Your Commercial Property Owners Package Policy (Fast Trade)

 
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           Your Commercial
           Property Owners
           Package Policy
           (Fast Trade)
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           Useful Telephone Numbers

           Claims Helpline (24 hours) 0800 015 1498
           The Claims helpline can be used by anyone wishing to report a claim on any of Aviva’s new commercial
           insurance products. As soon as you know about the problem you face - we will start to put the solutions
           in place.
           Legal and Tax Helpline (24 hours) 0845 300 1899
           Call this helpline anytime, day or night, for advice on any UK legal or tax matters. Given in confidence,
           the advice is free - all you pay for is the price of the call.
           Risk Services Helpline (office hours) 0845 366 66 66
           Advice on safety, fire, security and other risk related issues. Ninety per cent of queries are dealt with on
           the spot, and we guarantee an answer within one working day.
           Counselling Service 0117 934 0105
           A counselling service is available for your staff to help them deal with situations such as bereavement,
           divorce or even bullying at work.
           Please have your policy number ready.

           Telephone Call Recording
           For our joint protection telephone calls may be recorded and/or monitored
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           Introduction

           Thank You for choosing Us as Your insurer.
           This is Your Commercial Property Owners Package policy, setting out Your insurance protection in detail.
           Your premium has been based upon the information shown in The Schedule and recorded in the
           statement of fact. Please read it carefully to make sure that it meets Your requirements and that the
           details on The Schedule are correct.
           If after reading Your policy You have any questions, please contact Your insurance adviser.

                                                              1
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           Contents

           This policy is made up of individual Sections. It should be read together with The Schedule which
           indicates the Sections You are insured under and gives precise details of Your insurance protection.
                                                                                        Page

           The Contract of Insurance                                                      3
           Our Promise to You                                                             4

           Complaints Procedure                                                           4
           Our Promise of Service

           Important Information                                                          5
           Choice of Law                                                                  5

           Policy Definitions                                                             6

           Asset Protection
           Property Damage                                                                9

           Revenue Protection
           Business Interruption - Loss of Rent                                           23

           Asset and Revenue Protection
           Terrorism                                                                      30

           Legal Liabilities
           Employers’ Liability                                                           33
           Public and Products Liability                                                  38
           Property Owners Legal Protection                                               47

           Policy Conditions                                                              61

           Policy Exceptions                                                              65
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           The Contract of Insurance

           Your policy is a contract between Us and You, The Policyholder. The statement of fact and declaration
           which You have accepted will be the basis of the contract.
           In return for You having paid or agreed to pay the premium, We will indemnify You by payment or, at
           Our option, by reinstatement or repair, in respect of loss, destruction, damage, accident or injury
           occurring during the Period of Insurance, subject to the terms and exclusions contained in or endorsed
           on the policy.

           IMPORTANT
           This policy is a legal contract. You must tell Us about any facts or changes which affect Your insurance
           and which have occurred either since the policy started or since the last renewal date.
           If You are not sure whether certain facts are relevant please ask Your Insurance adviser. If You do not
           tell Us about relevant changes, Your policy may not be valid or the policy may not cover You fully.
           You should keep a written record (including copies of letters) of any information You give Us, when
           You renew this policy.

                                                              3
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           Complaints Procedure

           Our Promise of Service
           Our goal is to give excellent service to all Our customers but We recognise that things do go wrong
           occasionally. We take all complaints We receive seriously and aim to resolve all Our customers’
           problems promptly. To ensure that We provide the kind of service You expect We welcome Your
           feedback. We will record and analyse Your comments to make sure We continually improve the service
           We offer.

           What will happen if You complain
               • We will acknowledge Your complaint promptly.
               • We aim to resolve all complaints as quickly as possible.
           Most of our customers’ concerns can be resolved quickly but occasionally more detailed enquiries are
           needed. If this is likely, We will contact You with an update within 10 working days of receipt and
           give You an expected date of response.

           What to do if You are unhappy
           If You are unhappy with any aspect of the handling of Your insurance We would encourage You, in
           the first instance, to seek resolution by contacting Your insurance adviser or usual Aviva point of
           contact.
           If You are unhappy with the outcome of Your complaint You may refer the matter to the Financial
           Ombudsman Service (FOS) at:
           The Financial Ombudsman Service
           South Quay Plaza
           183 Marsh Wall
           London
           E14 9SR
           Telephone:
           0800 023 4567 (free from landlines) or
           0300 123 9123 (free from most mobile phones)
           Or simply log on to their website at www.financial-ombudsman.org.uk.
           Whilst We are bound by the decision of the FOS, You are not. Following the complaints procedure
           does not affect Your right to take legal action.

                                                              4
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           Important Information

           Choice of Law
           The appropriate law as set out below will apply unless You and Us agree otherwise:
           (1) The law applying in that part of the United Kingdom, Channel Islands or the Isle of Man in which
               you normally live or (if applicable) the first named policyholder normally lives; or
           (2) In the case of a business, the law applying in that part of the United Kingdom, Channel Islands or
               the Isle of Man where it has its principal place of business; or
           (3) Should neither of the above be applicable, the law of England and Wales will apply.

           Financial Services Compensation Scheme
           We are members of the Financial Services Compensation Scheme (FSCS). You may be entitled to
           compensation from this scheme if we cannot meet our obligations, depending on the type of
           insurance and the circumstances of your claim.
           Further information about the scheme is available from the FSCS website www.fscs.org.uk, or write to
           Financial Services Compensation Scheme, 7th floor Lloyds Chambers, Portsoken Street, London, E1 8BN.

           Use of Language
           Unless otherwise agreed, the contractual terms and conditions and other information relating to this
           contract will be in English.

           Customers with Disabilities
           This policy and other associated documentation is also available in large print, audio and Braille. If
           you require any of these formats please contact Your Insurance adviser.

                                                               5
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           Policy Definitions

           Each time We use one of the words or phrases                    (3) contained on any current and back-up disks,
           listed below, it will have the same meaning                         tapes or other materials or devices used for
           wherever it appears in Your policy unless an                        the storage of data,
           alternative definition is stated to apply. A
                                                                           including but not limited to operating systems,
           defined word or phrase will start with a capital
                                                                           records, programs, software or firmware, code
           letter each time it appears in the policy.
                                                                           or series of instructions.
           Each Section of the policy contains definitions.
           They must be read in conjunction with the                       Data Storage Materials
           following Policy Definitions.
                                                                           Any materials or devices used for the storage or
                                                                           representation of Data including but not
           Buildings
                                                                           limited to disks, tapes, CD-ROMs, DVDs, memory
           Buildings including Landlords’ fixtures and fittings,           sticks, memory cards or other materials or
           the items insured under the Contents of Common                  devices which may or may not also constitute
           Parts Clause, walls, gates, fences, yards, car parks,           Computer and Electronic Equipment.
           road, pavements, outbuildings, underground
           pipes, cables and wires belonging to You or for                 Denial of Service Attack
           which You are responsible at The Premises.
                                                                           Any actions or instructions with the ability to
                                                                           damage, interfere with, or otherwise affect the
           Computer and Electronic Equipment
                                                                           availability of Computer and Electronic Equipment
           All computers, computer installations and                       or Data, including but not limited to the generation
           systems, microchips, integrated circuits,                       of excess traffic into network addresses, the
           microprocessors, embedded systems, hardware,                    exploitation of system or network weaknesses, and
           and any electronic equipment, data processing                   the generation of excess or non genuine traffic
           equipment, information repository,                              within, between or amongst networks.
           telecommunication equipment, computer
           controlled or programmed machinery,                             Employee
           equipment capable of processing data and/or
           similar devices, whether physically or remotely                 Any person who is
           connected thereto.                                              (1) under a contract of service or
                                                                               apprenticeship with You
           Cyber Vandal                                                    (2) borrowed by or hired to You
           The person or persons, whether identified or                    (3) a labour master or supplied by a labour
           not, responsible for, or involved with, creating a                  master
           Virus or Similar Mechanism or a Denial of
           Service Attack, unauthorised access to or use of                (4) employed by labour only sub-contractors
           Computer and Electronic Equipment.                              (5) self employed
                                                                           (6) under a work experience or training scheme
           Data
                                                                           (7) a voluntary helper
           All information which is
                                                                           while working under Your control in connection
           (1) electronically stored, or                                   with The Business
           (2) electronically represented, or                              (8) an outworker or homeworker when
                                                                               engaged in work on Your behalf.

