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Freight Liability Policy

Freight Liability Schedule

Date of Issue

10 May 2019 Reason for issue: Amend insured title

Policy Number

FIDCAR-0216/2019.

Insured

ISS Group ltd incorporating UK subsidiary companies; Infra Safety Services labour limited &/or Fencing and Lighting contractors ltd &/or Hamsard 3246 ltd &/or Hamsard 3324 ltd &/or Mita joint ventures ltd

Broker

The Burley Group.

Period of Indemnity

01 May 2019 to 30 April 2020 both days inclusive.

Premium (excl. IPT)

£1,350.00 payable at inception.

Premium type

Premium is non-adjustable, based on estimated Turnover provided to Us. You warrant to Us that if the estimated Turnover under this Policy increases by more than 10% of the original estimate You will tell Us in writing and We may charge You additional premium.

UK IPT £162.00.

Insured Services Haulage- collect/delivery for Speedyhire, including when sub-contracting Insured Services to other parties.

Excess £250 unless otherwise stated below.

Policy Limit of Indemnity

£500,000 unless otherwise stated below.

Geographical Limits British Isles only.

Optional Extensions 1. Errors and Omissions Optional extension 4.1 is not applicable.

2. Insured Trailers Optional extension 4.2 is not applicable.

3. Warehousing - Employee Fidelity Optional extension 4.3 is not applicable.

Insured Contracts Estimated

Turnover Contract name or type Insured Services Excess

Contract Limit (per conveyance or per

warehouse as applicable)

1 £90,000 Speedyhire Contract - RHA with inner limits removed

Haulage £250 £50,000


Own Unattended Vehicles Condition is amended as follows: In respect of loss or Damage to Cargo caused by theft from any Unattended Vehicle or Trailer owned or operated by You or in Your control, You and/or Your Employee must ensure that: a. the Cargo is contained within a fully enclosed area of the Vehicle; and b. all doors, windows and other openings are closed and securely locked or fastened; and c. any immobilisers and alarms are in operation and in working order; and d. all keys are removed from the Vehicle; and e. detached Trailers are: i. fixed with an anti-hitching device which is in operation at the time of loss; or ii. garaged in a fully enclosed locked building or compound which is fully enclosed and secured by

locked gates; and f. during the hours between the end of the driver’s working day and the start of the next, the Vehicle or

Trailer is garaged in a fully enclosed locked building or compound which is fully enclosed and secured by locked gates.

If You are not in full compliance with these conditions, the policy excess is increased to £1,500. However, this does not apply if You can demonstrate that Your failure to comply with the requirements above could not have increased the risk of loss in the circumstances in which it occurred.


Claims In the event of any incident or occurrence which may give rise to a claim under this Policy

You must:

• Notify Us immediately, providing full details of the incident or occurrence • Forward all correspondence relating to the incident or occurrence to Us

immediately on receipt • Hold any party who has (or may have) a liability in respect of the incident or

occurrence responsible, including giving written notice in due time and ensuring any time limit is adequately protected

• Notify the police immediately of any loss or Damage caused by theft or malicious Damage and keep a note of the incident reference.

If You receive any writ, summons or other legal process You must notify Us immediately and forward the document to Us unanswered.

You must not:

• Admit liability, give indemnity or make any payment or offer of payment without Our prior written consent.

We shall be entitled at Our option to take over and conduct in Your name the defence or settlement of any claim or to prosecute in Your name for Our benefit any claim for indemnity or damages or otherwise and We shall have full discretion in the conduct of any proceedings or in the settlement of any claim. At all times You shall provide full co-operation, including allowing Us to act as necessary for the purposes of enforcing any rights and remedies or obtaining relief or indemnity against other parties.

Should You fail to comply with any of the above procedures or Policy claims conditions You may invalidate any claim under this Policy.

The following information should be provided to Us immediately to enable any claim to be handled efficiently:

• Any correspondence received from or exchanged with third parties, Subcontractors and bailees

• Details of amount claimed and supporting invoices, collection note and delivery receipt

• Your brief written summary of the circumstances of the loss • Confirmation of the applicable conditions of carriage, trading or contract along

with evidence of incorporation.

Claims Contact Notifying Us of a loss Please notify ITAL of Your claim using one of the following options:

• Use the Report New Claim on www.ital-international.com/fiducia/ or: • Contact: Michael Raulinaitis • Email: [email protected] • Telephone + 44 (0) 208 269 7651 • Mobile + 44 (0) 776 415 7252 (out of hours) • Fax + 44 (0) 208 302 9341 • Postal address: ITAL – International Transit and Liability, Webster House,

207 Longlands Road, Sidcup, Kent, DA15 7JH

http://www.ital-international.com/fiducia/

http://www.ital-international.com/fiducia/

mailto:[email protected]

http://www.ital-international.com/

Freight Liability Policy

Welcome to Your Fiducia policy This Policy, including the Schedule and any endorsements, forms a contract between You and Us. In return for paying the premium, We will insure You during the Period of Indemnity in accordance with the terms and conditions of this Policy, subject to all applicable Limits of Indemnity. To establish what You are covered for, please consult this Policy, any endorsement and Your Schedule. This Policy including the Schedule and any endorsements should be read as if they are one document. In this Policy: 1. any reference to the singular includes the plural and vice versa; 2. any reference to legislation includes any amendments, successor legislation and any

equivalent legislation in any other jurisdiction; 3. headings are used for ease of reference only, and do not affect the interpretation of this Policy. Law applicable to this contract Unless agreed otherwise in writing, all disputes in connection with this Policy, including as to its formation and validity, will be subject to the laws of England and Wales. Please read this Policy and any Schedule and endorsement carefully. If they do not meet Your needs, please contact The Fiducia MGA Company Ltd or Your broker or insurance intermediary as soon as possible. About The Fiducia MGA Company Ltd Fiducia is an approved coverholder, authorised to act as the agent for and on behalf of certain Underwriters at Lloyd’s under binding authority agreement number B0600A1947487.

Gerry Sheehy, Chief Executive Officer.

Policy Contents

Content Page

1. Definitions 7

2. Cargo Liability Cover 11

3. Standard Cover Extensions 13

4. Optional Cover Extensions 14

5. General Exclusions 17

6. General Conditions 20

7. Clams Conditions 24

8. Complaints 25

The following words and phrases shall have the meanings set out below wherever they appear in this Policy, the Schedule and on any endorsements.

