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Contractor’s All Risks Insurance

EXTENSION CLAUSES

1. Appraisement Clause (….)

If the aggregate claim for any one loss does not exceed 10% of ETCV, no special inventory or
appraisement of the undamaged constructed property shall be required.
If two or more constructed property be included in a single item, this provision shall apply to the
range of constructed buildings insured by this item.
For the purpose of this clause the term “item” shall be held to apply to the total contract value
insured on constructed buildings and/or existing properties by the items affected.

2. Automatic Increase Clause (….)

If during the Period of Insurance actual the Total Project Value shall be in excess of the Estimated
Contract Value the Total Sum Insured under this Policy shall be automatically increased by the
amount of such excess but not exceeding …. and the Insured shall pay to Insurers an additional
premium payment in respect of such increase.

3. Automatic Reinstatement Clause (subject to additional premium)

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

4. Claim Preparation Cost Clause (….)

The insurance by this policy includes :
1. Such reasonable fees as may be payable by the insured t a public account and/or
adjuster, and
2. Such reasonable expenses, excluding salaries of permanent employees, not otherwise
Recoverable incurred by the insured
For preparation and establishment of admitted progress and/or final claims under the Policy.

5. Banker’s Clause (if, any)

And that in consequence thereof, it has been agreed with the said mortgagee and the insured,
that in case of loss, if any, payable under this policy up to 10% of Total Sum Insured hereunder
shall be payable to the insured(s) and claim more than 10% of Total Sum Insured shall be payable
to the said Bank, unless the Bank shall give it’s written consent that any such claim shall be
released to the Insured.
This clause to be null and void on receipt of advice from the said mortgagee that they are no
longer interested in the property insured under this policy.

6. Claim Settlement Clause (….)

a. Insurers shall under this section, subject to the terms and conditions of the Policy, indemnify
the Insured on the basis of the full cost of repairing, reinstating, or replacing property lost or
damage even though such costs may vary from the original construction costs excluding
Value Added Tax (PPN).
b. It is agreed that all monies properly due in settlement of claims under this section of the
policy shall be paid to … or their order.

7. Currency Clause
It is hereby understood and agreed that in case a claimable loss hereunder, if any, if denominated
in currency other than the currency stated in the Policy Schedule, then the conversion rate shall
be the middle rate bank notes published by the Bank Indonesia on the Date Agreementbetween
the Insurer and Insured as to the amount of loss.

8. Damage to Own Existing Property/Structure (… and included in Contract Value)

Loss of or damage to property located on or adjacent to the Site and belonging to or held in care,
custody or control of the Principal(s) or the Contractor(s) shall only be covered if occurring in
direct connection with the erection, construction or testing of the items insured under Section I
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Contractor’s All Risks Insurance
and happening during the period of cover, and subject to maximum limit of … and included in
Contract Value.

9. Designer’s Risks Clause

It is agreed and understood that otherwise subject to the terms, exclusions and conditions
contained in the Policy or endorsed hereon and subject to the Insured having paid the extra
premium, exclusion C under Special Exclusion to Section I of the Policy shall be deleted and
exclusion d replaced by the following wording :

“The cost of replacement, repair or rectification of loss of or damage to items due to defective
material and/or workmanship and/or faulty design but this exclusion shall be limited to the items
immediately affected and shall not be deemed to exclude loss of or damage to correctly executed
items resulting from an accident due to such defective material and/or workmanship and/or
faulty design.”

10. Debris Removal Clause

The Insurance under this Policy includes an amount not exceeding the sub limit …. in respect of
the costs of demolition and removing debris and clearing or repairing drains and service mains,
dismantling and/or demolishing shoring and/or propping up including dewatering the works
and/or other reasonable and necessary protection of the Property Insured following an event
giving rise to an indemnifiable claim under this Policy.

