Owners P&I

Terms and Conditions

2018

TableofContents

SECTIONI–RISKSCOVERED

1) Crew...........................................................................................................................................1

2) Supernumeraries,StevedoresandOther...................................................................................2

3) Passengers.................................................................................................................................2

4) RescueofpersonsatSeaandStowaways.................................................................................3

5) Quarantine................................................................................................................................3

6) Collisionandcontact.................................................................................................................4

7) DamageorlossofpropertyofanyThirdParty.........................................................................4

8) RemovalofWrecks....................................................................................................................4

9) CargocarriedbytheInsuredVessel..........................................................................................5

10) Pollution....................................................................................................................................6

11) Salvors-Specialcompensationpayments................................................................................7

12) GeneralAverage–UnrecoverableThirdPartycontribution.....................................................7

13) ExcessGeneralAverage,salvageorspecialcompensation.......................................................7

14) TowageoftheInsuredVessel...................................................................................................7

15) TowingbytheInsuredVessel....................................................................................................8

16) SueandLabourcosts.................................................................................................................8

17) PenaltiesandFines....................................................................................................................8

18) WarRisks...................................................................................................................................9

SECTIONII–ADDITIONALCOVER

19) FDD............................................................................................................................................9

20) SpecialistOperations...............................................................................................................11

21) CrewandAssureds’employees...............................................................................................12

22) TourOperatoractivitiesforPassengervessels.......................................................................12

SECTIONIII–GENERALCONDITIONS

23) Paytobepaid..........................................................................................................................12

24) FlagState.................................................................................................................................13

25) Classification............................................................................................................................13

26) ISMCode.................................................................................................................................14

27) SurveybyInsurer.....................................................................................................................14

28) Dutytoactasprudentuninsured............................................................................................15

29) Premium,deductiblesorothersumsduetotheInsurer........................................................15

30) NoWaiverofrightsofInsurer.................................................................................................16

31) Deductionsfromclaims...........................................................................................................16

32) AssignmentorOtherDealing..................................................................................................16

33) Assured,JointAssuredsandCoAssureds...............................................................................16

34) Claimsnotices..........................................................................................................................17

35) Allothernotices......................................................................................................................17

36) Dutytoinform.........................................................................................................................18

37) Claimshandlingprocedures....................................................................................................18

38) AppointmentsofThirdPartiestohandleclaims.....................................................................18

39) Disclosureandrepresentationoffacts...................................................................................19

40) Subrogationandrecoveries....................................................................................................19

41) Passengertickets.....................................................................................................................19

42) Crewcontracts........................................................................................................................19

43) Securityforclaims...................................................................................................................20

44) Disputeresolutionandlien.....................................................................................................20

45) InsuredValue..........................................................................................................................21

46) AutomaticTerminationofInsurance......................................................................................21

47) TerminationofInsurancebynotice........................................................................................21

48) TerminationofcoverforanInsuredVessel............................................................................22

49) ConstructionofthePolicy.......................................................................................................22

SECTIONIV–EXCLUSIONS,RESTRICTIONSANDLIMITATIONS

50) Limitationofliability................................................................................................................23

51) Hull&MachineryInsurances..................................................................................................23

52) OtherInsurance.......................................................................................................................23

53) TimeBar..................................................................................................................................24

54) LiabilitiesunderContractandIndemnities.............................................................................24

55) LossoforDamagetotheInsuredVesselandEquipment.......................................................24

56) Defaultordeliberatemisrepresentation.................................................................................24

57) Freight,demurrageandderivatives........................................................................................25

58) LossofReputationorOpportunityorPunitiveorExemplaryDamages..................................25

59) Illegaltradeandexcessiverisk................................................................................................25

60) JH2010/009SanctionLimitationandExclusionClause..........................................................25

61) WorkDisease,CumulativeInjuryandAIDS.............................................................................26

62) PaperlessTrading....................................................................................................................26

63) InstituteRadioactiveContamination,Chemical,Biological,Bio-chemicalandElectromagneticWeaponsExclusionClause(10.11.03CL.370).........................................................................26

64) WarRisksandLosses...............................................................................................................27

65) InstituteCyberAttackExclusionClause..................................................................................27

66) General....................................................................................................................................27

SECTIONV-DEFINITIONS

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SectionI-Riskscovered

TheInsureragreesinconsiderationofthepremiumpayablefortheinsurancetobeprovidedhereunder,toindemnifytheAssuredinrespectoftheAssureds’liabilityforcosts,lossanddamage,incurredasadirectresultoftheoperationoftheInsuredVesselenteredbytheAssuredinhiscapacityasOwnerduringthePolicyTerm,inrespectof:

1. Crew

1.1 hospitalandmedicalexpensesarisingfromaccidentalpersonalinjury,illnessordeath,1.2 funeralexpenses,1.3 repatriationcostsbyreasonofillness,personalinjury,includingtheAssureds’NetLoss

inrespectofbunkersandportcharges,1.4 compensationforbeingsignedoffduetoamajorcasualty,limitedto60daysofhire,1.5 crewsubstitutionduetoaccidentalpersonalinjury,illnessordeath,limitedtotravel

expensesandsuchotherreasonablecostsasaredirectlycausedbyand/orconnectedtothecrewsubstitution,

1.6 wagestoservingcrewmembersortheirdependants,asaresultofaccidentalpersonalinjury,illnessordeath,

1.7 lossofordamagetopersonaleffects,limitedtoUSD2,500percrew.ThecoverunderthisclauseshallbeprovidedtotheAssuredwheretheliabilitytopaydamagesorcompensationtoinjuredcrewmembersarisesunder:

1.8 termsofacollectivecrewagreementorcontractofserviceoremploymententeredintobetweentheAssuredandcrewmembersoftheInsuredVesselsubjecttotheprovisionsofclause42belowand/or

1.9 legalliabilityoftheAssuredtowardscrewonboardtheInsuredVessel.

1.10 theInsurershallcoverliabilitiespursuanttoanystatutoryenactmentgivingeffecttotheMaritimeLabourConvention2006anditssubsequentamendments(the“MLC”)Regulation2.5.2,StandardA2.5.2andRegulation4.2.1,StandardA4.2.1oranymateriallysimilarenactmentwhichareavailabletotheAssuredelsewhereundertheseTerms&Conditions.

1.11 theInsurerfurtheragreestoprovidefinancialsecurityinthefavourofthecrewfor

liabilitieswhichwouldexceedthecoverundertheseTerms&Conditions.ThisshallhowevernotbeconstruedasanextensionofthecoveravailabletotheAssuredundertheseclauses.

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1.12 theInsurermaydischargeorpaysuchclaimunderclause1.10ontheAssured’sbehalfdirectlytosuchcrewordependantthereof.TheInsurershallpaysuchclaimasagentonlyoftheAssured,andtheAssuredshallbeliabletoreimbursetheInsurerinfullwithoutunduedelayforanypaymentmadeunderanyfinancialsecurityinrelationtoMLCrequirementswhichwouldnotbecoveredundertheseTerms&Conditionsandtheunderlyinginsurancepolicy.

1.13 theInsurershallnotbeliableforandshallnotmakeanypaymentunderclause1.10,

1.11and1.12abovea) ifanysuchpaymentwouldberecoverablebythecrewunderasocialsecurity

scheme,fund,separateinsuranceorsimilararrangement,b) Ifanysuchpaymentwouldariseoutoforinconsequenceoftheterminationofany

agreement;oranybreachordefaultbytheAssuredofanyagreementorothercontractofserviceoremployment;orsaleoftheship;oranyotheractoftheAssuredinrespectoftheship.

2. Supernumeraries,StevedoresandOtherPersons

2.1 hospitalandmedicalexpensesarisingfromaccidentalpersonalinjury,illnessordeath.2.2 legalliabilityoftheAssuredtowardspersonsmentionedinthisclause.

3. Passengers

3.1 hospitalandmedicalexpensesarisingfrompersonalinjury,illnessordeath,3.2 funeralexpenses,3.3 legalliabilityoftheAssuredtowardspassengersonboardtheInsuredVessel,3.4 repatriationcostsbyreasonofillness,injuryorstatutoryobligations,3.5 lossordamagetoanyeffectsofPassengers,3.6 hometravelduetoacasualtywhichrenderthevesselunseaworthyorincapableof

carryingPassengers,

Theaboveitemsaresubjecttolimitsofliabilitysetoutinanyapplicablelawandclause41below.

Thereshallbenocoverinrespectofthefollowing:

3.7 claimsarisingbeforeembarkationorafterdisembarkation,3.8 claimsarisingwhilstonexcursion,3.9 claimsarisingbycarriageofPassengerbaggageorbelongingsorpropertyinthe

possessionorcontrolofaPassengercontainingorbeingitemsofapreciousorrarenatureornotrequiredinthenormalcourseoftravel,includingbutnotlimitedtobullion,workofart,preciousorraremetalsorstones,plateorotherobjectsormineralsorsubstancesofrareorpreciousnature,orspecie,

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3.10 claimsarisingbycarriageofPassengerbaggageorbelongingsorpropertyinthepossessionorcontrolofaPassengercontainingorbeingdocumentsorpapersofvalueoroftitletosomethingofvalue,includingbutnotlimitedtocash,bearershares,banknotes,bondsorothernegotiableinstruments.

TheAssuredmay,onsuchtermsastheInsurermayagreeinwritingpriortoattachmentofrisk,becoveredforliability,costsandexpensesunderClause3.7and3.8above,asperClause21below.

4. RescueofpersonsatSeaandStowaways

4.1 anyThirdPartyliabilityincurredbytheAssuredbysavingapersonindistressatsea,excludingrecoveriesfromotherparties.

4.2 thedirectcostsof,sustaining,landingandwhererequiredbylawrepatriationofsuchpersons(includingthoseofrefugeestatus),whollyandnecessarilyincurredbytheAssuredincomplyingwithitslegalobligations.

