Warehouseman’s Insurance Coverage Clause Samples

Warehouseman’s Insurance Coverage. Based upon the Stated Value as determined by the Customer (and all other customers of the Company), the Company shall acquire a Warehouseman’s all risk insurance policy which shall cover Losses to the Customer’s Goods as set forth in said policy, subject to the exclusions in the policy which exclusions would include, but not necessarily be limited to, mysterious disappearances, stock taking losses and/or employee infidelity. The Customer acknowledges that the amount of insurance protection under the Warehousemen’s all risk policy is generally limited to the lesser of the Stated Value as set forth in paragraph 4, or the fair market value of the Goods. Notwithstanding anything contained in this agreement to the contrary, if, for any reason, the insurance coverage obtained by the Company is cancelled and the Company is unable to acquire new comparable insurance coverage, then in that event, the Company shall notify the Customer of the foregoing and the date that the insurance coverage is to terminate (hereinafter the “Coverage Termination Date”). The Customer shall be free to acquire any insurance coverage on its own from and after the Coverage Termination Date, and shall either enter into a contract for storage without insurance or remove its Goods from storage. Failure to remove the Goods from storage shall automatically convert this agreement into the Storage Agreement Without Insurance which was previously offered to the Customer. Any and all insurance premiums due from Customer, as set forth in paragraph 6, shall be billed to Customer through the Coverage Termination Date.