11. Deferred Premium Clause

Notwithstanding that this policy is issued as a contract for a period as stated in the schedule, it is
hereby understood and agreed that the premium shall be payable in the following installment:-

Instalment Due date Amount

1st
2nd
3rd
4th
5th

Nevertheless it is further understood and agreed that in the event of any installment not being
paid prior to, or within 30 days after, its due date the cover afforded by this policy shall be
deemed to have ceased at midnight of such due date. In the even of a claim arising hereunder
which exceeds the installment premium paid on this policy the installments of premium than
outstanding shall become due and payable forthwith.

12. Duties Clause

The Insurer will also reimburse the Insured for customs and excise duties, import taxes, VAT/GST,
freight, insurance and similar charges in respect of the procurement / manufacturing of goods,
materials and services for replacement, restoration or re-commissioning. The application of the
clause is subject to the compliance with the tax regulation in Indonesia

13. Error and Ommission Clause

The Insured shall no be prejudiced by an unintentional and/or inadvertent omission error or
incorrect description of the interest risk or property provide notice is given to the Company as
soon as practicable upon discovery of such error or omission,

14. Extra Charges Clause including Airfreight Cost (….)

It is understood and agreed that otherwise subject to the terms, exclusions, provisions and
conditions contained in the policy or endorsed thereon and subject to the Insured having paid the
agreed extra premium, this insurance shall be extended to cover extra charges overtime, night
work, work on public holidays and express freight (including freight)
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Provided always that such airfreight and extra charges are reasonable and necessarily incurred by
the Insured in the repair, reinstatement or replacement of the property insured so as to avoid a
delay in the overall completion of the project.

15. Extra Charges Clause for Overtime, Night Work on Public Holidayts and Express
Freight (….)
It is agreed and understood that otherwise subject to the terms, exclusions, provisions and
conditions contained in the Policy or endorsed thereon and subject to the Insured having paid the
agreed extra premium, this insurance shall be extended to cover extra charges for overtime, night
work, work on public holidays and express freight (excluding airfreight).

Provided always that such extra charges shall be incurred in connection with any loss of or
damage to the Insured items recoverble under the Policy.

16. Extended Maintenance Clause (12 months)

It is understood and agreed that otherwise subject to the terms, exclusions, provisions and
conditions contained in the policy or endorsed thereon and subject to the Insured having paid the
agreed extra premium, this insurance shall be extended for the maintenance period specified
hereunder to cover loss or damage under Section I & II to the contract work
 Caused by the Insured Contractor(s) in the course of the operations carried out for the
purpose of complying with the obligations under the maintenance provisions of the contract,
or
 Occurring during the maintenance period provided such loss or damage was caused on the
site during and/or prior to the construction period.

17. Fire Extinguishing Cost Clause (….)

The policy extends to indemnify the Insured in respect of the cost of replenishment of fire
fighting appliances up to …...

Provided always that the liability of the Company in respect of such cost shall be limited to those
necessarily and reasonable incurred in extinguishing fire at or adjoining the situation of the
property insured or immediately threatening to involve such property.

18. Fire Brigade Cost Clause (…..)

It is understood and agreed that the charges raised by local authority for the provision of fire
fighting appliances called for the purpose of protecting the premises shall be recoverable
hereunder up to …

19. Free Issue Material

This policy shall automatically and whiout prior notice or specific request apply to and indemnity
the Insured in respect of or in connection with or in relation to any property of whatsoever
nature or description as may be supplied by or on behalf of the Owner in connectiction with the
Insured Contract.

If the value of such property shall have been included in the amount declared by the Insured for
the purposes of premium calculation then no additional premium shall be payable on account
thereof.

20. Land Transit Clause (… for each conveyance)

It is understood and agreed that this policy is extended to indemnify the Insured against loss or
damage to materials (whether temporary or permanent) and any other goods or object intended
for incorporation in the works whilst such material goods or object are in transit by road or rail or
inland waterway within locations as stated in the schedule unless more specifically insured under
a separate Marine Cargo Insurance Policy.
Limit of indemnity : IDR … for each conveyance.
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21. Loss Notification Clause (30 days)
Notwithstanding anything contained herein to the contrary it is agreed that this insurance will
not be prejudiced by any inadvertent delays, errors or omission in notifying the Insurer(s) of any
circumstances or events giving rise or likely to give rise to a claim under this policy.
Further, in the event that the Insured failed to report as soon as practicable, due to their
unawareness and unintentional delay, then this clause is still valid and the Insurer shall not deny
liability for any claim due to these circumstances accordingly.