4.3 deviationcostsforbunkers,limitedtotheAssured’sNetLoss.Thereshallbenocoverinrespectofthefollowing:

4.4 liabilityfordemurrage,damagesfordetentionorhirepayableinrespectofanyperiodduringwhichtheserviceoftheInsuredVesselininterruptedordelayedbyreasonofthepresenceofastowaway(s)onboardtheInsuredVessel(includinganyperiodofarrestordetentionafterthedisembarkationofsuchstowaway)ortherecoveryorrescueofpersonsatsea.

Coverunderparagraph4.2and4.3inrespectofstowawaysislimitedtoUSD50,000eachsinglevoyage.

5. Quarantine

Disinfectionandfumigationcostsandexpensesincurredasaresultofhumandiseasewhichisinfectious,ontheInsuredVesselorCargoorpersonsonboardprovidedthatsuchcostsshallhavebeenincurreddirectlyforthepurposeofdiseasecontroloreradication.

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6. Collisionandcontact

6.1 collisionbetweentheInsuredVesselandanothervessel,orcontactbetweentheInsuredVesselandafixedormoveableobject,butonlyifandtotheextentthatsuchliabilityexceedsthesumrecoverableunderthevessel'sHull&Machinerypoliciessolelybyreasonofthefactthattheliabilityexceedsthevaluationofthevesselinthosepolicies.Ifthevesselwasnotinsuredforherpropervalueatthetimeoftheincident,anycompensationfromtheinsurerwillbereducedaccordingly.CoverunderthisClauseissubjecttotheprovisionsofClauses45and52ofthispolicy,

6.2 personalinjury,illnessordeathofpersonsonanothervessel,whicharisesoutofacollisionbetweenthatvesselandtheInsuredVessel,

6.3 Wreckremovalofanothervessel,whicharisesoutofacollisionbetweenthatvesselandtheInsuredVessel,

6.4 pollutionfromanothervessel,whicharisesoutofacollisionbetweenthatvesselandtheInsuredVessel.

6.5 ifseparatelyagreedinwritingattermssetbytheInsurer,theAssuredmaycover1/4thor4/4thRDC.Theinsurershallcoverliabilityforlossofordamagetotheothervessel,herCargo,equipment,storesandsuppliesaccordingly.

6.6 ifseparatelyagreedinwritingattermssetbytheInsurer,theAssuredmaycoverFFOliabilityforlossofanddamagetoafixedorfloatingobject,arisingoutofcontactbetweenthatobjectandtheInsuredVessel.

7. DamageorlossofpropertyofanyThirdParty

7.1 damageorlosscausedbytheInsuredVesselincludingbutnotlimitedtostructuresand

objectssuchasanyharbor,pier,dockjetty,breakwater,buoy,cable,lighthouse,butexcludinganyothervessel(s)orcraft,orpropertyonanyothervesselorcraft.

7.2 coverunderthisClause7issubjecttotheprovisionsatClauses45and52ofthispolicyandexcludesanyFFOliabilitycoveredwiththeHull&MachineryInsurance.

8. RemovalofWrecks

AlwaysprovidedthattheAssuredshavetheirsamelegalorproprietaryinterestintheCargo,Wreckorpropertyastheydidimmediatelypriortoanyincidentgivingrisetoaclaimhereunder(otherthanbywayofdivestmentbyabandonmentbeforeremoval,disposalormarkingasprovidedbelow),theremovalofordisposalofornavigationalmarkingoftheWreckoftheInsuredVessel,Cargoorpropertyonboardatthetimeofthecasualty,wheresuchactionsareeitherrequiredbylaworbyanyorderofdecreeissuedbyanygovernmentalagencyorauthority.TherealisedvalueoftheWreck,CargoorotherpropertysavedshallbecreditedtotheInsurer.

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9. CargocarriedbytheInsuredVessel

9.1 damagetoorshortageofCargo9.2 delayeddeliveryofCargoduetoacasualty,exceptwheretheliabilityoftheAssured

isinconsequenceofanexpresstermofacontractofcarriagethatdeliveryisrequiredbyastipulateddateortimewithinastipulatedperiodorwhere(undersuchterms)theAssuredisliablebecauseithasfailedtodischargeCargoatarateofdischargerequiredundercontract,

9.3 extracostsofdisposal,discharging,reloadingandresecuringofdamagedCargo,incurredbytheAssuredabovethenormalcostsoftheperformanceofsuchoperationsrequiredoftheAssuredintheapplicablecontractofcarriage,hadCargonotbeendamaged.

Thereshallbenocoverinrespectofthefollowing:

9.4 carriageofCargoesotherwisethaninfullconformitywithallrelevantinternational,nationalandlocalconventionsandregulationsincluding,butnotlimitedtotheInternationalMaritimeDangerousGoods(IMDG)Code,theCodeofSafePracticeforSolidBulkCargoes(BCCode)andtheInternationalMaritimeSolidBulkCargoes(IMSBC)Code,

9.5 failuretoload,unlesscausedbyanaccident,casualtyorbreakdownsufferedbytheInsuredVesselafteritsarrivalattheberthwheresuchCargoisbeingloaded,

9.6 lossofordamagetoanyCargoownedbytheAssured,9.7 latearrivalornon-arrivaloftheInsuredVesselattheportofloadingorimpossibilityto

loadacertainCargoonboardtheInsuredVessel,9.8 deliveryofCargowithoutproductionoftheoriginalbillofladingorwaybill,9.9 deliveryoftheCargotoapersonotherthanthepersonnamedinthebilloflading,

waybillasthepersontowhomthedeliveryshouldbemade,9.10 carriageofCargoondeckwithunderdeckBill(s)ofLading,9.11 carriagebyothervesselsthantheAssureds’vesselorbyothermeansoftransport,

unlesstheinsurerapprovesthecontract,9.12 carriageofCargoontermslessfavourabletotheAssuredthantheHague-Visbyrules,

(i.e.theRulescontainedintheInternationalConventionfortheUnificationofCertainRulesrelatingtoBillsofLadingsignedatBrusselson28thAugust1924,asamendedbytheProtocoltothatConventionsignedatBrusselson23thFebruary1968),exceptinsofarasthecontractofcarriageisonlessfavourabletermssolelybecauseofthecompulsoryapplicationoftheHamburgRulesbyvirtueoftheplaceofloadingordischarge,

9.13 Cargodischargeataportorplaceofdischargedifferentfromthatprescribedintheapplicablecontractofcarriage,

9.14 incorrectstatementscontainedinthebillofladingorothercontractofcarriage,madewithknowledgeorrecklessdisregardbytheChiefOfficer,Master,theAssuredortheiragents,

9.15 carriageofCargounderanadvalorembilloflading,

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9.16 deviationsoranydeparturefromthecontractuallyagreedrouteorachangeoftermsofcarriage,whichdeprivetheAssuredoftherightsoflimitationordefenseswhichwouldotherwisehavebeenavailabletotheAssuredonthebasisoftheHagueVisbyRules,

9.17 carriageoflivestockorotherliveanimals,9.18 carriageofcash,bearershares,banknotes,bondsorotherformsofdocumentsof

value,bondsorothernegotiableinstruments,anyworkofart,bullion,preciousmetalorstones,

9.19 carriageofsteelproducts(otherthansteelCargonotsensitivetowaterorhumidity)orotherferrousmetalswithoutpre-loadingsurveyattheAssureds’expensebyasurveyorapprovedbytheinsurer,

9.20 carriageofnuclearsubstances,unlesstheAssuredobtainsanindemnityfromtheshippersinaformapprovedbytheInsurerpriortoloading,

9.21 there-issuanceofbillsofladingorothertransportdocumentsbytheAssuredunlessotherwiseagreedinwritingbytheInsurer.

TheAssuredmay,onsuchtermsastheInsurermayagreeinwritingpriortoattachmentofrisk,becoveredforliability,costsandexpensesunderClause9.4to9.21above.

10. Pollution10.1 accidentalescapeordischargeofoilorotherpollutingsubstance(unlesssuch

substanceshouldnothavebeenaboardtheInsuredVessel),10.2 measuresreasonablytakenforthepurposeofpreventingorminimisingpollutionor

anyresultingdamagetogetherwithanyliabilityforlossordamagecausedbythetakingofsuchmeasures,

10.3 thereasonablecostsofcomplyingwithanylawfulorderofanygovernmentorauthorityforthepurposeofpreventingorminimisingactualorthreatenedpollution.

Thereshallbenocoverinrespectofthefollowing:

10.4 costsrequiredaspartofthenormaloperation,salvageorrepairofthevessel,10.5 costsandexpenseswhichwouldberecoverableintheGeneralAverageifthemember

hadincorporatedtheYork-Antwerprules1994,10.6 illegalorintentionaldischargeofanysubstancefromtheInsuredVessel,byanyofthe

Assureds’servantsincludingcrewandofficers,10.7 dischargeorescapeorthepresenceofanysubstance,materialorproductorwaste

determinedordeemedtobehazardousinanydump,site,storageordisposalfacilitywhetherornotsuchsubstance,material,productorwastewaspreviouslycarriedonboardtheInsuredVesselasCargo,fuel,slopsorstores.

10.8 Liability,loss,costsandfines,arisingoutofincidentstowhichtheUSOilPollutionAct1990isapplicable.Ifseparatelyagreed,theInsurercanarrangeadditionalinsurancetocoverliability,loss,costsandfines,arisingoutofincidentstowhichtheUSOilPollutionAct1990isapplicableandwhichwouldotherwisebeexcludedunderthisclause10.8,ontermssetbytheInsurerandagreedinwritingpriortoattachmentofrisk.

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11. Salvors-Specialcompensationpayments

PaymentstoandbyvirtueofasalvorssuccessfullylimitingorpreventingdamagetotheenvironmentbytheInsuredVessel(andanythingthereon)undertheprovisionsofArticle14oftheInternationalConventiononSalvage1989,orunderaLloyd’sOpenForm,1980,1990or1995editions,oranystandardformsalvageagreementincorporatingtheeffectofArticle14ofthesaidConvention.

