property investors protection plan · introducing axa one of the world’s largest insurers with...

PROPERTY INVESTORS PROTECTION PLANYour Policy Terms and ConditionsApril 2005 Edition

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

WELCOME TO AXA

2

Introducing AXA

One of the world’s largest insurersWith more than 50 million customers across the globe, AXA is one of theworld’s largest financial services providers. We have a presence in over 50 countries, yet we pride ourselves on having a real understanding of local issues.

Care, advice & support – when you need itAs one of the world leaders in financial protection and wealth management, weoffer a wide range of insurance and financial products to meet your businessand personal needs. Our commitment is to deliver our products with consistentcare, advice and support as and when you need it.

We employ 117,000 people worldwide, and are also one of the thirty largestcompanies of any kind (Fortune magazine’s Global 500 for 2003).

AXA provides products that help people to get the best out of life. Our productsand services include: Business Insurance, Home and Motor Insurance,Investments, Life Assurance, Retirement Planning, Long Term Care, Asset Management, Medical Insurance and Dental Payment Plans.

AXA Insurance UK plc is authorised and regulated by the Financial ServicesAuthority. This can be checked on the FSA's website at www.fsa.gov.uk/registeror by contacting them on 0845 606 1234

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

3

Contents

• Your Policy 4

• Important Helplines 5

• Definitions 6

• Section 1 – The Buildings 8

• Section 2 – Rental Income 18

• Section 3 – Public Liability 24

• Section 4 – Employers Liability 26

• Section 5 – Terrorism Insurance 28

• Policy Exclusions 30

• Special Clauses 36

• Policy Conditions 38

• Making Yourself Heard 42

Property Investors Protection Plan Policy CONTENTS

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

4

YOUR POLICY Property Investors Protection Plan Policy

Your Policy

The Company in consideration of the payment of the premium shall provide insurance against loss destruction damage or liabilityoccurring at any time during the period of insurance (or anysubsequent period for which the Company accepts a renewalpremium) in accordance with the Sections of the Policy shown asoperative in the Schedule subject to the exclusions, provisions and conditions of the Policy.

The Policy and the Schedule should be read together as onecontract and the Proposal Form/Statement of Fact made by theInsured is the basis of the contract.

Important

We recommend You read this Policy togetherwith Your schedule to ensure that it meetswith Your requirements. Should You have any queries please contact us or YourInsurance Adviser.

Your attention is drawn to the Complaintsprocedure (Making Yourself Heard) on 2.

The law applicable to this Policy

You are free to choose the law applicable tothis Policy. Your Policy will be governed bythe law of England and Wales unless Youand We have agreed otherwise.

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm Page 4

5

Property Investors Protection Plan Policy IMPORTANT HELPLINES

Important Helplines

GlassReplacementService

0870 333 1424 A quick and efficient repair/replacement serviceis available 24 hours a day 365 days a year

In order to maintain a quality service, telephone calls may be monitored or recorded.

EmergencyHelpline

0870 241 8178 Our 24 hour emergency helpline serviceprovides help when You most need it. Pleasequote scheme number PRC200100 when Youcall. We will provide details of reputablecontractors who will be able to help

Legal and TaxAdvice

0870 241 8178 Our advice line provides free confidential legaland tax advice. Please quote scheme numberPRC200100 when You call

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

6

Wherever the following words and phrases appear in the Policythey will always have these meanings

Company/Our/Us/We

AXA Insurance UK plc

Business

The ownership by the Insured of theProperty Insured including

a) maintenance occupation or use of theProperty Insured by the Insured

b) the provision and management ofcanteen sports social or welfareorganisations for the benefit ofEmployees and fire security first aidmedical and ambulance services

c) private work undertaken with the priorconsent of the Insured by Employees forany director or senior official of theInsured

Damage

The word DAMAGE in capital letters shallmean accidental loss or destruction of ordamage to the Property Insured in respect ofSection 1 and accidental loss or destructionof or damage to the property used by theInsured at the Premises for the purposes ofthe Business in respect of Section 2

Defined Peril

The words Defined Peril shall mean firelightning explosion aircraft or other aerialdevices or articles dropped therefrom riotcivil commotion strikers locked-out workerspersons taking part in labour disturbancesmalicious persons theft earthquake stormflood escape of water from any tankapparatus or pipe or impact by any roadvehicle or animal

Empty

The word Empty shall mean whollyunoccupied mainly unoccupied or not in use

Employee

a) Any person under a contract of service orapprenticeship with the Insured

b) Any person who is hired to or borrowedby the Insured

c) Any person engaged in connection with awork experience or training scheme

d) Any labour master or person supplied by him

e) Any person engaged by labour-only sub-contractors

f) Any self-employed person working on alabour-only basis under the control orsupervision of the Insured

Definitions

DEFINITIONS Property Investors Protection Plan Policy

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

7

Injury

Bodily injury death disease illness or nervous shock

Insured/You/Your

The Person(s) or company named in theSchedule

Offshore

From the time of embarkation onto aconveyance at the point of final departurefrom land to any offshore rig or any offshoreplatform and until such time ofdisembarkation from a conveyance onto landupon return from any offshore rig or anyoffshore platform

Policy

The Policy and Schedule and anyendorsements attached or issued

Proposal

The signed Proposal or Statement of Factand declaration and any additionalinformation supplied to the Company by oron behalf of the Insured

Standard Construction

Brick stone or concrete built and roofed withslates tiles metal concrete or sheets or slabscomposed entirely of incombustible mineralingredients and plastic roof lights

Non-standard Construction

Constructed of materials other than thosedetailed in the definition StandardConstruction

Territorial Limits

a) Great Britain Northern Ireland theChannel Islands or the Isle of Man otherthan Offshore

b) Elsewhere in the world other thanOffshore in connection with temporaryvisits undertaken in the course of theBusiness by any person normally residentin the territories described in a) above

Property Investors Protection Plan Policy DEFINITIONS

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

8

Section 1

Buildings

The CoverThe Company will (subject to the termsdefinitions exclusions and conditions of thePolicy) if any of the Property Insured beaccidentally lost destroyed or damaged payto the Insured the value of the property atthe time of its loss or destruction or theamount of the damage or at the Companysoption reinstate or replace such property orany part of it

Property Insureda) The buildings shown in the Schedule

including outbuildings annexes gangwaysconveniences foundations or footings(unless otherwise excluded) yards carparks roads pavements landscapingplanters ornamental features and statueswalls gates and fences together withlandlord’s fixtures and fittings therein andthereon tenants improvementsunderground pipes drains piping ductingcables wires and associated control gearand accessories on the premises andextending to the public mains but only tothe extent of the Insureds responsibility

b) Fitted carpets and other furnishingsbelonging to the Insured but excludingfitted carpets and other furnishings withinproperties or portions thereof which arelet for domestic purposes Fixed glass inwindows doors fanlights skylightspartitions and fixed sanitary ware

Amount ExcludedThis Section does not cover the amountsstated in the following paragraph in respectof each and every loss as ascertained afterthe application of all other terms andconditions of the Policy including anyCondition of Average

Limit of LiabilityThe maximum amount payable during anyPeriod of Insurance under this Sectionincluding any payment made under theExtensions is the Sum Insured shown in theSchedule for the Buildings Section adjusted inaccordance with the Inflation Protection Clauseif applicable

SECTION 1 Property Investors Protection Plan Policy

1 DAMAGE by firelightningexplosion aircraftriot civilcommotionstrikers locked-out workerspersons takingpart in labourdisturbances or earthquake

2 All otherinsuredDAMAGE

Compensation

Nil

£300

Amount Excluded £

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Clauses

Change in TenancyThe Insured must advise the Company of allchanges in tenancy or occupation within theProperty Insured in accordance withCondition 1 of this Policy

Construction of BuildingsExcept as otherwise stated the buildingsdescribed in the Schedule are of Standard Construction

Contractors InterestWhere the Insured is required to effectinsurance on the Property Insured in the jointnames of themselves and the contractorunder the terms of a contract condition thenthe interest of the contractor in the PropertyInsured as joint insured is noted provided theInsured shall advise the Company of detailsof any single contract valued in excess of£150,000 or 10% of the Sum Insured on theProperty Insured whichever is the less andpay any additional premium the Companymay require

Day One AverageA Subject to the following Special

Conditions the basis upon which theamount payable in respect of the PropertyInsured under sums insured marked DAin the Schedule is to be calculated shallbe the reinstatement of the property lostdestroyed or damaged

For this purpose ‘reinstatement’ means

a) the rebuilding or replacement ofproperty lost or destroyed whichprovided the liability of the Company isnot increased may be carried out

i) in any manner suitable to therequirements of the Insured

ii) upon another site

b) the repair or restoration of propertydamaged in either case to a conditionequivalent to or substantially the sameas but not better or more extensivethan its condition when new

B The Insured having stated in writing theDeclared Value shown in brackets belowthe Sum Insured for each of the saiditems the premium has been calculated accordingly

‘Declared Value’ means the Insuredsassessment of the cost of reinstatementof the Property Insured arrived at inaccordance with paragraph A(a) at thelevel of costs applying at the inception ofthe Period of Insurance (ignoringinflationary factors which may operatesubsequently) together with insofar as theinsurance by the item provides dueallowance for

a) the additional cost of reinstatement to comply with public authority requirements

b) professional fees

c) debris removal costs

d) fitted carpets and other furnishings

Special Conditions1 At the inception of each Period of

Insurance the Insured shall notify theCompany of the Declared Value of theProperty Insured by each of the saiditem(s) In the absence of such declarationthe last amount declared by the Insuredshall be taken as the Declared Value forthe ensuing Period of Insurance

2 If at the time of DAMAGE the DeclaredValue of the property covered by suchitem be less than the cost ofreinstatement (as defined in paragraph Babove) at the inception of the Period ofInsurance then the Companys liability forany DAMAGE shall not exceed thatproportion thereof which the DeclaredValue bears to such cost of reinstatement

3 The liability of the Company for the repairor restoration of property damaged in partonly shall not exceed the amount whichwould have been payable had suchproperty been wholly destroyed

9

Property Investors Protection Plan Policy SECTION 1

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

10

4 No payment beyond the amount whichwould have been payable in the absenceof this clause shall be made

a) unless reinstatement commences andproceeds without unreasonable delay

b) until the cost of reinstatement shallhave been actually incurred

c) if the Property Insured at the time ofits loss destruction or damage shall beinsured by any other insuranceeffected by or on behalf of the Insuredwhich is not upon the same basis of reinstatement

5 All the terms and conditions of this Policyshall apply in respect of any claim payableunder the provisions of this clause exceptinsofar as they are varied hereby

