Scope of Cover:
Clause ‘L’ covers Legal liability at law to the third party on account of death and or bodily injury sustained, whilst in the lift described in the schedule or whilst entering or leaving the same or in the lift-well. This also covers above liability caused by use of machinery, equipment, hatches door or appliance connected with the lift so described.
All (Legal) costs and expenses incurred with the written consent of the Company in defending any claim for such compensation are payable subject to limits of indemnity.
in respect of any one person;
in respect of any one accident;
in all in any one year.
Exclusions
Where death or injury arising out of or in the course of employment of such person by insured.
Where liability is to a person being a member of insured’s household.
Injuries caused by boiler explosion or fire.
Contractual liability (without the written authority or the company)
Nuclear weapons exclusion and radioactive contamination.
Conditions:
The insured must exercise all reasonable care in the protection and use of the insured lift, and keep the same in proper and efficient state of repair.
Any authorised inspector of the company shall be authorised to suspend the policy until any defects or dangers reported thereunder are removed.
Whilst ordinary alterations and repairs are allowed extraordinary alterations, additions or repairs are prohibited without consent of the insurer.
The policy will not be in force during such times as the lift is operated by a person under 15 years of age, unless the lift is controlled by push button device.
The policy does not cover War and allied perils. Therefore, it is essential to insert the War Risks Exclusion Clause in the policy. This clause seeks to exclude liability for any loss directly or indirectly by war and allied perils, strikes, riots, civil commotion etc. Earthquake, volcanic eruption, and other convulsion of nature and any cause whatsoever connected with any of the aforesaid circumstances are also excluded perils.
Cancellation:
7 days notice in writing on either side. If the company cancels the policy, pro-rata refund of premium for the unexpired period is allowed. If the insured gives notice of cancellation short period rates will apply.
In the event of claim:
Immediate notice of claim should be submitted in writing to the company. Every letter, claim, writ, summons and process should be forwarded to the company immediately on receipt by the insured.
No admission, offer, promise of payment should be made without consent of the company. At its option the company may take over and conduct in the name of the insured the defence or settle any claim and the insured will be required to give all information and assistance.
The company may pay to the insured the maximum sum payable under the policy or amount of actual claim whichever is less in respect of any one occurrence. Thereafter liability of the company in respect of that accident shall cease, and the insured will be left to dispose of any outstanding claim.
Contribution condition
Arbitration condition is invoked when diference arises as to quantum only, liability being otherwise admitted.
Time Bar : 12 months from the date of disclaims if no suit is filed in court against the company.
Under Writing Considerations:
If the lift is old, it should be surveyed at the cost of the insured and repairs, safeguards should be recommended to be carried out.
To check whether lift is serviced periodically as per manufacturer’s recommendations.
Check the last inspection of the lift whether done by firm of repute and recommendations thereunder are followed up methodically.
Past history of accidents/breakdown.
Whether lift is operated by regular lift-man.
Claims:
Immediate notification of accident.
Prompt investigation
Detailed police report as well as statement from witnesses
Whether fault and/or negligence on the part of the insured/his employees or agents duly established.
Whether insured’s liability established. If so, legal opinion duly obtained.
If the insured is not liable, have proper steps been taken for his defence as may be recommended by the legal adviser?
If the claim is settled, was it done under the advice and recommendations of the legal adviser?
When cause of accident is overloading or mechanical defects, preventive measure should be made compulsory before renewal.
Rating Guidelines:
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Limit of Indemnity in Rupees for Passenger Lifts Annual
Any one Any one Any one Premium in
Person Accident Year Rs. per lift
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5,000 10,000 20,000 100
10,000 20,000 50,000 150
20,000 50,000 1,00,000 200
50,000 1,00,000 2,00,000 300
1,00,000 2,00,000 4,00,000 450
2,00,000 5,00,000 10,00,000 600
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Note: For other limits and goods lifts, reference must be made to Regional Office.