22. Misdescription Clause

It is understood that this insurance shall not be prejudiced by any alteration or
misdescription of occupancy provide the insured shall notify the company immediately
Theybecome aware of the same and to pay additional premium if required from the date
of the inception of the increased hazard.

23. Nominated Adjusters Clause

In the event of any claim under the Policy one of the following adjuster shall be appointed :
i. …
ii. …
iii. …

24. Notice of Cancellation Clause for RSMDCC Cover (30 days)

It is hereby declared and agreed that both the Insurer and the Insured are entitled to cancel this
insurance at any time without given reason therefore. Such cancellation shall however only become
effective on the expiration of 30 (thirty) days from midnight of the day on which notice of the
cancellation is issued. If the Insurer cancels the insurance he is obliged to return the pro-rata
premium for the unexpired period of insurance. If it is the Insured who cancels the insurance,
premium will be calculated on the short term rate for the completed period of Insurance.

25. Offsite Fabrication and Offsite Storage Clause (…)

Notwithstanding the situation described in the schedule the cover afforded by this policy extends
to include any materials, plants or item, being manufactured, whilst located anywhere in the
Republic of Indonesia provided they are intended to be used on or will form part of the Contract
works (…).

26. Plans and Documents Clause (….)

It is understood and agreed that this Policy will also indemnify the Insured against the necessarily
incurred costs of re-writing of plans and drawings or other contract documents lost destroyed or
damaged as a result of a peril insured hereunder providing such loss destruction or damage
occurs at the Project Site.

Such indemnification shall however be limited to:

1. a maximum amount …. for each and every occurrence or series of occurrences arising out of
any one event.
2. the cost of labour expended in such re-writing or re-drawing including all necessary
overtime or research.

27. Preventive Measure and Loss Minimization Clause (….)

It is agreed that in the event of actual damage (or imminent damage, with prior notice to and
approval from the Insurers) to the insured property the Insurers will pay the reasonable costs
necessarily incurred in preventing, minimizing or reducing damage to the insured property.

The Insurers will also pay that part of such coast incrred whiout the Insurers’perior consent
which the Insured can prove were necessarily incured immediately and urgently in an emergency.
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28. Professional Fees Clause

The Insurance by this Section includes in addition an amount in respect of Architects, Surveyors,
and Consulting Engineers Fees or other professional fees and normally reimbursable expenses
necessarily incurred by the Insured in the reinstatement of the Insured Property consequent
upon its loss, destruction or damage but not for preparing any claim, it being understood that the
amount payable for such fees shall not exceed that authorised under the scales authorised by the
Royal Institute of British Architects, the Royal Institution of Chartered Surveyors, the Association
of Consulting Engineers or of the equivalent body in the country of domicile of the professional
body concerned but the liability of the Insurer(s) shall not exceed ……

29. Public Authorities Clause

he Insurance by this Policy extends to include such additional cost of reinstatement of the
destroyed or damaged property thereby insured as may be incurred solely by the reason of the
necessity to comply with building or other regulation under of framed in pursuance of any
Government Act or Bye-Law of any Municipal or Local Authority provided that: -

a. The amount recoverable under this extension shall not include: -

a. The cost incurred in complying with any of the aforesaid Regulations or Bye-Laws
(i) In respect of destruction or damage occurring prior to the granting of this extension.
(ii) In respect of destruction or damage not insured by the policy.
(iii) Under which notice has been served upon the insured prior to the happening of the
destruction or damage.
(iv) In respect of undamaged property or undamaged portions of property.
b. The additional cost that would have been required to make good the property damaged
or destroyed to a condition equal to its condition when new has the necessity to comply
with any of the aforesaid Regulations or Bye-Laws not arisen.
c. The amount of any rate, tax, duty, development, or other charge or assessment, arising
out of capital appreciation which may be payable in respect of the property or by the
owner thereof by reason of compliance with any of the aforesaid Regulations or Bye-
Laws.