1. Definitions Associated Services Services that are commonly provided as part of the Insured Services, including

loading, unloading, temporary storage and incidental carriage of Cargo. However, ‘Associated Services’ does not include any Warehousing or processing of Cargo, or the arrangement of Warehousing or processing of Cargo.

Authority Any properly authorised authority, including any government or governmental agency, or any port or harbour authority.

BIFA British International Freight Association Standard Trading Conditions as shown in the Schedule.

British Isles England, Wales, Scotland, Northern Ireland the Republic of Ireland, the Channel Islands and the Isle of Man.

Business Records Any documents, including any business or personal records stored for the purposes of Your business, including whether held on paper, electronically or any other storage media.

Cargo

Goods in Your care, custody or control, or that of Your Sub-contractor, for the purposes of the Insured Services.

CMR The Convention on the Contract for the International Carriage of Goods by Road, including any amendments or associated protocols as enacted into English Law by the Carriage of Goods by Road Act 1965.

Consequential Loss Any loss suffered as a result of a business interruption, increased costs of working, loss of production, loss of profits, loss of market and any other form of indirect or financial loss.

Container

Any movable unit, (including any ISO shipping container, tank container, flat rack or similar) used for the carriage of Cargo including ancillary equipment whilst attached to such unit.

Conveyance Water and/or air and/or road and/or rail means of transportation.

Damage/Damaged Physical loss or physical damage.

Defence Costs

Legal costs and expenses reasonably incurred by You or on Your behalf with Our prior consent to investigate, settle or defend any covered claim.

Electronic Data Any information stored or represented electronically, including any computer code or series of instructions, programs, software or firmware.

Employee Anyone under a contract of service or apprenticeship with You.

Event Any one act, incident, occurrence or event, or series of acts, incidents, occurrences or events consequent upon or attributable to the same single originating cause.

Excess The amount stated in this Policy, the Schedule or any endorsement, for which You are responsible in respect of each Event and which will be deducted from any payment under this Policy. Where the Schedule shows that We and You have agreed this Policy will be subject to a deductible, all references within this Policy to ‘Excess’ shall apply to the deductible.

Excluded Cargo Any: 1. money, including cash, bank and currency notes, bullion, any securities for

money, negotiable instruments, savings stamps, money orders or any other instrument representing money; or

2. living creature; or 3. precious metal or precious stone.

Europe British Isles (defined herein), Andorra, Austria, Belgium, Bosnia, Bulgaria, Corsica,

Croatia, Czech Republic, Denmark, Finland, France, Georgia, Germany, Gibraltar, Greece, Hungary, Italy, Liechtenstein, Luxembourg, Macedonia, Malta, Monaco, Montenegro, Netherlands, Norway, Poland, Portugal, Romania, San Marino, Serbia, Slovakia, Slovenia, Spain, Sweden, Switzerland, Turkey (west of the Bosphorus only), Vatican.

Flood Damage caused by: 1. the escape of water from the normal confines of any natural water course,

lake, reservoir, canal or dam; or 2. inundation from the sea, whether resulting from storm or otherwise; or 3. Inundation by rainwater or rainwater induced runoff, other than where the

inundation results solely from the ingress of rainwater through or via the roof of a building.

Freight Forwarding The arrangement and/or undertaking by You of the movement of Cargo by any means.

FTA

Freight Transport Association Conditions of Carriage by Road in the United Kingdom as shown in the Schedule.

FTA Storage

Freight Transport Association Conditions for the Storage of Goods in the United Kingdom as shown in the Schedule.

Full Responsibility / Full Value Liability Contract

Any Haulage contract, other than a contract subject to CMR, in which You: 1. do not use any specific contractual conditions (Full Responsibility

Contract); or 2. do use specific contractual conditions but with the monetary value per

tonne deleted and replaced with the actual value of the Cargo (Full Value Liability Contract).

Geographical Limits The areas listed under ‘Geographical Limits’ in the Schedule.

Haulage The arrangement or undertaking by You of the carriage of Cargo by road or rail, including Associated Services.

Incorrectly Received Goods

Goods, other than any Containers or Trailers, in Your care, custody or control, which You or an Employee has identified in error as Cargo.

Industry Standard Contracts

BIFA, FTA, FTA Storage, RHA, RHA Storage, UKWA and UKWA Logistics.

Insured Contract The contract terms identified as covered in the Schedule, relating to the provision of the Insured Services.

Insured Conventions The conventions identified as covered in the Schedule, relating to the provision of the Insured Services. ‘Insured Conventions’ does not include any conventions which You have agreed with Your customer but which would not have applied in the absence of that specific agreement.

Insured Services The services identified as covered in the Schedule.

Insured Trailer Any Trailer: 1. that is owned by, or hired or leased to, You; or 2. that You have been instructed to insure or for which You have accepted

liability under contract or for which You have accepted responsibility.

Limit of Indemnity

The maximum amount We will pay for any claim or series of claims arising out of one Event.

Mis-delivery Any failure to deliver Cargo in accordance with Your customer’s instructions, as a result of any act, error or omission by You or any Employee or Sub-contractor of Yours.

Period of Indemnity

The period shown in the Schedule as the Period of Indemnity as per G.M.T. time zone.

Policy This Policy, including the Schedule and any endorsements.

Pollution The dispersal, release, discharge or escape of any pollutant, contaminant or

other harmful substance into or upon the land, air or any watercourse or body of water.

Process Any Process of alteration, assembly, cleaning, commissioning, disassembly, maintenance, packing, production, testing, treatment, servicing, repair or restoration.

RHA Road Haulage Association Conditions of Carriage as shown in the Schedule.

RHA Storage Road Haulage Association Conditions of Storage as shown in the Schedule.

Schedule The Schedule attached to, and forming part of, this Policy.

Sub-contractor Any third party, other than an Employee of Yours, that is engaged by You to perform all or part of the Insured Services.

Terrorism Any act, including the use or threat of force or violence, of any person or persons (whether acting alone or on behalf of any organisation or government) committed for political, religious, ideological or similar purposes, including the intention to influence any government or to put the public or any section of the public in fear.

