Page 44 - Policy Wording - Hollard Business Binder (2020-08-26)

Fire
5.7.4 The warranty to apply:
"It is a condition precedent to liability and it is warranted that the Insured shall implement and maintain all the requirements in respect of firefighting equipment by:
a) complying with the relevant municipal by-laws, national building regulations and any national legislation that may be applicable;
b) ensuring that all equipment is maintained and serviced by a competent service provider or agent of the manufacturer;
c) ensuring that equipment is serviced and inspected annually in accordance with the manufacturer's specifications;
d) properly locating all signage so that it is clearly visible and unobstructed;
e) keeping a record of annual services of firefighting equipment;
f) educating and training staff in the operation of such firefighting equipment on the premises."
5.8 Bush clearance
5.8.1 This is an important warranty that should apply to Fire, Buildings Combined, Office Contents sections and Thatch risks.
5.8.2 To limit exposure apply the following warranty:
"It is a condition precedent to liability and it is warranted that cover provided by this Policy is subject to the clearance and maintenance of all bush, grass, flammables and weeds up to 5m (five metres) away from any building or other insured structures."
5.9 Chimney maintenance
5.9.1 Read in conjunction with the section on Thatch and non-standard construction.
5.9.2 Thatch risks should also have the warranty applicable.
5.9.3 The warranty to apply:
"It is a condition precedent to liability and it is warranted that all chimneys must be cleaned and serviced at least twice during the period of insurance and maintained during the operational period and kept in good working order. Log books of maintenance must be made available to the Company on request."
5.10 Vehicles in the open
5.10.1 Motor dealerships are the largest risk. While some areas are more prone to hail than others, always ensure that vehicles are parked under hail nets. Apply a hail damage excess of 10% (ten percent) of claim minimum R1 500 (one thousand five hundred rand) per vehicle.
5.10.2 Be mindful of the surrounding areas of the parked vehicles as this may impact the risk, e.g. an open veld.
5.10.3 The following warranty should apply:
"Notwithstanding the provisions of the special perils extension forming part thereof, this section is extended to include hail damage to motor vehicles situated in the open;
PROVIDED THAT
a) The motor vehicles are protected by either hail nets or substantial rigid roofing.
b) The Insured shall be responsible for the first 10% (ten percent) of claim min R1 500 (one thousand five hundred rand) per vehicle in respect of loss or damage admitted in terms of this extension."
5.11 Pallet warranty
5.11.1 Where a business has bulk stock on the premises or if the occupation is noted as warehousing, the stock must be palletised in order to prevent water damage in the event of flood or leakage.
Commercial Underwriting Mandates and Guidelines – Binder – Version 2 2020 43