                                                                     6
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           Failure                                                    Money
           Any partial or complete reduction in the                   Current
           (1) performance, or                                        (1) coin, bank and currency notes
           (2) availability, or                                       (2) postal and money orders, bankers drafts,
                                                                          cheques and giro cheques
           (3) functionality, or
                                                                      (3) crossed warrants, bills of exchanges and
           (4) the ability to recognise or process any date               securities for money
               or time,
                                                                      (4) postage, revenue, national insurance and
           of any                                                         holiday with pay stamps
               (a) Computer and Electronic Equipment                  (5) national insurance and holiday with pay
                                                                          cards, national savings certificates, war
               (b) electronic means of communication                      bonds, premium savings bonds and franking
               (c) web site.                                              machine impressions
                                                                      (6) credit company sales vouchers, luncheon
           Landlords Contents                                             vouchers and trading stamps
           Contents belonging to You or held in trust for             (7) VAT invoices.
           which You are responsible, at The Premises but not
           including Computer and Electronic Equipment.               Period of Insurance
                                                                      From the effective date until the expiry date
           Loss of Data                                               (both shown in The Schedule) or any
                                                                      subsequent period for which We accept
           Physical or electronic or other loss or
                                                                      payment for renewal of this policy.
           destruction or alteration or loss of use, whether
           permanent or temporary, of or damage to Data,
           of whatsoever nature, in whole or in part,                 Residential Unit
           including, but not limited to Loss of Data                 Any individual self contained living area within
           resulting from loss or damage to Computers                 the Buildings.
           and Electronic Equipment or Data Storage
           Materials, including while stored on Data                  Specified Contingency
           Storage Materials.
                                                                      (1) fire
           Malicious Contingency                                      (2) lightning

           (1) riot, civil commotion, strikers, locked out            (3) explosion
               workers or persons taking part in labour               (4) aircraft and other aerial devices or articles
               disturbances.                                              dropped from them
           (2) malicious persons other than thieves and               (5) earthquake
               Cyber Vandals.                                         (6) storm or flood
                                                                      (7) escape of water from any tank apparatus or
                                                                          pipe
                                                                      (8) falling trees
                                                                      (9) impact
                                                                      (10)escape of fuel from any fixed oil heating
                                                                          installation.

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           The Business
           Activities directly connected with the business
           specified in The Schedule.

           The Premises
           The premises specified in The Schedule.

           The Schedule
           The document which specifies details of The
           Policyholder, The Premises, Property Insured,
           Sums insured, Limits of Indemnity and any
           Excesses, Endorsements and Conditions applying
           to the policy.

           Virus or Similar Mechanism
           Program code, programming instruction or any
           set of instructions with the ability to damage,
           interfere with, or otherwise adversely affect
           Computer and Electronic Equipment or Data,
           whether involving self-replication or not,
           including, but not limited to trojan horses,
           worms and logic bombs.

           We/Us/Our
           Aviva Insurance Limited.

           You/Your/The Policyholder
           The persons, companies, partnerships or
           unincorporated associations named in The
           Schedule as The Policyholder.

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           Asset Protection

           Property Damage Section                                      Excess
                                                                        The amount(s) specified in this Section and the
           Definitions                                                  Schedule which We will deduct from each and
                                                                        every claim at each separate location. The
           (Also refer to the Policy Definitions at the front
                                                                        amount(s) to be deducted after the application
           of this policy booklet).
                                                                        of the Average condition.
           The following definitions apply to this Section
           and shall keep the same meaning wherever                     Property Insured
           they appear in the Section, unless an alternative
           definition is stated to apply.                               Property insured as stated in The Schedule.

           Damage                                                       Cover
           Accidental loss, destruction or damage.                      We will indemnify You in respect of Damage to
                                                                        the Property insured occurring during the
           Defined Contingency                                          Period of Insurance at The Premises.
                                                                        The Sum Insured under each item other than
           (1) fire
                                                                        items applying solely to fees, rent, removal of
           (2) lightning                                                debris, private dwelling houses, churches or
           (3) explosion                                                buildings in course of erection is separately
                                                                        subject to Average. See Condition 1.
           (4) aircraft and other aerial devices or articles
               dropped from them                                        The maximum We will pay in respect of any one
                                                                        Period of Insurance will not exceed
           (5) riot, civil commotion, strikers, locked out
               workers, persons taking part in labour                   (1) the Sum Insured on each item
               disturbances                                                 or
           (6) malicious persons other than thieves                     (2) the Total Sum Insured
           (7) earthquake                                                   or
           (8) storm                                                    (3) any other maximum amount payable or limit
           (9) flood                                                        of liability

           (10) escape of water from any tank, apparatus                specified in this Section or The Schedule.
                or pipe
           (11) falling trees
           (12) impact
           (13) escape of fuel from any fixed oil heating
                installation
           (14) theft or attempted theft.