CoverisnotprovidedwherepaymentasspecialcompensationisotherwisepayablebyanyThirdPartybyvirtueofhavinganinterestinpropertywhichisthesubjectofsalvageservices.

12. GeneralAverage–UnrecoverableThirdPartycontributionPaymentoftheproportionateamountofGeneralAverage,salvageorspecialcompensationandcontractuallyorotherwiseowedbyaThirdPartytotheAssured,butonlybecauseofabreachofthecontractofcarriagebytheAssured,suchamountisnotrecoverablefromsuchThirdParty.PolicycoverhereunderissubjecttotheexclusionsandothertermsofClauses9.4to9.21.

13. ExcessGeneralAverage,salvageorspecialcompensation

TheproportionateamountofGeneralAverage,specialcompensationorsalvageduetoasalvor,butwhichasaresultoftheInsuredVesselbeingvaluedaboveitscurrentdeclaredinsuredvalueisnotrecoveredfromtheInsuredVessel’sHull&Machineryinsurance.PolicycoverhereunderissubjecttotheexclusionsandothertermsofClauses45and52.

14. TowageoftheInsuredVessel

TowageoftheInsuredVessel,underanyagreementfor:14.1 enteringandleavingaloadingordischargefacilityforthepurposeofordinarytrading,14.2 movingtheInsuredVesselbetween,within,toorfromanyportorotherplace,and

makingtheInsuredVesselsafeinport,drydockorshipyardforthepurposeoftheInsuredVessel’sordinarycourseoftrading,butonlyifsuchtowage,isonunamendedstandardformTowhireorTowconterms,orothertowagestandardformcontract(approvedinwritingbytheInsurer)andthatgivesatleastthesameprotectionandrightsfortheAssuredastheaforesaidTowhireorTowconstandardterms.

CoverisavailableonlytotheextentHull&MachineryinsurancedoesnotprovidetheInsuredVesselcoveragainsttheriskssetoutinsaidclause.

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15. TowingbytheInsuredVessel

TowingbytheInsuredVesselofanyothervessel,craftorfloatingobjectbytheInsuredVessel,butonlyifsuchtowagebytheInsuredVessel,isonunamendedstandardformTowhireorTowconterms,ortheUKStandardConditionsforTowingorOtherServices(1986edition),orothertowagestandardformcontract(approvedinwritingbytheInsurer)andthatgivesatleastthesameprotectionandrightsfortheAssuredastheaforesaidTowhireorTowconstandardterms.

16. SueandLabourcostsSubjecttothePriorApprovaloftheInsurer,costsandexpenses,necessarilyincurredbytheAssured,exclusivelyforthepurposeofavoidingorlimitingliabilitycostsorexpenses,afteranyoccurrence(includingacasualtyoftheInsuredVessel)whichmayresultinapolicyclaimforrisksinsuredhereunder.CoverunderthisclauseislimitedtotheAssured’sNetLoss.

17. PenaltiesandFines

AnyPenaltyorfineorotherfinancialsanctionissuedorotherwiseleviedontheInsuredVesselorCrewmemberthereofbyanylawfulauthorityorjudicialbody(includingagovernmentagencyorauthority,courtortribunal)whomtheAssuredislegallyliabletopayortoreimburse,inrespectof:17.1 breachofcustomsregulationsorrequirementsgoverningCargodocumentationand

administrationthereoforforshortdeliveryorover-deliveryofCargo,butsubjecttotheexclusionsandtermsofclauses9.4to9.21above,

17.2 anybreachofcustomsorimmigrationlaws,requirementsorregulations,orsmuggling,butnotfororrelatedtoCargocarriedpursuanttoanycontractofcarriage,wheretheAssuredisaparty,

17.3 accidentalescapeorreleasefromtheInsuredVesselofanypollutingsubstance,butnotinrespectofanysubstancewhichshouldnothavebeenaboardsaidvessel.

Anypenaltyorfineorotherfinancialsanctionasaforesaidisnotcoveredbythispolicyifbyreasonof:17.4 Marpol73/78Conventionviolationsandanybreachorinfringementofthe

requirementsandprovisionsrelatingeithertotheconfigurationandequippingoftheInsuredVesselorthemaintainingofproperrecordsorotherdocuments.

17.5 intentionaldischargeofoiloranyotherpollutingorprohibitedsubstance,17.6 morePassengersonboardtheInsuredVesselthanislawfullyallowed(byreasonof

applicablelaworinsurancetermsorvesselclassorothergovernmentalorindustryregulationorrequirement),

17.7 overloadingoftheInsuredVessel(asdeterminedbyreasonofanycontractorapplicablelaworinsurancetermsorvesselclassorothergovernmentalorindustryregulationorrequirementoranytechnicallimitationsofthevesselitself),

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17.8 breachofanylaw,orothergovernmentalorindustryregulationorrequirementrelatingtocontrolorregulationoffishing,

17.9 criminalactivitywiththeknowledge,connivance,complicityorrecklessdisregardoftheAssured,orotherwisethatcouldhavebeenpreventedhadtheAssuredtakenpreventivemeasureseitherasaprudentuninsured,orinaccordancewithanyprevailingindustrypractice,orguidelinesorrequirementsofanyrelevantpolicingcustomsorportauthority.

18. WarRisks

Warrisksasdefinedinclause1and2oftheInstituteProtectionandIndemnityWarStrikesClauses20/7/87alwaysprovidedthisClauseshallonlyextendtosuchliabilities,costsandexpensesinsofarastheyexceedamountsrecoverableunderanyotherinsuranceincludingbutnotlimitedtotheInsuredVessel’sHull&Machinery,warriskspolicy'sorinsuranceinrespectofCrew.

SectionII-Additionalcover

Thereshallbenocoverunderthispolicyforliabilities,costsandexpensesarisingfromorinconnectionwithclauses19to22below,unlesstheInsureragreestocoversuchliabilitiesontermsasagreedinwritingpriortoattachmentofrisk.

19. FDD

LegalcostsandexpenseswhicharedirectlyconnectedwiththeoperationoftheInsuredVessel,whichhavebeennecessarilyincurredbytheAssuredinclaimingordefendingclaims,onsuchtermsastheInsurermayagreeorhasagreedinwriting,arisinginrespectofthefollowing:19.1 charterparty,billoflading,crewcontract,passengerticketwhichtheAssuredisa

contractingparty,19.2 thehandlingofCargowhichisintendedtobecarried,whichiscarriedorwhichhas

beencarriedonboardtheInsuredVessel,19.3 insurancecontractsotherthancontractswithHydor,Insurersoranyrelated

companies,19.4 contractforoperationalandadministrativeservicesfortheInsuredVessel,including

butnotlimitedtocontractsinrespectofagency,stevedoring,towageorsalvage,19.5 contractinrespectofthesupplytotheInsuredVesselofstores,goodsormaterials

orothernecessaries,bunkers,lubricatingoil,19.6 contractfortheconstruction,alteration,refitting,conversion,repair,maintenanceor

drydocking,orsaleandpurchaseoftheInsuredVessel,subjecttocontractsbeenapprovedbytheInsurerinwriting,

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19.7 damagetotheInsuredVessel,detentionoftheInsuredVessel,ortheimpairmentofanyrightoftheAssuredinrespectoftheInsuredVessel,causedbyanyThirdParty,unlesssuchdisputesarecoveredwiththeInsuredVessel’sHull&Machineryoranyotherpoliciesorexceeds1%oftheHullvalue,

19.8 personsrescuedatseaorrefugeesorstowaways,19.9 GeneralAverage.Subjectalwaysinhandlingorinconnectionwithanyoftheabove,tothetermsofclause38belowandfurtherprovidedthattheAssuredhasverygoodprospectsofsuccessfullypursuingordefendinganysuchclaim,ortheresolutionthereof,bytheobtainingofandexpenditureonlegalcostsandexpensesPROVIDEDALWAYSthatsuchcostsandexpensesareincurredafterthewrittenconsentandapprovalthereofhasbeenobtainedbytheAssuredfromtheInsurerandsubjectalwaystoanylimitationsorrestrictionsasprevioussetoutinanyclauseinthispolicy.NoneoftheAssuredand/orJointAssuredsand/orCo-Assuredsshallbecoveredinrespectofanydisputesbetweenanyofthemselves.

Inassessinglegalcoststobecoveredandtheexerciseofitsdiscretionastoapprovalorotherwisethereof,theInsurershallbeentitledtotakeintoaccountallthecircumstancesincluding:

19.10 reasonablerelationshipbetweentheamountindisputeandthecostswhicharelikelytobeincurred,

19.11 reasonablerelationshipbetweentheprospectsofsuccessfullyobtaininganawardorjudgmentandthecostswhicharelikelytobeincurred,

19.12 reasonablerelationshipbetweentheprospectsofsuccessfullyobtainingpayment(duetothefinancialpositionoftheotherpartyorotherwise)andthecostswhicharelikelytobeincurred,

19.13 reasonablerelationshipbetweentheprospectsofsuccessfullydefendingaclaimandthecostswhicharelikelytobeincurred,

19.14 lawandjurisdictionrelatingtothecircumstancesunderconsideration,19.15 whethertheAssuredhasfailedtotakereasonablecareinthechartering,controlor

managementofthevessel,orthepositionadoptedbytheAssuredisunreasonableortheAssured’sconducthasbeenimprudent,improperortaintedwithillegality,

19.16 whethertheAssuredfailstoprovideinformationordocumentationwhichisnecessaryforthedisputetobeproperlyevaluatedorhandled,

19.17 whethertheAssuredrefusestohandleorsettlethecaseinaccordancewithrecommendationsoftheInsurer,

19.18 whethertheAssuredmakesconcessionsorentersintoasettlementwithouttheapprovaloftheInsurer,

19.19 whethertheAssuredtakesstepstoinitiatelegalactionorarbitration,ormakesanapplicationtoanycourtorarbitrationtribunal,ortakesanyothermaterialstepinadispute,withoutseekingthePriorApprovaloftheInsurer.