6 Where by reason of

a) any of the above Special Conditions nopayment is to be made beyond theamount which would have beenpayable under this Section if this clausehad not been incorporated therein

or

b) the Insured elect not to rebuild theProperty Insured in a condition equal tobut not better or more extensive than itscondition when new then the provisionsof this clause are cancelled and therights and liabilities of the Companyand the Insured in respect of theDAMAGE shall be subject to the termsand conditions of the Policy includingthe following Condition of Average –

The insurance by each item of thisSection is declared to be subject toAverage i.e. if the property coveredshall at the breaking out of anyDAMAGE insured hereby becollectively of greater value than 115%of the Declared Value stated in theSchedule then the Insured shall beconsidered as being their own insurerfor the difference and shall bear arateable share of the loss accordingly

Empty Buildingsa) Whenever the Property Insured by this

Section is Empty the Empty BuildingsWarranty will apply

b) The Company must be notified inwriting immediately any Empty buildingor Empty portion of a building insuredhereby becomes occupied or anyoccupied building becomes Empty and a suitable extra premium be paidif required

Empty Buildings WarrantyIt is warranted that whenever the PropertyInsured is Empty

a) the Insured shall notify the Companyimmediately they become aware

i) that the building(s) are Empty

ii) of any loss destruction or damageto the Empty building(s) whethersuch loss destruction or damage isinsured or not with all lossdestruction or damage rectified immediately

b) notify the police immediately when thebuilding becomes Empty

c) the buildings are inspected internallyat least once during each week by oron behalf of the Insured

d) all trade refuse and waste materialsare removed from the interior of thepremises and no accumulation ofrefuse and waste be allowed in theadjoining yards or spaces owned bythe Insured

e) the Insured shall secure the buildingand put all protective and lockingdevices and any alarm protection intoeffective operation with letterboxessealed to prevent the accumulation ofmail Any entry doors must be securedwith a minimum of BS3621 mortisedeadlock and plate

f) the gas water and electricity suppliesare turned off at the mains (except


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

11

electricity needed to maintain any fireor intruder alarm system in operation)and any sprinkler system be drainedand during the months of October toMarch (inclusive) the water system be drained

g) the Insured shall implement anyadditional protections the Companymay require within the time scalespecified by the Company

Fire Extinguishing AppliancesWhere the Company has agreed to allow adiscount for the fire extinguishing equipmentthe Insured warrant that

i) the said appliances will be maintainedin efficient working order during thecurrency of this insurance

ii) the routine tests prescribed by theCompany are carried out and anydefects revealed by such tests arepromptly remedied

iii) the Company’s written consent isobtained to any proposed changesrepairs or alterations to any sprinkleror alarm installation

Inflation ProtectionThe Company will adjust the Sum Insured inline with suitable indices of costs and therenewal premium for this Section will bebased on the adjusted Sum Insured

Mortgagees and Other InterestsThe interest of the Leaseholder(s)Mortgagee(s) and Tenant(s) in the individualportions of the Property Insured to which theirinterest applies is noted such interest to beadvised to the Company in the event of aclaim In addition the interest of the Insured orMortgagee(s) in this insurance shall not beprejudiced by any act or neglect of theoccupier(s) or Mortgagor(s) of any buildinghereby insured whereby the risk of DAMAGEis increased without the authority orknowledge of the Insured or Mortgagee(s)provided that the Insured or Mortgagees shallimmediately on becoming aware thereof give

notice in writing to the Company and ondemand pay such reasonable additionalpremium as the Company may require

Payments on AccountIn the event of DAMAGE the Company willmake monthly payments on account to theInsured if required

Reinstatement of Sum InsuredIn the event of loss the Sum Insured by thisSection will be automatically reinstated fromthe date of the loss unless written notice isgiven to the contrary either by the Companyor by the Insured and the Insured undertaketo pay such necessary premiums as may berequired for such reinstatement from that date

Repairs and AlterationsJoiners and other tradesmen may beemployed to effect repairs or minor structuralalterations in all or any of the buildings insuredwithout prejudice to the insurance hereby

Sale of Property InsuredIf at the time of DAMAGE to any buildinginsured under this Section the Insured shallhave contracted to sell the interest of theInsured in such building and the purchaseshall not have been but shall be thereaftercompleted the purchaser on completion ofthe purchase if and so far as the property isnot otherwise insured by or on behalf of thepurchaser against such DAMAGE shall beentitled to the benefits of this Section of thePolicy so far as it relates to such DAMAGEwithout prejudice to the rights and liabilitiesof the Insured or the Company under thisSection up to the date of completion


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

12

Subrogation WaiverIn the event of a claim arising under thisSection the Company agrees to waive anyrights remedies or relief to which they mighthave become entitled by subrogation against

a) any Company standing in relation ofParent to Subsidiary (Subsidiary toParent) to the Insured as defined in theCompanies Act or the Companies (N.I.)Order as appropriate current at the time of DAMAGE

b) any Company which is a subsidiary of aParent Company of which the Insured arethemselves a Subsidiary in each casewithin the meaning of the Companies Actor the Companies (N.I.) Order asappropriate current at the time of DAMAGE

c) any tenant provided that

i) the DAMAGE did not result from acriminal fraudulent or malicious act ofthe tenant

ii) the tenant contributes to the cost ofinsuring the Property Insured againstthe event which caused the DAMAGE

Extensions

The Insurance by this Section extends to include

Additional Metered Water ChargesAdditional metered water charges incurredby the Insured as a result of DAMAGEexcept those in respect of any loss whichhas not been discovered and remedial actiontaken within 30 days of the occurrence of theDAMAGE subject to a limit of £25,000

Additional Sprinkler CostsThe costs incurred in upgrading an automaticsprinkler installation to current LPC rulessolely as required by the Company as aresult of DAMAGE to the Property Insuredprovided that at the time of the DAMAGE theinstallation conformed

• to the 28th or 29th Edition Rules or

• to the LPC Rules current at the time ofinstallation but did not conform tosubsequent amendments to those rules

Alternative Residential AccommodationIf as a result of DAMAGE the residentialportions of the Property Insured are unfit tolive in or access is denied the Company willpay insofar as they are not otherwise insured

a) the costs of reasonable alternativeaccommodation and temporary storage ofresidents furniture

b) the cost of reasonable accommodation inkennels or catteries for residents dogsand cats

Provided the liability of the Company underthis Extension shall not exceed 20% of theSum Insured on the Property Insured whichhas been damaged


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

13

Architects Surveyors Legal andConsulting Engineers FeesAn amount in respect of architects surveyorslegal and consulting engineers feesnecessarily incurred in the reinstatement orrepair of the Property Insured consequentupon its DAMAGE but not for preparing anyclaim it being understood that the amountpayable for such destruction or damage andfees shall not exceed in the aggregate theSum Insured

Automatic Cover (Newly Acquired Properties)Automatic cover for premises newly acquiredby the Insured in the United Kingdom to theextent that the Insured’s interest is notprotected by any other more specific insurance

provided that

a) as soon as reasonably practicable theInsured shall notify the Company inwriting of each premises acquired andarrange specific cover with the Company

b) this cover shall operate for a maximumperiod of 30 days from the date the Insuredacquired their interest in the Premises

c) the Company’s maximum liability any oneclaim for Buildings and Rent shall notexceed £2,000,000 in respect of any Premises

d) in respect of any Premises purchased forrenovation refurbishment orredevelopment the Day One AverageClause shall not apply

e) the insurance under this extension shallbe subject to all the terms provisionsclauses conditions and exclusions of the Policy

f) if cover is provided under this Extensionthen cover is not provided under theCapital Additions Extension at the sametime in respect of the same property

Capital AdditionsSubject to its terms and conditions

a) any newly acquired and/or newly erectedbuildings or buildings in course of erection(excluding any property for which abuilding contractor is responsible) insofaras the same are not otherwise insured

and

b) alterations additions and improvements tobuildings but not in respect of anyappreciation in value

anywhere in the United Kingdom provided that

i) at any one situation this cover shallnot exceed 20% of the Sum Insuredby this Section but in no caseexceeding £2,000,000

ii) the Insured undertake to giveparticulars of such extension of coveras soon as practicable and to effectspecific insurance thereon retrospectiveto the date of the commencement ofthe Companys liability

iii) the provisions of this extension shallbe fully maintained notwithstandingany specific insurance effected under (ii) above

iv) if cover is provided under this Extensionthen cover is not provided under theAutomatic Cover (Newly AcquiredProperties) Extension at the same timein respect of the same property

Contract WorksContract Works to the extent to which theInsured has contracted to arrange coversubject to a limit of £25,000 any one claim atany Premises excluding the first £250 ofeach and every loss This insurance shallonly apply in so far as the Contract Worksare not otherwise insured

Damage to Landscaped GardensThe cost of restoring any damage tolandscaped gardens including trees by theEmergency Services in attending thepremises as a result of DAMAGE insured bythis Section


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

14

Damage to Cables and Underground PipesThe cost of repairing accidental damage forwhich the Insured is responsible to cablesand underground pipes and drains (and theirinspection covers) on the Property Insured orconnecting them to the public mains subjectto the terms and conditions of the Policy

European Community and Public AuthoritiesSuch additional cost of reinstatement as maybe incurred solely by reason of the necessityto comply with the Stipulations of

a) European Community Legislation or

b) Building or other Regulations under orframed in pursuance of any Act ofParliament or Bye-Laws of any PublicAuthority (hereafter referred to as ‘theStipulations’) in respect of

• the lost destroyed or damagedproperty thereby insured

• undamaged portions thereof

Excludinga) the cost incurred in complying with the

Stipulations

i) in respect of DAMAGE occurring priorto the granting of this extension

ii) in respect of DAMAGE not insured bythis Section

iii) under which notice has been servedupon the Insured prior to thehappening of the DAMAGE

iv) for which there is an existingrequirement which has to beimplemented within a given period

v) in respect of property entirelyundamaged by any peril herebyinsured against

b) the additional cost that would have beenrequired to make good the property lostdestroyed or damaged to a conditionequal to its condition when new had thenecessity to comply with the Stipulationsnot arisen

c) the amount of any charge or assessmentarising out of capital appreciation whichmay be payable in respect of the propertyor by the owner thereof by reason ofcompliance with the Stipulations

Special Conditions1 The work of reinstatement must be

commenced and carried out withoutunreasonable delay and in any case mustbe completed within twelve months afterthe DAMAGE or within such further timeas the Company may allow (during thesaid twelve months) and may be carriedout upon another site (if the Stipulationsso necessitate) subject to the liability ofthe Company under this extension notbeing thereby increased