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           Exceptions                                                       However, We will indemnify You in respect of
           The following exceptions apply to this Section.                  (i) Damage not otherwise excluded which
                                                                                results from a Defined Contingency or
           (Also refer to the Policy Exceptions at the back
                                                                                any other accidental cause
           of this policy booklet.)
                                                                            (ii) any subsequent Damage which results
           We will not indemnify You in respect of
                                                                                 from a cause not otherwise excluded.
           (1) Damage to the Property Insured caused by
                                                                         (3) Damage caused by pollution or
               or consisting of
                                                                             contamination
               (a) an existing or hidden defect
                                                                            However, We will indemnify You in respect
               (b) gradual deterioration or wear and tear                   of Damage not otherwise excluded to the
                                                                            Property Insured caused by
               (c) frost or change in the water table level
                                                                            (a) pollution or contamination which
               (d) faulty design or faulty materials used in
                                                                                results from a Defined Contingency
                   its construction
                                                                            (b) a Defined Contingency which results
               (e) faulty workmanship, operating error or
                                                                                from pollution or contamination.
                   omission by You or any Employee
                                                                         (4) Damage caused by or consisting of
               However, We will indemnify You in respect
               of any subsequent Damage which results                       (a) subsidence, ground heave or landslip
               from a cause not otherwise excluded.                             unless resulting from fire, explosion,
                                                                                earthquake or escape of water from
           (2) Damage caused by or consisting of
                                                                                any tank, apparatus or pipe
               (a) (i) corrosion, rust or rot
                                                                            (b) normal settlement of new structures
                   (ii) shrinkage, evaporation or loss of
                                                                            (c) acts of fraud or dishonesty
                        weight
                                                                            (d) (i) disappearance
                   (iii) dampness or dryness
                                                                                   (ii) unexplained or inventory shortage
                   (iv) scratching
                                                                                   (iii) misfiling, misplacing of information
                   (v) vermin or insects
                                                                                         or clerical error.
                   (vi) mould or fungus
                                                                         (5) Damage to a structure caused by its own
               (b) change in                                                 collapse or cracking.
                   (i) temperature                                          However, We will indemnify You in respect
                   (ii) colour                                              of such Damage if it results from a Defined
                                                                            Contingency and is not otherwise excluded.
                   (iii) flavour
                                                                         (6) Damage to
                   (iv) texture or finish
                                                                            (a) gates
               (c) nipple or joint leakage or failure of welds
                                                                            (b) fences
               (d) cracking, fracturing, collapse or
                   overheating of a boiler, vessel, machine or              (c) moveable property in the open
                   apparatus in which internal pressure is due
                   to steam only and any associated piping
               (e) mechanical or electrical breakdown or
                   derangement of the Property Insured.

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               by                                                          (e) property in the course of construction,
                                                                               including materials for use in
                    (i) wind
                                                                               construction
                    (ii) rain, hail, sleet or snow
                                                                           (f) land, roads or pavements, piers, jetties,
                    (iii) flood                                                bridges, culverts or excavations
                    (iv) dust.                                             (g) livestock
           (7) Damage                                                      (h) growing crops or trees
               (a) by fire resulting from its undergoing                   However, We will indemnify You in respect
                   any process involving the application of                of Damage to such property if the property
                   heat                                                    is specifically stated as insured in The
               (b) to that portion of any item caused by                   Schedule and not otherwise excluded.
                   its own self ignition, leakage of                   (11) Damage
                   electricity, short circuiting, or over
                                                                           (a) insured by any marine policy
                   running
                                                                           (b) which would be insured under any
               (c) resulting from its undergoing any
                                                                               marine policy if this policy did not exist
                   process of
                                                                           However, We will indemnify You in respect
                    (i) production or packaging
                                                                           of Damage not otherwise excluded for any
                    (ii) treatment, testing or commissioning               sum beyond the amount which would have
                    (iii) servicing or repair.                             been payable under the marine policy had
                                                                           the insurance not existed.
               However, We will indemnify You in respect
               of such Damage if it is caused by fire or               (12) Damage more specifically insured by You or
               explosion.                                                   on Your behalf.

           (8) Damage while any building is unoccupied                 (13) consequential loss.
               or caused by escape of water as a result of                 However, We will indemnify You in respect
               freezing of any automatic sprinkler                         of rent when this cover is specified in The
               installation in The Premises.                               Schedule and the Damage is not otherwise
           (9) Damage in respect of china, earthenware,                    excluded.
               marble or other fragile objects not forming             (14) Damage by pressure waves from aircraft or
               part of the Buildings, unless specifically                   aerial devices travelling at sonic or
               mentioned in The Schedule.                                   supersonic speeds.
               However, We will indemnify You in respect               (15) any Damage whatsoever resulting directly
               of such loss or Damage if it results from a                  or indirectly from or in connection with any
               Defined Contingency and is not otherwise                     of the following regardless of any other
               excluded.                                                    cause or event contributing concurrently or
           (10) Damage in respect of                                        in any other sequence to the loss

               (a) vehicles licensed for road use including                (a) Terrorism
                   accessories on or attached to them                      (b) civil commotion in Northern Ireland
               (b) caravans or trailers                                    (c) any action taken in controlling,
               (c) railway locomotives or rolling stock                        preventing, suppressing or in any way
                                                                               relating to (15)(a) and/or (15)(b) above.
               (d) watercraft or aircraft

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                       Terrorism means                                  Conditions
                   (i) In respect of Damage occurring in                The following conditions apply to this Section.
                       England, Wales and Scotland only
                                                                        (Also refer to the Policy Conditions at the back
                       (but not the territorial seas adjacent
                                                                        of this policy booklet).
                       thereto as defined by the Territorial
                       Seas Act 1987 nor the Isle of Man or
                       the Channel Islands) acts of persons             (1) Average
                       acting on behalf of or in connection                 Where a Sum Insured is stated to be subject
                       with any organisation which carries                  to average, this means that if at the time of
                       out activities directed towards the                  Damage, the Sum Insured is less than the
                       overthrowing or influencing by                       total value of the property, You will
                       force or violence Her Majesty’s
                       government in the United Kingdom                     (a) be responsible for the difference
                       or any other government in the                       (b) bear a proportionate share of the loss.
                       United Kingdom or any other
                       government de jure or de facto                   (2) Fire Extinguishing Appliances
                   (ii) in respect of Damage occurring in
                                                                            If in relation to any claim for Damage
                        any territory not specified in (i)
                                                                            caused by or resulting from fire, You have
                        above any act or acts including but
                                                                            failed to fulfil the following condition, You
                        not limited to
                                                                            will lose Your right to indemnity or
                       •   the use or threat of force and/or                payment for that claim.
                           violence
                                                                            You must maintain all fire extinguishing
                           and/or                                           appliances on The Premises, so far as Your
                       •   harm or damage to life or to                     responsibility extends, in proper working order.
                           property (or the threat of such
                           harm or damage) including but                (3) Our Rights
                           not limited to harm or damage
                                                                            If Damage occurs which may lead to a claim
                           by nuclear and/or chemical
                                                                            We may
                           and/or biological and/or
                           radiological means                               (a) enter or take possession of the building
                                                                                or The Premises
                   caused or occasioned by any person(s)
                   or group(s) of persons or so claimed in                  (b) take possession of, or require to be
                   whole or in part for political, religious,                   delivered to Us, Property Insured which
                   ideological or similar purposes.                             We will deal with in a reasonable manner
               In any action, suit or other proceedings                     without incurring liability or reducing Our
               where We allege that any Damage results                      rights.
               from Terrorism as defined above and is                       We will not pay for Damage if You or
               therefore not covered by this Section, the                   anyone acting on Your behalf
               burden of proving that any such Damage is
               covered under this Section will be upon You.                 (i) do not comply with Our requirement.

           (16) the Excess stated in The Schedule.                          (ii) hinder or obstruct Us.
                                                                            You are not entitled to abandon property
                                                                            to Us.

