The Policyholder shall read this Policy carefully, and if any error or misdescription be found herein or if the cover were not in accordance with the wishes of the Policyholder, advice should at once be given to the Company and the Policy returned for attention.

The Company shall not be liable for :-

1. Any loss or damage sustained

a) Outside the Territorial Limit stated in the Schedule;

b) Whilst the Equipment is being used on a Road as defined in the Road Traffic Ordinance for the time being in force in the Territory stated in the Territorial Limit;

c) Whilst in transit (including the process of loading and unloading);

d) Whilst the Equipment is operated by any person other than an Authorised Operator as stated in the Schedule;

e) Whilst the Equipment is used otherwise than in accordance with the Limitations as to Use as stated in the Schedule;

f) Whilst the Equipment is operated by an Authorised Operator who is under the influence of intoxicating liquor or drugs.

2. Any consequential loss or legal liability whatsoever.

3. The amount in the Excess Clause as stated in the Schedule.

4.

a) Any loss or damage caused by or any latent or mechanical defect, mechanical derangement, mechanical or electrical failure, breakages, depreciation, atmospheric conditions or any other gradually operating cause.

b) Mechanical or electrical breakdown or wear and tear.

c) Loss or damage caused by overloading or strain.

d) Damage caused by explosion of any boiler forming part of or attached to or on the Equipment.

5. Loss or damage caused by the wilful or dishonest act of the Insured’s employees or of or with the connivance of the Insured or the dishonest act of any person to whom the Equipment is entrusted.

6. Loss of accessories and parts unless the Equipment is stolen at the same time.

7. Loss of or damage to :-

a) Tyre or wheels or tracks unless the Equipment is also damaged at the same time;

b) The canopy unless caused by or resulting from the overturning of the Equipment..

8. Loss or damage caused by or arising out of a contributed to by a traceable to earthquake, volcanic eruption, flood, typhoon, hurricane, landslip, subsidence or other convulsion of nature.

9.

a) Loss or damage directly or indirectly occasioned by or through or in consequence of :-

i) War invasion act of foreign enemy hostilities or warlike operations (whether war be declared or not).

ii) Civil war mutiny civil commotion assuming the proportions of or amounting to a popular rising military rising insurrection rebellion revolution conspiracy military or usurped power.

iii) Martial law or state of siege or any of the events or causes which determine the proclamation or maintenance of martial law or state of siege.

iv) Any act of any person acting on behalf of or in connection with any orgAnisation with activities directed towards the overthrow by force of any de jure or de facto Government or to the influencing of it by terrorism or violence or looting or pilferage in connection with any of the aforementioned occurrences.

b) Any consequence of strike or riot.

c) Delay, seizure, confiscation or detention by Government Authorities.

10. Loss or damage directly or indirectly caused by contributed to by or arising from :-

a) Ionizing radiations or contamination by radioactivity from any nuclear fuel or from any nuclear waste from the combustion of nuclear fuel. For the purpose of this exclusion combustion shall include any self-sustaining process of nuclear fission.

b) Nuclear weapons material. Bahan-bahan senjata nuklear.

11. Any sum which the Insured would have been entitled to recover from any party but for an agreement between the Insured and such party.

1. This Policy and the Schedule shall be read together as one Contract and any word or expression to which a specific meaning has been attached in any part of this Policy or of the Schedule shall bear such specific meaning wherever it may appear.

2. Every notice or communication to be given or made under this Policy shall be delivered in writing to the Company.

3. The Insured shall take all reasonable steps to safeguard the Equipment insured from loss or damage and to maintain it in efficient condition and the Company shall have at all times free and full access to examine the Equipment or any part thereof or any Operator or employee of the Insured. In the event of any accident which may give rise to a claim under this Policy the Equipment shall not be left unattended without proper precautions being taken to prevent further loss or damage and if the Equipment to be operated before necessary repairs are effected any extension of the damage or any other damage to the Equipment shall be excluded from the scope of the indemnity granted by this Policy.

4. On the happening of any loss or damage which may give rise to a claim under this Policy the Insured shall immediately give notice thereof to the Company and shall within 14 days after the loss or damage or such further times as the Company may in writing allow in the behalf, deliver to the Company a detailed claim in writing for the loss or damage. No claim under this Policy shall be payable unless this condition has been complied with.

5. The Insured shall not incur any expense in making good any loss or damage without the written consent of the Company and shall not negotiate pay settle admit or repudiate any claim without the like consent.

