Asset Protection Machinery Damage Exceptions


The following exceptions apply to this Endorsement


(Also refer to the Policy Exceptions at the back of this policy booklet). (1) We do not include


(a) precommissioning inspections, laboratory services, consultation work, load testing, non-destructive testing, thermographic testing, checking of drawings or design inspection prior to sale or purchase unless agreed by Us in writing


(b) visits in excess of those agreed at inception of this Section or inspections following repairs


(c) liquidated damages, penalties for delay, detention or guarantees of performance or efficiency, or consequential loss


(d) any additional fees levied by Our Inspection Service Provider for carrying out inspections on Saturdays, Sundays, Public Holidays or outside normal working hours where performed at Your request


(e) the maintenance or repair of any item.


(2) We will not be liable for any failure of Our Inspection Service Provider to carry out inspections in accordance with this Endorsement.


Conditions


The following conditions apply to this Endorsement. (Also refer to the Policy Conditions at the back of this policy booklet).


(1) Calculation of Fees


The fees payable by You have been calculated in accordance with the details of plant provided by You at inception and are adjustable in the following circumstances.


(a) First Fee


Where no details of plant have been provided We may adjust the fee after inspection of the plant to reflect the amount of work undertaken.


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(b) Renewal


The fee will be adjustable at the first and any subsequent renewal to take account of the plant to be inspected during the subsequent period.


(c) Annual Adjustment


Where there have been any additions to or deletions from the plant to be inspected during the previous Period of Insurance, an additional fee will be payable or a return fee allowed. This will be calculated at 50% of the difference between the fee paid at the beginning of the period and the fee calculated on the plant inspected during the period.


(d) VAT Value added tax is chargeable on all fees.


(2) Notification of Changes


You will provide Us or Our Inspection Service Provider with details of (a) any additional plant


(b) plant which has been permanently withdrawn from service as soon as possible.


(3) Preparation of Plant


At the times agreed with Our Inspection Service Provider and at Your own expense, You will have the plant properly cleaned and prepared for examination and reassemble the plant afterwards unless We have specifically agreed otherwise.


(4) Provision of Assistance


You will provide all assistance reasonably required by Our Inspection Service Provider in carrying out the inspections.


(5) Responsibility for Statutory Inspections


Our agreement to arrange inspections does not relieve You of Your legal responsibility to ensure that all statutory inspections are carried out.


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