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           (4) Statutory Inspection of Plant                                  (e) advise Us immediately if the buildings
                                                                                  are to be occupied by contractors for
               Any item of plant and machinery belonging                          renovation, alteration or conversion
               to You or under Your control which requires                        purposes or if the buildings are to
               to be examined to comply with any                                  become occupied or used.
               Statutory Regulations must be inspected in
               accordance with such Regulations.
                                                                           (6) Unoccupied Premises - Sprinklered
               Failure to comply with this will invalidate cover
               in respect of an explosion originating within                  If in relation to any claim for Damage in
               and causing damage to the item of plant.                       respect of any unoccupied or disused
                                                                              buildings, You have failed to fulfil any of the
                                                                              following conditions, You will lose Your right
           (5) Unoccupied Premises - Non                                      to indemnity or payment for that claim.
               Sprinklered
                                                                              You must
               If in relation to any claim for Damage in
                                                                              (a) carry out internal and external inspections
               respect of any unoccupied or disused
                                                                                  of the buildings at least every 7 days
               buildings, You have failed to fulfil any of the
               following conditions, You will lose Your right                        (i) maintain a weekly log of such
               to indemnity or payment for that claim.                                   inspections
               You must                                                              (ii) as soon as possible, repair or arrange
                                                                                          to be repaired, any defects found
               (a) carry out internal and external
                   inspections of the buildings at least                             (iii) carry out a monthly management
                   every 7 days                                                            check of the weekly inspections log.
                   (i) maintain a weekly log of such                          (b) remove all waste, combustible materials
                       inspections                                                and gas bottles, either within or outside
                                                                                  the buildings, from The Premises
                   (ii) as soon as possible, repair or arrange
                        to be repaired, any defects found                     (c) securely lock all external doors, close
                                                                                  and secure all windows, and secure and
                   (iii) carry out a monthly management
                                                                                  seal all letter boxes and openings
                         check of the weekly inspections log.
                                                                              (d) turn off all sources of power, fuel and
               (b) remove all waste, combustible materials
                                                                                  water at the mains and wherever possible,
                   and gas bottles, either within or outside
                                                                                  chain and padlock the isolation valves
                   the buildings, from The Premises
                                                                                     However
               (c) securely lock all external doors, close
                   and secure all windows, and secure and                            (i) where the buildings are protected
                   seal all letter boxes and openings                                    by an Intruder Alarm System, You
                                                                                         must provide sufficient power to
               (d) turn off all sources of power, fuel and
                                                                                         operate the system
                   water at the mains and wherever
                   possible, chain and padlock the                                   (ii) where the buildings are protected by
                   isolation valves                                                       a wet sprinkler installation, provide
                                                                                          sufficient heat to prevent freezing or
                   However, where the buildings are
                                                                                          bursting of the sprinkler installation.
                   protected by an Intruder Alarm System,
                   You must provide sufficient power to
                   operate the system.

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               (e) advise us immediately if the buildings                  However, We will not pay more than We
                   are to be occupied by contractors for                   would have done if the property has been
                   renovation, alteration or conversion                    completely destroyed.
                   purposes or if the buildings are to
                                                                       The work of reinstatement
                   become occupied or used.
                                                                       (1) may be carried out on another site and in a
                                                                           manner suitable to Your needs, but this
           Clauses                                                         must not increase Our liability
           The following clauses apply to this Section.                (2) must begin and be carried out as quickly
                                                                           as possible.
           Adjoining Buildings
                                                                       The following condition of Average will apply.
           In respect of Damage caused by subsidence,                  If the Sum Insured at the time the Damage
           ground heave or landslip, You will notify Us                occurred is less than 85% of the amount
           immediately of any demolition, construction,                necessary to replace the whole of the Property
           erection, groundworks or excavation being carried           Insured at the time of rebuilding or
           out on any adjoining site. We will then have the            replacement, You will be liable to bear a
           right to vary the terms of or cancel this Cover.            proportionate share of the loss.
                                                                       We will not make payment
           Automatic Reinstatement
                                                                       (1) until You have incurred the cost of
           The Sums Insured stated in The Schedule will
                                                                           replacing or repairing the Property Insured
           not be reduced by the amount of any claim
           unless We or You give notice to the contrary.               (2) if You, or someone acting on Your behalf,
                                                                           have insured the property under another
           You must pay the additional premium required
                                                                           policy which does not have a similar basis of
           to reinstate the Sums Insured.
                                                                           reinstatement

           Basis of Claim Settlement -                                 (3) if you do not comply with any of the terms
                                                                           of this clause.
           Reinstatement
                                                                       (3) We will indemnify You in respect of loss of
           In the event of Damage to Property Insured,                     rent as insured under this Section resulting
           other than pedal cycles, personal belongings                    from the building or any part of the building
           rent or motor vehicles, the basis upon which
           We will calculate the amount We will pay for                   (a) generating the rent received
           any claim will be the reinstatement of the                            or
           property lost, destroyed or damaged, as follows
                                                                          (b) for which rent is payable
           Where such Property Insured is
                                                                          being made unfit for The Business due to
           (1) lost or destroyed, We will pay for its                     Damage insured by this Section.
               rebuilding or replacement by similar property
                                                                          The maximum amount that We will pay You
               in a condition as good as, but not better or
                                                                          under this clause will be the proportion of
               more extensive than, its condition when new
                                                                          the Sum Insured which equals but does not
           (2) damaged, We will pay for replacement or                    exceed the proportion of the period of rent
               repair of the damaged portion to a                         insured necessary to make the building fit
               condition as good as, but not better or more               for occupation.
               extensive than, its condition when new.

                                                                 14
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           Capital Additions                                           Changing Locks
           We will indemnify You in respect of Damage to               We will indemnify You in respect of the cost of
                                                                       changing locks at The Premises following loss of
           (1) any newly built and/or newly acquired building
                                                                       keys by theft or attempted theft from
           (2) alterations, additions and improvements to
                                                                       (1) The Premises
               an insured building but not in respect of
               any appreciation in value                               (2) Your home
           situated anywhere in England, Wales, Scotland,              (3) Your director’s homes
           Northern Ireland, the Channel Islands and the
                                                                       (4) Your authorised Employees homes
           Isle of Man.
                                                                       or while in Your custody or that of an Employee
           The maximum We will pay in respect of any one
                                                                       following theft involving violence or threat of
           location is
                                                                       violence to You or an Employee.
           (1) £1,000,000 in respect of any newly built
                                                                       The maximum We will pay for any one loss is
               and/or newly acquired building
                                                                       £2,500.
           (2) £250,000 in respect of alterations, additions
               and improvements to the building                        Construction Heating and Occupation
           whichever is the lower.                                     of the Buildings
           You must                                                    Unless otherwise stated in The Schedule the
           (a) provide Us with details of such additional              buildings are
               extensions as soon as possible but, in any              (1) constructed of brick, stone or concrete
               event,
                                                                       (2) roofed with slates, tiles, concrete, metal or
               (i) within six months                                       asbestos
                     and                                               with no more than 10% of other materials
               (ii) before the expiry of the Period of                 (3) heated by
                    Insurance
                                                                           (i) low pressure hot water or steam
               and
                                                                           (ii) oil fired space heaters fed from a fuel
           (b) specifically insure such property with Us                        tank in the open
               from the date Our liability commenced.
                                                                           (iii) overhead gas or electrical appliances
           You must pay the agreed additional premium.
                                                                           (iv) gas or electric fires in offices only

           Change of Occupancy                                             or as expressly varied in accordance with
                                                                           details provided to Us.
           You must tell Us immediately if
                                                                       (4) occupied for the sole purpose of The
           (1) any building or part thereof at The Premises                Business and otherwise only as a
               becomes unoccupied or disused                               private dwelling.
           (2) any unoccupied or disused building or any
               part thereof at The Premises becomes                    Contents of Common Parts
               occupied.
                                                                       This term includes contents and furnishings
                                                                       owned by You or for which You are responsible
                                                                       whilst contained in the common parts of the
                                                                       Property Insured.