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TheproceduresandprovisionssetoutinClauses36,37,38,39and40shallbefollowedandapplytotheconductofanyclaimcoveredbythisclause.IftheInsurerandtheAssureddisagreeastoprospectsofsuccessinpursuingordefendingorresolvinganyclaimhereunder,suchdisagreementshallbesubjecttoandsubmittedtoarbitrationinLondonwiththreearbitrators,onetobeappointedbyeachofthepartiesandathirdbythearbitratorssoappointed.Thearbitrationshallbebywrittensubmissionsandsupportingdocumentationonlyandthereshallbenooralsubmissions.TheArbitrationshallbeconductedinaccordancewiththeprovisionsoftheEnglishArbitrationAct1996oranystatutorymodificationorre-enactmentofitforthetimebeinginforce,unlessexpresslyprovidedinthisClause.ThearbitrationawardshallbefinalandbindingonthepartiesifitisadversetotheAssured.TheInsurermayrequirethere-submissionofthedisputeordisagreementtothearbitratorsfollowinganyawardadversetotheInsurer.AllotherdisputesshallbedeterminedpursuanttotheprovisionsofClause44.

20. SpecialistOperations

ThefollowingactivitiesshallbetreatedasSpecialOperations:20.1 exploration,seismicactivities,drilling,productionandassociatedservicesinrespectof

oil,gasorminerals,20.2 storageofCargoonboardtheInsuredVesseloronland,20.3 projectCargoandcarriageofanystructureondeck,20.4 underwateroperationsbyROVorothersubmersible,commercialdiving,20.5 construction,blasting,andconstructionofoffshoreinstallations,20.6 dredging,20.7 pipeorcablelaying,20.8 salvageandWreckremoval,20.9 firefighting,20.10 pollutioncontrolandcleanup,20.11 permanentlymooredvesselbeingusedasarestaurant,bar,museum,orotherformof

entertainmentorexhibitionorasahoteloranysortofaccommodationoruseotherthantheuseforwhichthevesselwasintendedatthetimeofconstruction.

TotheextentthattheInsuredVesseliscarryingouttheSpecialOperationssetoutat20.1to20.11above,theAssuredmayonsuchtermsastheInsurermayagreeinwriting,alsobecoveredinrespectofliabilities,costsandexpensescoveredunderClauses1to17incurredbyreasonoftheInsuredVesselbeingengagedinsuchSpecialOperations.

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21. CrewandAssureds’employees

PersonsemployedorengagedbytheAssuredtobecoveredunderClause1or2above,inrespectofthefollowing:

21.1 purchaseofavesselandtheAssured,priortodeliveryofthevessel,placesaperson(s)atashipyardoronboardforthepurposeofsupervisionofwork,familiarisationandhand-over,

21.2 iftheInsuredVesselisbeingrepairedwhiletradingorindrydockandtheAssuredplacesaperson(s)onboardorattheyard,otherthanamemberoftheCrew,forthepurposeof,includingbutnotlimitedto,supervising,repairwork,blasting/reconditioningoftanks,engineoverhaulormaintenance.

22. TourOperatoractivitiesforPassengervessels

22.1 coverasunderClause3above,wheretheAssuredisactingasTourOperatorarrangingexcursionsashoreandmakingonshoretravelarrangementsforPassengers.

AllcontractsrelatedtocoverunderClause22willhavetobeassessedandapprovedbytheInsurerpriortoattachmentofrisk.

SectionIII–Generalconditions

23. PaytobepaidItisaconditionprecedenttocoverunderthispolicythattheAssuredhasfirstactuallypaidtheclaimordischargedthesameoutoffundsbelongingtohimabsolutelyandunconditionallyandnotbywayofloanorotherwiseandthattheliabilityoftheAssuredhasarisenandbeendischargedpursuantto:

23.1 courtorderorjudgment,otherthanadefaultjudgment,23.2 anaward,otherthanadefaultaward,ofanarbitrationtribunalappointedwiththe

consentoftheInsurerorinaccordancewithanarbitrationagreemententeredintobeforetheeventgivingrisetotheclaimarose,or

23.3 asettlementapprovedbytheInsurer.

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24. FlagState

TheAssuredherebywarrants(anditisaconditionprecedenttocover)thatasatthepolicystartdateandthroughoutthePolicyTerm,theInsuredVesseldoesandshallcomplywithallInsuredVessel’sFlagStaterequirementsincludingasto:24.1 crewing,construction,Classification,PortstateControlrecords,surveys,equipping,

marinecasualtyrecords,24.2 thepossessionand/orsafekeepingand/ormaintenanceofvalidstatutoryorother

certificatesissuedbytheFlagStateconfirmingobservancewithallsuchrequirements.

IfthereisanybreachofwarrantyhereinorpartthereoftheremediesavailableorprovidedforundertheMarineInsuranceAct1906shallapply.TheInsurershallalso(withoutprejudicetotheaforesaidstatutoryprovisions)havetherightinitssolediscretion,tocancel,varyorrestrictcovertermsunderthispolicywithimmediateeffect.AnysuchelectionbytheInsurershallbecommunicatedtotheAssuredbynoticeinwriting.

25. Classification

The Assured hereby warrants that the Insured Vessel is and shall remain classed with aClassificationSocietyforthewholePolicyTerm.TheAssuredalsowarrantsthattheInsuredVesselhasallclassapprovalsandcertificatesrequiredtoperformtheoperationinwhichsheis,or isanticipatedtobeengaged.TheAssuredfurtherwarrantsthat itwillthroughoutthePolicyTerm:25.1 givenoticetoandobtaintheInsurer’spriorwrittenapprovalofanyintendedchange

ofClassificationSocietyfortheInsuredVesselandprovidesuchfurtherinformationastheInsurermayrequest,

25.2 operatetheInsuredVesselinaccordanceandincompliancewiththerulesoftheClassificationSociety,andshallcomplypromptlywithanyrecommendationorrequirementissuedbytheClassificationSocietyinaccordancewiththoseruleswithinanyperiodorbyanydateforcomplianceasstatedbytheClassificationSociety,

25.3 notifytheClassificationSociety(andatthesametimesendacopyofsuchnotificationtotheInsurer)assoonaspracticableofanycircumstanceoreventorotherissuewhichdoesormayaffecttheInsuredVessel’sclass,herseaworthinessorCargoworthinessincludingbutnotlimitedtoanyeventorcircumstanceorissuewhichmightcausetheClassificationSocietytoimposearequirement,conditionrestrictionormakearecommendationunderthesaidClassificationSociety’sRulesandStandards.

25.4 allowtheInsurer(and/oranyperson(s)onitsbehalf)fullaccessatanytimetoinspectand/orcopytheInsuredVessel’sclassrecordsandotherwiseprovidetheInsurerand/orthenominatedpersonwithanyotherinformationordocumentsthattheAssuredhasorholdormayrequestfromtheClassificationSociety.

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TheremediesprovidedforundertheMarineInsuranceAct1906shallapplyifthereisafailurebytheAssuredtocomplywithanywarrantygivenbytheAssuredunderthisClauseinrespectof the Insured Vessel. In addition, the Insurer may at its sole discretion either restrict orotherwisevarythecoverunderthisPolicyorcancelthispolicyandthecovergivenbyitwithimmediateeffectinrespectoftheInsuredVesselbynoticeinwritingtotheAssured.

26. ISMCode

AlwaysprovidedthattheInsuredVesselisrequiredtocomplywiththeInternationalSafetyManagementCodebytheInternationalMaritimeOrganisationitiswarrantedbytheAssured:26.1 the InsuredVesselhas throughout thePolicyTerm,avalidDocumentofCompliance

issuedbyClassificationSocietyorFlagState,26.2 the Insured Vessel has throughout the Policy Term, a valid Safety Management

CertificateissuedbyaClassificationSocietyorFlagState,26.3 to notify the Insurer in writing immediately if there is an actual or threatened

suspensionorwithdrawalofthesaidSafetyManagementCertificateorDocumentofCompliance.

27. SurveybyInsurer

27.1 allPassengervesselsandanyvesselsolderthan12yearsaresubjecttoentrysurveyatOwner’scostandexpense,unlesstheInsurerconfirmsinwritingthesurveyrequirementshavebeenwaived.ThesurveyshallbeperformedpriortoloadingfirstCargoorembarkationofPassengers,latest30daysafterinceptionofthecover.

27.2 theAssuredshallco-operateandallowtheinspectionofanyInsuredVesselbyasurveyororsurveyorsappointedonbehalfoftheInsurer,astheInsurermayrequireatanytimeandasoftenasrequiredbytheInsurerduringthePolicyTerm.TheAssuredshallcomplywithallrecommendationsorrequirementsmadebytheInsurerfollowingtheinspectionwithintheperiodrequiredforcompliance.Thisundertakingshallbetreatedasawarrantyandaconditionprecedenttocover.

27.3 theAssuredshallgivetheInsureratleast14days’noticeinwritingbeforethere-commissioningoftheInsuredVessel,iftheInsuredVesselhaspreviouslybeenplacedinColdLayUpforacontinuousperiodof150daysormore.TheInsurer(throughitsappointedsurveyor(s))shallperformasurveyandinspectionoftheInsuredVesselpursuanttothisClause,attheAssured’scost,whichwillbecarriedoutattheInsurer’soptionbeforeand/oratand/oraftersuchre-commissioningbytheAssuredoftheInsuredVessel.TheAssuredwarrantsthathewillcomplywithalltherecommendationsmadebyreasonofsuchsurvey.