Theft Attractive Cargo Any: 1. bottled perfumes or bottled alcoholic spirits; or 2. clothing and footwear; or 3. computer memory, CPUs, storage devices, display devices (monitors),

graphic cards, motherboards or any similar hi-tech item components; or 4. mobile phones, portable computing devices (tablets, laptops and similar),

computers or videogame hardware, peripherals or software or other audio or visual equipment; or

5. fine art, watches and articles made of or containing precious metals and/or precious stones; or

6. non-ferrous metals; or 7. processed tobacco or tobacco products.

Third Party Trailers and Containers

Any: 1. Trailer in Your care, custody or control, or that of Your Sub-contractor, for

the purposes of the Insured Services, other than any Insured Trailer; or 2. Container in Your care, custody or control, or that of Your Sub-contractor,

for the purposes of the Insured Services, other than any Container owned by, or hired or leased to, You.

Trailer Any trailer or similar unit designed for carrying Cargo and to be towed by a motor Vehicle for use on roads, including Cargo handling and securing equipment attached or connected to the unit.

Turnover The total charges paid or payable to You in consideration of the provision of the Insured Services, including where such sums are paid or payable to Sub-contractors. However, ‘Turnover’ does not include any customs duty, value added tax or similar charges imposed by any Authority.

UKWA United Kingdom Warehousing Association Conditions of Contract as shown in the Schedule.

UKWA Logistics

United Kingdom Warehousing Association Conditions for Logistics as shown in the Schedule.

Unattended Vehicle Where neither You, Your Employee, Your driver or Your Subcontractor are either in the Vehicle or in a position to keep the Vehicle and/or Cargo under surveillance and at the same time have a reasonable prospect of preventing any unauthorised interference with the Vehicle and/or Cargo. A Vehicle upon which the Cargo is loaded will not be regarded as unattended whilst You, Your Employee, Your driver or Your Subcontractor are asleep in the Vehicle.

Unattended Warehouse

Where neither You, Your Employee or any security company employed by You are in a position to keep the Warehouse and/or Cargo under surveillance and at the same time have a reasonable prospect of preventing any unauthorised interference with the Warehouse and/or Cargo.

Vehicle Any vehicle used for transport on roads, including any Trailer, whether attached or not.

Virus Any computer program that is introduced maliciously or without permission into any computer system or hardware, including any malware, worms, trojans, rootkits, spyware, dishonest adware, crimeware and any other malicious software.

War Any: a. war, civil war, revolution, rebellion, insurrection or civil unrest arising from

such war, civil war, revolution, rebellion or insurrection (whether war be declared or not); or

b. hostile act by or against any belligerent power; or c. derelict weapons of war, including mines, torpedoes and bombs.

Warehouse A building or premises of substantial construction and built of brick and/or stone

and/or concrete and/or metal and/or similar material with a fixed roof.

Warehousing

The storage, or arrangement of storage, by You of Cargo in a Warehouse location as shown in the Schedule, including any incidental loading or unloading of any Vehicle or Conveyance, movement of Cargo at or between any premises shown on the Schedule, stock rotation or inventory management, picking, boxing, consolidating, palletising, labelling, tagging, bar coding and other incidental packing pursuant to a storage contract. However, ‘Warehousing’ does not include any contract/co-packing, localising, tailoring, kitting, assembly of components, product assembly, filling (bottling, drumming, canning etc) or any other similar activity or Process.

We/Us/Our Certain Underwriters at Lloyd’s subscribing to this Policy.

You/Your The person, people or company stated in the Schedule as the ‘Insured’.

Your Goods Any goods which are owned by, or hired to, You and which relate to the provision of the Insured Services such as sheets, ropes, securing chains, toggles, dunnage and similar.

2. Cargo Liability Cover We will cover You under this Policy for the losses and liabilities set out below arising from the provision of an Insured Service under an Insured Contract or Insured Convention occurring during the Period of Indemnity and within the Geographical Limits.

1. Liability under Insured Contracts and Insured Conventions for loss or Damage We will cover You for Your liability to any third party arising from Damage to, or Mis-delivery of Cargo, other than Consequential Loss and accidental delay. 2. Consequential Loss and accidental delay We will cover You for Your liability for Consequential Loss arising directly due to:

a. Damage or Mis-delivery for which You are covered under this Policy; or b. accidental delay in the delivery of any Cargo.

The most We will pay is four times the amount charged by You under the corresponding Insured Contract or Insured Convention, which is further limited to £250,000 in total for all Events occurring in any one Period of Indemnity. 3. Common law - contract conditions set-aside We will not refuse to cover an otherwise covered liability under this Policy, where an exclusion or limitation of liability contained within the Insured Contract is deemed to be unenforceable. The most We will pay is £500,000 in total for all Events occurring in any one Period of Indemnity. 4. Common law – failure to incorporate an Insured Contract We will cover You for Your liability arising under the common law of England and Wales as a result of the provision of an Insured Service, where:

a. You inadvertently failed to incorporate an Insured Contract into the contract with Your customer and where no Insured Convention applied; and

b. You can prove that You had in place an effective system throughout the Period of Indemnity to contract with Your customers and that the failure to incorporate the Insured Contract was an isolated error or omission by You or Your Employee.

Under this cover, We will pay the amount We would have paid if the contract had been subject to the Insured Contract or Insured Convention which, in Our sole opinion, would have been the most appropriate. The most We will pay is £500,000 in total for all Events occurring in any one Period of Indemnity, which is reduced to £250,000 in total for all Events occurring in any one Period of Indemnity if You cannot provide evidence to satisfy b. above. 5. Third Party Trailers and Containers We will cover You for Your liability for Damage to Third Party Trailers and Containers. Under this cover, at Our option the most We will pay is the cost to repair or replace any Damaged Third Party Trailer or Container, however We will not pay more than:

a. Your liability for Damage to any Third Party Trailer or Container. b. In all other circumstances the market value of the Third Party Trailer or Container at the time of loss or

Damage.

The most We will pay is £100,000 any one Trailer or Container. Specific exclusions

We will not make any payment under this cover for:

a. mechanical, electrical or electronic breakdown, failure or derangement; or b. Damage to tyres caused by punctures, cuts, bursts or the application of brakes.

