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Section 5-2: Termination of the insurance

  • Clause 18-63. War between the major powers

    In the event of war or war-like conditions breaking out between any of the following States:
    The United Kingdom, the United States of America, France, the Russian Federation, the People's Republic of China, the insurance against war perils shall automatically terminate.

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    Clause 18-63. War between the major powers

    This Clause was new in 2016 and is verbatim the same as Cl. 15-5. Reference is made to the Commentary to Cl. 15-5.

  • Clause 18-64. Use of nuclear arms for war purposes

    In the event of any use of nuclear arms for war purposes, the insurance shall automatically terminate.

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    Clause 18-64. Use of nuclear arms for war purposes

    This Clause was new in 2016 and is verbatim the same as Cl. 15-6. Reference is made to the Commentary to Cl. 15-6.

  • Clause 18-65. Bareboat chartering

    If the MOU is bareboat chartered, the insurance shall automatically terminate.

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    Clause 18-65. Bareboat chartering

    This Clause was new in 2016 and is largely verbatim the same as Cl. 15-7 apart from an editorial amendment. Reference is made to the Commentary to Cl. 15-7. Bareboat chartering is rather common in the offshore industry, and very often the bareboat charterer is co-insured either expressly or by...

  • Clause 18-66. Cancellation

    In the event of a change of risk, the person effecting the insurance as well as the insurer are entitled to cancel the insurance by giving seven days' notice (such cancellation becoming effective on the expiry of 7 days from midnight of the day on which notice of cancellation is issued by or to the insurer). Cancellation also applies to the rights of the mortgagee, but the insurer shall immediately notify the mortgagee of the cancellation.

    The insurer will endeavor, to the extent practically and commercially possible, to submit a proposal for continuation of the insurance at the best available terms in the changed circumstances.

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    Clause 18-66. Cancellation

    This Clause was new in 2016 and is verbatim the same as Cl. 15-8. Reference is made to the Commentary to Cl. 15-8.