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28. Dutytoactasprudentuninsured

TheAssuredshall,ontheoccurrenceofaclaimoraneventlikelytogiverisetoaclaimunderthispolicy,actasaprudentuninsuredandtakeallstepstoavertorminimiseanyliability,costsandexpenseswhichmightbecoveredunderthispolicy.ThisclausedoesnotdischargetheAssuredfromanyobligationstoinformandseekapprovalfromtheInsurer,statedinthispolicy.

29. Premium,deductiblesorothersumsduetotheInsurer

ItshallbeaconditionprecedenttocoverunderthePolicythatthefullPremiumdue,deductiblesoranyothersumsduetotheInsurershallhavebeenpaid.

Notwithstandingtheabove,iftheAssuredfailstopaypremiumdue,deductiblesoranyothersumsdue,theInsurermay:29.1 withimmediateeffect,ceasetopay,reimburseorindemnifytheAssuredinrespectof

anyclaimwhatsoever,arisingaftersuchfailuretopayanypremiumorotheroutstandingoccurred.

29.2 on14dayswrittennotice,cancelthepolicy.

IfanyofthepremiumsisoutstandingbeyonditsduedatetheAssuredagreestopaytheInsurerinterestat7%overLIBOR(calculatedinaccordancewiththeInsurer’sprevailingpractice)onsuchoverdueamountsuntilpaid.29.3 ifthispolicycoveristerminatedinrespectofanInsuredVesselunderClause46,47

and/or48,anypremiumpaidinrespectofthatInsuredVesselmaybereturnedtotheAssuredonaprorataperdaybasis,savewhereaneventassetoutinclause48.4(totalloss)hasoccurred.Insuchevent,theAssuredshallbecomeimmediatelyliabletopay(orshallforfeitifalreadypaid)thefullannualPremiumwithoutdeductionandinfull.

29.4 whereanyInsuredVesselisinColdLayUp,theAssuredshallbeentitledtoareturnofupto70%ofthepremiumonaproratabasistotheperiodduringwhichsuchvesselwaslaidupandunemployedprovidedthattheInsurerisnotifiedinwritingwithin30daysoftheendofeithersuchlay-upperiodorthePolicyTerm,whichevertheearlier.BasedonthespecificriskfactorsconnectedtothelayupasdeterminedandratedbytheInsurer,theInsurerwillmakesuchreturnofpremiumasisitdecidesisappropriate.

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30. NoWaiverofrightsofInsurer

30.1 unlessexpresslyagreedinwritingtoconstitutesuch,noactoromission,orforbearanceorrepresentationorotherbehaviouroftheInsurernoranyagreementexpressorimpliedoracquiescenceofanynaturetotheactsoromissionsorotherconductoftheAssured,shallbeconsideredasorconstituteawaiverofanyrightoftheInsurerunderthispolicy.TheAssuredalsoacknowledgesandagreesthatanyconductaslistedaforesaid(onthepartofeitherInsurerorAssured)shallnotgiverisetoanestoppelinrespectofanysuchrightsunderthispolicyoftheInsurer.

30.2 theAssuredwarrantsthatitorheshallnotmakeanyadmissionofliability,responsibilityorblametoanypartyinrespectofaneventwhichmaygiverisetoaclaimunderthispolicy.

31. Deductionsfromclaims

IntheabsolutediscretionoftheInsurer,theinsurermaydeductfromanysumduetotheAssuredanysumthatmaybeduefromtheAssured.ThereshallbenosetofforotherdeductionbytheAssuredinrespectofanyamountpayabletotheInsurer.

32. AssignmentorOtherDealing

ThispolicyandinterestunderthispolicyshallnotbecapableofassignmentoranyotherdealingsbytheAssuredunlessagreedinwritingbytheInsurer.TheInsurermayinitssolediscretionassign,transferorotherwisedealwithitsinterest(orpartthereof)hereunder.

33. Assured,JointAssuredsandCoAssureds

33.1 theAssured,JointAssuredandCoAssuredshallbejointlyandseverallyliabletopaypremiumoranyotheroutstandingamounts,duetotheInsurerunderthispolicy.TheAssured,JointAssuredandCoAssuredshallbejointlyandseverallyliabletoprovideanyguaranteestotheInsurer.

33.2 thepolicylimitsanddeductiblesandalltermsandconditionsofthispolicyshallapplytoanyclaimbyanyoneoftheAssuredorJointAssuredorCoAssured,asiftheAssuredorJointAssuredorCoAssuredwereasingleAssured.AnysumpaidbytheInsurertoanyofthemandreceiptthereofbyanyAssured,JointAssuredorCoAssuredshallbedeemedtobereceiptonbehalfofalltheAssured,JointAssuredandCoAssured,andshallbeafullandfinaldischargeoftheInsurerforallliabilityinrespectoftheclaimtowhichsuchpaymentrelates.

33.3 noneoftheAssuredand/orJointAssuredsand/orCoAssuredsshallbecoveredinrespectofanydisputesclaimsorliabilitiesasbetweenthemselves.

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33.4 theAssuredand/orJointAssuredsand/orCoAssuredsshallbedeemedeachtohavereceivedanynoticeorcommunicationsentbytheInsurertoanyoneofthemoranyoneoftheaforesaidAppointedBroker.TheAssuredshallbedeemedtohavesentanynoticeorcommunicationsentbyanyoneofthesaidJointAssuredsorCoAssuredstotheInsurer.ThecontentsofanynoticeorcommunicationbetweentheAssuredoranyJointAssuredorCo-AssuredandtheInsurer,theirservantsoragents,shallbedeemedtobewithintheknowledgeoftheAssuredandallJointAssuredsorCo-Assureds.

33.5 theAssured,JointAssuredsandCoAssuredsshalleachbeboundbythedefaultofanyoneoftheminrespectofanyactoromissionduringthePolicyTermorfailuretodiscloseormisrepresentationofmaterialinformationtotheInsurerandshallbeboundbytheconductofanyoneofthesaidAssuredorJointAssuredsorCoAssuredswhichmightresultinthebreachofanyofthispolicyorterminationofcoverinrespectofanInsuredVesseland/orthecancellationbytheInsurerofcoverprovidedunderthispolicy.

34. Claimsnotices

Hydorhavebeenauthorisedtohandleallclaims.AllnotificationsshouldbesenttoHydoratclaims@hydor.noandinanemergencythroughtheir24/7telephonenumber+4797711100.

35. Allothernotices

35.1 NoticesbytheAssuredtotheInsurershallbesentto:HydorASRådhusgata25,0158OsloTelephone:+4722403250Email:uw@hydor.no

35.2 NoticebytheInsurertotheAssured:

TheInsurermaysendnoticetotheAssured’sAppointedBrokerandsuchnoticeshallbedeemedvalidnoticetotheAssuredforallpurposeshereunder.AnynoticegivenbytheInsurerstotheAssuredortheAppointedBrokershallbedeemedforallpurposestobevalidandeffectiveasofthedatethatitissent.

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36. Dutytoinform

TheAssuredwarrantsthatitshall:36.1 notifytheInsurerbytelephoneandinwritingwithoutdelayofanyeventwhichmay

giverisetoapolicyclaim,36.2 notifytheInsurerbytelephoneandinwritingwithoutdelayofanylegalorother

proceedingsbroughtagainsttheAssuredortheInsuredVessel,36.3 providetheInsurerwithalldocuments,evidenceandinformationrelatingtotheclaim

andactasaprudentuninsuredtocollectallevidencetofacilitatethehandlingand/ordefenceoftheclaimandofanyopportunitythatmayarisetoobtainanysuchevidenceorinformation.

37. Claimshandlingprocedures

WheneverrequiredbytheInsurer,theAssuredshallassistinthesecuringofinformationandevidenceandinobtainingwitnessesandshallco-operatewiththeInsurerindefending(and/orprosecuting)anyclaimorsuitorprocedureorinanyappealfromanyjudgementinrespectofanyoccurrenceashereinbeforeprovided.TheInsurershallhavetherightatitssolediscretiontocontrolordirecttheAssured’sconductofanyclaimorlegalorotherproceedingsrelatingtoanyliability,loss,costsorexpenseswhichmightfallwithinthescopeofthisPolicy.IftheAssuredfailstoactasdirectedbytheInsurer,theInsurershallbeentitledtolimitanypolicyclaimtotheamountrecoverableiftheAssuredhadactedasinstructedbytheInsurer,asdeterminedbytheInsurerinitsabsolutediscretion.

38. AppointmentsofThirdPartiestohandleclaims

ItisaconditionprecedenttocoverthattheAssuredseeksapprovalfromtheInsurerbeforeappointinganyThirdPartiesincludingbutnotlimitedtolawyers,recoveryagents,surveyors,experts,legalconsultants,correspondentstohandleclaims.TheInsurerisentitledtoappointanypersontoactfor(orwith)theAssuredinanyactualorpotentialpolicyclaim,onsuchtermsandinrespectofsuchmatter(s)astheInsurershallinitssolediscretiondecide.

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39. Disclosureandrepresentationoffacts

ItiswarrantedbytheAssuredthatallfactshavebeendisclosedandthattheyweretrueasatthetimeofdisclosurebothpriorto,during,orafterthePolicyTerm.TheAssuredfurtherwarrantsthatneitheritnoranypartyonitsbehalfhasmadeanymisrepresentationtotheInsurerpriortothestartoforsubsequentlyduringorafterthePolicyTerm,whethersuchdisclosureorrepresentationrelatestotheenteringintothispolicy,thePolicyTermoranyclaim(orhandlingthereof)hereunderorrenewalhereof.TheAssuredfurtherwarrantsthatitshallinformtheInsurerofanychangeinanyfactorrepresentationithasmadeassoonassuchchangeiswithinitsknowledge,whichdoesorcouldaffecttheInsurer’swillingnesstoprovidecoverhereunderorcontinuetodoso.

