Endorsement 1306 Special insurance cover: maximum demand charges

CM insurance – Endorsement 1306
Special insurance cover: maximum demand charges



This endorsement forms part of section 2
and is subject otherwise to the terms, provisions, conditions and exclusions contained in the policy of insurance or endorsed thereon.

1. Indemnification
1.1. The interest insured shall include the maximum demand charges as itemized in the power supply contract attached to and deemed to be incorporated in this endorsement, provided that such charges fall due as a consequence of indemnifiable material loss of or damage to item(s) specified below.

2. Sum insured
2.1. The sum insured shall correspond to the maximum possible amount of maximum demand charges which may become due for one year.
2.2. In the event of indemnifiable loss of or damage to the item(s) specified below, the maximum demand charges falling due, i.e. the unit price per kW or kVA and/or the quantity of kW or kVA, exceed the figures stipulated in the power supply contract, average shall be applied separately to each of the above-mentioned amounts.
2.3. Underinsurance shall not be applied in the event that the indemnity period affects two electric power accounting years and the sum insured is less than the actual loss.

3. Deductible
3.1. The insurer shall not be liable for 20% of the indemnifiable amount or the deductible specified below, whichever is the greater.
Minimum deductible:

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