b. The work of reinstatement must be commenced and carried out with reasonable dispatch
and in any case must completed within twelve months after the destruction or damage or
within such further time as the Insurer may (during the said twelve months) in writing allow
and may be carried out wholly or partially upon another site (if the aforesaid Regulations or
Bye-Laws so necessitate) subject to the liability of the Insurer under this extension not being
thereby increased.

c. If the liability of the Insurer under (any item of) the policy apart from this extension shall be
reduced by the application of any of the terms and conditions of the Policy then the Liability
of the Insurer under this extension (in respect of any such item) shall be reduced in like
proportion.

d. The total amount recoverable under any item of the Policy shall not exceed the sum insured
thereby.

e. All the conditions of the Policy except insofar as they may be hereby expressly varied shall
apply as if they had been incorporated herein.

30. Prior Used/Occupancy Clause

In the event that the Insured Property or any part of the Insured Property under Section I shall
have been handled over to and/or taken into use by the Insured Employer and/or by the
User, cover under of this Policy shall continue until the expiry date of the Period of Insurance
stated in the Schedule of the Policy and/or any extension thereof agreed by the Insurers.
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31. Partial Completion Clause
In the event that the Insured Property or any part of the Insured Property under Section I shall
have been handled over to and/or taken into use by the Insured Employer and/or by the User,
cover under section I & II of this policy shall continue until the expiry date of the Period of
Insurance stated in the schedule of the policy and/or any extension thereof agreed by the
Insurers.

32. Payment on Account

It is hereby declared and agreed that progress payment on account of any loss recoverable under
this policy will be made to the Insured at such stages as may be mutually agreed upon if desired
by the Insured and on production of an interim report by the loss adjuster (if appointed) provided
that such payment are deducted from the final agreed claim settlement.

33. Prorate Additional Premium for Extension Period

It is agreed and understood that otherwise subject to the terms, exclusions, provisions and
conditions contained in the policy or endorsed thereon, the additional premium for extension
period of cover will be calculated on prorate basis.

34. Prorate Return Premium Clause (For what so evere cause)

Notwithstanding anything contained to the contrary, cancellation of any certificate under this
policy and/or the cancellation of the Master policy arranged for this Programme, return premium,
if any shall be subject to prorate premium calculation basis.
It is further noted and agreed that in case of cancellation is requested by the Insured, the return
premium shall only be allowed if the claim (if any) occurred during the period of Insurance is less
than the gross premium stated in the policy schedule.

35. Riot, Strike and Civil Commotion

It is agreed and understood that otherwise subject to the terms, exclusions, provisions and
conditions contained in the Policy or endorsed thereon this Policy shall be extended to cover loss
or damage due to Strike, Riot and Civil Commotion which for the purpose of this Endorsement
shall mean (subject always to the Special Conditions hereinafter contained) loss or damage to the
property insured directly caused by:

1. The act of any person taking part together with other in any disturbance of the public peace
(whether in connection with a strike or lock-out or not) not being an occurrence mentioned
in Condition 2 of the Special Conditions hereof.
2. The action of any lawfully constituted authority in suppressing or attempting to suppress any
such disturbance or in minimising the consequences of any such disturbance.
3. The willful act of any striker or locked-out worker performed in furtherance of a strike or in
resistance to a lockout.
4. The action of any lawfully constituted authority in preventing or attempting to prevent any
such act or in minimising the consequences of any such act.

Provided that it is hereby further expressly agreed and declared that:

1. All terms, exclusion, provisions and conditions of the Policy shall apply in all respect to the
insurance granted by this extension save insofar as the same are expressly varied by the
following Special Conditions and any reference to loss or damage in the Conditions of the
Policy shall be deemed to include the perils hereby insured against.
2. The following Special Conditions shall apply only to the insurance granted by this extension
and the wording of the Policy shall apply in an all respect to the insurance granted by the
Policy as if this Endorsement had not been made thereon.