2 If the liability of the Company under (anyitem of) this Section apart from thisextension shall be reduced by theapplication of any of the terms andconditions of the Policy then the liability ofthe Company under this extension (inrespect of any such item) shall bereduced in like proportion

3 The total amount recoverable under anyitem of this Section shall not exceed itsSum Insured

4 All the terms and conditions of the policyexcept insofar as they are varied herebyshall apply as if they had beenincorporated herein


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

15

Extinguishment and Alarm Resetting ExpensesThe reasonable costs incurred by theInsured in refilling fire extinguishingappliances replacing used sprinkler headsand resetting fire or intruder alarms as aresult of DAMAGE to the Property Insured

Further Investigation ExpensesWhere a Building has suffered Damage andin the opinion of a competent constructionprofessional there is a reasonable possibilityof other Damage to portions of the sameBuilding which is not immediately apparentthe Company will pay the reasonable costsincurred by the Insured with the Company’sprior consent in establishing whether or notsuch Damage has occurred

The Company will also pay the reasonablecosts incurred by the Insured in establishingwhether or not other Buildings in the vicinityhave suffered Damage in the same incidentbut only if such Buildings are subsequentlyfound to have suffered such Damage forwhich the Company is liable

Glass Breakagea) temporary boarding up following breakage

b) the cost of removal or replacement offixtures and fittings in course of thereplacement of the glass

c) lettering or other ornamental work andalarm foil on glass

Personal PossessionsDirectors partners customers visitors andEmployees personal effects of everydescription (other than motor vehicles)insofar as they are not otherwise insured foran amount not exceeding £500 in respect ofany one person

Removal of DebrisCosts and expenses necessarily incurred by the Insured with the consent of the Company in

a) removing debris

b) dismantling and/or demolishing

c) shoring up or propping of the portions ofthe Property Insured

d) clearing drains sewers and gutters at theProperty Insured

as a result of DAMAGE hereby insured against

The Company will not pay for any costs or expenses

1 incurred in removing debris except fromthe site of such property destroyed ordamaged and the area immediatelyadjacent to such site

2 arising from pollution or contamination ofproperty not insured by this Section

The liability of the Company under thisExtension and this Section in respect of anyitem shall in no case exceed the SumInsured thereby


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

16

Removal of Debris – Tenants ContentsThe irrecoverable costs and expenses(insofar as they are not otherwise insured)necessarily incurred by the Insured with theconsent of the Company in removing fromthe Property Insured the debris of contents(not being the property of the Insured) as aresult of DAMAGE hereby insured against

The Company will not pay for any costs or expenses

1 incurred in removing debris except fromthe site of such property destroyed ordamaged and the area immediatelyadjacent to such site

2 arising from pollution or contamination ofproperty not insured by this Section

The liability of the Company under thisExtension and this Section in respect of anyitem shall in no case exceed the SumInsured thereby

Temporary RemovalTemporary removal of

a) property insured by this Section forcleaning renovation or repair

b) deeds documents and plans to anybuilding within the United Kingdom

Provided the liability of the Company undereach of (a) and (b) shall not exceed £25,000

Theft of KeysThe reasonable costs necessarily incurred inreplacing external door locks at the PropertyInsured following the loss of keys by

a) theft from the Property Insured orRegistered Office or from the home of

b) theft following hold-up whilst such keys arein the personal custody of

the Insured or any principal director partner orEmployee authorised to hold such keys

or reasonable evidence that the keys havebeen duplicated by an unauthorised person

Provided that the maximum amount payableunder this Extension in any one Period ofInsurance shall not exceed £1,000 in respectof any one premises

Trace and AccessThe reasonable costs necessarily incurredby the Insured in locating the source andsubsequent making good of DAMAGEresulting from

i) the escape of water from any tankapparatus or pipe

ii) accidental damage to cablesunderground pipes and drains servingthe Property Insured

Unauthorised Use of UtilitiesThe cost of metered electricity gas or waterfor which the Insured are legally responsiblearising from its unauthorised use by personstaking possession keeping possession oroccupying the Property Insured without theInsureds authority Provided that the Insuredshall take all practical steps to terminate suchunauthorised use as soon as it is discovered


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

17

Value Added TaxValue Added Tax (VAT) paid by the Insuredwhich is not subsequently recoverable

Provided that

1 a) the Insureds liability for such tax arisessolely as a result of the reinstatementor repair of the building following DAMAGE

b) the Company have paid or haveagreed to pay for such DAMAGE

c) if any payment made by the Companyin respect of the reinstatement orrepair of such DAMAGE shall be lessthan the actual cost of thereinstatement or repair of theDAMAGE any payment under thisclause resulting from that DAMAGEshall be reduced in like proportion

2 the Insureds liability for such tax does notarise from the replacement buildinghaving a greater floor area than or beingbetter or more extensive than thedestroyed or damaged building

3 where an option to reinstate on anothersite is exercised the Companys liabilityunder this Extension shall not exceed theamount of tax that would have beenpayable had the building been rebuilt onits original site

4 the Companys liability under thisExtension shall not include amountspayable by the Insured as penalties orinterest for non payment or late paymentof tax

5 the Insured has taken all reasonableprecautions to insure adequately for VATliability at inception of the Policy and ateach subsequent renewal date

NB Provisions to the contrary elsewhere inthis Policy are overridden as follows inrespect of those items to which thisExtension applies

i) for the purpose of any condition ofAverage reinstatement costs will beexclusive of VAT

ii) the liability of the Company mayexceed the Sum Insured by an item orin the whole the total Sum Insuredwhere such excess is solely in respectof VAT


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

18

Rental Income

The CoverIn the event of the Property Insured underSection 1 (hereinafter called the Premises)being accidentally lost destroyed or damagedand the Business carried on by the Insured atthe Premises stated in the Schedule be inconsequence thereof interrupted or interferedwith the Company will (subject to the termsdefinitions exclusions and conditions of thePolicy) pay the Insured the amount of lossarising as a result in accordance with thefollowing provisions

IndemnityThe insurance is limited to loss due to (a)loss of Rent Receivable and (b) increase incost of working and the amount payable asindemnity thereunder shall be

a) the amount by which the Rent Receivableduring the Indemnity Period shall inconsequence of the DAMAGE fall short ofthe Standard Rent Receivable

b) the additional expenditure necessarily andreasonably incurred including the cost ofre-letting the Premises (including legalfees) for the sole purpose of avoiding ordiminishing the loss of Rent Receivablewhich but for that expenditure would havetaken place during the Indemnity Periodin consequence of the DAMAGE but notexceeding the amount of the reduction inRent Receivable thereby avoided

plus

5% sum insured on Rent Receivable forthe Premises (but not more than £25,000)

less any sum saved during the IndemnityPeriod in respect of such charges orexpenses of the Business as may cease or bereduced in the consequence of the DAMAGE

provided that

i) payment shall have been made or liabilityadmitted under Section 1 of this Policy

ii) if the Sum Insured by this Section be lessthan 300% of the Annual Rent Receivablethe amount payable shall beproportionately reduced

Definitions

Indemnity PeriodThe period beginning with the occurrence ofthe DAMAGE and ending not later than thenumber of months thereafter stated in theSchedule during which the results of theBusiness shall be affected in consequence ofthe DAMAGE

Rent ReceivableThe money paid or payable to the Insured fortenancies and other charges and for servicesrendered in the course of the Business at the Premises

Annual Rent ReceivableThe Rent Receivable during the twelve monthsimmediately before the date of the DAMAGE

Standard Rent ReceivableThe Rent Receivable during the period in thetwelve months immediately before the dateof the DAMAGE which corresponds with theIndemnity Period

Under the Definitions Annual Rent Receivableand Standard Rent Receivable adjustmentsshall be made as may be necessary toprovide for the trend of the Business and forvariations in or special circumstancesaffecting the Business either before or afterthe DAMAGE or which would have affectedthe Business had the DAMAGE not occurredso that the figures thus adjusted shallrepresent as nearly as may be reasonablypracticable the results which but for theDAMAGE would have been obtained duringthe relative period after the DAMAGE

Limit of LiabilityThe maximum payable during any Period ofInsurance under this Section is the SumInsured shown in the Schedule adjusted inaccordance with the Inflation ProtectionClause if applicable plus any payment madeunder the Rent Review Extension

Section 2


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Clauses

Advance Rent ReceivableWhere Rent Receivable is insured in respectof new property developments the Insuredmust show that but for the DAMAGE RentReceivable would have been earned and willbe required to support a claim for Loss ofRent Receivable by submitting reasonableevidence of the amount of such RentReceivable and the date from which theywould have been earned The Company willhave regard

a) to actual negotiations with prospectivetenants both before and after theDAMAGE

b) for demand for similar accommodation inthe locality

c) the general level of rents applying

If required the advice of a professional valueracceptable to both the Insured and theCompany will be sought and such fees will beincluded in the indemnity under this Clause

Alternative TradingIf during the Indemnity Periodaccommodation shall be provided or servicesrendered elsewhere than at the Premises forthe benefit of the Business either by theInsured or others on their behalf the moneypaid or payable in respect of suchaccommodation and services shall bebrought into account in arriving at the RentReceivable during the Indemnity Period

Bombscare or Unlawful OccupationThis Section extends to include interruptionof or interference with the Business due to

a) the suspected or actual presence of anincendiary or explosive device on or inthe vicinity of the Premises

b) occupation of the Premises or otherproperty in the vicinity by members of aterrorist or criminal organisation or otherunlawful occupants

Provided the Company will not be liable for

i) any incident involving an interruption ofless than 48 hours duration

ii) any period other than the actual period ofprevention or hindrance of access to the Premises

iii) eviction costs

The insurance by this Clause shall onlyapply for the period beginning with the lossand ending not later than three monthsthereafter during which the results of theBusiness shall be affected in consequence ofthe DAMAGE

Buildings Awaiting SaleIf at the time of the DAMAGE the Insuredshall have contracted to sell their interest inthe Premises or shall have accepted an offerin writing to purchase their interest in thePremises subject to contract and the sale iscancelled or delayed solely in consequenceof the DAMAGE

Provided that the Insured shall make allreasonable efforts to complete the sale of thePremises as soon as practicable after theDAMAGE the Insured may opt for the amountpayable by the Company to be as follows

i) during the period prior to the date uponwhich but for the DAMAGE the Premiseswould have been sold

the loss of Rent Receivable being

the actual amount of the reduction in RentReceivable solely in consequence of the DAMAGE

