Common use of BASIS OF INSURANCE Clause in Contracts

BASIS OF INSURANCE. The insurance under this Coverage is limited to loss of Gross Profits due to: a) Reduction in Turnover and b) Increase in Cost of Working, and the amount payable as indemnity hereunder shall be: a) in respect of Reduction in Turnover, the sum produced by applying the rate of Gross Profit to the amount which the turnover during the Indemnity Period shall in consequence of the Accident fall short of the Standard Turnover; c) in respect of Increase in Cost of Working: the additional expenditure necessarily and reasonably incurred for the sole purpose of avoiding or diminishing the reduction in Turnover which but for that expenditure would have taken place during the Indemnity Period solely as a result of the Accident but not exceeding the sum produced by applying the rate of Gross Profit to the amount of the reduction thereby avoided: less any sum saved during the Indemnity Period in respect of such of the Insured Standing Charges as may cease or be reduced as a result of the Accident, provided that if the Limit of Liability be less than the sum produced by applying the rate of Gross profit to the Annual Turnover, (if the Indemnity Period is greater than twelve (12) months, then the Annual Turnover shall be multiplied by the factor which proportionately reflects the increased Indemnity Period) the amount payable shall be proportionately reduced.

BASIS OF INSURANCE. The insurance under this Coverage is limited to loss of Gross Profits due to: a) Reduction in Turnover and b) Increase in Cost of Working, and the amount payable as indemnity hereunder shall be: ai) in respect of Reduction in Turnover, the sum produced by applying the rate of Gross Profit to the amount which the turnover during the Indemnity Period shall in consequence of the Accident fall short of the Standard Turnover; cii) in respect of Increase in Cost of Working: the additional expenditure necessarily and reasonably incurred for the sole purpose of avoiding or diminishing the reduction in Turnover which but for that expenditure would have taken place during the Indemnity Period solely as a result of the Accident but not exceeding the sum produced by applying the rate of Gross Profit to the amount of the reduction thereby avoided: less any sum saved during the Indemnity Period in respect of such of the Insured Standing Charges as may cease or be reduced as a result of the Accident, provided that if the Limit of Liability be less than the sum produced by applying the rate of Gross profit to the Annual Turnover, (if the Indemnity Period is greater than twelve (12) months, then the Annual Turnover shall be multiplied by the factor which proportionately reflects the increased Indemnity Period) the amount payable shall be proportionately reduced.

BASIS OF INSURANCE. The insurance cover provided under this Coverage is Section shall be limited to loss of Gross Profits Profit due to: to (a) Reduction in Turnover and (b) Increase in Cost of Working, Working and the amount payable as indemnity hereunder shall be: (a) in respect of Reduction in Turnover, : the sum produced by applying the rate Rate of Gross Profit to the amount by which the turnover Turnover during the Indemnity Period shall in consequence of the Accident fall short of the Standard Turnover;Turnover in consequence of the loss destruction or damage c(b) in respect of Increase in Cost of Working: the additional expenditure necessarily and reasonably incurred for the sole purpose of avoiding or diminishing the reduction Reduction in Turnover which but for that expenditure would have taken place during the Indemnity Period solely as a result in consequence of the Accident loss destruction or damage, but not exceeding the sum produced by applying the rate Rate of Gross Profit to the amount of the reduction thereby avoided: avoided less any sum saved during the Indemnity indemnity Period in respect of such of the Insured Standing Charges charges and expenses of the business payable out of Gross Profit as may cease or be reduced as a result in consequence of the Accident, provided that loss destruction or damage if the Limit of Liability Sum Insured by this item be less than the sum produced by applying the rate Rate of Gross profit Profit to the Annual Turnover, Turnover (if or to a proportionately increased multiple thereof where the Maximum Indemnity Period is greater than exceeds twelve (12) months, then the Annual Turnover shall be multiplied by the factor which proportionately reflects the increased Indemnity Period) the amount payable shall be proportionately reduced. However, the liability of the Company shall be determined as per the specification selected by Insured at the inception of the Policy and incorporated in the Schedule. Note : Specification wording are given below 1. On Gross Profit ………. Rs.

BASIS OF INSURANCE. The insurance under this Coverage is limited to loss of Gross Profits due to: : (a) Reduction in Turnover and (b) Increase in Cost of Working, and the amount payable as indemnity Indemnity hereunder shall be: a) in respect of Reduction in Turnover, : the sum produced by applying the rate of Gross Profit to the amount which the turnover Turnover during the Indemnity Period shall in consequence of the Accident fall short of the Standard TurnoverTurnover which would have been realized had the Accident not occurred; cb) in respect of Increase in Cost of Working: the additional expenditure necessarily and reasonably incurred for the sole purpose of avoiding or diminishing the reduction in Turnover which but for that expenditure would have taken place during the Indemnity Period solely as a result of the Accident but not exceeding the sum produced by applying the rate of Gross Profit to the amount of the reduction in Turnover thereby avoided: ; less any sum saved during the Indemnity Period in respect of such of the Insured Standing Charges as may cease or be reduced as a result of the Accident, provided that if the Limit of Liability be less than the sum produced by applying the rate of Gross profit Profit to the Annual Turnover, (if the Indemnity Period is greater than twelve (12) months, then the Annual Turnover shall be multiplied by the factor which proportionately reflects the increased Indemnity Period) the amount payable shall be proportionately reduced.