6. Transhipment and removal costs Where:

a. You are covered under this Policy for Damage to, or Your liability arising out of Damage to, Cargo, Your Goods or Third Party Trailers and Containers; or

b. an accident has been suffered during the Period of Indemnity to a Vehicle conveying Cargo; or c. transhipment, recovery or other charges are incurred to mitigate Damage or prevent any otherwise

covered claim,

We will cover You for the reasonable costs to tranship, recover, remove, clear and/or dispose of such items. The most We will pay is £25,000 in total for all Events occurring in any one Period of Indemnity. 7. Cabotage We will cover You during the course of Haulage solely within the borders of one country within Europe subject to the Geographical Limits shown in the Schedule (other than the British Isles), for Your liability for loss or Damage to Cargo under an Insured Contract, or should such Insured Contract not be enforceable to the extent that CMR would have applied if CMR had been applicable. The most We will pay is the limit stated in article 23 CMR, including any replacement or amending article, which is further limited to the Limit of Indemnity shown on the Schedule for CMR and in total for all Events occurring in any one Period of Indemnity. 8. Lien We will cover You for Damage to Cargo over which You are legitimately exercising a lien, whilst being:

a. loaded on or off, or carried by, a Vehicle or Conveyance; or b. stored in a Warehouse for no more than 14 consecutive days.

The most We will pay is the lesser of the value of Your lien over the Cargo or the value of Cargo, which is further limited to £50,000 in total for all Events occurring in any one Period of Indemnity. Specific exclusions

We will not make any payment under this cover for:

a. any liability other than for Damage to Cargo. b. Damage caused by packing or preparation which is unable to withstand normal handling and transit; or c. Damage caused by mechanical, electrical or electronic breakdown, failure or derangement.

9. Unwitting CMR We will cover You for Your liability for Damage to Cargo unwittingly incurred by You under CMR. The most We will pay is £250,000 any one Event. 10. Full Responsibility/Full Value Liability Contracts If shown in the Schedule as covered the following shall apply: We will cover You for Your liability for Damaged Cargo under any Full Responsibility/Full Value Liability Contract. Under this cover, the most We will pay is the lesser of the:

a. invoice value of any Damaged Cargo, including all applicable taxes, duties and charges; or b. cost of repairing or replacing the Damaged Cargo; or c. value of the part or portion of the Cargo that has been Damaged.

Specific exclusions

We will not make any payment under this cover for any liability arising from Damage caused by: a. packing or preparation which is unable to withstand normal handling and transit; or b. mechanical, electrical or electronic breakdown, failure or derangement or

c. delay.

3. Standard Cover Extensions We will also cover You under this Policy for losses and liabilities set out in the extensions below arising from the provision of an Insured Service under an Insured Contract or Insured Convention occurring during the Period of Indemnity and within the Geographical Limits.

1. Incorrectly Received Goods We will cover You for Damage to Incorrectly Received Goods. However, We will not cover any liability for Consequential Loss. The most We will pay under this cover extension is £25,000 in total for all Events occurring in any one Period of Indemnity. 2. Your Goods We will cover You for:

a. Damage suffered to Your Goods whilst being loaded on or off, or carried by, a Vehicle owned or operated by You; and

b. Your liability for any contribution towards general average or salvage charges in relation to Your Goods.

The most We will pay under this cover extension for Damage to Your Goods is the lesser of the cost to repair, replace or reinstate such Goods. The most We will pay under this cover extension is £10,000 any one Event.

Specific exclusions We will not make any payment under this cover extension for any liability arising from Damage caused by:

a. packing or preparation which is unable to withstand normal handling and transit; or b. mechanical, electrical or electronic breakdown, failure or derangement.

3. Drivers’ personal effects We will cover the driver of any Vehicle owned or operated by You for Damage to their personal effects. The most We will pay under this cover extension is £750 any one Event. This cover extension is subject to an Excess of £50 any one Event. 4. Driver repatriation We will cover You for the reasonable costs incurred by You to repatriate the driver(s) of any Vehicle owned or operated by You to any address within the British Isles, following collision and/or overturning and/or theft of the Vehicle, provided such incident occurred outside the British Isles. The most We will pay under this cover extension is £2,000 in total for all Events occurring in any one Period of Indemnity.

4. Optional Cover Extensions Where shown in the Schedule, We will cover You under this Policy for losses and liabilities set out below arising from the provision of an Insured Service under an Insured Contract or Insured Convention occurring within the Geographical Limits. The Limits of Indemnity for these cover extensions are in addition to all other Limits of Indemnity shown in the Schedule.

4.1 Errors and Omissions 1. Errors and omissions If, during the Period of Indemnity, a customer brings a claim against You for any breach of duty by reason of any negligent act, error or omission committed by:

a. You or Your Employee; or b. Your Sub-contractor or an employee of Your Sub-contractor,

arising out of any:

i. failure to comply with instructions; or ii. faulty arrangement; or iii. clerical error,

We will cover You for Your liability for financial losses suffered by Your customer, including any recoverable legal costs and expenses. The most We will pay under this optional cover extension is the amount shown on the Schedule in total for all claims made in any one Period of Indemnity. Specific exclusions:

We will not make any payment under this optional cover extension for any claim for, or directly or indirectly due to:

a. liability for Damage other than as a result of Mis-delivery; or b. Your insolvency or financial default; or c. fines, duties, taxes, levies, expenses or any other penalty incurred as a result of any infringement of any

legislation, codes of practice or regulations; or d. defamation, including libel, slander and malicious falsehood; or e. any liability owed by You as an employer; or f. any circumstances You were aware of at inception of this Policy that You might have reasonably expected

to result in a claim; or g. any dishonest, criminal, fraudulent, malicious or reckless act or omission by You or any of Your partners,

directors, Employees or Sub-contractors; or h. Consequential Loss or accidental delay other than as shown in Section 2. – Cargo Liability Cover 2. Surrender of bills of lading If, during the Period of Indemnity, a customer brings a claim against You for the accidental release of Cargo without surrender of the original bill of lading or similar document by:

a. You or Your Employee; or b. Your Sub-contractor or an employee of Your Sub-contractor,

We will cover You for Your liability for financial losses suffered by Your customer, including any recoverable legal costs and expenses. The most We will pay under this optional cover extension is £50,000 in total for all claims made in any one Period of Indemnity.