19


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

20

ii) during the period commencing with thedate upon which but for the DAMAGE thePremises would have been sold andending with the actual date of sale or withthe expiry of the Indemnity Period if earlier

the loss in respect of interest being

a) the actual interest incurred on capitalborrowed (solely to offset in whole orpart the loss of use of the saleproceeds) for the purpose of financingthe Business

b) the investment interest lost to theInsured on any balance of the saleproceeds (after deduction of anycapital borrowed as provided under a))

less any amount receivable in respect ofRent Receivable

iii) the additional expenditure being

a) the expenditure necessarily andreasonably incurred in consequence ofthe DAMAGE solely to avoid orminimise the loss payable under (i)and (ii) immediately above but notexceeding the amount of loss avoidedby such expenditure

b) the additional legal fees and otherexpenditure incurred solely as a resultof the cancellation or delay inconsequence of the DAMAGE but notexceeding either an amount equivalentto the expenditure incurredimmediately prior to the DAMAGE or£50,000 whichever is the less

Capital AdditionsThis Section extends to include RentReceivable in respect of

a) alterations additions extensions andimprovements to the Premises insured

b) newly acquired and or newly erectedbuildings anywhere in the United Kingdomprovided they are not otherwise insured

Provided that

i) at any one Premises the cover shall notexceed 20% of the total Sum Insured onRent Receivable or £250,000 whicheveris the less

ii) the Insured undertake to give particularsof such extension of cover as soon aspracticable and to effect specificinsurance thereon retrospective to thedate of the commencement of the Companys liability

iii) the provisions of this Clause shall be fullymaintained notwithstanding any specificinsurance effected under (ii) above

Denial of Access and Loss or Damage atManaging Agents PremisesSubject to the conditions of the Policy lossresulting from interruption of or interferencewith the Business in consequence of DAMAGE

a) to property in the vicinity of the Premisesdestruction of or damage to which shallprevent or hinder the use of the Premisesor access thereto whether the Premisesor property of the Insured therein shall bedamaged or not (but excluding lossdestruction of or damage to property ofany supply undertaking from which theInsured obtain electricity gas or water ortelecommunications services whichprevent or hinder the supply of such services)

b) to property at the premises of theInsureds Managing Agents

shall be deemed to be loss resulting fromDAMAGE to property used by the Insured atthe Premises


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Empty BuildingsWhere Rent Receivable is insured in respectof any Empty buildings in the event ofDAMAGE the Insured must show that but forthe DAMAGE Rent Receivable would havebeen earned and will be required to supporta claim for loss of Rent Receivable bysubmitting reasonable evidence of theamount of Rent Receivable and the datefrom which it would have been earned

The Company will have regard

a) to actual negotiations with prospectivetenants both before and after the DAMAGE

b) for demand for similar accommodation inthe locality and

c) of the general level of rents applying

If required the advice of a professional valueracceptable to both the Insured and Companywill be sought and such fees will be includedin the indemnity under this Clause

Failure of Public SupplyThis Section extends to include interruption ofor interference with the Business caused byDamage as defined in this Section giving riseto destruction or damage to property at any

a) generating station or sub station of thepublic electricity supply undertaking

b) land based premises of the public gassupply undertaking or of any natural gasproducer linked directly therewith

c) water works and pumping stations of thepublic water supply undertaking

d) land based premises of the publictelecommunications undertaking

from which the Insured obtains electricity gaswater or telecommunication services withinGreat Britain Northern Ireland the ChannelIslands or the Isle of Man

Loss of AttractionThis Section extends to include loss resultingfrom interruption of or interference with theBusiness due to DAMAGE to property in thevicinity of the Premises which shall deterpotential tenants whether the Premises ofthe Insured or property of the Insured thereinshall be damaged or not Provided that themaximum amount payable under this Clausein any Period of Insurance shall not exceed

a) £50,000 or the Sum Insured in respect ofeach Premises whichever is the less

b) £250,000 in aggregate

Loss of Investment Income due to LatePayment of RentIf as a result of DAMAGE the Company ispaying an indemnity in respect of loss ofRent Receivable and the payment is madelater than the date upon which the Insuredwould normally have expected to receive therent from the lessee the Company will pay afurther sum representing the investmentinterest lost to the Insured during the periodof delay

Murder Suicide or DiseaseThe Company shall indemnify the Insured inrespect of DAMAGE resulting from interruptionof or interference with the Business during theIndemnity Period following

a) any human infectious or humancontagious disease (excluding AcquiredImmune Deficiency Syndrome (AIDS) oran AIDS related condition) an outbreak ofwhich the local authority has stipulatedshall be notified to them manifested byany person whilst in the Premises orwithin a 25 mile radius of it

b) murder or suicide in the Premises

c) Injury or illness sustained by any personarising from or traceable to foreign orinjurious matter in food or drink providedin the Premises

21


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

22

d) vermin or pests in the Premises

e) the closing of the whole or part of thePremises by order of a competent publicauthority consequent upon defect in thedrains or other sanitary arrangements atthe Premises

The Insurance by this Extension shall onlyapply for the period beginning with theoccurrence of the loss and ending not laterthan three months thereafter during whichthe results of the Business shall be affectedin consequence of the DAMAGE

New Business ClauseFor the purpose of any claim arising fromDAMAGE occurring before the completion ofthe first years trading of the Business at thePremises Definitions Annual Rent Receivableand Standard Rent Receivable shall bear thefollowing meanings and not as within stated

Annual Rent Receivable

The proportional equivalent for a period oftwelve months of the Rent Receivablerealised during the period between thecommencement of the Business and thedate of the DAMAGE

Standard Rent Receivable

The proportional equivalent for a periodequal to the Indemnity Period of the RentReceivable realised during the periodbetween the commencement of theBusiness and the date of the DAMAGE

To which adjustments shall be made as maybe necessary to provide for the trend of theBusiness and for variations in or specialcircumstances affecting the Business eitherbefore or after the DAMAGE or which wouldhave affected the Business had theDAMAGE not occurred so that the figuresthus adjusted shall represent as nearly asmay be reasonably practicable the resultswhich but for the DAMAGE would have beenobtained during the relative period after the DAMAGE

Payments on AccountIn the event of loss the Company will makemonthly payments on account during theIndemnity Period to the Insured if desired

Professional Accountants and Legal FeesThe Company will indemnify the Insured inrespect of reasonable fees payable by the Insured

i) to their professional accountants forproducing any particulars or detailscontained in the Insureds business booksor documents or other such proofsinformation or evidence as the Companymay require under the terms of Condition4c) and reporting that such particulars ordetails are in accordance with theInsureds business books or documents

ii) to their lawyers for determining theircontractual rights under any Rent cessorclause or insurance break clausecontained in the lease but not for any otherpurposes in the preparation of any claim

Rent ReviewWhere the Rent Receivable is subject to aRent Review during the Period of Insurancethen the Sum Insured by this Section will beautomatically increased to reflect the revisedRent Receivable earned

Extra premium will not be charged for suchincrease in cover during the Period ofInsurance provided that the Insured shallprior to renewal advise the Company of therevised Rent Receivable for the ensuing year of insurance


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Rent Free PeriodIf at the date of the DAMAGE any Premisesare subject to a rent free period under theterms of the lease then the Indemnity Periodstated in the Schedule shall be adjusted byadding the unexpired portion of the rent freeperiod to the number of years shown in theSchedule provided that the Company’sliability does not exceed the Sum Insured orany Limit of Liability stated in the Policywhichever is the lower

Sale of Property InsuredIf at the time of DAMAGE to the Premisesthe Insured shall have contracted to sell theinterest of the Insured in such building andthe purchase shall not have been but shallbe thereafter completed the purchaser oncompletion of the purchase if and so far asthe Rent Receivable are not otherwiseinsured by or on behalf of the purchaseragainst such DAMAGE shall be entitled tothe benefits of this Section of the Policy sofar as it relates to such DAMAGE withoutprejudice to the rights and liabilities of theInsured or the Company under this Sectionup to the date of completion

Value Added TaxTo the extent that the Insured areaccountable to the tax authorities for ValueAdded Tax all terms in this Section shall beexclusive of such tax

Reinstatement of Sum InsuredIn the event of loss the Sum Insured by thisSection will be automatically reinstated fromthe date of the loss unless written notice isgiven to the contrary either by the Companyor by the Insured and the Insured undertaketo pay such necessary premiums as may berequired for such reinstatement from that date

23


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

24

Public Liability

IndemnityThe Company will Indemnify the Insuredagainst all sums the Insured shall becomelegally liable to pay as damages and claimantscosts and expenses arising out of accidental

a) Injury to any person

b) loss or damage to material property

c) obstruction, trespass, nuisance orinterference with any right of way air light orwater or other easement

d) wrongful arrest detention imprisonment oreviction of any person or invasion of the rightof privacy

occurring within the Territorial Limits during thePeriod of Insurance and happening inconnection with the Business

Limit of LiabilityThe liability of the Company for all damagespayable as a result of any one occurrence or ofall occurrences of a series consequent upon orattributable to one source or original cause shallnot exceed the Limit of Indemnity stated in the Schedule

In addition the Company will pay

1 all other costs and expenses incurred with itswritten consent

2 the legal costs and expenses incurred with itswritten consent for the defence ofprosecution brought under the Health andSafety at Work etc Act 1974 for any allegedoffence or under the Health and Safety atWork (Northern Ireland) Order 1978 includinglegal costs and expenses incurred with theconsent of the Company in an appealagainst conviction arising from suchproceedings provided that –

a) the proceedings relate to the health safetyand welfare of persons other than Employees

b) the Company will not indemnify the Insuredin respect of

i) fines and penalties

ii) costs or expenses insured by any other policy

Clauses

Contractual LiabilityIn connection with liability assumed underagreement this Section

a) shall apply only if the conduct and control ofclaims is vested in the Company

b) shall not apply in respect of liquidateddamages fines or penalties

Cross LiabilitiesIf more than one Insured is referred to in theSchedule each Insured so named shall beconsidered as a separate and distinct entity andthe word Insured shall be construed as applyingto each separate Insured in the same manneras if a separate policy had been issued to each

Provided always that the liability of theCompany for all damages payable as a resultof any one occurrence or of all occurrences ofa series consequent upon or attributable toone source or original cause shall not exceedin the aggregate the Limit of Indemnity statedin the Schedule

Discharge of LiabilityThe Company may pay the Limit of Indemnityor any lesser amount for which any claim orclaims against the Insured can be settled andthe Company shall be under no further liabilityin respect of such claim or claims except forcosts or expenses incurred prior to the date ofsuch payment

Extensions

Additional Persons InsuredThe Insured shall extend to include in the eventof the death of any person entitled to indemnityunder this Section the deceased’s legalpersonal representatives but only in respect ofliability incurred by such deceased person

At the request of the Insured the Company willindemnify in the terms of this Section anydirector of the Insured or Employee in respectof liability arising in connection with theownership of the premises described in the Schedule

