Page 127 - Agriculture Policy Wording Binder

Combined Liability (Claims-made Basis)
2. Legal defence costs
Extension 13 relating to legal defense costs is amended to include the following acts:
The Liquor Act No. 27 of 1989 (as amended) The Tourism Act No. 72 of 1993 (as amended) The Health Act No. 63 of 1977 (as amended).
Inefficacy (Not applicable to wine and related products)
In consideration of the payment of an additional premium and notwithstanding anything to the contrary contained in Additional Specific Exception 3 applicable to Sub-Section 1, the Company will indemnify the Insured for loss or damages for which the Insured shall become legally liable to pay consequent upon inefficacy of products delivered by the Insured.
For the purpose of this Extension Inefficacy shall mean claims made against the Insured for economic loss(es) sustained by reason of the claimant alleging that his/her/their product(s) as described in the Schedule:
1. has not achieved its anticipated production value
2. has not been capable of full beneficial use;
PROVIDED THAT:
1. the limit of indemnity under this Extension shall not exceed R500 000 (five hundred thousand rand) any one event or series of events with one original cause and R1 000 000 (one million rand) any one (annual) period of insurance
2. the Insured shall be responsible for the First Amount Payable of 10% (ten percent) of claim, with a minimum of R2 500 (two thousand five hundred rand) or the amount stated in the Schedule, whichever is the greater, in respect of each and every claim.
Liability consequent upon the bursting or overflowing of a dam wall
In consideration of the payment of an additional premium the words “including the bursting of a dam wall” in terms of Specific Exception 6.2 of Sub-Section 1 of this Section is cancelled;
PROVIDED THAT:
1. the amount payable in terms of this Extension inclusive of any legal costs recoverable from the Insured by a claimant or any number of claimants and all other costs and expenses incurred with the Company’s consent for any one event or series of events with one original cause or source, or during any one (annual) period of insurance, shall not exceed in the aggregate the limit of indemnity for this Extension stated in the Schedule
2. the Insured shall be responsible for the First Amount Payable of 10% (ten percent) of the claim, with a minimum of R1 000 (one thousand rand) or the amount stated in the Schedule of each and every claim.
Products guarantee
In consideration of the payment of an additional of premium and notwithstanding anything contained to the contrary in the Definition of Product as Defined, the Company will indemnify the Insured in accordance with the Defined Events for the cost of removal, recovery, repair, alteration, treatment or costs for replacement of any product or part thereof (including containers and labels) which fails to fulfill its intended function or to perform as specified, warranted or guaranteed;
PROVIDED THAT:
1. the Insured shall be responsible for the First Amount Payable of 10% (ten percent) of claim with a minimum of R25 000 (twenty five thousand rand) or the amount stated in the Schedule, whichever is the greater, in respect of each and every claim;
2. the amount payable in terms of this Extension inclusive of any legal costs recoverable from the Insured by a claimant or any number of claimants and all other costs and expenses incurred with the Company’s consent for any one event or series of events with one original cause or source or during any one (annual) period of insurance, shall not exceed in the aggregate the limit of indemnity for this Extension stated in the Schedule;
3. export of wine must under all circumstances conform to the legislation of the country to which the wine is exported to;
4. Exclusion 5 of Sub-Section 2 shall still apply.
Policy Wording – Agriculture – Binder – Version 2 2023 Page | 125