Rule 7

Applications for Insurance

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Rule 7

Applications for Insurance

  1. All contracts of insurance effected by the Association shall, save and insofar as they contain any special terms inconsistent herewith, be deemed to incorporate and shall incorporate all the provisions of these Rules.
  2. The applicant Owner and any agent must make to the Managers a fair presentation of the risk by providing the Managers with all material particulars and information together with any additional particulars and information as the Managers may require.
  3. The applicant Owner and any agent will ensure that every material representation as to a matter of fact is substantially correct, and every material representation as to a matter of expectation or belief is made in good faith.
  4. In accordance with Rule 5L of the Association’s Rules, Section 8 of the Insurance Act 2015 is excluded. Any breach of paragraphs B and C shall entitle the Association to avoid the contract of insurance, regardless of whether the breach is innocent, deliberate or reckless.
  5. The Owner is obliged to disclose any change in any material information relating to an entry including, but not limited to, change of: management, flag, classification society, government authority responsible for ship certification for the trade in question, nationality of crew, trading or operating area or nature of trade or operation. Upon such disclosure, or failure to disclose, the Managers may amend the Owner’s premium rating or terms of entry, or terminate the entry in respect of such ship with effect from the time of disclosure or failure to disclose.
  6. The Managers shall be entitled, in their discretion and without assigning any reason, to refuse any application for the entry of a ship for insurance in the Association whether or not the applicant Owner of such ship is a Member.