Restoring War Cover – Cancellation and Reinstatement Term Changes

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Credits: Diogo Hungria/Unsplash

A Nepia news source talks about War Risks Cover for Charterers, Non-Poolable Entries and Extended (Non-Poolable) Covers Restoring War Cover – Notice of Cancellation and Reinstatement Subject to Changes to Terms and Conditions.

Fixed premium entries in the Association

In accordance with Rule 24(2)(B) we hereby give notice that cover for War Risks under Rule 24(2) for Fixed premium entries in the Association (including but not limited to Charterers P&I) and War Risks cover provided under any extended covers (including, but not limited to Damage to Hull, Specialist Operations and Contractual Extensions – Members should check their Certificate of Entry for any affected cover or extended covers) is cancelled. This Notice takes effect immediately, termination effective at 00:00hrs GMT 1 January 2023.

From 00:00hrs GMT 1 January 2023, War Risks cover for such Fixed premium entries or War Risks cover restored pursuant to such extended covers will be reinstated, but subject to the following exclusion :-

“This cover excludes all loss, damage, liability, cost or expense:

(a) caused by or arising from or in connection with any Russia-Ukraine conflict and/or any expansion of such conflict; or

(b) in any area or territory or territorial waters where Russian armed forces, Russian-backed forces, and/or Russian authorities, are engaged in conflict within the territories (including territorial waters) of the Russian Federation, Belarus, Ukraine and any disputed regions of Ukraine, the Crimean Peninsula and the Republic of Moldova.

(c) arising from capture, seizure, arrest, detainment, confiscation, nationalisation, expropriation, deprivation or requisition for title or use, or the restraint of movement of vessels and cargo in the territories (including territorial waters) of the Russian Federation, Belarus, Ukraine and any disputed regions of Ukraine, the Crimean Peninsula and the Republic of Moldova.”

and from such time Proviso 24(2)(B) and Proviso 24(2)(C) applying to such reinstated War Risks cover are amended as follows :-

Proviso 24(2)(B) cover may be cancelled by the Managers giving seven days’ notice (such cancellation becoming effective on the expiry of seven days from midnight on the day on which Notice of Cancellation is issued by the Managers);

Amended to read :

Proviso 24(2)(B) cover may be cancelled by the Managers giving 72hrs notice (such cancellation becoming effective on the expiry of 72hrs from midnight on the day on which Notice of Cancellation is issued by the Managers);

Proviso 24(2)(C) whether or not such notice of cancellation has been given, cover shall terminate automatically:

(i) upon the outbreak of war (whether there be a declaration of war or not) between any of the following countries: United Kingdom, United States of America, France, The Russian Federation, The People’s Republic of China and this insurance excludes loss, damage, liability or expense arising from such outbreak of War:

(ii) in the event of the Entered Ship being requisitioned either for title or use, and this insurance excludes loss, damage, liability or expense arising from such requisition;

Amended to read :

Proviso 24(2)(C) whether or not such notice of cancellation has been given, cover shall terminate automatically:

(i) upon the occurrence of any hostile detonation of any nuclear weapon of war, wheresoever and whensoever such detonation may occur, and/or

(ii) upon the outbreak of war (whether there be a declaration of war or not) between any of the following countries: United Kingdom, United States of America, France, The Russian Federation, The People’s Republic of China;

(iii) in the event of the Entered Ship being requisitioned either for title or use, and this insurance excludes loss, damage, liability or expense arising from such requisition;

Please note that these changes do not apply to the mutual excess P&I War cover provided under Rule 24(2) which remains unamended.

Market insurance to reinstate cover now excluded may be available and Members interested should contact the Underwriting Department.

 

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Source: Nepia

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