Special conditions: -
1. This insurance shall not cover:
a. Loss or damage resulting from total or partial cessation of work or the regarding or
interruption or cessation of any process or operation.
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b. Loss or damage occasioned by permanent or temporary dispossession resulting from
confiscation, commandeering or requisition by any lawfully constituted authority.
c. Loss or damage occasioned by permanent or temporary dispossession of any building
resulting from the unless full occupation by any person of such building.
d. Consequential loss or liability of any kind or description, any payments over and above
the indemnity for the material damage as provided herein.

Provided nevertheless that the Insurers are not relieved under b) or c) above of any liability to the
Insured in respect of physical damage to the property insured occurring before dispossession or
during temporary dispossession.

2. This insurance does not cover any Loss or Damage occasioned by or through or in
consequence, directly or indirectly, of any of the following occurrences, namely:
a. War, invasion, act of foreign enemy, hostilities or warlike operation (whether war be
declared or not), civil war.
b. Mutiny, civil commotion assuming the proportions of or amounting to a popular rising,
military rising, insurrection rebellion, revolution, military or usurped power.
c. Any act of any person acting on behalf of or in connection with any organization with
activities directed toward the overthrow by force of the government de jure or de facto
or to the influencing of it by terrorism of violence.

In any action, suit or other proceeding, where the Insurers alleges that by reason of the
provisions of this conditions any loss or damage is not covered shall be upon the Insured.

3. This insurance may at any time be terminated by the Insurers on notice to that effect being
given by registered post to the Insured's last known address, in which case the Insurers shall
be liable to repay a rate-table proportion of the premium for the unexpired term from the
date of termination.

4. This limit of indemnity any one occurrence as stated below shall be understood to limit the
indemnity for all loss or damage covered by this Endorsement during a consecutive period of
168 hours.

36. Replacement Value Clause

It is hereby noted and agreed that in the event of the constructed property insured being
destroyed or damage (occurred within construction period and/or maintenance period), the basis
upon which the amount payable under this policy to be calculated shall be the cost of replacing
or reinstating the items to their conditions immediately before the occurrence of the damage.

37. Time Adjustment Clause (72 hours) – for earthquake / volcanic eruption / tsunami
only
It is understood and agreed that each loss by Earthquake / Volcanic Eruption shall constitute a
single claim hereunder provided if more than one incidence from the same source shall occur
within any period of seventy two (72) consecutive hours during the term of this policy, such
incidence shall be deemed to be a single Earthquake / Volcanic Eruption as respects the limits
and deductible applicable thereto.

38. Cover for Testing & Commissioning (4 weeks for brand new machineries only)
It is agreed and understood that otherwise subject to the terms, exclusions, provisions and
conditions contained in the Policy or endorsed thereon, the period of cover shall be extended to
include a test operation or a test loading but not beyond 4 week(s) from the date of
commencement of the test.

39. Terrorism Exclusion Endorsement

Notwithstanding any provision to be the contratry within this Insurance or any
endorsement thereto it is agreed that this insurance excludes loss, damage, cost or expense
of whatsoever nature directly or indirectly caused by, resulting from or in connection with
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any other cause or event contributing concurrently or in any other sequence to the loss;

War, invasion, acts of foreign enemies, hostilities or warlike operation (whether war be
declared or not), civil, war, rebellion. Revolution, insurrection, civil commotion assuming the
proportions of or amounting to an uprising, military or usurped power, or

Any act of terrorism

For the purpose of this endorsement an act of terrorism means an act, including but not
limited to the use of power or violence and/or the threat thereof, of any person or group(s) of
person, wherher acting personal or on behalf of or in connection with any organization(s) or
government(s), committed in committed in political, religious, ideological or similar purpose
including the intention to influence any government and/or to put the public. Or any section
of the public in fear

This endorsement also excluded loss, damage, cost or expense of whatsoever nature
directly or indirectly caused by, resulting from or in connection with any action taken in
controlling, preventing, suppressing or in any way relating to (1) and/or (2) above