Section 3


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Provided always that

a) each such additional person insured shall asthough they were the Insured observe fulfiland be subject to the terms of this Policyinsofar as they can apply

b) the Company shall retain the sole conductand control of all claims

Compensation for Court AttendanceIn the event of any of the undermentionedpersons attending court as a witness at therequest of the Company in connection with aclaim in respect of which the Insured areentitled to indemnity under this Section theCompany will provide compensation to theInsured at the following rates per day for eachday on which attendance is required

a) any director or partner of the Insured £100

b) any Employee £50

Data Protection ActThe Company will indemnify the Insured inrespect of liability arising under the DataProtection Act 1998 to pay compensation fordamage or distress

Provided that

a) the process of registration under the aboveAct has been commenced or completed bythe Insured and the application has not beenrefused or withdrawn

b) no liability arises as a result of the provisionby the Insured of the services of a Data Processor

The Company shall not be liable in respect of

a) the recording or provision of data for rewardor for determining the financial status of any person

b) any liability which arises as a result of adeliberate act or omission of the Insured andwhich could reasonably have been expectedby the Insured having regard to the natureand circumstances of such act or omission

The total liability of the Company includingall costs and expenses in this respect shallnot exceed £250,000 during any one Periodof Insurance

For the purposes of this Extension the phrasesor words ‘Data Processor’ and ‘Data’ shall carrythe same meaning as defined under the DataProtection Act 1998

Defective Premises ActThis Section subject otherwise to the terms ofthe Policy extends to indemnify the Insuredagainst liability for Injury loss or damage arisingsolely by reason of Section 3 of the DefectivePremises Act 1972 or Article 5 of the DefectivePremises (Northern Ireland) Order 1975 inrespect of any premises previously owned forpurposes pertaining to the Business and sincedisposed of by the Insured provided that –

1 this extension shall not indemnify the Insuredin respect of loss of or damage to the land orpremises disposed of or in connection withthe cost of rectifying any defect or allegeddefect therein

2 the Company will not be liable under thisextension if the Insured are entitled toindemnity under any other insurance

Overseas Personal LiabilityThe Company will indemnify the Insured and ifthe Insured so request any director or partner ofthe Insured any Employee or spouse of suchperson against legal liability incurred in apersonal capacity whilst temporarily outsideGreat Britain Northern Ireland the ChannelIslands or the Isle of Man in connection with the Business

The indemnity will not apply

a) to legal liability arising out of the ownership oroccupation of land or buildings

b) in respect of which any person referred toabove is entitled to indemnity under any other insurance

25


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

26

Employers Liability

IndemnityThe Company will indemnify the Insuredagainst all sums that the Insured shallbecome legally liable to pay as damagestogether with costs and expenses shownbelow in respect of Injury sustained withinthe Territorial Limits during the Period ofInsurance by any Employee arising out ofand in the course of his/her employment bythe Insured in the Business

Limit of IndemnityThe liability of the Company under thisSection for damages costs and expensespayable in respect of any one claim againstthe Insured or series of claims against theInsured arising out of one event shall notexceed the amount stated in the Schedule

Costs and expenses shall be deemed to mean –

1 costs and expenses of claimants for whichthe Insured is legally liable

2 other costs and expenses incurred withthe Companys written consent in respectof any claim which may be the subject ofindemnity under this Section

3 solicitors fees incurred with the Companyswritten consent for

a) defence in any Court of SummaryJurisdiction of any proceedings broughtagainst the Insured in respect of breachor alleged breach of any statutory dutyresulting in Injury

b) representation at a Coroners Court orFatal Accident Inquiry in respect of any death

which may be subject to indemnity under this Section

4 legal costs and expenses incurred by theInsured and at the request of the Insuredany director or Employee with theCompanys written consent and costsawarded against the Insured or director orEmployee arising in connection with aprosecution (including an appeal againstany conviction resulting from aprosecution) as a result of an allegedoffence occurring during the Period ofInsurance under the Health and Safety atWork etc Act 1974 or similar safetylegislation of Great Britain NorthernIreland the Channel Islands or the Isle ofMan provided that

a) the proceedings relate to the health safetyor welfare of Employees

b) the Company will not indemnify theInsured in respect of

i) fines or penalties

ii) costs and expenses insured by anyother policy

Right of RecoveryThis Section is deemed to be in accordancewith the provisions of any law relating tocompulsory insurance of liability toEmployees in Great Britain Northern Irelandthe Channel Islands or the Isle of Man butthe Insured shall repay to the Company allsums paid by the Company which theCompany would not have been liable to paybut for the provisions of such law

Section 4


Only applicable if this Section is shown as operative in the Schedule

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Extensions

Additional Persons Insureda) In the event of the death of any person

entitled to indemnity under this Section theCompany will indemnify in the terms ofthis Section the deceased’s legal personalrepresentatives but only in respect ofliability incurred by such deceased person

b) At the request of the Insured the Companywill indemnify in the terms of this Section

a) i) any principal in respect of liabilityarising out of the performance by theInsured of any agreement entered intoby the Insured with the principal to theextent required by such agreement

ii) any director of the Insured orEmployee in respect of liability arisingin connection with the Business

Provided that the Insured would have beenentitled to indemnity under this Section if theclaim had been made against the Insured

b) i) any officer committee or member ofthe Insureds canteen sports social orwelfare organisations fire security firstaid medical or ambulance services intheir respective capacities as such

ii) any director or senior official of theInsured in respect of private workundertaken by any Employee forsuch director or senior official

Provided that

i) each person shall as though he werethe Insured observe fulfil and be subjectto the terms of this Section insofar asthey can apply

ii) the Company shall retain the soleconduct and control of all claims

Compensation for Court AttendanceIn the event of the undermentioned personsattending court as a witness at the request ofthe Company in connection with a claim inrespect of which the Insured is entitled toindemnity under this Section the Companywill provide compensation to the Insured atthe following rates per day for each day onwhich attendance is required

a) any director or partner of the Insured £100

b) any Employee £50

Unsatisfied Court JudgementsIn the event of Injury to an Employeesustained during the Period of Insurance andarising out of his/her employment by theInsured in the course of the Business whichresults in a judgement for damages beingobtained by such Employee or his/herpersonal representatives and which remainsunsatisfied in whole or in part six months afterthe date of such judgement the Company willat the request of the Insured pay to theEmployee or his/her personal representativesthe amount of any such damages and anyawarded costs to the extent that they remainunsatisfied provided that

a) the judgement for damages is obtained

i) in a court of law within Great BritainNorthern Ireland the Channel Islands orthe Isle of Man

ii) against a company partnership orindividual other than the Insuredconducting a business at or frompremises within the territories describedin (a) (i) above

b) there is no appeal outstanding

c) this judgement relates to Injury which wouldotherwise be within the terms of the Policy

d) if any payment is made under the terms of this extension the Employeeor the personal representatives of theEmployee shall assign the judgement to the Company

27


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

28

Terrorism Insurance

In consideration of the payment of thePremium in respect of the Period ofInsurance the cover provided under Sections1 and 2 of this policy is extended to includeDAMAGE occasioned by or happeningthrough or in consequence of Terrorism ashereinafter defined for the purposes of thisSection 5

Terrorism is defined for the purposes of thisSection 5 only as

1 An act of any person(s) acting on behalfof or in connection with any organisationwhich carries out activities directedtowards the overthrowing or influencingby force or violence of any governmentde jure or de facto as certified by HerMajesty’s Government or H M Treasury orany successor relevant authority

or

2 An act of any person(s) acting alone andnot on behalf of or in connection with anyorganisation who carries out activitiesdirected towards the overthrowing orinfluencing by force or violence of anygovernment de jure or de facto and suchact not being certified by Her Majesty’sGovernment or HM Treasury or anysuccessor relevant authority and in theevent of any challenge to such non-certification the refusal to certify beingupheld by a Tribunal ruling confirmingsuch non-certification

Provided always that the insurance providedby this Section 5 is

A in respect only of the insurance providedby paragraph 1 of this Section 5 notsubject to the Policy Exclusions but issubject to the following War and AlliedRisks exclusion

DAMAGE occasioned by riot civilcommotion war invasion act of foreignenemy hostilities (whether war is declaredor not) civil war rebellion revolutioninsurrection or military or usurped powernationalisation confiscation requisitionseizure or destruction by the governmentor any public authority

B in respect only of the insurance providedby paragraph 2 of this Section 5 notsubject to Policy Exclusion 16 (Terrorism etc)

C subject to the following additionalexclusions

1) Electronic Risks ExclusionThis insurance does not cover anylosses whatsoever directly or indirectlycaused by or contributed to by orarising from or occasioned by orresulting from

DAMAGE to any computer or otherequipment or component or system oritem which processes stores transmitsor retrieves data or any part thereofwhether tangible or intangible(including but without limitation anyinformation or programs or software)and whether the property of theInsured or not where such DAMAGE iscaused by Virus or Similar Mechanismor Hacking or Denial of Service Attack

For the purposes of this exclusion thefollowing definitions shall apply

Virus or Similar MechanismVirus or Similar Mechanism meansprogram code programming instructionor any set of instructions intentionallyconstructed with the ability to damageinterfere with or otherwise adverselyaffect computer programs data files oroperations whether involving self-replication or not The definition of

Section 5

Only applicable if this Section is shown as operative in the Schedule


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Virus or Similar Mechanism includesbut is not limited to Trojan horsesworms and logic bombs

HackingHacking means unauthorised accessto any computer or other equipment orcomponent or system or item whichprocesses stores transmits or retrieves data

Denial of Service AttackDenial of Service Attack means anyactions or instructions constructed orgenerated with the ability to damageinterfere with or otherwise affect theavailability of networks networkservices network connectivity orinformation systems Denial of ServiceAttacks include but are not limited tothe generation of excess traffic intonetwork addresses the exploitation ofsystem or network weaknesses andthe generation of excess or non-genuine traffic between and amongst networks

2) Excluded PropertyThis insurance does not cover anylosses whatsoever directly or indirectlycaused by or contributed to by orarising from or occasioned by orresulting from DAMAGE in respect of

i) any property located outsideEngland Wales and Scotland

ii) any nuclear installation ornuclear reactor

iii) any property which is specificallyexcluded elsewhere in this Policy

iv) any property which is insured by orwould but for the existence of thisPolicy be insured by any form oftransit aviation or marine policy

D subject to the following additional policyterms and conditions

1) In any action or other proceedings wherethe Company alleges that any DAMAGEis not covered by this Section 5 theburden of proving that such DAMAGE iscovered shall be upon the Insured