                                                                 15
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           We will not indemnify You in respect of                       Debris Removal
           (1) china or other fragile or brittle objects                 The Sum Insured for each item in The Schedule,
               exceeding £1,000                                          other than rent if insured, includes costs and
           (2) computers and data processing equipment                   expenses You incur with Our consent for
           (3) curios, rare books, works of art or articles of           (1) removal of debris
               antique furniture exceeding £1,000 in value               (2) dismantling
               any one article
                                                                         (3) demolishing
           unless specifically mentioned as insured in The
           Schedule.                                                     (4) shoring up or propping

           The maximum We will pay is for any one loss is                of those parts of the Property Insured which
           £25,000.                                                      have suffered Damage.
                                                                         We will not indemnify You in respect of costs
           Contractors Interest                                          and expenses

           Where You are required to effect insurance on                 (1) incurred in removing debris from anywhere
           the Property Insured in the joint names of You                    other than the site of the Damage and the
           and the contractor under the terms of a contract                  area immediately adjacent to it
           condition then the interest of the contractor in              (2) arising from pollution or contamination of
           the Property Insured as joint Policyholder is                     property not insured by this Section
           hereby noted and You must provide Us with
                                                                         (3) more specifically insured.
           details of any single contract valued in excess of
           £250,000 prior to work commencing and pay an
           additional premium if required.                               Description of Property
                                                                         In determining the item under which property
           Damage to Grounds                                             is insured We will accept the description given
                                                                         in Your business records.
           We will indemnify You in respect of reasonable
           costs and expenses necessarily incurred in
           reinstating or repairing landscaped gardens and               Drains
           grounds, belonging to You or for which You are                The Sum Insured for each Buildings item
           responsible, following Damage at The Premises.                includes costs and expenses You incur with Our
           We will not indemnify You in respect of                       consent for cleaning and/or clearing of
           (1) the cost of moving soil other than as                     (1) drains
               necessary for surface preparation                         (2) sewers
           (2) the failure of trees, shrubs, plants or turf to           (3) gutters
               become established
                                                                         for which You are responsible following
           (3) the failure of seeds to germinate                         Damage insured by this Section to the
           (4) damage caused by disease, infection or                    Property Insured.
               application of chemicals.
           The maximum We will pay in respect of any one
           claim is £25,000.

                                                                   16
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           European Union and Public Authorities                     Fire Extinguishing Expenses and Alarm
           In the event of Damage to Buildings or                    Re-setting Costs
           Landlords Contents furniture item, We will pay            We will indemnify You in respect of reasonable
           the additional cost of reinstating the Property           costs and expenses incurred in refilling,
           Insured necessary to comply with any                      recharging or replacing any
           (1) European Union Legislation                            (1) portable fire extinguishing appliances
           (2) Act of Parliament                                     (2) local fire suppression system
           (3) Bye-Laws of any public authority.                     (3) fixed fire suppression system
           We will not indemnify You in respect of                   (4) sprinkler installation
           (1) costs incurred                                        (5) sprinkler heads
               (a) in respect of Damage not insured by               and having any fire and/or intruder alarms and
                   this Section                                      closed circuit television equipment re-set
               (b) where notice was served on You before             as a result of Damage insured by this Section.
                   the Damage occurred
                                                                     We will not indemnify You in respect of any
               (c) where an existing requirement must be             costs and expenses recoverable from Your
                   completed within a stipulated period              maintenance company or fire and rescue service.
               (d) for property or parts of the property,
                   other than foundations (unless                    The following clause is only
                   foundations are specifically excluded),           applicable where Property Damage –
                   which have not suffered Damage.
                                                                     All Risks is insured
           (2) any charge or assessment arising from
               capital appreciation following compliance             Glass
               with any legislation or Bye-Law.
                                                                     We will indemnify You in respect of
           The reinstatement of the Property Insured
                                                                     (1) breakage (including the cost of boarding
           (1) must begin and be carried out as quickly as
                                                                         up) of glass at The Premises including
               possible
                                                                         (a) the cost of removing and reinstating
           (2) may be carried out on another site and in a
                                                                             obstructions to replacing glass.
               manner suitable to Your needs but this
               must not increase Our liability.                          (b) the cost of replacing alarm foil,
                                                                             lettering, painting, embossing, silvering
           However, the maximum We will pay will not
                                                                             or other ornamental work on glass.
           exceed the item Sum Insured specified in
           The Schedule.                                             (2) breakage of fixed
                                                                         (a) wash hand basins, pedestals, baths,
                                                                             sinks
                                                                         (b) lavatory bowls, bidets, cisterns
                                                                         (c) shower trays, splashbacks
                                                                         at The Premises.

                                                               17
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           We will not indemnify You in respect of                        Money and Assault
           (1) breakage of glass
               (a) while The Premises are unoccupied or                   Money
                   disused                                                We will pay for loss Money up to the following
               (b) in transit or while being fitted                       amounts

               (c) by workmen carrying out alterations or                                                         Limit any
                   repairs to The Premises.                                                                       one loss

           (2) the Excess stated in The Schedule.                         (1) any single loss of business Money
                                                                             (a) in transit                       £2,000
           Loss of Metered Utilities                                         (b) in bank night safes and          £2,000
           We will pay for charges for which You are                             afterwards within bank
           responsible, if water, gas or electricity is                          premises until at the
           accidentally discharged from a metered system                         bank’s risk
           providing service to The Premises.                                (c) in Your home or the home         £500
           The maximum We will pay in respect of any one                         of any Employee, partner
           claim is £10,000.                                                     or director
                                                                          (2) any single loss in respect of       £250,000
           Loss of Rent and Alternative                                       crossed cheques, cross postal
           Accommodation                                                      or money orders, crossed
                                                                              bankers drafts, stamped
           We will indemnify You if a residence cannot be                     national insurance cards
           lived in or if access to it is denied as a result of
           Damage in respect of                                           We will not pay for

           (1) (a) loss of rent, including ground rent and                (1) losses due to the dishonesty of You, Your
                   management charges, You should have                        Employees, partners or directors
                   received but have lost                                    (a) not discovered within seven working
               (b) (i) the cost of reasonable alternative                        days of the loss.
                       accommodation incurred by any                         (b) where a more specific insurance is in
                       owner or lessee if this is necessary                      force, except for any amount in excess
                   (ii) the cost of reasonable                                   of that insurance.
                        accommodation in kennels and/or                   (2) shortages due to clerical or accounting
                        catteries for dogs and/or cats                        errors.
                        belonging to any owner or lessee in
                                                                          (3) loss of Money from unattended vehicles.
                        residence, where such pets are not
                        permitted in any alternative                      (4) loss or Damage outside Great Britain,
                        accommodation.                                        Northern Ireland, the Republic of Ireland,
                                                                              the Channel Islands and the Isle of Man.
           (2) temporary storage of Your furniture.
           The maximum We will pay in respect of any
           claim is 20% of the Sum Insured on the building
           in which the Residential Unit is contained.

