Draft
Geas 2010 Page 1 of 5 Summary Zubair no SRCC
Policy Schedule
TYPE: Construction/Erection All Risks and Third Party Liability insurance PRINCIPAL INSURED: [Eni Iraq BV] and all subsidiary (including subsidiaries thereof), affiliated,
associated and interrelated Companies, Corporations, Partnerships, Joint Ventures and/or Limited Liability Companies as now or may hereafter be constituted
INSURED'S ADDRESS: [xyz] [xyz] ADDITIONAL
INSURED: [EPC Contractor] and Project Managers, Contractors, Sub-Contractors of every tier; and for their site activities, Architects, Engineers (other than those included above), Suppliers, Manufacturers, Consultants, Vendors, Agents and Licensors, and any others for whom the Insured has instructions to insure, all whether named or not hereunder, as their respective rights and interests may appear.
All for their respective rights and interests. PERIOD: Initial Period of Insurance
From [GG/MM/AAAA] to [GG/MM/AAAA] both dates inclusive or until overall completion of the Project if sooner including Performance Testing as per the declared Project Schedule.
The Period of Insurance stated in the Schedule can be extended for a further period of up to [six (6)] months at an additional premium payable calculated at not greater than pro-rata of the original rate. Performance Testing extensions for a further period of up to [three (3)] months at a rate of 0.000 per mille per month or part thereof. Any further Extensions, including periods of Performance Testing are held covered at terms to be agreed by [lead reinsurer].
Defects Liability Period
[Twelve (12) months] from Project Completion Date as defined in the EPC Contract.
PROJECT
DESCRIPTION: The project management, design, engineering, procurement, construction, erection, testing, commissioning and initial operations and all ancillary and associated works in connection with the overall [Zubair Development Project] located in [Iraq] (and as maybe more fully defined in the Project agreements).
INTEREST: Section 1 - Construction / Erection All Risks
To indemnify the Insured parties in respect of all risks of physical loss or damage to the Insured Property during the Period of Insurance from any cause whatsoever as more fully defined in the Policy Wording
Section 2 - Third Party Liability
To indemnify the Insured against all sums which the Insured shall become legally liable to pay in respect of Bodily Injury to third parties and/or
Draft
Page 2 of 5
Property Damage to third party property happening or consequent upon a cause occurring during the Period of Insurance and arising out of or in connection with The Project anywhere within the Territorial Limits and as more fully expressed in the policy wording.
SUM INSURED or LIMIT OF LIABILITY (100%):
Section 1 - Erection/Construction All Risks USD [000000000] - The Estimated Project Value Section 2 - Third Party Liability
USD [50,000,000] each Occurrence arising out of one event unlimited as to the number of Occurrences during the Period of Insurance
DEDUCTIBLES
(100%): Section 1 - Erection/Construction All Risks USD [150,000] each and every loss except
USD [1,000,000] each and every loss in respect of Acts of God, Performance Testing, Commissioning and Defects Liability Period.
Section 2 - Third Party Liability
USD [50,000] each and every Occurrence SITUATION or
TERRITORIAL
SCOPE: Section 1 - Erection/Construction All Risks
Anywhere in [IRAQ] in connection with the Contract and in such other location as may be agreed by the insurer in respect of Section I.