If the Underwriters allege that by reason of this exclusion, any loss, damage, cost or expense is
not covered by this Insurance. The burden of proving the contrary shall be upon the Assured
In the event any proven of this endorsement is found to be invalid unenforceable, the
remainder shall remain in full force and attack

40. E-Data Exclusion Clause NMA 2915

Notwithstanding any provision to the contrary within the Policy or any endorsement
thereto, it is understood and agreed as follows: (a) This Policy does not insure loss, damage,
destruction, distorsion, erasure, corruption or alteration of ELECTRONIC DATA from any cause
whatsoever (including but not limited to COMPUTER VIRUS) or loss of use, reduction in
functionality, cost, expense of whatsoever nature resulting therefrom, regardless of any other
cause or event contributing concurrently or in any other sequence to the loss. ELECTRONIC DATA
means facts, concept and information converted to a form useable for communications,
interpretation or processing by electronic and electromechanical data processing or electronically
controlled equipment and includes programmes, software and other coded instructions for the
processing and manipulation of data or the direction and manipulation of such equipment.
COMPUTER VIRUS means a set of corrupting, harmful or otherwise unauthorised instructions or code
including a set of maliciously introduced unauthorised instructions or code, programmatic or
otherwise, that propagate themselves through a computer system or network of whatsoever
nature. COMPUTER VIRUS includes but not limited to ‘Trojan Horses’, ‘Worms’ and ‘Time or logic
bombs’. (b) However, in the event that a peril listed below results from any of the matters
described in paragraph (a) above, this policy, subject to all its time, conditions and exclusions, will
cover physical damage occurring during the Policy period to property Insured by this Policy directly
caused by such listed peril.

Listed Perils

Fire
Explosion

41. War and Civil War Exclusion

This agreement does not cover any liability assumed by the Insured for loss or damage
directly or indirectly occasioned by happening through or in consequence of war, invasion, acts
of foreign enemies, hostilities or war-like operations (whether war be declared or not), civil war,
mutiny, civil commotion assuming the proportions of or amounting to popular rising, military rising,
insurrection, rebellion, revolution, military or usurped power, martial law, confiscation or
nationalization or requisition or destruction of or damage to property by or under the order of any
Government or public or local authority.
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42. Communicable Desease Clause (LMA 5393)

1. This policy, subject to all applicable terms, conditions and exclusions, covers losses attributable to
direct physical loss or physical damage occurring during the period of insurance. Consequently and
notwithstanding any other provision of this policy to the contrary, this policy does not insure any loss,
damage, claim, cost, expense or other sum, directly or indirectly arising out of, attributable to, or
occurring concurrently or in any sequence with a Communicable Disease or the fear or threat
(whether actual or perceived) of a Communicable Disease.

2. For the purposes of this endorsement, loss, damage, claim, cost, expense or other sum, includes,
but is not limited to, any cost to clean-up, detoxify, remove, monitor or test:

2.1. for a Communicable Disease, or

2.2. any property insured hereunder that is affected by such Communicable Disease.

3. As used herein, a Communicable Disease means any disease which can be transmitted by means of
any substance or agent from any organism to another organism where:

3.1. the substance or agent includes, but is not limited to, a virus, bacterium, parasite or other
organism or any variation thereof, whether deemed living or not, and
3.2. the method of transmission, whether direct or indirect, includes but is not limited to, airborne
transmission, bodily fluid transmission, transmission from or to any surface or object, solid, liquid or
gas or between organisms, and
3.3. the disease, substance or agent can cause or threaten damage to human health or human
welfare or can cause or threaten damage to, deterioration of, loss of value of, marketability of or loss
of use of property insured hereunder.
4. This endorsement applies to all coverage extensions, additional coverages, exceptions to any
exclusion and other coverage grant(s).

All other terms, conditions and exclusions of the policy remain the same.

43. Clause 19.2.A

It is agreed that the Insured by this section extends to include all sums which the Insured shall
become legally liable to pay in connection with damage to property other than the Property Insured
under section I caused by collapse, subsidence, vibration, weakening or removal of support or
lowering of ground water arising out of or in the course of or by reason of the carrying out of the
Insured Contract Works except the damage:-
1. Which can be reasonably be foreseen to be inevitable having regard to the nature of the work
to be executed or the manner of its executions.
2. Arising from a nuclear risk or war risk.