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           Assault                                                     However, You must

           We will pay                                                 (a) notify Us immediately You become aware
                                                                           of any such act, omission or alteration
           (1) the compensation stated below to You for
               Bodily Injury to an Insured Person caused by                and
               the theft or attempted theft of Money,                  (b) pay any additional premium required.
               which happens in the course of The Business
               and resulting in the following contingencies            Professional Fees
               (a) death                           £10,000
                                                                       The Sum Insured for each Buildings Item
               (b) total and permanent loss                            described in The Schedule, includes an amount
                   of sight in one or both eyes    £10,000             for professional fees necessarily incurred in
               (c) loss of one or both limbs       £10,000             reinstating or repairing the Property Insured,
                                                                       following Damage insured by this Section.
               (d) total disablement which
                   prevents the Insured Person                         We will not indemnify You in respect of fees
                   from pursuing their                                 (1) more specifically insured
                   normal occupation               £100 per
                                                                       (2) incurred in preparing a claim.
                                                   week
               (e) reimbursement of incurred                           Reinstatement to Match
                   medical expenses up to          £250
                                                                       Where the Property Insured has suffered
           (2) up to £250 in respect of such Insured Person
                                                                       Damage, You may replace, repair or restore the
               for Damage to their personal effects
                                                                       property with equivalent property which
               following an attempted theft to steal
                                                                       employs current technology, and replacement,
               Money covered by this Clause.
                                                                       repair or restoration with such property for the
                                                                       purposes of this Section shall not be regarded
           Mortgage and Other Interests                                as being better or more extensive than when
           Subject to Your consent, the interest of all                new. This Section further extends to include the
           parties who wish to register an interest in the             replacement or modification of undamaged
           Cover by this Section will be noted provided                property insofar as it is necessary to adapt it to
           that all such interests are notified to Us within           operate in conjunction with that property
           30 days of any Damage.                                      which has been replaced, repaired or restored
                                                                       provided that Our total liability is not increased
                                                                       beyond the amount that would otherwise have
           Non-invalidation                                            been payable for the replacement, repair or
           The insurance by this Section will not be                   restoration of the property destroyed or
           invalidated by any                                          damaged in its original form.
           (1) act                                                     When the Property Insured is damaged or
                                                                       destroyed in part only, We will not pay more
               or
                                                                       than the amount representing the cost which
           (2) omission                                                We would pay for reinstatement if such
               or                                                      property had been wholly destroyed.

           (3) alteration
           either unknown to You or beyond Your control,
           which increases the risk of Damage.

                                                                 19
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           Subrogation                                                 We will not indemnify You in respect of

           In the event of a claim arising under this                  (a) property insured elsewhere
           Section, we agree to waive any rights, remedies             (b) Damage occurring elsewhere than at The
           or relied to which We may be entitled by                        Premises to motor vehicles or motor chassis
           subrogation against any company                                 licensed for normal road use
           (1) whose relationship to You is either a parent            (c) property removed for more than 90
               to subsidiary or subsidiary to parent                       consecutive days unless We agree a longer
           (2) which is a subsidiary of a parent company                   period in writing.
               of which You are a subsidiary
           as defined within the relevant legislation
                                                                       Trace and Access
           current at the time of Damage.                              We will pay reasonable costs and expenses
           (3) any tenant of Yours provided that                       incurred with Our consent

               (a) the tenant or lessee contributes to                 (1) in locating the actual source of Damage
                   the cost of insuring the Property                       and
                   Insured against the event which
                                                                       (2) any repairs directly arising from (1)
                   caused the Damage
                                                                       caused by the escape of water from any tank,
               (b) the Damage did not result from a
                                                                       apparatus or pipe or leakage of fuel from any
                   breach of the terms of the lease by
                                                                       fixed oil heating installation, provided such
                   the tenant or lessee
                                                                       Damage is insured by this Section.
               (c) the Damage did not result from a
                                                                       We will not indemnify You in respect of costs or
                   criminal, fraudulent or malicious act
                                                                       expenses incurred where Damage results solely
                   of the tenant or lessee.
                                                                       from a change in the water table level.

           Temporary Removal for Cleaning or                           The maximum We will pay in respect of any or all
                                                                       claims in any one Period of Insurance is £25,000.
           Renovation
           We will indemnify You in respect of Damage                  Transfer of Interest
           insured by this Section other than to Stock and
           Materials in Trade, while temporarily removed               If at the time of Damage to a building insured
           for cleaning, renovation or repair or similar               under this Section You have entered into a
           purposes                                                    contract to sell Your interest in it but

           (1) to another part of The Premises                         (1) the contract has not yet been completed

           (2) to any other premises in England, Wales,                    and
               Scotland, Northern Ireland, the Republic of             (2) the Building has not yet been insured by or
               Ireland, the Channel Islands and the Isle of                on behalf of the purchaser
               Man including whilst in transit by road, rail
                                                                           and
               or inland waterway.
                                                                       (3) the purchase is subsequently completed.
           The maximum We will pay is 10% of the item
           Sum Insured after the deduction of the value of             We will indemnify the purchaser to the extent
           any building and Stock and Materials in Trade               that this Section insures the Building.
           included within the Item insured.

                                                                 20
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           This will not affect either Your or Our rights                (2) Damage as a result of movement of solid
           and liabilities up to the date of completion of                   floor slabs
           the purchase.
                                                                            However, We will indemnify You if there
                                                                            is Damage to the foundations beneath
           Workmen                                                          the exterior walls of The Premises at the
           Repairs and minor structural alterations may be                  same time.
           carried out at The Premises without affecting                 (3) the Excess stated in The Schedule.
           the Cover.

                                                                         Additional Clause
           Additional Contingency                                        The following Additional Clause applies to this
           The following Additional Contingency applies                  Section if stated in The Schedule.
           to this Section only if stated in The Schedule.
                                                                         Day One (Non Adjustable)
           Subsidence
                                                                         For each item of Property Insured to which this
           We will indemnify You in respect of Damage                    clause applies (as stated in The Schedule),
           at The Premises caused by subsidence or
                                                                         (1) the first and annual premiums are based
           ground heave of the site of the Property
                                                                             upon the Declared Value as stated in The
           Insured, or landslip.
                                                                             Schedule.
           We will only indemnify You in respect of
                                                                            Declared Value shall mean
           Damage to
                                                                            Your assessment of the cost of reinstatement
           (1) forecourts, car parks, driveways, footpaths,
                                                                            of the Property Insured arrived at in
               swimming pools, terraces or patios
                                                                            accordance with paragraph (1) of the Basis
           (2) walls, gates, hedges or fences                               of Settlement – Reinstatement Clause at the
           if                                                               level of costs applying at the start of the
                (a) such property is specifically insured by                Period of Insurance (ignoring inflationary
                    this Section                                            factors which may operate subsequently)
                                                                            together with an allowance for
                    and
                                                                            (a) the additional cost of reinstatement to
                (b) damage also occurs to the building to                       comply with
                    which such property applies and that
                    building is insured by this Section.                           (i) European Union Legislation

           We will not indemnify You in respect of                                 (ii) Act of Parliament

           (1) Damage caused by                                                    (iii) Bye-Laws of any public authority

                (a) collapse, cracking, shrinking or                        (b) professional fees
                    settlement of any building                              (c) debris removal costs.
                (b) coastal or river erosion                                The Declared Value incorporated in each
                (c) defective design or inadequate                          Item is stated in The Schedule.
                    construction of foundations                          (2) You must notify Us of the Declared Value at
                (d) demolition, structural alteration or repair              the start of each Period of Insurance.