2) Except where otherwise indicated in thisSection 5 the insurance provided by thisSection 5 is subject to all the termsdefinitions exclusions conditions andprovisions of this Policy Subject to anylimits stated within this Section 5 theCompany’s liability in respect of all lossesarising out of any one occurrence and inthe aggregate in any one period ofinsurance shall not exceed the limits asotherwise specified under this Policy

E in respect only of the insurance providedby paragraph 2 of this Section 5 subjectto the following additional policy term

the liability of the Company in respect ofDAMAGE directly or indirectly caused bycontributed to by resulting from or arisingout of or in connection with biologicalchemical or nuclear pollution orcontamination will be subject to a limit of up to £25 million any one loss and in the aggregate during any one period of insurance

29


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

30

Section One and Two

The insurance by these Sections does not cover

1 DAMAGE caused by or consisting of

a) inherent vice latent defect gradualdeterioration wear and tear frostchange in water table level its ownfaulty or defective design or materials

b) the bursting by steam pressure of aboiler economiser vessel machine orapparatus in which internal pressure isdue to steam only and belonging to orunder the control of the Insured other than

• in respect of Section 1 – a boilerused for domestic purposes only

• in respect of Section 2 – any boileror economiser on the Premises ora boiler used for domesticpurposes only

c) pressure waves caused by aircraft orother aerial devices travelling at sonicor supersonic speeds

But this shall not exclude subsequentDAMAGE or subsequent loss resultingfrom DAMAGE which itself resultsfrom a cause not otherwise excluded


a) faulty or defective workmanshipoperational error or omission on thepart of the Insured or any of his Employees

but this shall not exclude

i) such DAMAGE not otherwiseexcluded which itself results from aDefined Peril

ii) subsequent DAMAGE which itselfresults from a cause not otherwise excluded

b) acts of fraud or dishonesty by theInsureds Employees

but this shall not exclude suchDAMAGE not otherwise excludedwhich itself results from a Defined Peril


a) corrosion rust wet or dry rot shrinkageevaporation loss of weight dampnessdryness marring scratching vermin or insects

b) change in temperature colour flavourtexture or finish

c) joint leakage failure of welds crackingfracturing collapse or overheating ofboilers economisers superheaterspressure vessels or any range of steamand feed piping in connection therewith

d) mechanical or electrical breakdown orderangement of the particular machineapparatus or equipment in which suchbreakdown or derangement originates

e) in respect of Section 2 – the deliberateact of a supply undertaking inwithholding the supply of water gaselectricity fuel or telecommunication services

But this will not exclude

i) such DAMAGE not otherwiseexcluded which itself results from aDefined Peril or from any otheraccidental loss destruction or damage

ii) subsequent DAMAGE which resultsfrom a cause not otherwise excluded

4 Infidelity or dishonesty of the Insured orany of their Employees or other personsto whom Property Insured may beentrusted nor loss destruction or damageresulting from the Insured voluntarilyparting with title or possession of anyproperty if induced to do so by anyfraudulent scheme trick device or falsepretence or any unexplained loss or lossor shortage disclosed on taking inventory

Policy Exclusions

POLICY EXCLUSIONS Property Investors Protection Plan Policy

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

5 a) in respect of Section 1

loss or destruction or damage causedby pollution or contamination but thisshall not exclude destruction of ordamage to the Property Insured nototherwise excluded caused by

i) pollution or contamination whichitself results from a Defined Peril

ii) a Defined Peril which itself resultsfrom pollution or contamination

b) in respect of Section 2

loss resulting from pollution orcontamination but this shall notexclude loss resulting from destructionof or damage to property used by theInsured at the Premises for thepurpose of the Business not otherwiseexcluded caused by

i) pollution or contamination at thePremises which itself results from aDefined Peril

ii) a Defined Peril which itself resultsfrom pollution or contamination


a) subsidence ground heave or landslipunless resulting from fire explosionearthquake or the escape of waterfrom any tank apparatus or pipe

b) normal settlement or bedding down ofnew structures

7 DAMAGE caused by or consisting of orarising directly or indirectly from

a) disappearance unexplained orinventory shortage misfiling ormisplacing of information


i) erasure loss distortion or corruptionof information on computer systemsor other records programs orsoftware caused deliberately byrioters strikers locked-out workerspersons taking part in labour

disturbances or civil commotion ormalicious persons

ii) other erasure loss distortion orcorruption of information oncomputer systems or other recordsprograms or software unlessresulting from a Defined Peril insofaras it is not otherwise excluded

8 a) in respect of Section 1

destruction of or damage to a buildingor structure caused by its owncollapse or cracking


loss resulting from destruction of ordamage to a building or structure usedby the Insured at the Premises causedby its own collapse or cracking

unless resulting from a Defined Peril in sofar as it is not otherwise excluded

9 DAMAGE in respect of movable propertyin the open fences and gates by wind rainhail sleet snow flood or dust

10 DAMAGE in respect of

a) glass (other than fixed glass) chinaearthenware marble or other fragile orbrittle objects

b) in respect of Section 1 – curiosities orworks of art

other than such DAMAGE caused by aDefined Peril and not otherwise excluded

11 Unless specifically mentioned as insuredunder Section 1

a) property or structures in course ofconstruction or erection and materialsor supplies in connection with all suchproperty in course of construction or erection

b) land roads pavements piers jettiesbridges culverts or excavations

c) trees or growing crops

31

Property Investors Protection Plan Policy POLICY EXCLUSIONS

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

12 In respect of Section 1 – property whichat the time of the happening of DAMAGEis insured by or would but for theexistence of this Policy be insured by anymarine policy or policies except in respectof any excess beyond the amount whichwould have been payable under themarine policy or policies had thisinsurance not been effected

13 In respect of Section 1 – any propertymore specifically insured by or on behalfof the Insured

14 DAMAGE occasioned by war invasion actof foreign enemy hostilities (whether warbe declared or not) civil war rebellionrevolution insurrection or military orusurped power nationalisationconfiscation requisition seizure ordestruction by the government or anypublic authority

15 DAMAGE or any other loss or expensewhatsoever resulting or arising therefromor any consequential loss directly orindirectly caused by or contributed to byor arising from

a) ionising radiations or contamination byradioactivity from any nuclear fuel orfrom any nuclear waste from thecombustion of nuclear fuel

b) the radioactive toxic explosive or otherhazardous properties of any explosivenuclear assembly or nuclearcomponent thereof

16 a) Loss damage cost or expense ofwhatsoever nature directly or indirectlycaused by resulting from or inconnection with

i) any act of Terrorism regardless ofany other cause or eventcontributing concurrently or in anyother sequence to the loss

ii) any action taken in controllingpreventing suppressing or in anyway relating to any act of Terrorism

If the Company alleges that by reason ofthis exclusion any loss damage cost orexpense is not covered by this Section ofthe Policy the burden of proving thecontrary shall be upon the Insured In theevent any portion of this exclusion is foundto be invalid or unenforceable the remaindershall remain in full force and effect

Definition – Terrorism

For the purpose of this exclusion an act ofTerrorism shall mean an act including butnot limited to the use of force or violenceand or threat thereof of any person orgroup(s) of persons where acting alone oron behalf of or in connection with anyorganisation(s) or governments(s)committed for political religious ideologicalor similar purposes including the intentionto influence any government and or put thepublic or any section of the public in fear

b) DAMAGE in Northern Irelandoccasioned by or happening through orin consequence directly or indirectly of

(i) riot civil commotion and (except inrespect of DAMAGE by fire orexplosion) strikers locked-outworkers or persons taking in part in labour disturbances or malicious persons

(ii) Terrorism as defined in a) above

17 a) DAMAGE to any computer or otherequipment or component or system oritem which processes stores transmitsor retrieves data or any part thereofwhether tangible or intangible (includingbut without limitation any information orprograms or software) and whether theproperty of the Insured or not wheresuch DAMAGE is caused byprogramming or operator error Virus orSimilar Mechanism or Hacking

32


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

33

b) loss of Gross Rentals and or additionalexpenditure directly or indirectlycaused by or arising from anyprogramming or operator error VirusSimilar Mechanism or Hacking but thisshall not exclude DAMAGE orconsequential loss not otherwiseexcluded which itself results from aDefined Peril save in respect ofmalicious persons other than thieves

For the purposes of this Section Exclusionthe following Definitions apply

a) Virus or Similar Mechanism shall meanprogram code programming instruction orany set of instructions intentionallyconstructed with the ability to damageinterfere with or otherwise adversleyaffect computer programs data files oroperations whether involving self-replication or not This Definition of Virusor Similar Mechanism includes but is notlimited to Trojan horses and logic bombs

b) Hacking shall mean unauthorised accessto any computer or other equipment orcomponent or system or item whichprocesses stores transmits or retrieves data

In addition the above Section Exclusion isdeemed to apply in addition to SectionExclusion 7(b)

Sections One Two and Three

Under these Sections the Company shall notbe liable to any claim directly or indirectlycaused by or contributed to by or arisingfrom the failure of any computer or otherequipment data processing service productmicrochip micro processor integrated circuitembedded chip or similar device computersoftware program or process or any otherelectronic system or any design or advice inconnection with any of the foregoingirrespective of ownership possession or useand whether occurring before during or afterthe Year 2000

i) correctly to recognise any date as its truecalendar date

ii) to capture save or retain and/or correctlyto manipulate interpret or process anydata or information or command orinstruction as a result of treating any dateotherwise than as its true calendar date

iii) to capture save or retain or correctly toprocess any data as a result of theoperation of any command which hasbeen programmed into any computersoftware being a command which causesthe loss of data or the inability to capturesave retain or correctly to process suchdata on or after any date

but this shall not exclude in respect ofSections 1 (Buildings) and 2 (Rental Income)subsequent DAMAGE not otherwise excludedwhich itself results from a Defined Peril


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

34

Section Three

Under this Section the Company shall not beliable for any claim in respect of

1 Injury to any Employee

2 Loss of or damage to

a) property belonging to the Insured

b) property which is leased let rentedhired or lent to or which is the subjectof a bailment to the Insured

3 Injury loss or damage caused by or inconnection with or arising out of theownership possession or use by or onbehalf of the Insured of any

a) aircraft hovercraft or watercraft

b) mechanically-propelled vehicle ortrailer attached thereto (other thanmotorised garden implements used tomaintain the land belonging to thepremises described in the Schedule)

4 Any consequence whether direct orindirect of war invasion act of foreignenemy hostilities (whether war bedeclared or not) civil war rebellionrevolution insurrection or military orusurped power

5 Any legal liability of whatsoever naturedirectly or indirectly caused by orcontributed to by or arising from



6 Liability for Pollution or Contaminationother than caused by a suddenidentifiable unintended and unexpectedincident which takes place in its entiretyat a specific time and place during thePeriod of Insurance