40. Subrogationandrecoveries

40.1 onceapaymenttoorfortheAssuredhasbeenmadebytheInsurerforapolicyclaim,andtheAssured,oranypartyfortheAssured,recoversanysum(orequivalentconsideration)fromanyThirdPartyinrespectofthepolicyclaimsopaidbytheInsurer,suchrecoveredsum(ormonetaryequivalentifotherconsideration)shallbere-paidtotheInsurerandtheAssuredshallholdintrustanysuchsumsforthebenefitoftheInsurerabsolutely,pendingre-imbursementtoit.

40.2 theAssuredagreesandherebygivestheInsurerallrightsofsubrogationinrespectofanyandalltherightsoftheAssuredagainstanyThirdPartyrelatingtoapolicyclaimorpaymentmadeunderthispolicy.InpursuanceofsuchrightsofsubrogationtheAssuredshallassubrogorfullyco-operatewiththeInsureranddoallsuchthingsandexecuteallsuchdocumentsastheInsureroritsadvisersmayfromtimetotimerequireuntilsuchtimeastheInsurernolongerwishestopursuesuchclaimstowhichtheexerciseofsuchrightofsubrogationrelates.

41. Passengertickets

IftheAssuredincursanyliability,includingcostsorexpenses,undertheticketconditions,Charterparty,indemnitiesoranyothercontracts,inrespectofPassengers,suchliabilityiscoveredhereunder,butsubjectalwaystoanypolicylimitationshereunder,onlyifthosetermshavethePriorApprovalinwritingoftheInsurer.ApprovaloftermsmaybegrantedorrefusedinthesolediscretionoftheInsurer.

42. Crewcontracts

IftheAssuredincursanyliability,includingcostsorexpenses,underthetermsofanycontractofserviceoremployment,orCollectiveAgreementwithanymemberoftheCrew,suchliabilityiscoveredhereunder,butsubjectalwaystoanypolicylimitationshereunder,onlyifthosetermshavethePriorApprovalinwritingoftheInsurer.ApprovaloftermsmaybegrantedorrefusedinthesolediscretionoftheInsurer.

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43. Securityforclaims

43.1 providedtherearenomoneysoutstandingfromtheAssuredtotheInsurerunderthispolicy,theInsurermayinitsabsolutediscretion,providesecurityforanyclaimagainsttheAssuredinrespectofthepolicyriskssetoutinSectionI.

43.2 theInsurershallnotprovidesecurityinrespectofmattersfallingwithinClause19(LegalCosts).HowevertheInsurermayinitsabsolutediscretionprovidesecuritytoanopponentpartyforcostsunderorderofaCourtorTribunalagainsttheAssuredorifagreedinwritingbytheInsurerwithsuchopponentparty.

43.3 ifthecostsorliabilityunderthesecuritygivenarenotrecoverableunderthispolicy,theAssuredshallindemnifytheInsurerforthecostsof,orliabilityincurredtoanyThirdPartyoropponentpartyunderthesecuritygivenand/orincurredintheprovisionthereof.

43.4 theAssuredshallatalltimesprovidetheInsurerwithcountersecurityinaformacceptabletotheInsurer,uponfirstrequestfromtheInsurer,inrespectofanysecuritythatmaybegivenhereunderbytheInsurer.

44. Disputeresolutionandlien

ThisinsuranceshallbegovernedbyandconstruedinaccordancewithEnglishLawandinparticularbesubjecttoandincorporatethetermsoftheMarineInsuranceAct1906andanystatutorymodificationthereto.Thisinsurance,includinganydisputearisingunderorinconnectionwithit,shallalsobesubjecttotheexclusivejurisdictionoftheHighCourtinLondon(EXCEPTinthecaseofarbitrationproceedingswhichmaybecommencedinaccordancewithclause19above).However,theInsurerhastherighttoprosecutesuchlegalproceedingsasitconsidersappropriateinanyjurisdictionorforumfortherecoveryofanyamountsthatmaybeduefromtheAssuredtotheInsurer.TheInsurershallhavealienovertheInsuredVessel,bunkersorotherproperty(includingrightstoanyfreightorhirepaymentsreceivable)ownedbytheAssured(includinganyactualorprospectiveproceedsfromanyclaimbeinghandledbyorfortheInsurerinwhichtheAssuredmayhaveaninterest).Thelienherebygrantedmaybeenforcedbywayofarrestorattachmentofpropertyinanyappropriatejurisdiction.TheAssuredherebyirrevocablyagreesnottochallengethejurisdictionofanycourtwhichconsidersithastherighttomakeanadjudicationinrespectoftheInsurer’sarrestorattachmentapplication.

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45. InsuredValueDuringthePolicyTerm,aHull&MachinerypolicyshallbedeemedtocovertheInsuredVesselontermsprovidingthesameorbetterthangivenunderLloyd’sMarinePolicyMAR(1.1.82Edition)withtheInstituteTimeClauses1.10.83or,forfishingvesselonly,InstituteFishingVesselClauses20.7.87,forthesameorhigherinsurancevaluethanthemarketvalueoftheInsuredVesselfromtimetotime.IfandwhenS&Pmarketsarevolatile,theAssuredshalladjusttheHull&Machineryvaluesfrequentlyandatleastquarterly.MarketvalueappraisaloftheInsuredVesselshallbeasatthedateofanyeventresultinginpolicyclaim.

46. AutomaticTerminationofInsurance

Automaticterminationofthispolicyshalloccur(withouttheneedtogivenoticethereofonthepartoftheInsurer)ifanyofthefollowinghappentotheAssured;46.1 ifanindividual,7daysafterdeath,hebecomesinsolventorisdeclaredbankrupt,or

creditorshaveassumedorareinthecourseofseekingtoassumecontrolofhisassetsorheceases,byreasonofmentaldisorder,tobeabletomanagehisbusiness,

46.2 intheeventtheAssuredisacorporation,creditorshaveassumedorareinthecourseofseekingtoassumecontroloverthecorporation’sassets,oritisdissolved,oritinitiatesorisotherwisethesubjectofanyproceedingstoachievelegalprotectionfromitscreditors.

TheAssured(orhispersonalrepresentativeifaperson)shallbynoticeinwritingtotheInsurerinformtheInsurerimmediatelyuponthehappeningofanyoftheaboveevents.

47. TerminationofInsurancebynotice

AtanytimeduringthePolicyTermandinitssolediscretion,theInsurermaywithoutanyreasonorcausetherefore,terminatethispolicyorcoverhereunderinrespectofanInsuredVesselbygivingaminimumoftenclearday’swrittennoticeofsuchtermination.TheAssuredmayterminatetheinsuranceatRenewalDate,beingone(1)calendaryearafterinceptionofcover.TheAssuredisobligedtogivenoticeoftermination,latest30dayspriortoRenewalDate.IftheAssuredfailstogivesuchnoticeintime,theInsuranceshallbedeemedtoberenewedonexpirytermsoronrenewaltermsifgivenbytheInsurerlatest30dayspriortotheRenewalDate,withsuchrenewaltermsprovidedbeingbasedontheinformation,representationsandfactsthencurrentlyheldbytheInsureronitsfilesinrespectoftheInsuredVesselandtheAssured(and/Co-Assuredand/orJointAssured).OnterminationofthepolicytheAssuredshallbecomeliabletopayallsumsduetotheInsurer.TheInsurershallbeentitledtorequiretheprovisionofcountersecurityforanyguarantee(s)thatmayhavebeengivenonbehalfoftheAssuredorsecurityforanydeductiblesdeterminedbyclaimsreservessetbytheInsurer.AnysuchsecurityhastobeprovidedinaformacceptabletotheInsurer.

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48. TerminationofCoverforanInsuredVessel

CoverhereundershallautomaticallyandwithoutnoticebeterminatedforanInsuredVesselifanyofthefollowingoccur(s):48.1 theInsuredVesselissold,oralloranyinterestthereinoftheAssuredissoldassigned

orotherwisedisposedof,mortgagedhypothecatedorotherwiseencumbered,48.2 theAssuredrelinquishespossessionorcontroloftheInsuredVesselorthereisa

foreclosurebyalenderorholderofsecurity,chargeormortgageovertheInsuredVessel,

48.3 changeofTechnicalorCommercialManager,ClassificationSocietyorFlagStateinrespectoftheInsuredVessel,

48.4 totalloss,whetheractual,constructive,compromised,agreedwithoracknowledgedbytheInsuredVessel’sHull&MachineryInsurer(s),

48.5 theInsuredVesselcannotbefound,otherwiselocatedorcontactedforaperiodoftenormoreconsecutivecleardays.

TheAssuredshallbynoticeinwritingimmediatelyinformtheInsurerifanevent(orsimilartothat)setoutinthisClauseoccurs.TheInsurermayuponreceiptofsuchnoticeandifrequestedbytheAssuredacceptanychangesrelatedtotheInsuredVesselmentionedaboveandmaintaincoverinitssolediscretionorifitsodecidesoffertocontinuecoveronsuchvariedtermsasitmayinitsdiscretionapply.OnterminationofthepolicytheAssuredshallbecomeliabletopayanyandallothersumsduetotheInsurerandtheInsurershallbeentitledtorequiretheprovisionofcountersecurityforanyguarantee(s)thatmayhavebeengivenonbehalfoftheAssuredorsecurityforanydeductiblesdeterminedbyclaimsreservessetbytheInsurer.AnysuchsecurityhastobeprovidedinaformacceptabletotheInsurer.IfcoverterminatesunderthisClausetheInsurershallonlybeliableforanyclaimoccurringbeforethetimewhencoverceased,exceptthat,wherecoverceasedunderClause48.4,theInsurershallalsobeliableforclaimswhicharisedirectlyduetothecasualtywhichcausedtotallossoftheInsuredVessel.