                (e) settlement or movement of made-up                       If You fail to notify Us of the Declared
                    ground.                                                 Value at the start of any Period of

                                                                   21
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               Insurance, We will use the last Declared
               Value notified to Us for the following
               Period of Insurance.
           (3) Paragraphs (4) and (5) of the Basis of
               Settlement – Reinstatement Clause are
               restated as follows
               (4) if, at the time of Damage, the Declared
                   Value is less than the cost of
                   reinstatement of the Property Insured,
                   arrived at in accordance with paragraph
                   (1) of this Clause, at the start of the
                   Period of Insurance, Our liability for any
                   Damage will be limited to that
                   proportion which the Declared Value
                   bears to the cost of reinstatement of the
                   Property Insured arrived at in accordance
                   with paragraph (1) of this Clause.
               (5) We will not pay under this Clause
                   (a) until You have incurred the cost of
                       replacing or repairing the property
                   (b) if You, or someone acting on Your
                       behalf, have insured the property
                       under another policy which does
                       not have the same basis of
                       reinstatement
                   (c) if You do not comply with any of
                       the provisions of this Clause.
                   However, the Sums Insured will be
                   limited to 108% of the Declared Values
                   stated in The Schedule.

                                                                22
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           Revenue Protection

           Business Interruption – Loss                                 (3) Defined Contingency
           of Rent Section                                                 fire
                                                                           lightning
           Definitions                                                     explosion
           (Also refer to the Policy Definitions at the front              aircraft and other aerial devices or articles
           of this policy booklet.)                                        dropped from them
           The following definitions apply to this Section                 riot, civil commotion, strikers, locked out
           and shall keep the same meaning wherever                        workers, persons taking part in labour
           they appear in the Section, unless an alternative               disturbances
           definition is stated to apply.
                                                                           malicious persons other than thieves

           (1) (a) Annual Gross Rentals                                    earthquake
                                                                           storm
                   Gross Rentals during the 12 months
                   immediately before the date of the                      flood
                   Damage
                                                                           escape of water from any tank, apparatus
                                                                           or pipe
               (b) Standard Gross Rentals
                                                                           falling trees
                   Gross Rentals during that period in the
                                                                           impact
                   12 months immediately before the date
                   of the Damage which corresponds with                    escape of fuel from any fixed oil heating
                   the Indemnity Period                                    installation
               Annual Gross Rentals and Standard Gross                     theft or attempted theft.
               Rentals may be adjusted to reflect any
               trends or circumstances which                            (4) Gross Rentals
                   (i) affect The Business before or after                 Money paid or payable to You by tenants
                       the Damage                                          for rental of The Premises and for the
                   (ii) would have affected The Business                   services provided in connection with The
                        had the Damage not occurred.                       Business at The Premises.
               The adjusted figures will represent, as near
               as possible, the results which would have                (5) Indemnity Period
               been achieved during the same period had                    The period during which The Business
               the Damage not occurred.                                    results are affected due to the Damage,
                                                                           beginning with the date of the Damage
           (2) Damage                                                      and ending not later than the Maximum
                                                                           Indemnity Period.
           Accidental loss, destruction or damage.

                                                                        (6) Maximum Indemnity Period
                                                                           The number of months stated in The
                                                                           Schedule, unless amended in any Additional
                                                                           Contingency.

                                                                  23
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           Notes                                                       (2) any additional expenses You incur to prevent
                                                                           or limit the reduction in Gross Rentals during
           1. All terms in this Section exclude Value                      the Indemnity Period due to the Damage.
              Added Tax to the extent that You are
              accountable to the tax authorities for                       However, We will not pay more than We
              Value Added Tax.                                             would pay under (1) above.
                                                                       The maximum We will pay in respect of any one
           Cover                                                       claim for Damage is the Sum Insured on each
                                                                       item specified in The Schedule.
           We will indemnify You in respect of loss of
           Gross Rentals resulting from Damage to
           property used by You at The Premises for the                Exceptions
           purpose of The Business                                     The following exceptions apply to this Section.
           (1) not excluded by the Property Damage                     (Also refer to the Policy Exceptions at the back
               Section of this policy                                  of this policy booklet.)
           (2) caused by a Defined Contingency to                      We will not indemnify You in respect of
               (a) glass, not being fixed glass from                   (1) Damage caused by the deliberate act of a
                   forming part of the structure of the                    supply undertaking in withholding the
                   building                                                supply of water, gas, electricity, fuel or
               (b) china, earthenware, marble or other                     telecommunications services.
                   fragile object                                          However, We will indemnify You in respect
               (c) vehicles licensed for road use including                of loss resulting from Damage
                   accessories on or attached to them                      (a) caused by a Defined Contingency or
               (d) caravans or trailers                                        from any other Damage not otherwise
                                                                               excluded
               (e) railway locomotives or rolling stock
                                                                           (b) from an ensuing cause which is not
               (f) water craft or aircraft                                     excluded.
               (g) property in the course of construction              (2) erasure or distortion of information on
                   including materials for use in the                      computer systems or other records
                   construction
                                                                           (a) while mounted in or on any machine or
               (h) land, roads or pavements, piers, jetties,                   data processing equipment,
                   bridges, culverts or excavations
                                                                                 or
               (i) livestock
                                                                           (b) due to the presence of magnetic flux
           subject to the provisions of the Property
           Cover condition and not otherwise excluded by                   unless caused by Damage to the equipment
           the terms of the Property Damage Section of                     in which the records are mounted.
           this policy.                                                (3) change in the water table level.
           The amount payable will be                                  (4) any loss or Damage whatsoever resulting
           (1) the amount by which the Gross Rentals falls                 from directly or indirectly from or in
               short of the Gross Rentals which would                      connection with any of the following
               have been received during the Indemnity                     regardless of any other cause or event
               Period due to the Damage                                    contributing concurrently or in any other
                                                                           sequence to the loss
               and

                                                                 24
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               (a) Terrorism                                             Section the burden of proving that any such
                                                                         Damage is covered under this Section will be
               (b) civil commotion in Northern Ireland
                                                                         upon You.
               (c) any action taken in controlling,
                   preventing, suppressing or in any way
                   relating to (4) (a) and/or (4) (b) above.             Conditions
               Terrorism means                                           The following conditions apply to this Section.