All Pollution or Contamination which arisesout of one incident shall be deemed tohave occurred at the time such incidenttakes place

The liability of the Company for alldamages payable in respect of allPollution or Contamination which isdeemed to have occurred during thePeriod of Insurance shall not exceed inthe aggregate the Limit of Indemnitystated in the Schedule

For the purpose of this clause ‘Pollutionor Contamination’ shall be deemed tomean

i) all Pollution or Contamination ofbuildings or other structures or ofwater or land or the atmosphere

and

ii) all loss or damage or injury directly orindirectly caused by such Pollution or Contamination

7 This insurance does not provide anindemnity in respect of any liability ofwhatsoever nature directly or indirectlycaused or occasioned by or happeningthrough or in consequence of Terrorism orany action taken in controlling preventingsuppressing or in any way relating to Terrorism

For the purposes of this Clause‘Terrorism’ means an act or acts (whetherthreatened or actual) of any person orpersons involving the causing oroccasioning or threatening of harm ofwhatever nature and by whatever meansmade or claimed to be made in whole orin part for political religious ideological orsimilar purposes


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

Section Four

1 So far as concerns the liability of anyprincipal or liability assumed by theInsured under agreement and whichwould not have attached in the absenceof such agreement this Section shall notapply to any liability of whatsoever naturedirectly or indirectly caused by orcontributed to or arising from



2 This Section does not provide anindemnity in respect of any liability forwhich compulsory motor insurance orsecurity is required under the Road TrafficAct 1988 as amended by the MotorVehicles (Compulsory Insurance)Regulations 1992 and the Road Traffic(Northern Ireland) Order 1981 asamended by the Motor Vehicles(Compulsory Insurance) Regulations(Northern Ireland) 1993 or othercompulsory road traffic act legislation

3 The liability of the Company under thissection for damages costs and expensespayable in respect of any one claimagainst the Insured or series of claimsagainst the Insured arising out of oneevent shall not exceed £5,000,000 Thislimitation shall only apply in respect ofany liability of whatsoever nature directlyor indirectly caused by or contributed toby or arising from War Civil War Terrorismor Political Risk as defined below

For the purposes of this Clause ‘War CivilWar Terrorism or Political Risk’ means warinvasion acts of foreign enemies hostilities orwarlike operations (whether war be declaredor not) civil war mutiny civil commotionassuming the proportions of or amounting topopular rising military rising insurrectionrebellion revolution military or usurped powermartial law confiscation or nationalisation orrequisition or destruction of property by orunder the order of any Government or publicor local authority Terrorism or any actiontaken in controlling preventing suppressingor in any way relating to any of the aboveFor the purposes of this Clause ‘Terrorism’means an act or acts (whether threatened oractual) of any person or persons involvingthe causing or occasioning or threatening ofharm of whatever nature and by whatevermeans made or claimed to be made in wholeor in part for political religious ideological orsimilar purposes

35


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

36

1 Subsidence Ground Heave and Landslip

Notwithstanding Exclusions 6(a) and 6(b) theinsurance by Sections 1 and 2 extends tocover DAMAGE caused by Subsidence orGround Heave of any part of the site on whichthe property stands or Landslip excluding

a) the first £1,000 of each and every lossin respect of Section 1 at eachseparate premises as ascertainedafter the application of any Conditionof Average

b) DAMAGE to yards car parks roadspavements walls gates and fencesunless also affecting a building insured hereby

c) DAMAGE caused by or consisting of

i) the normal settlement or beddingdown of new structures

ii) the settlement or movement ofmade-up ground

iii) coastal or river erosion

iv) defective design or workmanship orthe use of defective materials

v) fire subterranean fire explosionearthquake or the escape of waterfrom any tank apparatus or pipe

d) DAMAGE which originated prior to theinception of this cover

e) DAMAGE resulting from

i) demolition construction structuralalteration or repair of any property

or

ii) groundwork or excavation at the premises

Special ConditionsInsofar as this insurance relates to DAMAGEcaused by Subsidence Ground Heave or Landslip

a) The Insured shall notify the Companyimmediately they become aware of anydemolition groundworks excavation orconstruction being carried out on anyadjoining site

b) The Company shall then have the right tovary the terms or cancel this cover

2 Temporary Cover

The first premium has been calculated to takeinto account the cost of temporary cover (inaccordance with particulars lodged with theCompany) pending this Policy being issued

3 Long Term Undertaking

The discount shown in the Schedule isallowed off the net premiums on this Policyin consideration of the Insured having givenan undertaking expiring on the date stated inthe Schedule to offer annually the insuranceunder this Policy on the terms and conditionsin force at the expiry of each Period ofInsurance and to pay the premium annuallyin advance it being understood that

a) the Company shall be under no obligationto accept an offer made in accordancewith the above-mentioned undertaking

b) where appropriate the Sum Insured maybe reduced at any time to correspondwith any reduction in value/rental income

The above-mentioned undertaking applies toany policy (or policies) which may be issuedby the Company in substitution for this Policyand the same discount shall be allowed offthe net premiums on any substituted policyor policies issued by the Company

Payment of the premium due at the expirydate shown in the Schedule shall be deemedacceptance by the Insured of the terms ofthis clause

SPECIAL CLAUSES Property Investors Protection Plan Policy

Applicable only if the Clause numbers are entered in the Schedule

Special Clauses

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

37

4 Failure of Other Insurances

The insurance by Sections 1 and 2 extendsto cover

a) DAMAGE to Buildings

b) loss of Rent Receivable followingDAMAGE to buildings

in which the Insured has an insurableinterest but under the terms of the lease theresponsibility for arranging adequateinsurance cover rests with a third partylessee or third party lessor

Provided that

a) a valid enforceable lease is in force

b) the Insured could not have preventedsuch failure

c) this Extension shall only apply

i) in the event of failure of the thirdparty’s insurance and then only for theexcess beyond the amount payableunder such insurance

ii) in respect of claims arising directlyfrom a contingency specified in thelease but in no case greater in scopethan the cover provided by this Policy

d) at any one Premises this cover shall not exceed

i) in respect of Section 1 20% of the total Sum Insured by theSection but in no case exceeding£2,000,000

ii) in respect of Section 2 20% of the total Sum Insured or£250,000 whichever is the less

Further it is a condition of the insuranceby each Section that

1 the Insured has procedures in place tocheck that lessees or lessors haveeffected and maintain adequate insurancecover including any Terrorism cover

2 on discovery of a failure to insure or toinsure for reinstatement value the Insuredshall immediately effect adequateinsurance cover including againstTerrorism where they have elected to takeTerrorism cover

3 subrogation rights are not waived inrespect of damage caused by Terrorism

Property Investors Protection Plan Policy SPECIAL CLAUSES

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

38

Policy Conditions

1 Alteration in RiskThis Policy shall be avoided if after thecommencement of this insurance there isany alteration in risk

a) by removal

b) by change of occupation or use of theProperty Insured

c) whereby the risk of DAMAGE accident orliability is increased

d) the Business is wound up or carried on by a liquidator or receiver or permanently discontinued

e) whereby the Insureds interest ceasesexcept by will or operation of law

Unless such alteration is admitted by theCompany in writing

2 ArbitrationIf any difference shall arise as to theamounts to be paid under this Policy (liabilitybeing otherwise admitted) such differenceshall be referred to an arbitrator to beappointed by the parties in accordance withstatutory provisions Where any difference isby this condition to be referred to arbitrationthe making of an award shall be a conditionprecedent to any right of action against the Company

3 CancellationOur RightsWe shall not be bound to accept any renewalof this Policy and may at any time give 21days notice of cancellation by recordeddelivery to Your last known addressThereupon You shall be entitled to the returnof a proportionate part of the premium paidin respect of the unexpired term of this Policyprovided that there have been:

• no claims made under the Policy forwhich We have made a payment

• no claims made under the Policy whichare still under consideration

• no incident likely to give rise to a claimbut is yet to be reported to Us

during the current Period of Insurance

This termination shall be without prejudice toany rights or claims of the Insured or the

Company prior to the expiration of such notice.

If a claim has been submitted or there hasbeen any incident likely to give rise to aclaim during the current Period of Insurance,no refund for the unexpired portion of thepremium will be given

Your RightsYou may cancel this Policy in the first year ofinsurance during the 14 days after theContract has been concluded by givingnotice in writing to Your Insurance Adviser atthe address shown in their correspondenceor to the AXA Insurance address shown onyour Policy schedule. This right does notapply at the first or any subsequent renewalof the policy

Provided that there have been:

• no claims made under the Policy forwhich We have made a payment

• no claims made under the Policy whichare still under consideration

• no incident likely to give rise to a claimbut is yet to be reported to Us

during this 14 day period, We will give arefund for the proportionate part of thepremium paid in respect of the unexpiredterm of this Policy, subject to a minimumpremium of £50

If a claim has been submitted or there hasbeen any incident likely to give rise to aclaim during the current Period of Insurance,no refund for the unexpired portion of thepremium will be given

4 Claims – Insureds DutiesOn the happening of any event which maygive rise to a claim the Insured shall

a) General – applicable to all Sectionsi) notify the Company immediately

ii) take all practicable steps to recoverproperty lost and otherwise minimisethe claim

iii) inform the Police immediately if theloss or damage is caused by thievesmalicious persons or vandals or by riot civil commotion strikes or labour disturbances

POLICY CONDITIONS Property Investors Protection Plan Policy

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

39

iv) give all information and assistance theCompany may require

b) Applicable to Section 1 – Buildingswithin 30 days or such further time as theCompany may in writing allow deliver tothe Company a written claim providing attheir own expense all details proofs andinformation regarding the cause andamount of DAMAGE as the Company mayreasonably require together with details ofany other insurances on any propertyinsured by this Policy and (if demanded) astatutory declaration of the truth of theclaim and of any related matters

No claim under this Section shall be payableunless the terms of this condition have beencomplied with

c) Applicable to Section 2 – Rental Incomewithin 30 days after the expiry of theIndemnity Period or within such furthertime as the Company may in writing allowat their own expense deliver to theCompany a statement setting outparticulars of the claim together withdetails of all other insurances coveringany part of the DAMAGE or resulting lossof rental income

The Insured shall at their own expensealso provide the Company with suchbooks of account and other businessbooks vouchers invoices balance sheetsand other documents proofs informationexplanations and other evidence as mayreasonably be required by the Companyfor the purpose of investigating or verifyingsuch claim together with (if demanded) astatutory declaration of the truth of theclaim and of any related matter

