Page 146 - Liability Insurance IC74

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Q4. Mention the liabilities excluded under public
liability policy (Industrial Risks) on grounds of:

Ans: (a) Public policy - Repeat Q6(b) of May 2008
The policy excludes the following liabilities :
(i) arising out of wilful or intentional and non-
compliance of any statutory provisions. The insured
has to declare in the proposal form that all the
statutory provisions are complied with. Non-
compliance would mean breach of utmost good faith.

(ii) in respect of findings, penalties, punitive and
exemplary damages. Payment of claims for fines,
penalties etc is contrary to public policy, hence not
covered. The policy place only in respect of statutory
liability under the Act.

(iii) arising under any other legislation except those
provided in Section 8, Subsection 1 and 2 of the
Act. Subsection 1 provides that the right to claim
relief under the Act shall be in addition to any other
right to claim compensation under any other law
(e.g common law). Subsection 2 provides that where
the owner is liable to give claim for relief under the
Act, is also liable to pay compensation under any
other law, the amount of such compensation being
reduced by the amount of relief treat under the Act.

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