Section 2 - Third Party Liability
Worldwide (excluding USA, Canada and Australia jurisdiction) CONDITIONS: Extensions to Section 1 - Erection/Construction All Risks
Debris Removal [25%] of loss subject max USD [20,000,000]; Emergency Services subject to a limit of max USD [5,000,000];
Professional Fees as per scale limited to a maximum liability of USD [5,000,000];
Expediting Expenses [20%] above normal costs maximum USD [5,000,000] per occurrence;
Airfreight USD [2,500,000] per occurrence;
Plans and Documents maximum liability shall not exceed USD [1,000,000] per occurrence;
Feedstocks, Fuels and Consumables USD [5,000,000] any one occurrence; Additional Import and Customs Duties;
Repeat Tests Clause;
Off-Site Storage USD [20,000,000] per storage location; Inland Transits USD [10,000,000] per conveyance; Offsite Fabrication USD [10,000,000] any one location;
Local Authorities - shall not exceed an additional USD [5,000,000] per occurrence;
Temporary Repairs (not forming part of the final repairs) USD [5,000,000]; Preventative Measures USD [5,000,000] per occurrence;
Removal to Place of Safety; Destruction of Insured Property;
Special considerations for open Trenches during laying of pipelines, ducts, cables ([3 Km] per section – [10 km] per loss event);
Special conditions concerning Safety Measures with respect to Precipitation, Flood and Inundation;
Draft
Page 3 of 5
Leak Search Costs USD [1,000,000] per section and [2,500,000] for period; Directional Drilling USD [5,000,000];
Property belonging to or held in the care, custody or control of the Insured according to the “Schedule of existing properties”
Memoranda to Section 1 - Erection/Construction All Risks Automatic Reinstatement;
Automatic Increase Clause not to exceed in full 120% of the Sum Insured; 72 Hour Clause;
50/50 clause; Free Issue Materials; Other Interests; Taking into use;
Exclusions to Section 1 - Erection/Construction All Risks Leg 2/96 for Pipelines;
LEG 3/96 for all other works;
Accounts, money, notes and similar property; Constructional plant & equipment;
Consequential Loss; Wear and tear;
Loss discovered by inventory; Piling works clause;
Damage to catalysts following introduction of feedstock; Electronic Data;
Refractory linings from first application of heat; Exclusions to Section 2 - Third Party Liability Mechanically propelled vehicles;
Persons under a contract of service; Property insured under Section 1; Infringement of patents;
Waterborne craft or vessel; Wilful Acts;
Aircraft;
Seepage, pollution or contamination; Professional Activities;
Asbestos; Fungus, Mould; Pure Financial Loss; Employment Practices;
Property in Insured's care, custody and control; Operational Activities;
USA, Canada and Australia jurisdiction; Contractual Liability;
Provision of advice or services in return for fee; Directors and Officers Liability;
Crops, Forests and Cultures; General Exclusions to All Sections Radiation;
War and terrorism; Penalties;
Political Risks;
General Conditions to All Sections Multiple insured clause;
Munitions of War; Claims procedures;
Draft
Page 4 of 5 Arbitration; Access; Primary Insurance; Change in Risk; Payments on Account; Reasonable Precautions; Premium Adjustment; Nominated Loss Adjuster; Loss Payee; Work Stoppages; Non-Cancellable; Waiver of Subrogation; Authorised Visitors; Misrepresentation; Errors and Omissions;NOTICES: Duty to disclose Material Information
Every proposer or Insured / Reinsured when seeking a new policy of insurance/reinsurance or cover for additional risks or renewal under an existing policy, must disclose any information that might influence the insurers/reinsurers in fixing the premium or determining whether to accept the risk. Failure to do so may entitle insurers/reinsurers to void cover from inception and seek repayment of paid claims. If you are in any doubt as to whether information is material, you should disclose it. The duty of disclosure is re-imposed when there are changes or variations in cover and when the insurance document is renewed or extended. In addition, changes that substantially increase the risk or relate to compliance with a warranty or condition in the insurance document must be notified at once.
CHOICE OF LAW AND JURISDICTION:
Notwithstanding any provisions of the reinsurance policy with respect to applicable law and jurisdiction, any dispute between the Reinsured and Reinsurer relating to this Reinsurance or to a claim (including but not limited thereto, the interpretation of any provision of the reinsurance agreement) shall be governed by and construed in accordance with the laws of [xxxxxxxxxxx ]
Each party agrees to submit to the exclusive jurisdiction of the Courts of [xxxxxxxxxxx]
PREMIUM/RATE
Draft
Page 5 of 5