4.2 Insured Trailers 1. Loss and damage We will cover You for Damage or Your liability for Damage to Insured Trailers during the Period of Indemnity.

Specific exclusions We will not make any payment for:

a. mechanical, electrical or electronic breakdown, failure or derangement; or b. Damage to tyres caused by punctures, cuts, bursts or the application of brakes; or c. any Trailer leased to any party; or d. any Trailer loaned and/or hired to any party other than a Sub-contractor for the purposes of an Insured

Service on Your behalf.

2. Hire charges Where Insured Trailers have suffered Damage that is covered under 1. above, We will cover You for:

a. standard hire purchase payments due in respect of the Insured Trailer; or b. Your liability for lease or hire charges due to any third party from which the Insured Trailer has been hired

or leased; or c. reasonable hire charges incurred by You to hire a similar replacement,

until the Damaged Insured Trailer is repaired or replaced. The most We will pay under this optional cover extension is £500 per week and £5,000 in total for all Events occurring in any one Period of Indemnity. 3. General average and salvage charges We will cover You during the Period of Indemnity for Your liability for any general average or salvage charges. 4. Removal costs Where Insured Trailers have suffered Damage or where an accident has been suffered to a towing Vehicle of an Insured Trailer during the Period of Indemnity, We will cover Your reasonable costs incurred to recover, remove, clear and / or dispose of the Insured Trailer. The most We will pay under this optional cover extension is £10,000 in total for all Events occurring in any one Period of Indemnity. 5. War risks at sea We will cover You for Damage caused to Insured Trailers during the Period of Indemnity by War, whilst on board a ship within the Geographical Limits.

Specific conditions This cover will automatically cease upon:

a. any hostile detonation of any weapon using atomic or nuclear fission or fusion; or b. the outbreak of War between any of the following countries: United Kingdom, United States of America,

France, the Russian Federation or the People’s Republic of China.

Specific limits At Our option the most We will pay under this optional cover extension is the cost to repair or replace any Damaged Insured Trailer, however We will not pay more than:

a. Your liability for Damage to any Insured Trailer that is leased or hired to You; or b. In all other circumstances the market value of the Insured Trailer at the time of loss or Damage.

If at the time of any Damage the value of any one Insured Trailer or the total value of all Insured Trailers exceeds the Limit of Indemnity shown on the Schedule We will not pay more than the proportion of the claim that the value bears to the actual value of the Insured Trailer(s).

4.3 Warehousing - Employee Fidelity

Specific cover:

We will cover You for theft by Your Employees of Cargo whilst stored at, or being moved within, any Warehouse shown in the Schedule. Under this optional cover extension, We will treat all losses arising from the actions of the same person, or group of persons acting in collusion, as one Event and the loss date will be the date of the first loss of a series of losses.

Such theft must be discovered and notified to Us:

a. during the Period of Indemnity; or b. within 14 days after the end of the Period of Indemnity, provided that the theft occurred before the end of

the Period of Indemnity.

Specific exclusions

We will not cover You under this optional cover extension for: a. mysterious or unexplained disappearance, shortage or loss; or b. loss or shortage discovered during any stocktaking or inventory check not attributable to theft by Your

Employees.

Specific conditions

a. The most We will pay under this optional cover extension is £50,000 in total for all Events occurring during any one Period of Indemnity.

b. You must pay an Excess of £10,000 for each Event.

5. General Exclusions – applicable to this whole Policy We will not provide any cover under this Policy for any: 1. Specific activities claim, loss or liability arising directly or indirectly due to:

a. any household, office or other similar removals undertaken or arranged by You; or b. You or a Sub-contractor being the owner, manager or occupier of any Conveyance other than a Vehicle;

or c. any failure to collect payment for Cargo; or d. Damage caused to Cargo stored outdoors, in a yard or within a temporary structure. 2. Contracts and conventions claim, loss or liability arising directly or indirectly due to:

a. any increase in the default limit of liability of any Insured Contract or Insured Convention, or any special declaration of value, unless notified to, and agreed by Us in writing; or

b. any retrospective change to an Insured Contract in respect of an occurrence before the date of such change; or

c. any other variation or amendment to an Insured Contract or Insured Convention, unless notified to, and agreed by, Us in writing; or

d. Your failure to meet any agreed: i. collection, delivery or release deadline; or ii. service standard; or e. any performance guarantee or penalty clause. 3. Excluded items Damage to, or claim arising directly or indirectly due to Damage to, any:

a. Excluded Cargo; or b. Business records; or c. Cargo whilst being propelled by its own power, other than whilst being loaded onto or from a

Conveyance (loading starts at the point when the wheels or tracks first touch the ramp of the Conveyance and unloading ends at the point when the wheels or tracks leave the ramp of the Conveyance); or

d. any Cargo or Your Goods being towed, other than on a Trailer; or e. any item other than Cargo, Your Goods, Insured Trailers or Third Party Trailers and Containers.

4. Excluded perils Damage caused by, or claim arising directly or indirectly due to, any:

a. i. Inherent defect; or ii. deterioration of Cargo, other than where caused during Haulage or Freight Forwarding in a

climate-controlled environment and caused as a direct result of a climate-controlled Vehicle (or Climate-controlled Container loaded on a Vehicle), failing to maintain the temperature at which it was intended to be set; or

iii. hardening or setting of Cargo; or iv. vermin, wear and tear, gradual deterioration, inherent vice and by ordinary leakage, ordinary loss

in weight or volume; or b. liability arising from Pollution.

5. Warehousing disappearance and shortage Damage caused by, or claim arising directly or indirectly due to, any mysterious or unexplained disappearance, shortage or loss discovered during any stocktaking or inventory check other than where covered under Optional cover extension 4.3 Warehousing – Employee Fidelity. 6. Costs above manufacturing costs costs, or liability for costs, incurred in replacing any lost or Damaged cards, tokens, vouchers, tickets, scratch cards or other similar items, other than the manufacturing costs of such items.

7. Death and bodily injury claim, loss or liability arising from the sickness, disease, bodily or mental injury or death suffered by any living creature. 8. Bills of lading claim arising directly or indirectly due to:

a. the releasing of Cargo without surrender of the bill of lading or similar document, other than where covered under Optional cover extension 4.1. Errors and omissions, 2. Surrender of bills of lading; or

b. entering information which is known to be incorrect or likely to be incorrect on any bill of lading or similar document.

