2 Additional insurance - War risks P&I insurance for mobile offshore units

The Association has arranged additional War Risk P&I Insurance (the “War Risk P&I Cover”) for the benefit of Members insured for P&I risks pursuant to the Rules for P&I cover for Mobile Offshore Units. The terms and conditions for this additional War Risk P&I Cover are as follows:

General terms

The War Risks P&I Cover afforded is subject to the Rules for P&I cover for Mobile Offshore Units (the “Rules”), save that the war risks exclusion in Rule 54 shall not apply.

Scope of cover

The War Risks P&I Cover shall apply to liabilities, losses, costs and expenses as set out in Part II, chapter 1, of the Rules caused by war risks as defined in Rule 54. Such cover will only include liability or loss in excess of the amounts recoverable under the Vessel’s Hull and Machinery and/or Crew/Marine War Risks Insurance and any P&I inclusion clauses applicable thereto, but subject always to any special terms of entry agreed between the Association and the individual Member and set out in the relevant Vessel’s Certificate of Entry. The maximum limit of cover is equal to the maximum policy limit for P&I risk.

JLC Territorial and Conflict Exclusion Clause

1. The War Risk P&I Cover excludes all loss, damage, liability, cost or expense:

   1. caused by or arising from or in connection with any Russia-Ukraine conflict and/or any expansion of such conflict; or

   2. 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.

   3. 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.

JL2022-019

Bio – Chem Risks exclusion

War Risks P&I Cover shall in no case cover loss, damage, liability or expense directly or indirectly caused by or contributed to by or arising from any chemical, biological, biochemical or electromagnetic weapon.

1. Notice of Cancellation (“Notice”) The War Risk P&I Cover may be cancelled in respect of War risks as set out in Rule 54 by the Association giving 72 hours’ notice of cancellation (hereinafter “Notice”) with Notice being effective from midnight Greenwich Mean Time on the day Notice is given by the Association.

   The Association may subsequently agree to reinstate cover, if required, at terms to be agreed by the Association. Any reinstatement of cover shall occur at a time to be agreed by the Association.

2. Automatic Termination

2.1 Whether or not the notice of cancellation described in clause 1 has been given, the War Risk P&I Cover shall TERMINATE AUTOMATICALLY:

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

2.1.2 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.”