Page 20 - Commercial - Underwriting Mandates & Guidelines Binder

15.1
15.2
15.3
Looking at the Lightning flash density map and list of main towns and lightning hazard noted above, we confirm that areas with a Ng:
15.1.1 below 4 are low-risk power surge hazards;
15.1.2 between 4 and 7 are medium power surge hazards;
15.1.3 above 8 are considered high risk power surge hazards.
The Power surge General Provision and Electronic Equipment section of the Hollard Business Policy wording requires equipment to be protected by SANS approved surge protection, alternatively a punitive deductible will apply.
South African & Namibia Lightning Flash Density (Ng) Map
Expressed as a number of flashes per square kilometre per year (km2 yr-1) (1996 Records)
Surveys
15.
2. during the agreed time-frame for implementation of the risk requirements per Hollard’s Risk Survey Improvements Report provided, the Insured will be responsible for the first amount payable of 10% (ten percent) of the claim with a minimum amount of R10 000 000 (ten million rand) (variable) for Fire/Business Interruption related covers and any other resultant damage."
• Existing Business:
"It is warranted that with effect from <insert date>:
1. The Insured shall have 30 days (variable) to provide Hollard with a written action plan which includes time-frames and supporting evidence (e.g. signed orders/invoices) demonstrating the Insured’s commitment to fully implement the risk requirements as set out in Hollard’s Risk Survey Improvements Report dated dd/mm/yyyy. Should the Insured fail to provide Hollard with the written action plan and supporting evidence by <insert date>, then the Fire/Business Interruption related covers and any other resultant damage will be suspended as of midnight on <insert date>;
2. Should the Insured fail to provide Hollard with written confirmation and supporting evidence of compliance of the risk requirements by the agreed time-frame as per Hollard’s Risk Survey Improvements Report provided, then the Fire/Business Interruption related covers and any other resultant damage will be suspended as of midnight on <insert date>."
Lightning/power surge cover requirements
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Commercial Underwriting Mandates and Guidelines – Binder – Version 4 2022