9. Failure to insure Cargo claim, loss or liability arising directly or indirectly due to any failure to arrange or to effectively arrange Cargo insurance. 10. Deliberate or reckless acts claim, loss or liability arising directly or indirectly due to any dishonest, fraudulent or reckless act or omission, or any wilful misconduct, committed, condoned or ignored by You or any of Your partners or directors. 11. War claim, loss or liability arising directly or indirectly due to War, other than where covered under Optional cover extension 4.2 Insured Trailers, 5. War risks at sea. 12. Radioactivity claim, loss or liability arising directly or indirectly due to:

a. ionising radiation from, or contamination by, radioactivity from any nuclear fuel or from any nuclear waste or from the combustion of nuclear fuel; or

b. any weapon or device employing atomic or nuclear fission and/or fusion or other similar reaction or radioactive force or matter; or

c. the radioactive, toxic, explosive or other hazardous or contaminating properties of any: i. nuclear installation, reactor or other nuclear assembly or nuclear component thereof; or ii. radioactive matter, however, this does not apply to radioactive isotopes (other than nuclear fuel)

when such isotopes are being prepared, carried, stored, or used for commercial, agricultural, medical, scientific or other similar peaceful purposes; or

d. any chemical, biological, bio-chemical or electromagnetic weapon.

13. Liability to Authorities and confiscation a. claim, loss or liability arising directly or indirectly due to the destruction, confiscation, nationalisation,

seizure, expropriation, detention or requisition by any Authority; or b. Your liability to any Authority for duties, taxes, fines, penalties or charges.

14. Consequential Loss Consequential Loss, other than where shown as covered under 2 Cargo Liability Cover, 2. Consequential Loss and accidental delay or Optional cover extension 4.2, Insured Trailers, 2. Hire Charges. 15. Viruses and misuse of Electronic Data claim, loss or liability arising directly or indirectly due to:

a. any Virus; or b. any malicious act preventing the sending, receiving, accessing or use of Electronic Data; or c. the malicious creation, use, destruction, distortion, corruption or appropriation of Electronic Data.

16. Sanctions claim or loss if doing so would expose Us to any sanction, prohibition or restriction under United Nations resolutions or any trade or economic sanctions, laws or regulations of the European Union, United Kingdom or United States of America. 17. Prior knowledge circumstance or matter likely to lead to a claim, loss or liability otherwise covered under this Policy that You knew, or ought reasonably to have known about, before the start of the Period of Indemnity.

18. Geographical Limits Damage caused, or any liability or claim arising due to any Insured Services performed, outside of the Geographical Limits. 19. Financial difficulty claim, loss or liability arising directly or indirectly due to Your liquidation, administration, appointment of a receiver, other insolvency procedure or financial difficulties, or from Your failure to collect any sums due to You. 20. Terrorism We will not pay more than £100,000 for Damage caused by Terrorism whilst Cargo is under a Contract for Warehousing as shown in the Schedule.

21. Warehousing theft theft or attempted theft from any Warehouse, unless following violent or forcible entry or exit. 22. Strikes claim, loss or liability arising directly or indirectly from any strike, lockout, labour disturbance or disputes, riots or civil commotions. 23. Pressure waves claim, loss or liability arising from pressure waves caused by aircraft or other aerial devices travelling at sonic and supersonic speeds.

6. General Conditions – applicable to this whole policy 1. Information provided to Us You must provide to Us before the start of the Period of Indemnity a fair presentation of the risk. A fair presentation is one which, following a reasonable search, discloses in a manner which is clear and accessible all material facts which You, including Your senior management and anyone responsible for arranging this Policy, knew or ought to know. 2. Failure to present the risk fairly a. If You deliberately or recklessly fail to comply with Your obligation in 1. above to provide a fair

presentation of the risk, We shall be entitled to avoid this Policy. If We do so, We shall be entitled to retain all premiums paid and You must repay any payments already made by Us under this Policy.

b. If You fail to comply with Your obligation in 1. above to provide a fair presentation of the risk, but Your failure was neither deliberate nor reckless, We shall be entitled to:

i. avoid this Policy if We can show that We would not have entered into this Policy if You had fairly presented the risk; or

ii. if We can show that We would have entered into this Policy but on different terms, other than as to premium, this Policy shall remain in force on the basis that those different terms apply from the start of the Period of Indemnity; or

iii. if We can show that We would have entered into this Policy but charged a higher premium, We shall be entitled to reduce any payment We make under this Policy in the proportion that the premium actually charged bears to the premium We would have charged, as a percentage.

If We can show that We would have applied different terms and charged a higher premium, b.ii. and b.iii. above shall both apply.

3. Applicable law Unless agreed otherwise by the parties in writing, this Policy shall be governed by the laws of England and Wales. 4. Arbitration All disputes between You and Us in relation to this Policy, including as to its application, validity and any amounts payable under it, shall be referred to a single arbitrator in accordance with the Arbitration Act or other equivalent statutory provision in force at the time of the dispute. 5. Cancellation We or You may cancel this Policy at any time by giving 30 days’ notice to the other (other than in respect of War, in relation to which 7 days’ notice shall be required). You may provide notice of cancellation in writing or by telephone. We must give notice in writing by special delivery to Your last known address or to any other address You have provided to Us for this purpose. If We cancel this Policy, We will return a pro rata proportion of the premium for any period that You have already paid but will not be covered, provided that We shall not provide a return of premium if You have made a claim under this Policy. If You cancel this Policy and/or cease trading, We will not return the premium or any portion of it, other than where You cancel this Policy within the first 14 days (in which case We will return a pro rata proportion of the premium for any period that You have already paid but will not be covered provided that We shall not provide a return of premium if You have made a claim under this Policy). 6. Change of circumstances You must tell Us as soon as reasonably possible of any change in circumstances during the Period of Indemnity which may materially affect this Policy. A material circumstance is one which, if declared to Us before the Period of Indemnity, might have affected Our decision to provide this Policy or the terms on which this Policy was provided. If You fail to notify Us of a change of circumstances, We shall be entitled to the remedies set out under General Condition 2 above, from the date of the change of Your circumstances. 7. Claim survey We do not require a survey to be undertaken in respect of any claim under this Policy for less than £2,500 or the equivalent in any other currency. If We do require a survey in respect of any claim under this Policy, We will cover the reasonable costs of that survey, even if no claims payment is made.