6. The Company shall be entitled to undertake in the name and on the behalf of the Insured the absolute conduct control and settlement of any proceedings and to take proceedings as its own expense and for its own benefit but in the name of the Insured to recover compensation or secure indemnity from any third party in respect of anything covered by this Policy.

7. If any claim under this Policy shall be in any respect fraudulent or if any fraudulent means or devices are used by the Insured or anyone acting on his behalf to obtain any benefit under this Policy any benefit hereunder shall be forfeited.

8. If at the time any claim arises under this Policy there is any other Insurance covering the same loss or damage the Company shall not be liable to pay or contribute more than its rateable proportion of any such loss or damage.

9. If the Equipment insured by this Insurance shall at the time of any loss be of greater value than the Sum Insured hereby, then the Insured shall be considered as being this own insurer for the difference, and shall bear or rateable proportion of the loss accordingly. Every time, if more than one, of the Policy shall be separately subject to this Condition.

10. The Company may cancel this Policy by sending fourteen day’s notice by registered letter to the Insured at his last know address and in such event will return to the Insured the premium paid less the pro-rata portion thereof for the period the Policy has been in force or the Policy may be cancelled at any time by the Insured on even day’s notice and (provided no claim has arisen during the current Period of Insurance) the Insured shall be entitled to a return of premium less premium at the Company’s short period rates for the period the Policy has been in force.

11. All differences arising out of this Policy shall be referred to the decision of an Arbitrator to be appointed in writing by the parties in difference or if they cannot agree upon a single Arbitrator to the decision of two Arbitrators one to be appointed in writing by each of the parties within one calendar month after been required in writing so to do by either of the parties or in case the Arbitrators do not agree of an Umpire appointed in writing by the Arbitrators before entering upon the reference. The Umpire sit with the Arbitrators and preside at their meetings and the making an award shall be a condition precedent to any right of action against the Company. If the Company shall disclaimer liability to the Insured or any claim hereunder and such claim shall not within twelve months from the date of such disclaim have been referred to arbitration under the previous herein contained then the claim shall for all purposes be deemed to have been abonded and shall not thereafter be recoverable hereunder.

12. The due observance and fulfillment of the Terms and Endorsements of this Policy insofar as the relate to anything to be done or not to be done by the Insured and the truth of the statements and answers in the proposal shall be conditions precedent to any liability of the Company to make any payment under this Policy.

The attention of the Policyholder is draw to Conditions 2,4 and 5 of this Policy.

By reasons of the Conditions referred above :

If the Policyholder or person driving the vehicle at the time of the accident :-

1.

a) Fails to give prompt notice to the Company in writing of the occurrence of the accident;

b) Fails to inform the Company of any writ summons or other notice of impending claim. OR Without prior advice to and receipt of written authority from the Company :-

2.

a) Admits responsibility for the accident;

b) makes any promise or offer or compensation of indemnity in respect thereof;

c) Pay any sum by way of compensation or fine.

The Policyholder shall not be entitled to any benefit under this Policy and the Company shall be entitled to be indemnified by the Policyholder to the extent of any sum paid by the Company by virtue of statue or otherwise.

It is a fundamental and absolute special condition of this contract of insurance that the premium due must be paid and received by the insurer within sixty (60) days from the inception date of this Policy/Endorsement/Renewal Certificate.

If this condition is not complied with then this contract is automatically cancelled and the insurer shall be entitled to the pro rata premium for the period they have been on risk.

Where the premium payable pursuant to this warranty is received by an authorized agent of the insurer, the payment shall be deemed to be received by the insurer for the purposes of this warranty and the onus of proving that the premium payable was received by a person including an Insurance Agent, who was not authorized to receive such premium shall lie on the insurer.

Your attention is drawn to the 60 days premium warranty attached to the policy.

By this warranty, the insurance policy is automatically cancelled unless the full premium is paid to the insurer within 60 days from the commencement date of cover. Please note that if this insurance is transacted through your insurance broker, the broker is acting on your behalf for the purpose of formation of this contract of insurance. It is important that you make full payment of the premium to your broker as soon as possible and in any case within the 60 days period of the premium warranty so as to enable your broker to remit the premiums early to your insurer. You are advised to request your broker to furnish you with the broker’s and insurer’s receipt on the premium that you paid.

Disputes can be referred to Financial Mediation Bureau (FMB) Tel No : 03-2272 2811