Common use of Continuous Cover Clause in Contracts

Continuous Cover. Not withstanding exclusion 17, cover under this policy is extended to include Claims or Losses first notified to the Insurers during the Period of Insurance which arise out of circumstances which prior to the inception of this policy the Insured knew, or ought reasonably to have known, might give rise to a Claim or Loss but failed to notify the Insurers. Provided always that the: (a) Insurers have provided this insurance continuously to the Insured since the date of such circumstance, (b) Insured has not given notice of such circumstances under any other contract of insurance, whether underwritten by the Insurers or by others; and (c) failure of the Insured to give prior notice of such circumstances to the Insurers was neither deliberate nor reckless and was free of any fraudulent conduct or intent to deceive. Claims or Losses falling to be dealt with under this policy solely by virtue of this extension shall be subject to the following additional conditions: (a) where the Insured’s failure to give time to us notice of such circumstances has resulted in Prejudice to the Insurers, in the handling or settlement of any Claim or Loss, the amount of any loss sustained by the Insured or in the obtaining of reimbursement from any third party, then the amount of cover afforded (including liability for claimant’s costs) shall be reduced to such sum as in the Insurers’ reasonable opinion would have been payable by the min the absence of such prejudice. (b) the amount of cover available under this extension shall be limited to the lesser of the Amount of cover remaining under the policy of insurance in force at the time the Insured knew, or ought reasonably to have known, of such circumstances or the amount of cover available under this policy. (c) if the cover available under this policy is greater or wider in scope than that to which the Insured would have been entitled under the policy of insurance in force at the time the Insured knew, or ought reasonably to have known, of such circumstances then the Insurers shall only be liable to cover the Insured for such amount and on such terms as would have been available to the Insured under the policy of insurance in force at the time the Insured knew, or ought reasonably to have known, of such circumstances, save that nothing in this extension shall entitle the Insured to cover wider or more extensive than is otherwise available under this policy.

Continuous Cover. Not withstanding exclusion Notwithstanding Exclusion 17. Known Circumstances, cover under this policy is extended to include Claims or Losses first notified to the Insurers during the Period of Insurance which arise out of circumstances which prior to the inception of this policy the Insured knew, or ought reasonably to have known, might give rise to a Claim or Loss but failed to notify the Insurers. Provided always that thethat: (a) the Insurers have provided this insurance continuously to the Insured since the date of such circumstance,; and (b) the Insured has not given notice of such circumstances under any other contract of insurance, whether underwritten by the Insurers or by others; and (c) the failure of the Insured to give prior notice of such circumstances to the Insurers was neither deliberate nor or reckless and was free of any fraudulent conduct or intent to deceive. Claims or Losses falling failing to be dealt with under this policy solely by virtue of this extension Extension shall be subject to the following additional conditions: (ai) where Where the Insured’s 's failure to give time to us timeous notice of such circumstances has resulted in Prejudice prejudice to the Insurers, ; in the handling or settlement of any Claim or Loss, the amount of any loss Loss sustained by the Insured or in the obtaining of reimbursement from any third party, then the amount of cover afforded (including liability for claimant’s 's costs) shall be reduced to such sum as in the Insurers’ ' reasonable opinion would have been payable by the min them in the absence of such prejudice. (bii) the The amount of cover available under this extension Extension shall be limited to the lesser of the Amount amount of cover remaining under the policy of insurance in force at the time the Insured knew, or ought reasonably to have known, of such circumstances or the amount of cover available under this policy. (ciii) if If the cover available under this policy is greater or wider in scope than that to which the Insured would have been entitled under the policy of insurance in force at the time the Insured knew, or ought reasonably to have known, of such circumstances then the Insurers shall only be liable to cover the Insured for such amount and on such terms as would have been available to the Insured under the policy of insurance in force at the time the Insured knew, or ought reasonably to have known, of such circumstances, save that nothing in this extension Extension shall entitle the Insured to cover wider or more extensive than is otherwise available under this policy.