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  • Automatic Reinstatement Clause

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    Ainul Anugrah
    87 views3 pages
    This document contains several clauses related to an insurance policy: 1) The Automatic Reinstatement Clause states that if a loss occurs, the insured must pay an extra premium to maintain coverage from the date of loss through the end of the policy period. 2) The Removal of Debris Clause extends coverage to pay up to 10% of the contract value for expenses to dismantle and remove debris of insured property. 3) The Escalation Clause automatically increases coverage by up to 10% of the sum insured if the final contract value exceeds the original sum insured.

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    Automatic Reinstatement Clause

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    This document contains several clauses related to an insurance policy: 1) The Automatic Reinstatement Clause states that if a loss occurs, the insured must pay an extra premium to maintain coverage from the date of loss through the end of the policy period. 2) The Removal of Debris Clause extends coverage to pay up to 10% of the contract value for expenses to dismantle and remove debris of insured property. 3) The Escalation Clause automatically increases coverage by up to 10% of the sum insured if the final contract value exceeds the original sum insured.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    87 views3 pages

    Automatic Reinstatement Clause

    Uploaded by

    Ainul Anugrah
    This document contains several clauses related to an insurance policy: 1) The Automatic Reinstatement Clause states that if a loss occurs, the insured must pay an extra premium to maintain coverage from the date of loss through the end of the policy period. 2) The Removal of Debris Clause extends coverage to pay up to 10% of the contract value for expenses to dismantle and remove debris of insured property. 3) The Escalation Clause automatically increases coverage by up to 10% of the sum insured if the final contract value exceeds the original sum insured.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 3

    Automatic Reinstatement Clause

    In consideration of this insurance not being reduced by the amount of any loss the insured shall
    pay the appropriate extra premium of the loss from the date thereof to the date of the expiry of
    the period of insurance.

    Removal of Debris Clause

    It is agreed and understood that otherwise subject to the terms exclusions, provisions and
    conditions contained in the Policy or endorsed thereon this insurance shall be extended to
    cover the expense necessary to dismantle and remove debris of the property insured how ever
    up to the limit 10% of anyone contract value.

    Escalation Clause (10% of the Sum Insured)

    If the estimated final value of the contract insured hereunder shall after award exceed for any
    reason whatsoever the Sum Insured, this shall automatically be increased by the amount of
    such excess value, up to a maximum of 10% of the Sum Insured stated in the schedule.
    Political Risk Exclusion Clause

    This policy excludes confiscation, expropriation, nationalization, commandeering, requisition or


    destruction of or damage to property by order of the Government de jure or de facto or any
    public, municipal or local authority of the country or area in which the property is situated;
    seizure or destruction under quarantine or customs regulation.

    Nominated Loss Adjuster Clause

    PT. McLarens Indonesia, PT. Kuadra Inti Adjuster or PT. Cunningham Lindsey Indonesia will
    be appointed as the nominated independent adjusters under this insurance to handle all claims
    or possible claims which are notified to Insurers under this Policy.

    DEFERRED PREMIUM CLAUSE

    Notwithstanding that this policy is issued as a contract for a period of a period of twelve months, it is hereby
    understood and agreed that the premium shall be payable in the following installments :

    1st installment, due and payable on August 1st, 2017 = Rp. 134.522.637,60

    Policy cost = Rp. 50.000,00

    Stamp duty = Rp.


    12.000,00

    Total = Rp.
    134.584.637,60

    2nd installment, due and payable on October 1st, 2017 = Rp. 100.891.978,20

    3rd installment, due and payable on December 1st, 2017 = Rp. 100.891.978,20

    Nevertheless it is further understood and agreed that :

    (1) In the event of any installment not being physically by the Company prior to, or within fourteen
    calendar days after its due date, the cover afforded by this Policy shall be deemed to have ceased
    at the time as in the manner stipulated on the Policy, as regards the original inception of the cover
    of such due date as stipulated above under heading due dates, without the Company being obliged
    to give notice of default whatsoever.
    (2) The insurance shall be reinstated at the same time as in the manner stipulated on the policy as
    regards the original inception of the cover, on the next calendar day of the day when the overdue
    premiums shall have been physically received by the Company. The insured shall not be entitled to
    any refund of premium in consequence of the period of such suspension.

    (3) In the event of a claim arising hereunder which, exceed the installment paid on the policy,
    all the installments of premium then outstanding become due and payable forthwith.

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