No claim under this Section shall be payableunless the terms of this condition have beencomplied with and in the event of non-compliance therewith in any respect anypayment on account of the claim alreadymade shall be repaid to the Company immediately

d) Applicable to Sections 3 and 4 – PublicLiability and Employers Liability

i) not make or allow to be made on theirbehalf any admission offer promisepayment or indemnity without the writtenconsent of the Company

ii) immediately forward to the Companyevery letter claim writ summons andprocess immediately upon receipt withoutacknowledgement

iii) advise the Company in writingimmediately they have any knowledge ofany impending prosecution inquest FatalAccident or Ministry Enquiry


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

40

5 Claims – Companys RightsThe Company

i) On the happening of DAMAGE in respectof which a claim is made may withoutthereby incurring any liability ordiminishing any of the Companys rightsunder this Policy enter take or keeppossession of the premises where suchDAMAGE has occurred and takepossession of or require to be deliveredto the Company any property insured anddeal with such property for all reasonablepurposes and in any reasonable manner

No claim under Section 1 shall bepayable unless the terms of this conditionhave been complied with

No property may be abandoned to theCompany whether taken possession of bythe Company or not

ii) shall have full discretion in the conduct ofany proceeding and in the settlement ofany claim

6 Contracts (Rights of ThirdParties) Act

The parties to this contract do not intend thatany clause or term of this contract should beenforceable by virtue of the Contracts(Rights of Third Parties) Act 1999 by anyperson who is not a party to this contract

7 FraudIf any claim be in any respect fraudulent or ifany fraudulent means or devices be used bythe Insured or anyone acting on their behalfto obtain any benefit under this Policy or ifany DAMAGE be occasioned by the wilfulact or with the connivance of the Insured allbenefit under this Policy shall be forfeited

8 IdentificationThis Policy and the Schedule (which formsan integral part of this Policy) shall be readtogether as one contract and words andexpressions to which specific meanings havebeen attached in any part of this Policy or ofthe Schedule shall bear such specificmeanings wherever they may appear

9 Instalments ClauseIf the premium on this Policy is payable by the Companys Budget Plan and theInsured does not pay each instalment on the due date all cover under the Policy iscancelled automatically from the date suchinstalment was due or where statute requiresthe giving of notice the day following theexpiry of such notice

If the premium on this Policy is payable bythe Company’s Budget Plan and during thecurrent period of insurance

- a claim has been made under the Policy forwhich We have made a payment

- a claim has been made under the Policywhich is still under consideration

- an incident has occurred which is likely togive rise to a claim but is yet to be reportedto Us

the annual premium remains due in full. Insuch case monthly collections must continueor a one off payment be agreed to settle theoutstanding amount

Where a one off payment is not made tosettle the outstanding amount You mustcontinue with the instalment payments.Alternatively we may deduct any outstandinginstalments from any claim payment that maybe due to You or payable on your behalf

Any instalments payments legitimately takenprior to the notification of cancellation of theBudget Plan agreement will be retained. Anyrefund of premium will be in respect of anysubsequent collections taken between thetime of notification and cancellation

10 Misrepresentation andmisdescription

This Policy shall be voidable in any event ofmisrepresentation misdescription or non-disclosure in any material particular

11 Observance of TermsIt is a condition precedent to any liability onthe part of the Company under this Policythat the terms hereof so far as they relate toanything to be done or complied with shallbe duly and faithfully observed


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

12 Other Insurances and Average

a) Applicable to Section 1 – BuildingsIf at the time of any DAMAGE there isany other insurance effected by or onbehalf of the Insured covering any of theproperty damaged the liability of theCompany hereunder shall be limited to itsrateable proportion of such DAMAGE

If any other insurance shall be subject toany average (under insurance) conditionthis Section if not already subject to anyCondition of Average shall be subject toAverage in like manner

If any other insurance is subject to anyprovision whereby it is excluded fromranking concurrently with this Sectioneither in whole or in part or fromcontributing rateably the liability of theCompany hereunder shall be limited tothat proportion of the DAMAGE as theSum Insured hereby bears to the value ofthe property

b) Applicable to Section 2 – Rental IncomeIf at the time of any DAMAGE resulting ina loss under this Section there be anyother insurance effected by or on behalfof the Insured covering such loss or anypart of it the liability of the Companyhereunder shall be limited to its rateableproportion of such loss

c) Applicable to Sections 3 and 4 – PublicLiability and Employers LiabilityThe Company will not indemnify theInsured in respect of liability which isinsured by or would but for the existence ofthe Section be insured by any other policyexcept in respect of any excess beyond theamount payable under such other policyhad this insurance not been effected

13 Reasonable PrecautionsThe Insured shall

a) take all reasonable precautions to preventoccurrences which may give rise toDAMAGE or accidents

b) take all reasonable steps to comply withstatutory requirements obligations andregulations imposed by any authority

c) take immediate steps to make good orremedy any defect or danger whichbecomes apparent or take such additionalprecautions as circumstances may require

14 ReinstatementIf any property insured by Section 1 is to bereinstated or replaced by the Company theInsured shall at their own expense provideall such plans documents books andinformation as may be reasonably requiredThe Company shall not be bound to reinstateexactly but only as circumstances permit andin a reasonably sufficient manner and shallnot in any case be bound to expend inrespect of any one of the items insured morethan its Sum Insured

15 SubrogationAny claimant under this Policy shall at therequest and at the expense of the Companytake and permit to be taken all necessarysteps for enforcing rights against any otherparty in the name of the Insured before orafter any payment is made by the Company

The Company shall be entitled to take overand conduct in the name of the Insured thedefence or settlement of any claim or toprosecute in the name of the Insured at itsown expense and for its own benefit anyclaim for indemnity or damages or otherwise

16 WarrantiesEvery warranty to which Section 1 or anyitem thereof is or may be subject shall fromthe time of the warranty attaching apply andcontinue to be in force during the wholecurrency of Section 1 and non-compliancewith any such warranty insofar as itincreases the risk of DAMAGE shall be a barto any claim in respect of such DAMAGEprovided that whenever this Policy isrenewed a claim in respect of DAMAGEoccurring during the renewal period shall notbe barred by reason of a warranty not havingbeen complied with at any time before thecommencement of such period

41


11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

42

Making Yourself Heard

If You have cause for complaint, it is important You know We arecommitted to providing You with an exceptional level of service andcustomer care

We realise that things can go wrong and there may be occasionswhen You feel that We have not provided the service Youexpected. When this happens, We want to hear about it so we cantry to put things right

Who to contact?

The most important factors in getting Yourcomplaint dealt with as quickly and efficientlyas possible are:

• to be sure You are talking to the rightperson, and;

• that You are giving them the right information.

When You contact Us

• Please give Us Your name and a contacttelephone number

• Please quote Your Policy and/or claimnumber, and the type of Policy You hold

• Please explain clearly and concisely thereason for Your complaint

So We begin by establishing Your first pointof contact.

Step One – Initiating Yourcomplaint

Does Your complaint relate to:

A: Your Policy?

B: a claim on Your Policy?

If A, You need to contact the agent or AXAoffice who sold You Your Policy. Call thenumber on Your Policy document and stateYour complaint

If B, You need to contact whoever is

currently dealing with Your claim and stateYour complaint

In either case, if You wish to provide writtendetails, the following checklist has beenprepared for You to use when drafting Your letter

• Head Your letter ‘COMPLAINT’

• Give Your full name, post code andcontact telephone number(s)

• Quote the type of Policy and Your Policyand/or claim number

• Advise the name of Your insuranceagent/firm (if applicable)

• Explain clearly and concisely thereason(s) for Your complaint

The letter should be sent to the persondealing with Your complaint along with anyother material required

We expect that the majority of complaints willbe quickly and satisfactorily resolved at thisstage, but if You are not satisfied, You cantake the issue further

MAKING YOURSELF HEARD Property Investors Protection Plan Policy

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

43

Step Two – If You are still unhappy

Should the response You receive beunsatisfactory please refer the matter usingthe relevant details below

Does Your complaint relate to:

A: Your Policy

B: a claim on Your Policy?

If A, ask to speak to the Branch Manager.Where they cannot assist they will ensureYou are put into contact with the person whocan resolve Your complaint

If B, please contact the relevant ClaimsOffice, details of which You will havereceived following notifying Us of Your claim

Step Three – Contacting AXA Insurance Head Office

If Your complaint is one of the few thatcannot be resolved by this stage, write to theHead of Customer Care who will arrange foran investigation on behalf of the ChiefExecutive:

Head of Customer Care AXA InsuranceCivic DriveIpswichSuffolk IP1 2AN

Tel: 01473 205926Fax: 01473 205101

Email: [email protected]

Step Four – Beyond AXA

If we have given You our final response andYou are still dissatisfied You may refer Yourcase to the Financial Ombudsman Service(FOS). The FOS is an independent body thatarbitrates on complaints about generalinsurance products. It will only considercomplaints if:

• We have provided You with written confirmation that Our internal complaints procedure has been exhausted

• Your Business has a turnover of less than £1,000,000

The Ombudsman can be contacted at:

Insurance DivisionFinancial Ombudsman Service South Quay Plaza 183 Marsh WallLondon E14 9SR

Tel: 0845 080 1800 Fax: 020 7964 1001

Referral to the Ombudsman will not affectYour right to take legal action against Us

Our promise to You

• Acknowledge written complaints promptly

• Investigate quickly and thoroughly

• Keep You informed of progress

• Do everything possible to resolve Your complaint

• Learn from Our mistakes

• Use the information from complaints tocontinuously improve Our service

Property Investors Protection Plan Policy MAKING YOURSELF HEARD

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

www.axa.co.uk

AXA is a world leader in wealth management and financial protection. We operate in

over 50 countries and serve more than 50 million customers worldwide. We cater to a

wide range of needs, providing advice and guidance to our individual and corporate

customers on a variety of financial products and services. In addition to Business,

Motor and Home Insurance we also offer Investments, Life Assurance, Retirement

Planning, Long Term Care, Asset Management, Medical Insurance and Dental

Payment Plans.

With our expertise and commitment to customer service and consistent,

quality care, you can rely on AXA for lasting security.

ASK ABOUT AXA’S EXCELLENT RANGE OF BUSINESS,

HOME AND MOTOR INSURANCE PRODUCTS

WP

R91

4R/P

(01/

06)

(112

36)

AXA Insurance UK plcRegistered in England No 78950. Registered Office: 5 Old Broad Street, London EC2N 1AD

A member of the AXA Group of Companies. AXA Insurance UK plc is authorised and regulated by the Financial Services Authority.In order to maintain a quality service, telephone calls may be monitored or recorded.

11236_WPR914RP_POL.qxd 3/11/05 4:10 pm

property investors protection plan · introducing axa one of the world’s largest insurers with...

Documents