49. ConstructionofthePolicy

Inthispolicywordsimportingthesingularmeaningshallincludethepluralandviceversa.Wordsimportingthemasculineshallincludethefeminine.Theheadingsandsub-headingsinthispolicyareforguidanceonlyandarenottobeusedintheconstructionorinterpretationofthispolicyunlessthecontextsorequires.

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SectionIV–Exclusions,restrictionsandlimitations

50. Limitationofliability

ThereshallbenocoverunderthispolicyforliabilityincurredinrespectoftheInsuredVesselorbytheAssuredaboveanylimitofliabilitypursuanttoanyapplicablelaworbyreferencetoanyprovisionundersuchapplicablelawwhichlimitsorrestrictsliabilityoftheAssuredortheInsuredVessel.

51. Hull&MachineryInsurances

51.1 thispolicydoesnotcoveranyliabilities,costsorexpenseswhichwouldberecoverableundertheInsuredVessel’sHull&Machineryinsurance(IncludingHullwarinsurance)hadtheVesselbeeninsuredforaninsuredvalueequivalenttothemarketvalueoftheInsuredVesselfromtimetotime,inaccordancewithclause45above.

51.2 thispolicydoesnotcoveranydeductibleprovidedforintheInsuredVessel’sHull&Machineryinsurance.

51.3 ifthereisaclaimunderClause6.1ofthispolicyitshallbelimitedtotheamountinexcessofanyclaimwhichwouldhavebeenrecoverableunderHull&MachineryinsurancesunderthetermsinClause45.

51.4 thispolicyshallnotprovidecoverincircumstanceswheretherewouldbearightofrecoveryundertheHull&MachineryinsuranceoftheInsuredVesselbutfortheconductoftheAssured.

52. OtherInsurance

WheretheAssuredortheInsuredVesselhasotherinsuranceandanyclaimunderthispolicyiswithinthescopeofcoverprovidedunderthatotherinsurance,thereshallbenocoverunderthispolicy,notwithstandingthatsuchotherinsurancemaypurporttoordoesexcludelimitorotherwiserestrictliabilitybyreasonofdoubleinsurance

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53. TimeBar

ItshallbeaconditionprecedenttothemakingofanyclaimunderthispolicythattheAssured:53.1 hasgivennoticetotheInsureroftheeventorcasualtyimmediatelyupontheAssured

oritsagentshavingnoticeoforgainingknowledgeoftheoccurrenceoftheeventorcasualty,and

53.2 requeststobereimbursedwithin6monthsofanycostorexpensebeingincurredthatarecoveredunderthispolicy.

NotwithstandinganythingelsetothecontrarycontainedinthisPolicy,itisherebyagreedthattheInsurerhereunderisnotliableforanyloss,damage,injury,expense,costorclaimwhatsoeverwhichotherwisewouldberecoverableunderthispolicy,unlessnoticeofsuchloss,damage,injury,expense,costorclaimorcircumstanceswhichhavenotbutmaygiverisetoaclaimagainsttheAssured,isgiveninwritingwithin36monthsfromthepolicyexpires.Iftheaforesaid36monthperiodrelatingtowrittennotificationtotheInsurerisinvalidatedduringtheperiodofthisPolicybyanylawtowhichtheAssuredissubject,thensuchperiodshallbedeemedtobeamendedtotheminimumperiodpermittedbysuchlaw.

54. LiabilitiesunderContractandIndemnities

Thispolicydoesnotcoveranyliabilitiesorlossesofwhatsoevernature,asaresultofanyindemnityguaranteeorotherundertakinggivenbytheAssuredorunderanycontracttheAssuredisapartyto,unlesssuchcontractualorotherobligationorresponsibilityasaforesaidisapprovedinwritingbytheInsurertotheAssured,priortotheAssuredassumingsuchobligationorresponsibilityasaforesaid.

55. LossoforDamagetotheInsuredVesselandEquipment

Thispolicydoesnotcoverrepairof,damageto,orthelossoftheInsuredVesseloranypartofit,anyequipmentorpropertyontheInsuredVesselownedorleasedbytheAssuredoranypartyassociatedoraffiliatedtotheAssured.

56. Defaultordeliberatemisrepresentation

Thispolicydoesnotcoverclaimsforanylosses,costsorotherliabilitiesofanynature,duetoirrecoverabledebtsortheinsolvencyofanyparty,includingtheAssured,oroutofthefraudofanypartyuponoragainsttheAssured,orarisingfromthefraudoftheAssuredoragentsoranyassociatedoraffiliatedcompanyoremployeesorcontractorsoftheAssured.

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57. Freight,demurrageandderivatives

Thispolicydoesnotcovernon-paymentorlosssufferedorbreachinrespectoffreightorhirepayablefor,ordemurrageordamagesfordetentionordelayof,theInsuredVessel,orcontractsconcerningForwardFreightAgreementsandotherderivativesorfinancialinstruments,oranysumduetoterminationorcancellationsofanycharter,contractofcarriageorothercontractfortheuseoftheInsuredVessel.

58. LossofReputationorOpportunityorPunitiveorExemplaryDamages

Thispolicydoesnotcoverlossofopportunityorreputationorpunitiveorexemplarydamages,nor(Subjecttoclause17)liabilitytoanyThirdPartyunderanycontractsettlementarrangement,judgmentorotherawardofanycourtorotherjudicialbodyortribunal,unlesssuchliabilityisinrespectofforeseeablelossordamagesufferedbythatThirdPartyandisinthenatureofthatintendedbytheInsurertobecoveredbythispolicy.

59. Illegaltradeandexcessiverisk

ThispolicydoesnotcoveranyclaimsiftheAssured,CoAssuredorJointAssured(oranyThirdPartyonitsoranyoftheirbehalf)usestheInsuredVesselwiththeknowledge,conspiracy,connivance,complicityorrecklessdisregardonthepartoftheAssuredorotherpartiesasaforesaid:

60.1 inorforanytradeorusewhichdoesormaysubjectorotherwiseexposeormaketheInsuredVesselortheAssuredvulnerabletounreasonableorunnecessaryrisk,orhazardorotherliability,

60.2 inanyillegalorunlawfultrade(includingbutnotlimitedtocontrabandCargo)orblockaderunningoranyactivitywhichmaybeinviolationofanyIMOregulationsorconventions,

60. JH2010/009SanctionLimitationandExclusionClause

NoreinsurernortheInsurershallbedeemedtoprovidecoverandnoreinsurernortheInsurershallbeliabletopayanyclaimorprovideanybenefithereundertotheextentthattheprovisionofsuchcover,paymentofsuchclaimorprovisionofsuchbenefitwouldexposethatreinsurerortheInsurertoanysanction,prohibitionorrestrictionunderUnitedNationsresolutionsorthetradeoreconomicsanctions,lawsorregulationsoftheEuropeanUnion,UnitedKingdomorUnitedStatesofAmerica.

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61. WorkDisease,CumulativeInjuryandAIDS

Thispolicydoesnotcoveranyliability,costsorexpensesarisingfromorotherwiserelatedtoWorkDiseaseorCumulativeInjurysufferedbyordeathcausedbyeitheroftheaforesaidtoanyperson.ThispolicydoesnotcoveranyliabilitiesarisingfromdirectlyorindirectlycausedbyorassociatedwithHumanTCellLymphtropicVirustypeIII(HIVLIII)orLymphadenopathyAssociatedVirus(LAV)orthemutantderivativesorvariationsthereoforinanywayrelatedtoAcquiredImmuneDeficiencySyndromeoranysyndromeorconditionofasimilarkindhowsoeveritmaybenamed.

62. PaperlessTradingThis policy does not cover any liability, cost or expensewhatsoever or howsoever arising,whetherdirectlyorindirectly,outoforinconsequenceof:

62.1 themember’sparticipationinoruseofanysystemorcontractualarrangementthepredominantpurposeofwhichistoreplacepaper-baseddocumentationinshippingand/orinternationaltradewithelectronicmessages,including,withoutlimitation,theBolerosystem(anysuchsystemorarrangementbeingreferredtointhisendorsementasa«paperlesssystem»),or

62.2 adocumentwhichiscreatedortransmittedunderapaperlesssystemwhichdocumentcontainsorevidencesacontractofcarriage,or

62.3 thecarriageofgoodspursuanttosuchacontractofcarriage,62.4 savetotheextentthattheInsurerinitssolediscretionmaydetermineotherwise.For

thepurposeofthisendorsementa“document”shallmeananythinginwhichinformationofanydescriptionisrecorded,including,butnotlimitedto,computerorotherelectronicallygeneratedinformation.

63. Institute Radioactive Contamination, Chemical, Biological, Bio-chemical and Electromagnetic

WeaponsExclusionClause(10.11.03CL.370)

Thisclauseshallbeparamountandshalloverrideanythingcontainedinthisinsuranceinconsistenttherewith.

Innocaseshallthisinsurancecoverlossdamageliabilityorexpensedirectlyorindirectlycausebyorcontributedto,byorarisingfrom:

63.1 ionisingradiationsfromorcontaminationbyradioactivityfromanynuclearfuelorfromanynuclearwasteorfromthecombustionofnuclearfuel,

63.2 theradioactive,toxic,explosiveorotherhazardousorcontaminatingpropertiesofanynuclearinstallation,reactororothernuclearassemblyornuclearcomponentthereof,

63.3 anyweaponordeviceemployingatomicornuclearfissionand/orfusionorotherlikereactionorradioactiveforceormatter,

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63.4 theradioactive,toxic,explosiveorotherhazardousorcontaminatingpropertiesofanyradioactivematter.Theexclusioninthissub-clausedoesnotextendtoradioactiveisotopes,otherthannuclearfuel,whensuchisotopesarebeingprepared,carried,stored,orusedforcommercial,agricultural,medical,scientificorothersimilarpeacefulpurposes,

63.5 anychemical,biological,bio-chemical,orelectromagneticweapon.