8. Contracts (Rights of Third Parties) Act Any person or company who is not party to this Policy has no right under the Contracts (Rights of Third Parties) Act 1999 to enforce any term of this Policy. However, this does not affect any right or remedy of any third party which exists or is available apart from that Act. 9. Declaration of Turnover Where We have agreed to cover You on a declaration-linked basis, You must provide Us at the end of the Period of Indemnity with a declaration of Your actual Turnover for the relevant period (which shall be certified by an accountant, if required by Us). The premium will then be adjusted in accordance with the corresponding rates, subject to any minimum premium shown in the Schedule. If You do not provide Us with such declaration within 3 months of the end of the Period of Indemnity, We shall charge You a provisional additional premium equivalent to the greater of:

a. 10% of the premium; or b. the estimated Turnover for the following Period of Indemnity multiplied by the rates applicable to the

expiring Period of Indemnity, less any premium actually paid.

10. Defence costs For claims made against You which are covered under this Policy, We will pay Defence Costs in addition to the applicable Limit of Indemnity for the claim to which those costs relate. If Your liability in respect of a covered claim is greater than the applicable Limit of Indemnity for that claim, the amount We will pay for Defence Costs will be limited to the same proportion that that the Limit of Indemnity bears to the amount paid for that claim. 11. Freight Forwarding Air waybills and House bills

a. All air waybills issued by You or on Your behalf must:

i if the carriage includes a final destination or stop in a country other than the country of departure, include a notice to the effect that Warsaw Convention may be applicable and that the Convention governs and in many cases limits the liability of any carrier in respect of loss of or damage to Cargo; and

ii include reference to the Insured Contract on the reverse; and iii not be signed by You or on Your behalf ‘as carrier’; and iv. not be issued without the express agreement of the air carrier or without the contract conditions of

the air carrier on the reverse.

b. All house bills of lading issued by You or on Your behalf must contain the applicable Insured Contract and must not be signed by You ‘as carrier’.

12. Multiple insureds Where the Schedule shows that ‘You’ comprise more than one party, all such parties shall be regarded as one party and this Policy shall be treated as a Policy between two parties, namely Us and You, being all parties shown as ‘You’ on the Schedule. The most We will pay under this Policy is the applicable Limit of Indemnity, regardless of the number of parties entitled to an indemnity under this Policy. 13. Other insurance We will not make any payment under this Policy if You would have been entitled to cover under any other insurance if this Policy had not been in effect, other than for the amount in excess of the amount that would have been payable under such other insurance if this Policy did not exist.

14. Own Unattended Vehicles In respect of loss or Damage to Cargo caused by theft from any Unattended Vehicle or Trailer owned or operated by You or in Your control, You and/or Your Employee must ensure that: a. the Cargo is contained within a fully enclosed area of the Vehicle; and b. all doors, windows and other openings are closed and securely locked or fastened; and c. any immobilisers and alarms are in operation and in working order; and d. all keys are removed from the Vehicle; and e. detached Trailers are: i. fixed with an anti-hitching device which is in operation at the time of loss; or ii. garaged in a fully enclosed locked building or compound which is fully enclosed and secured by

locked gates; and f. during the hours between the end of the driver’s working day and the start of the next, the Vehicle or

Trailer is garaged in a fully enclosed locked building or compound which is fully enclosed and secured by locked gates.

If You are not in full compliance with these conditions, We will only pay 90% of any covered loss or liability, with the exception of d. in which case We will not provide any cover. However, this does not apply if You can demonstrate that Your failure to comply with the requirements above could not have increased the risk of loss in the circumstances in which it occurred. 15. Reasonable care You, including Your Employees, must exercise reasonable precautions to prevent, minimise or mitigate any Damage that might be, or which might lead to a liability that might be, covered under this Policy. We will not make any payment if You or Your Employee fails to do so, unless You can demonstrate that such failure to exercise such precautions could not have increased the risk of Damage in the circumstances in which it occurred. We will pay up to £2,500 any one Event for costs incurred by You to prevent or minimise Damage that would be likely to lead to a liability under this Policy, where such costs were incurred: a. with Our prior consent; or b. where it was not possible to obtain Our prior consent, but where it was necessary to incur such costs and

You notified Us of them as soon as reasonably possible.

16. Several liability Where this Policy is underwritten by more than one insurer, the liability of an insurer under this contract is several and not joint with other insurers party to this contract. An insurer is liable only for the proportion of liability it has underwritten. An insurer is not jointly liable for the proportion of liability underwritten by any other insurer, nor is an insurer otherwise responsible for any liability of any other insurer that may underwrite this contract. 17. Stillage All Cargo must be stored at least 10cm off the ground on suitable stillage materials. If they are not at the time of Damage, We will not cover the first £20,000 or 20% (whichever is the greater) of any Damage, or any liability for Damage caused by:

a. leaking, breakage, failure or backing up of any fixed water apparatus, drains, sewers or roof; or b. Flood.

However, if these conditions are not complied with, We will still cover You in full if You can demonstrate that such non-compliance could not have increased the risk of Damage in the circumstances in which it occurred. 18. Sub-contractors Before appointing any Sub-contractor, You must enter into a written contract with such Sub-contractor on terms whereby they accept liability for all relevant Cargo to at least the level of Your liability. If You do not do so, We will still provide cover if You can demonstrate that You have systems in place to ensure that Sub-contractors accept such liability, Your Employees were instructed in writing to adhere to such systems and the failure was directly due to an error by You or Your Employee. This condition does not apply to any transport by air or sea (including Associated Services) or to any Sub-contractor that is a shipping line, airline, port, terminal or railway operator.

19. Theft Attractive Cargo The most We will pay for loss of Theft Attractive Cargo by theft or attempted theft is the lesser of:

a the applicable Limit of Indemnity shown in the Schedule; or b i. £100,000 per Event; or ii. £250,000 per Event where the Cargo was transported in a sealed Container or as part of a

groupage load and You nor any Employee were unaware that such Cargo was Theft Attractive Cargo.