Also the Insurers shall not be liable for:-

a. Claim in respect of damage to building declared by Public Work Department to be
dangerous
b. Any expenses incurred in taking safety measures to prevent damage to Third Party
Property.

44. Cross Liability Clause

It is understood and agreed that subject to the terms, exclusions, provisions and conditions
contained in the Policy or endorsed thereon and subject to the Insured having paid the agreed
extra premium, the Third Party Liability cover of the policy shall apply to the insured parties
named in the schedule as if a separate policy had been issued to each party, provided that the
Insurers shall not indemnify the Insured under this Endorsement in respect of liability for

- loss of damage to items insured or insurable under section I of the Policy, even if not
recoverable due to an excess or any limit
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- fatal or non-fatal injury or illness of employees or workman who are or could have been
insured under workmen’s compensation and/or employer’s liability insurance.

The Insurer’s total liability in respect of the insured parties shall not however exceed in the
aggregate for any one accident or series of accidents arising out of one event the limit of
indemnity stated in the schedule.

45. Indonesian Jurisdiction Clause

It is understood and agreed that the Insurers will be under no liability in respect of
i. Compensation for injury loss or damage in respect of judgements delivered or obtained
except through a court of competent jurisdiction within the Republic of Indonesia.
ii. Costs and expenses of litigation recovered by any claimant from the Insured which are not
incurred and recoverable in the Republic of Indonesia.
iii. Costs and expenses incurred by the Insured in the defense of any claim outside the Republic
of Indonesia.

46. Insured’s Consultant Clause (including Board of Directors of Principal/owner’s representative

who are in charge in the project)
It is agreed that the Insured’s Consultants and other Professional Advisers, Board of Director of
Principal who are in charge in the project shall be deemed to be third parties.

47. Waiver of Subrogation

Subrogation right of the Insurers against Companies where the Insured have interest in or
Companies having an interest in the Insured is hereby waived by the Insurers.

48. LMA 5393 Communicable Disease Endorsement

1. This policy, subject to all applicable terms, conditions and exclusions, covers losses
attributable to direct physical loss or physical damage occurring during the period of
insurance. Consequently and notwithstanding any other provision of this policy to the
contrary, this policy does not insure any loss, damage, claim, cost, expense or other sum,
directly or indirectly arising out of, attributable to, or occurring concurrently or in any
sequence with a Communicable Disease or the fear or threat (whether actual or
perceived) of a Communicable Disease.

2. For the purposes of this endorsement, loss, damage, claim, cost, expense or other
sum, includes, but is not limited to, any cost to clean-up, detoxify, remove, monitor or test:

2.1. for a Communicable Disease, or

2.2. any property insured hereunder that is affected by such Communicable Disease.

3. As used herein, a Communicable Disease means any disease which can be transmitted by
means of any substance or agent from any organism to another organism where:

3.1. the substance or agent includes, but is not limited to, a virus, bacterium, parasite or
other organism or any variation thereof, whether deemed living or not, and

3.2. the method of transmission, whether direct or indirect, includes but is not limited to,
airborne transmission, bodily fluid transmission, transmission from or to any surface or
object, solid, liquid or gas or between organisms, and

3.3. the disease, substance or agent can cause or threaten damage to human health or
human welfare or can cause or threaten damage to, deterioration of, loss of value of,
marketability of or loss of use of property insured hereunder.
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4. This endorsement applies to all coverage extensions, additional coverages, exceptions to

any exclusion and other coverage grant(s).

All other terms, conditions and exclusions of the policy remain the same.

LMA5393
25 March 2020

49. Non – Cancellation by the Insurer except in the event of non payment premium
This Policy may not be cancelled by the Assurers, except for non-payment of premium, in
which case the Assurers shall give the Assured at least 30 days prior written Notice of
Cancellation by mail at the address of the Assured.