64. WarRisksandLosses

ExceptifrecoverableunderClause18thispolicydoesnotcoveranylossorliability(whetherfinancial,economic,environmentalortoanypropertyorpersonsorotherwise)oftheAssuredoranyThirdPartyhowsoeverarisingorcausedasadirectorindirectresultof:

64.1 revolution,insurrection,rebellion,war,(includingcivilwar),hostilities,(whetherornotinanycase,warisdeclared)orcivilstrifeasaresultoftheaforesaid,oranyhostileactbyoragainstaforeignenemy,militaryorotherbelligerentpower,oranyactofterrorism(whetheraloneactoractsofanypersonoragroupofpersons,withpoliticalorreligiousorideologicalorotherpurpose),orthreatthereof,

64.2 capture,seizure,piracy,barratry,arrest,restraintordetainmentandtheconsequencesthereoforanyattemptthereat,

64.3 chemicalorbiologicalgaseousmaterials,bombs,torpedoes,minesorotherweaponsorvehiclesormachinesofwar,orofterrorismorotherformofconflictasaforesaid.

65. InstituteCyberAttackExclusionClause

65.1 subjectonlytoclause65.2below,innocaseshallthisinsurancecoverlossdamageliabilityorexpensedirectlyorindirectlycausedbyorcontributedto,byorarisingfromtheuseoroperation,asameansforinflictingharm,ofanycomputer,computersystem,computersoftwareprogramme,maliciouscode,computervirusorprocessoranyotherelectronicsystem.

65.2 wherethisclauseisendorsedonpoliciescoveringrisksofwar,civilwar,revolution,rebellion,insurrection,orcivilstrifearisingtherefrom,oranypersonactingfromapoliticalmotive,Clause65.1shallnotoperatetoexcludelosses(whichwouldotherwisebecovered)arisingfromtheuseofanycomputer,computersystemorcomputersoftwareprogrammeoranyotherelectronicsysteminthelaunchand/orguidancesystemand/orfiringmechanismofanyweaponormissile.

66. General

Notwithstandinganyotherprovisions(oranypossibleinterpretationsthereof)ofthispolicy,thispolicydoesnotcoveranydamageslossesorotherliability,(includingbutnotlimitedtofinancial,economic,environmental,ortoanypropertyorpersonsorotherwise)costsorexpensesarisingfromorrelatedtohowsoeverarisingorcausedasadirectorindirectresultofanyincidentactoromissionorconductorcircumstance,unlesswithinthetermsofClauses1to17inSectionIabove,orasagreedbytheInsurerinwriting.

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SectionV-Definitions

Forthepurposeofthispolicythetermssetoutbelowshallbedefinedasstated:

AppointedBroker-thebrokerthroughwhomtheInsuranceismadeand/orsuchotherbrokerasmaybenominatedbytheAssuredinwritingtotheInsurerfromtimetotime.Assured–ThePersonnamedastheAssuredandinsuredbythispolicy.Wherethecontextpermits,AssuredalsoincludesJointAssuredandCoAssured.Cargo–GoodscarriedonboardanInsuredVesselunderacontractofcarriagetowhichtheAssuredisaparty,butsuchgoodsnotbeingownedbytheAssured.ClassificationSociety-AnIACSclassificationsociety,astatutorybodyorclassificationsocietyapprovedinwritingbytheInsurerinrespectoftheInsuredVessel.Co-Assured-ThePerson(ifany)namedasCo-Assuredbythispolicy.WherethecontextadmitsCo-AssuredalsoincludesAssuredandJointAssured.ColdLayUp–TheClassificationSocietyisissuingalayupcertificate,theInsuredVesselislaidupinasafeport,withoutemployment,withnocrewonboard(savetheminimumnumberremainingforthevessel’smaintenanceandsecurity),andnoCargoonboard,foraperiodof30ormoreconsecutivedaysafterfinallymooringthere(suchperiodbeingcomputedfromthedayofarrivaltothedayofdeparture,onlyonebeingincluded),andforeachcompleted30dayperiodthereafter.CombinedSingleLimit–ThemaximumfigureforwhichtheInsurerisliableforpolicyclaimshereunderfromanyoneoccurence,accidentorevent,oranyseriesthereofarisingoutofoneevent.Crew–PersonsonboardthevesseltosatisfytheMinimumSafeManningCertificateandwhoareapartytoasignedcontractofemploymentwiththeAssuredortheAssured’screwingManager.CumulativeInjury-Aninjurysufferedbyapersonnotcausedorattributableonlytooneaccidentorseriesofaccidentsfromasingleeventthatoccurredduringthatperson’soccupation,andinadditionthathasoccurredorpersistedorbeenaggravatedbyoccupationalactivitythatisrepetitive.FDD–Freight,DemurrageandDefencecover.Alsoreferredtoascoveroflegalcosts.FlagState-Theauthorityunderwhichacountryexercisesregulatorycontrol(includingtheinspection,certification,andissuanceofsafetyandpollutionpreventiondocuments)overthecommercialvesselwhichisregisteredunderitsflag.

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GeneralAverage-AmechanismforallocatingthecostsofdealingwithamaritimecasualtyamongthosepartieswhobenefitfromthevesselandCargobeingsaved.Toensureauniformapproach,theprinciplesforGeneralAveragearecodifiedintheYork-AntwerpRules.Theruleswerefirstagreedin1890butfromtimetotimehavebeenreviewedandamended.Themostrecentreviewwas1994andpriortothat,1974.HagueRules-TheInternationalConventionfortheUnificationofCertainRulesofLawrelatingtoBillsofLadingofBrussels,25thAugust1924.Hague-VisbyRules–TheHagueRules,asamendedbytheProtocolssignedatBrusselson23rdFebruary1968andatBrusselson21stDecember1979.Hamburgrules–TheUnitedNationsConventionontheCarriageofGoodsBySeasignedatHamburgon31stMarch1978.Hull&Machineryinsurance-InsuranceinrespectoftheInsuredVessel’sHull&Machinery,increasedvalueandexcessliability.InsuredVessel-ThevesselidentifiedonpageoneofthispolicywithIMOnumber,coveredonbehalfoftheAssured.Insurer–HydorASactingasAgentonlyonbehalfofcertainsecurityasspecifiedinthepolicy.JointAssured-APersonorotherlegalentitywhichis(orare)namedasJointAssuredinthispolicyandinsuredhereunder.WherethecontextadmitsJointAssuredalsoincludesAssuredandCo-Assured.Liability-LegalliabilitiesasdeterminedbyafinalandunappealableJudgementorawardofacourtortribunalofcompetentjurisdiction(notbeingadefaultjudgementoraward)orasettlementagreemententeredintowiththewrittenPriorApprovaloftheInsurer.Manager–anyPersonorotherlegalentitywhichmanagestheoperationandmaintenanceandanyotheraspects(ifandasrequired)oftheInsuredVesselasappointedbyorfortheOwner.MarineInsuranceAct1906-TheMarineInsuranceAct1906inforceinEnglandandWalesoranystatutorymodificationorre-enactmentthereof.NetLoss–ThatlosssufferedaftercostsandexpensesaredeductedwhichwouldhavebeenincurredintheordinarytradingandoperationoftheInsuredVesselinrespectofCrewwages,bunkers,stores,portchargesandinsurance.Otherpersons-AnypersononboardtheInsuredVessel,requiredinconnectionwithoperationofthevessel,includingaPortCaptain,Surveyor,Pilot,CustomsOfficeranda

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SuperCargonominatedbyPortAuthoritiesoranychartereroftheInsuredVessel.ItshallnotincludeamemberoftheCrew,Passenger,andSupernumerary,Stevedoreorrepairmenonboardfore.g.blasting/reIconditioningoftanks,enginerepairormaintenance.Owner–theregisteredlegalowner(s)oftheInsuredVessel.Passenger-ApersonwhohaspaidforavalidticketwithmoneyonboardtheInsuredVesselforthepurposeofseagoingtravel.Person-Ahumanbeing,anincorporatedcompanyorotherformofincorporatedentityorunincorporatedbodyorpartnershiporotherlegalentityoracombinationofanyoftheaforesaid.PolicyTerm-Onecalendaryearfrominceptionofthepolicy,commencing1200hoursnoontimeGMTthedayofinceptionofthepolicyuntilthesamedateoneyearafterwhencoverexpires1200hoursnoontimeGMT.ThelatterisreferredtoasRenewalDate.

PriorApproval–ApprovalbytheInsurerpriortoenteringintosuchtermsorthispolicywhichevershallhavelastoccurred.

ProjectCargo–TypesofCargoincludingbutnotlimitedtogenerators,windmills,transformers,yachtsandanyheavystructures.Stevedore-Anypersonengagedtohandle,loadordischargeCargotoorfromtheInsuredVessel.Supernumerary-CloserelativesoftheservingCreworapersonpermanentlyemployedbytheAssured.ThirdParty-anypersonorotherlegalentitynotacontractualpartytothispolicy.Towcon-TheBIMCOstandardformforInternationalOceanTowageforpaymentintheformoflumpsum.Towhire-TheBIMCOstandardformforInternationalOceanTowageforpaymentintheformofdailyhire.Vessel-Anyvessel,boat,hovercraftorothervesselorcraftorstructurehowsoeverpropelledbutexcludingafixedplatformorfixedrig,usedorintendedtobeusedforanypurposewhatsoeverinnavigationorotherwiseon,overorinwater.WorkDisease-Diseasesufferedbyapersonwiththeresultofdisabilityordeathortheneedformedicaltreatmentandsuffered(oraggravated)byreasonofthatperson’sworkingconditionsorenvironmentorsomebiologicalornon-biologicalorotherdiseaseinducingagentoragentspresentinthatworkingenvironment.

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Wreck-Anyvesselorcraftwhichisdamagedand/orotherwisedisabled,hassunkorisaground,andnotunderacontracttoprovidesalvageservices.Writing–LegibletextinEnglishlanguageandinrecordedformcommunicatedinanyofafacsimile,e-mail,letterornotice.