Common use of Indexation of the Indemnity Incident Cap Clause in Contracts

Indexation of the Indemnity Incident Cap. The Indemnity Incident Cap for the first Contract Year shall mean the sum of £[●] and in relation to any subsequent Contract Year, the sum calculated in accordance with the following formula: where: C1 is the sum of £[●]; Cn is the Indemnity Incident Cap in the nth subsequent Contract Year; CPIn is the Consumer Prices Index (defined as CPI in Schedule 7) published or determined with respect to the first month of the subsequent Contract Year n; and CPI1 is the Consumer Prices Index (defined as CPI in Schedule 7) published or determined with respect to the first month of the first Contract Year.