Public liability insurance
The Service Provider must effect and maintain, or cause to be effected and maintained, during the Term a public liability insurance policy, including sudden & accidental pollution and motor vehicle tools of trade extension:
- with a reputable insurer minimum S&P Rating A- or equivalent on terms satisfactory to Beiersdorf;include Beiersdorf as an insured party for their respective rights and interests and liabilities to third parties, including the liability of the Service Provider to Beiersdorf arising out of the performance of the contract;
- for at least the amount of $20,000,000 for any one occurrence and unlimited in the aggregate;
- from the commencement of the Services until the Service Provider ceases performing the Services;
- include a cross liability clause, noting that the insurance applies separately to each insured against whom a claim is made or a suit is brought;
- waive the insurer suborgation rights against Beiersdorf; and
- include a clause that provides the interests of each individual insured is not prejudiced by the failure or breach of one insured to observe and fulfil the terms and conditions of the insurance policy.
Product liability insurance
The Service Provider must effect and maintain, or cause to be effected and maintained, during the Term a product liability insurance policy, including sudden & accidental pollution:
- with a reputable insurer minimum S&P Rating A- or equivalent on terms satisfactory to Beiersdorf;
- include Beiersdorf as an insured party for their respective rights and interests and liabilities to third parties, including the liability of the Service Provider to Beiersdorf arising out of the performance of the contract;
- for at least the amount of $20,000,000 for any one occurrence in the aggregate;
- from the commencement of the Services until the Service Provider ceases performing the Services;
- include a cross liability clause, noting that the insurance applies separately to each insured against whom a claim is made or a suit is brought;
- waive the insurer suborgation rights against Beiersdorf; and
- include a clause that provides the interests of each individual insured is not prejudiced by the failure or breach of one insured to observe and fulfil the terms and conditions of the insurance policy.
Professional indemnity insurance
The Service Provider must effect and maintain, or cause to be effected and maintained, during the Term and for a period of seven years after expiry of the Term a professional indemnity insurance policy covering liability arising in connection with the provision of services or breach of professional duty by the Service Provider in performing the Services under the agreement:
- on terms satisfactory to Beiersdorf;
- with an indemnity limit of at least the amount of $10 million for any one occurrence which may arise during the existence of the policy; and
- in respect of legal liability arising from a breach of professional duty or otherwise arising from any act, error or omission by the Service Provider or its employees, agents or Service Providers.
Motor vehicle insurance
The Service Provider must effect and maintain, or cause to be effected and maintained, during the Term motor vehicle insurance covering all mechanically propelled vehicles that are registered, or required to be registered, for road use and are at any time used in connection with this agreement, including:
- insurance that is compulsory under applicable Laws governing the use of motor vehicles and liability for personal injury or death;
- liability insurance for third party property damage minimum $20,000,000 per occurrence and unlimited in the aggregate;
- with a reputable insurer minimum S&P Rating A- or equivalent on terms satisfactory to Beiersdorf;
- include Beiersdorf as an insured party for their respective rights and interests arising out of the performance of the contract;
- include a cross liability clause, noting that the insurance applies separately to each insured against whom a claim is made or a suit is brought;
- waive the insurer suborgation rights against Beiersdorf; and
- include a clause that provides the interests of each individual insured is not prejudiced by the failure or breach of one insured to observe and fulfil the terms and conditions of the insurance policy
Insurance required by legislation
The Service Provider must effect and maintain, or cause to be effected and maintained, during the Term insurance (including workers compensation insurance and such other insurances as required by Law) covering injury to employees and other persons performing work for Service Provider or on its behalf and against any liability which may arise at common law or under any relevant workers or accident compensation legislation. The Service Provider must also effect and maintain employer’s liability insurance in respect of each person employed by the Service Provider from time to time in connection with the Services and any other insurances required in connection with the Services by Law.
Unless prohibited by law, the insurance outlined must;
- indemnify Beiersdorf against any liability which it may incur to the Consultant's employees, arising by virtue of the applicable workers' compensation statute or regulations or at common law;waive all express or implied rights of subrogation against Beiersdorf;
- provide cover in respect of each and every claim for an amount not less than the minimum statutory requirement; and
- be maintained at all times during the performance of the Services.
Insurance of subcontractors and assignees
The Service Provider must ensure that, on terms satisfactory to Beiersdorf:
- any subcontractors engaged by the Service Provider under this agreement effect and maintain public liability, product liability, motor vehicle insurance and professional indemnity insurance policies on terms similar to those applicable to the Service Provider’s policies under this agreement, or those Service Provider’s insurance policies are endorsed to include the subcontractor; and
- any subcontractor engaged by the Service Provider under this agreement under this agreement, effects and maintains workers compensation and employers liability insurance on terms similar to those applicable to the Service Provider’s policies under this agreement, in respect of any person employed by that subcontractor in connection with the Services.
Notices from insurer
The Service Provider must ensure that each policy of insurance it effects under this agreement provides that:
- whenever the insurer gives to, serves on or receives from the Service Provider or a Service Provider’s subcontractor, an Insurance Notice, it must at the same time inform Beiersdorf in writing that the Insurance Notice has been given to, served on or received from the relevant entity; and
- the insurer may not terminate the insurance policy without giving at least 10 Business Days’ prior written notice to Beiersdorf.
Service Provider to notify Beiersdorf of potential claims
The Service Provider must, as soon as practicable, notify Beiersdorf in writing of the occurrence of any event that may give rise to a claim under any policy of insurance effected or maintained under this agreement.
The Service Provider must keep Beiersdorf informed of all subsequent action and developments concerning the claim.
Other requirements
Each of the insurances required to be effected and maintained under this agreement must be in place before the commencement of the Services by the Service Provider.
Each of the insurances required to be effected and maintained under this clause must have an excess or deductible of an amount approved by Beiersdorf(acting reasonably).
Whenever a claim is made under any of the insurance policies required in accordance with this agreement, the Service Provider is liable for any excess or deductible payable as a consequence.
The Service Provider must pay any excess when at fault under any insurance policy taken out by Beiersdorf.
All Service Provider insurances referred to in this Clause 10 must not be varied to the detriment of Beiersdorf, cancelled or allowed to lapse unless the Supplier has received a written consent from Beiersdorf.
Evidence of insurance
Whenever so requested by Beiersdorf in writing, the Service Provider must within 10 Business Days provide, or procure provision of, evidence, to Beiersdorf’s reasonable satisfaction, that the Service Provider or its subcontractors (as applicable) has obtained and maintained insurance required in accordance with this agreement.
Failure of Service Provider to insure
If:
- the Service Provider fails to:
(a) effect or to maintain any of the insurances required in accordance with this agreement;
(b) have any subcontractor effect or maintain any insurances required in accordance with this agreement; or
(c) provide evidence of insurance as required by this agreement;
- Beiersdorf (acting reasonably) does not approve of the terms of an insurance policy, Beiersdorf may, but is not obliged to, at the Service Provider’s cost:
- effect and maintain that insurance;
- pay the necessary premiums; and
- recover from the Service Provider the amount so paid as a debt due and payable.
This clause is in addition to, and does not affect or detract from, Beiersdorf’s other rights and entitlements under this agreement.
[Options: Construction works, plant and equipment and Marine insurance]