                   (i) in respect of loss or Damage                      (Also refer to the Policy Conditions at the back
                       occurring in England, Wales and                   of this policy booklet.)
                       Scotland only (but not the territorial
                       seas adjacent thereto as defined by               Alteration
                       the Territorial Seas Act 1987 nor the
                                                                         We will not indemnify You in respect of
                       Isle of Man or the Channel Islands)
                                                                         Damage if
                       acts of persons acting on behalf of
                       or in connection with any                         (1) The Business is
                       organisation which carries out                        (a) wound up or carried on by a liquidator
                       activities directed towards the
                       overthrowing or influencing by                        (b) permanently discontinued
                       force or violence of Her Majesty’s                (2) Your interest ceases otherwise than by
                       government in the United Kingdom                      Your death.
                       or any other government de jure or
                                                                         However, We will indemnify You if We agree
                       de facto
                                                                         otherwise in writing.
                   (ii) in respect of loss or Damage
                        occurring in any territory not                   Claims Procedures
                        specified in (i) above any act or acts
                        including but not limited to                     If in relation to any claim You have failed to
                                                                         comply with any of the following Claims
                       •   the use or threat of force and/or             Procedures You will lose Your right to
                           violence                                      indemnity under this Section.
                           and                                           You must
                       •   harm or damage to life or to                  (1) take any action reasonably practicable to
                           property (or the threat of such                   minimise any interruption of or interference
                           harm or damage) including but                     with The Business or to avoid or minimise
                           not limited to harm or damage                     any Damage
                           by nuclear and/or chemical
                           and/or biological and/or                      (2) at Your expense, provide Us with
                           radiological means                                (a) a written claim
                       caused or occasioned by any person(s)                       and
                       or group(s) of persons or so claimed in
                       whole or in part for political, religious,            (b) details of other insurances covering the
                       ideological or similar purposes.                          Damage

                   In any action, suit or other proceedings                  within 30 days after the expiry of the
                   where We allege that any Damage                           Indemnity Period or such further time that
                   results from Terrorism as defined above                   We may allow.
                   and is therefore not covered by this

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               (c) books, records and documents We                       (b) in respect of increase in cost of working
                   require to assess Your claim.
                                                                               any additional expense You necessarily
           (3) repay Us, any payment on account We may                         and reasonably incur solely to prevent
               have made, if You fail to comply with this                      or limit a reduction in Gross Rentals
               condition.                                                      during the Indemnity Period which but
                                                                               for such additional expense would have
           Property Cover                                                      taken place due to the Damage. We will
                                                                               not pay more than the reduction
           We will not indemnify You in respect of any                         avoided by the expenditure
           Damage insured by this Section unless
                                                                     less any savings during the Indemnity Period in
           (1) there is in force at the time of the Damage,          business charges or expenses, payable out of
               an insurance policy covering Your interest in         Gross Rentals, which reduce or cease due to
               the property at The Premises for the                  the Damage.
               Damage
                                                                     If at the time of the Damage the Sum Insured is
               and                                                   less than the Annual Gross Rentals
           (2) (a) payment has been made or liability                (proportionately increased where the Maximum
                   admitted for such Damage                          Indemnity Period exceeds 12 months), You will
                                                                     be Your own insurer for the difference and bear
                     or
                                                                     a rateable share of the loss.
               (b) payment would have been made or
                   liability would have been admitted for
                   such Damage but for the exclusion of
                                                                     Clauses
                   losses below a stated amount in such              The following clauses apply to this Section.
                   insurance policy.
                                                                     Action by the Police Authority
           Basis of Settlement                                       We will indemnify You in respect of loss
           We will indemnify You in respect of any                   resulting from interruption or interference
           interruption or interference of The Business              with The Business as a result of prevention of
           resulting from Damage occurring during The                access to The Premises by the Police Authority
           Period of Insurance at The Premises                       due to a danger or disturbance in the vicinity
                                                                     of The Premises.
           (1) loss of Gross Rentals
                                                                     However, We will not indemnify You for any
               and                                                   interruption or interference lasting less than 12
           (2) increase in cost of working                           hours.
           We will pay                                               The maximum We will pay under this Clause is
                                                                     £100,000 or 10% of the Sum Insured shown
               (a) in respect of loss in Gross Rentals
                                                                     under Item 1 of The Schedule, whichever is the
                     the amount by which, due to the                 lower, in respect of the total of all losses
                     Damage, the Standard Gross Rentals              occurring during the Period of Insurance.
                     exceed the Gross Rentals during the
                                                                     The provisions of any Automatic Reinstatement
                     Indemnity Period
                                                                     Clause will not apply in respect of this Clause.

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           Additional Gross Rentals                                   Automatic Reinstatement
           We will indemnify You in respect of Damage to              The Sums Insured stated in The Schedule will not
           any newly acquired or newly erected building               be reduced by the amount of any claim unless
           and/or any alteration or improvement to a                  We or You give written notice to the contrary.
           building anywhere in England, Wales, Scotland,
                                                                      However, You must pay the additional premium
           Northern Ireland, the Channel Islands or the Isle
                                                                      required to reinstate the Sum Insured.
           of Man resulting in loss of Gross Rentals as
           insured by this Section.
                                                                      Buildings Awaiting Sale
           The maximum We will pay in respect of any one
           premises is £100,000.                                      Buildings, forming part of the Property Insured,
                                                                      that You have contracted to sell or have
           You must provide Us with details of these                  accepted an offer in writing to purchase the
           additional Gross Rentals as soon as possible but           interest in the buildings subject to contract,
           at least every six months and pay the                      where that sale is cancelled or delayed solely
           appropriate additional premium.                            due to the Damage.
           We will not indemnify You in respect of                    Under this clause We will indemnify You in
           (a) any building more specifically insured                 respect of
           (b) any appreciation in value.                             (1) interest payable by You on capital
                                                                          borrowed which, but for the Damage,
           Alternative Premises                                           would be available, from the proceeds of
                                                                          the sale, for investment in The Business
           The Gross Rentals during the Indemnity Period
                                                                      (2) the additional interest payable by You on
           will include Gross Rentals derived elsewhere
                                                                          amounts borrowed
           than from The Premises if The Business is
           conducted elsewhere than at The Premises.                  at a rate of interest not exceeding 2% above
                                                                      the prevailing Inter Bank Lending Rate
           Auditors and Professional Accountants                      (3) the investment interest lost by You on any
           and Legal Fees                                                 proceeds of the sale (after the deduction of
                                                                          any capital borrowed as detailed in (2) above).
           We will pay Your auditors, professional
           accountants and solicitors reasonable charges for          We will not indemnify You if You do not make
                                                                      all reasonable efforts to complete the sale as
           (1) producing information We require to
                                                                      soon as possible following the Damage.
               investigate any claim and
           (2) confirming the information is in accordance            Maximum Indemnity Period
               with Your business books
                                                                      Six months.
           (3) determining Your contractual rights under
               any rent cessor clause or insurance break
               clause contained in the lease                          Indemnity Period
           but not for any other purposes in the                      The period during which the results of The
           preparation of any claim.                                  Business are affected due to the Damage,
                                                                      beginning with the date on which, but for
           The maximum We will pay for any claim,                     the Damage, the building would have been
           including auditors and professional accountants            sold and ending with the date of completion
           and solicitors charges is the Sum Insured.                 or the expiry of the Maximum Indemnity
                                                                      Period if earlier.

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