Page 29 - Hollard Business Branch Policy Wording

Fire
OPTIONAL CLAUSES AND EXTENSIONS (if stated in the Schedule to be included) Average extension: Day One Basis (non-adjustable) – applicable to buildings and machinery only
The items to which this Extension applies and their declared values are shown in the Schedule.
1. The Insured having stated in wri ng the declared value incorporated in each item to which this Extension applies and the premium has been calculated accordingly.
'Declared Value' shall mean the Insured's assessment of the cost of reinstatement of the property insured arrived at in accordance with the rst paragraph of the Reinstatement Value Condi ons at the level of costs applying at the incep on of the period of insurance (ignoring in a onary factors which may operate subsequently to the xing of the Declared Value) together with, in so far as the insurance by the item provides, due allowance for:
1.1 the addi onal costs of reinstatement to comply with Public Authority Requirements (as stated herein);
1.2 architects' and other professional fees (as stated herein);
1.3 costs of demoli on and clearing and erec on of hoardings (as stated herein).
2. At the incep on of each period of insurance, the Insured shall no fy the Company of the declared value of the property by each of the said item(s). In the absence of such declara on, the last amount declared by the Insured shall be taken as the declared value for the ensuing period of insurance.
3. Notwithstanding any General Condi on or endorsement to the contrary, the following wording applies to Provision 3 of the Reinstatement Value Condi ons:
"Each item insured under these condi ons is declared to be separately subject to the following condi on of average, namely:
if, at the me of damage, the declared value of the property covered by such item be less than the cost of reinstatement (as de ned in paragraph 1 above) at the incep on of the period of insurance, then the Company's liability for any loss hereby insured shall be limited to that propor on thereof which the declared value bears to such cost of reinstatement."
The following special memorandum is added to the Reinstatement Value Condi ons:
Where, by reason of any of these condi ons, no payment is to be made beyond the amount which would have been payable under the policy if this Extension had not been incorporated therein, the rights and liabili es of the Company and the Insured in respect of the destruc on or damage shall be subject to the terms and condi ons of the Policy including any condi on of average therein, as if this Extension had not been incorporated therein, except that the total amount payable shall be limited to a maximum of the percentage of the declared value shown in the Schedule.
4. In the event of loss, the liability of the Company in respect of property to which this Extension applies shall not exceed the sums insured stated in the Schedule.
5. If this Sec on of the Policy is subject to a capital addi ons clause, then such clause is deleted and replaced by the following:
"The insurance hereby extends to cover altera ons, addi ons and improvements (but not apprecia on in value in excess of the sums insured) to property speci ed herein (other than stocks) for an amount not exceeding 10% (ten percent) of such sums insured, it being understood that the Insured undertakes to advise the Company each quarter of such altera ons, addi ons and improvements and to pay the appropriate addi onal premium thereon".
Brands and labels
In the event of loss or damage to property insured carrying a brand name, trade mark or label or where the sale of such property in any way carries a guarantee or where the sale of such property might have an adverse e ect upon the market value of similar property, the Company agrees to remove all such brand names, trademarks, labels or guarantees before disposing of and determining the value of the salvage.
It is further agreed that, on containers from which the brand name, trade mark, label or guarantee cannot be removed, the contents will be removed to plain containers;
Page | 28 Hollard Business Policy – Branch – Version 1 2018