60 is conditional upon the parties having agreed a separate sum insured for each interest. In the case of loss of hire insurance, the insurance contract must also state the amount of the daily indemnity, cf. Cl. 18-47 and Cl. 18-48, the deductible period, cf. Cl. 18-49, and number of days of indemnity per casualty and altogether, cf. Cl. 18-46, sub-clause 2.

    Unless otherwise agreed, the following sums insured shall apply:

    • The sum insured for Cl. 18-60 (e) P&I and occupational injury insurance is the total of the sums insured under Cl. 18-60 (a) and (c). Within this combined sum, costs incurred to prevent loss under Sections 5-7 and 5-8 shall be covered. Cl. 4-18 shall not apply.
    • The sum insured for 18-60 (b) collision liability shall be equal to the sum insured for Cl. 18-60 (a) and subject to the limitation of Cl. 18-37 with addition of the sum insured for Cl. 18-60 (c) hull interest, cf. Cl. 18-39 (b). 
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    Clause 18-61. Sum insured

    This Clause was new in 2016 and is verbatim the same as Cl. 15-3 apart from the cross references to the relevant sections and clauses in Chapter 18. Reference is made to the Commentary to Cl. 15-3. It is in Cl. 18-61, sub-clause 2, letter (b), expressly made clear that the limitation of cover of...

  • Clause 18-62. Safety regulations

    During the insurance period the insurer may, by means of special safety regulations, cf. Cl. 3-22, issue instructions that inter alia:

    • the MOU shall not embark on a planned move or operation or complete a move or operation in progress,
    • the MOU shall or shall not follow a specific itinerary,
    • the MOU shall deviate, be moved from one location to another, or remain at a specific location,
    • the MOU shall not have cargo of a specific nature, or certain  persons onboard,
    • the MOU shall or shall not comply with orders issued by a foreign State power,
    • the assured shall without undue delay give information about the MOU's position, about moves and operations which the MOU is undertaking or is going to undertake, about times of departure and arrival, the nature of any cargo, the itinerary, the contract arrangement, etc., and of any changes as regards previously given information about such facts.

     

    In the event of a breach of a stipulated safety regulation, Cl. 3-25, sub-clause2, shall apply correspondingly.

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    Clause 18-62. Safety regulations

    This Clause was new in 2016 and is by and large verbatim the same as Cl. 15-4 apart from some editorial amendments. Reference is made to the Commentary to Cl. 15-4. In particular to letter (a), the words “complete a move or operation in progress” means that the assured must be allowed to comply...