20. Waiver of subrogation We waive any right of subrogation We may have against any associated or subsidiary company of You. You shall not waive any right of subrogation or recourse against any third party without Our prior written consent. 21. Warehousing security In respect of any Unattended Warehouse, You must ensure that:

a. all doors, windows and other openings are left closed, securely locked and properly fastened; and b. any intruder alarm system fitted is in operation; and c. any intruder alarm system was in working order and maintained by a competent contractor in

accordance with the relevant British standard requirements or standards enforced within the country where the Warehouse is located.

If these conditions are not complied with, We will not cover You for any loss or liability arising from the theft of Cargo from the Unattended Warehouse, unless You can demonstrate that such non-compliance could not have increased the risk of loss or Damage in the circumstances in which it occurred.

7. Claims Conditions The claims conditions below are conditions precedent to Our liability under this Policy. We will not make any payment in respect of any claim under this Policy unless You comply strictly with the conditions below. 1. Notification You must notify Us as soon as reasonably possible of any:

a. claim or threatened claim; or b. anything likely to lead to a claim; or c. Damage,

that is likely to be covered under this Policy. Notification must be made using the details shown on the Schedule. If You fail to notify in accordance with this condition, We will still cover the claim or loss provided that You notify Us within three months of when You first became aware of it provided We have not suffered any prejudice as a result of the delay in notification. 2. Correspondence You must:

a. hold any party who has (or may have) a liability in respect of the claim, incident or occurrence responsible, including giving written notice in due time and ensuring any time limit is adequately protected; and

b. forward all correspondence relating to the claim, incident or occurrence to Us immediately on receipt; and

c. notify the police immediately of any loss or Damage caused by theft or malicious damage and keep a note of the incident reference.

3. Recoveries You must take all reasonable steps, including providing Us with co-operation and assistance, to recover any amounts payable by Us under this Policy from any third party.

4. Control of claims a. You must give Us, at Your own expense, all information and co-operation We require in respect

of any claim or loss covered under this Policy. b. We have the right but not the obligation to take control of and conduct in Your name the

defence, investigation and settlement of any claim, including the appointment of solicitors or other professional advisors.

c. You must not make any admission of liability or make any offers, payments or concessions in relation to a covered claim without Our written consent.

5. Repair and replacement In the event of any Damage covered under this Policy, We may at Our sole discretion elect to repair or replace any items that have suffered Damage. 6. Subrogation If We make payment under this Policy, any rights of recovery You may have against any third party shall be subrogated to Us. If the amount of any recovered monies exceeds the amount paid by Us under this Policy, We shall pay the excess to You. 7. Fraudulent claims In the event that You, or anyone on Your behalf, makes a fraudulent claim or deliberately gives Us false information when making a claim under this Policy, We shall be entitled to issue a notice to terminate this Policy with effect from the date of the fraudulent act or provision of false information. You shall be required to repay any payment already made by Us in relation to the fraudulent claim and any subsequent claims, although We shall still cover You in respect of legitimate claims made before the date of the fraudulent act. We shall not be required to return any of the premium to You.

8. Complaints If You wish to make a complaint, in the first instance please contact The Fiducia MGA Co Ltd, Pat Dickinson [email protected] or write to The Fiducia MGA Co Ltd at the address shown on the back cover of this Policy. In the event that You remain dissatisfied it may be possible in certain circumstances for You to refer the matter to the Complaints team at Lloyd’s as follows: Address: Complaints, Lloyd’s, One Lime Street, London, EC3M 7HA Telephone: 020 7327 5693 Fax: 020 7327 5225 E-mail: [email protected] Website: www.lloyds.com/complaints Details of Lloyd’s complaints procedures are set out in a leaflet “Your Complaint - How We Can Help” available at www.lloyds.com/complaints and are also available from the above address. If You remain dissatisfied after Lloyd’s has considered Your complaint, You may have the right to refer Your complaint to one of the following: a) United Kingdom: the Financial Ombudsman Service (FOS).

The contact details for the FOS are: The Financial Ombudsman Service, Exchange Tower, London E14 9SR. Telephone 0800 023 4567 (calls to this number are free from “fixed lines” in the UK) or 0300 123 9123 (calls to this number are charged at the same rate as 01 and 02 numbers on mobile phone tariffs in the UK). Email [email protected]. The FOS is an independent service in the UK for settling disputes between consumers and businesses providing financial services. You can find more information on the FOS at www.financial-ombudsman.org.uk.

b) Channel Islands: the Channel Islands Financial Ombudsman.

The Channel Islands Financial Ombudsman is an independent service in the Channel Islands for settling disputes between consumers and businesses providing financial services. You can find more information on the Channel Islands Financial Ombudsman at www.ci-fo.org/ Address: Channel Islands Financial Ombudsman, P O Box 114, Jersey, JE4 9QG Jersey local phone: 01534 748610 Guernsey local phone: 01481 722218 International phone: +44 1534 748610 E-mail: [email protected]

c) Isle of Man: the Isle of Man Financial Services Ombudsman Scheme.

The Isle of Man Financial Services Ombudsman Scheme is an independent service in the Isle of Man for settling disputes between consumers and businesses providing financial services. You can find more information on the Financial Services Ombudsman Scheme at www.gov.im/oft/ombudsman/ Address: Isle of Man Financial Services Ombudsman Scheme, Government Buildings, Lord Street, Douglas, Isle of Man, IM1 1LE Telephone: 01624 686500 E-mail: [email protected]



http://www.lloyds.com/complaints

http://www.lloyds.com/complaints


http://www.financial-ombudsman.org.uk/

http://www.financial-ombudsman.org.uk/

http://www.ci-fo.org/


http://www.gov.im/oft/ombudsman/


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Covered. In Every Way The Fiducia MGA Company Limited is an ambitious and specialist underwriting company, registered

in England and Wales under company registration number 09913313. Registered head office 20 Park Place, Leeds, West Yorkshire, LS1 2SJ.

Fiducia and Fiducia MGA are trading names of The Fiducia MGA Company Limited which is an

appointed representative of Ambant Underwriting Services Limited, a company authorised and regulated by the Financial Conduct Authority

under registration number 597301 to carry on insurance distribution activities.

freight liability policy · freight liability schedule page 4 claims in the event of any incident...

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