Obligatory Insurances Sample Clauses
The Obligatory Insurances clause requires one or more parties to obtain and maintain specific types of insurance coverage throughout the duration of a contract or project. Typically, this includes policies such as general liability, workers’ compensation, or property insurance, and may specify minimum coverage amounts, acceptable insurers, and proof of insurance requirements. By mandating these insurances, the clause ensures that financial risks related to accidents, damages, or liabilities are managed and that all parties are protected against unforeseen losses.
Obligatory Insurances. Without prejudice to its obligations under Clause 17.1 (Scope of Obligatory Insurances), the Owner shall:
(a) not without the prior consent of the Facility Agent (acting on the instructions of the Majority Lenders) alter any Obligatory Insurance nor make, do, consent or agree to any act or omission which would or might render any Obligatory Insurance invalid, void, voidable or unenforceable or render any sum paid out under any Obligatory Insurance repayable in whole or in part;
(b) not cause or permit the Vessel to be operated in any way inconsistent with the provisions or warranties of, or implied in, or outside the cover provided by, any Obligatory Insurance or to be engaged in any voyage or to carry any cargo not permitted by any Obligatory Insurances;
(c) duly and punctually pay all premiums, calls, contributions or other sums of money from time to time payable in respect of any Obligatory Insurance;
(d) at least 28 days before the relevant policies, contracts or entries expire, notify the Facility Agent of the names of the insurance companies and/or the war risks and protection and indemnity associations proposed to be employed for the purposes of the renewal of such Obligatory Insurances and of the amounts in which such Obligatory Insurances are proposed to be renewed and the risks to be covered, and to procure that appropriate instructions for the renewal of such Obligatory Insurances on the terms so specified are given to the brokers (if applicable) and associations in each case approved in accordance with Clause 17.1 (Scope of Obligatory Insurances) and will at least three Business Days before such expiry (or within such shorter period as the Facility Agent may from time to time agree) confirm in writing to the Facility Agent that such renewals have been effected in accordance with the instructions so given;
(e) forthwith upon the effecting of any Obligatory Insurance, ensure that all approved brokers (if applicable) and/or approved insurers and the approved P&I Club provide the Facility Agent with pro forma copies of all policies relating to the Obligatory Insurances which they are to effect or renew and of a letter or letters of undertaking substantially in the forms scheduled to or referred to in the Delivery General Assignment or such other form acceptable to the Facility Agent, in each case stating the full particulars (including the dates and amounts) of the insurance, and on request produce the receipts for each sum paid by it pursuant to p...
Obligatory Insurances. The Borrower shall keep the Ship insured at its expense against:
(a) usual marine risks (including hull and machinery, hull interest, freight interest, disbursements and/or increased value, other Total Loss interests and war risks) in an amount equal to or more than 120 per cent. of the aggregate amount of the Loans at any time;
(b) protection and indemnity risks in respect of the full tonnage of the Ship; and
(c) loss of earnings, in such amount as may be approved by the Lenders (acting reasonably) with a deductible period of 30 days and a cover period of 180 days, such insurances to be in dollars and effected on such contractual terms and through such insurers and war risks and protection and indemnity associations as the Majority Lenders may approve.
Obligatory Insurances. (i) Certified copies of the Obligatory Insurances in respect of each Relevant Vessel; and
(ii) Fax or email confirmation from each broker and club concerned with the Obligatory Insurances of each Relevant Vessel that:
(A) the relevant cover is in effect;
(B) they will accept notice of assignment of the Obligatory Insurances in favor of the Security Trustee and execute an acknowledgement of the notice in the form reasonably acceptable to the Security Trustee;
(C) they will restrict their lien for unpaid premiums under any fleet policy to unpaid premiums in respect of such Relevant Vessel only;
(D) they will issue a letter of undertaking in the form provided for in the Insurances Assignment;
(E) they will accept endorsement of a loss payable clause on the policies in the form provided for in the Insurances Assignment (in the case of brokers and insurers other than clubs) or will note the interest of the Administrative Agent in the entry for the Relevant Vessel by way of a loss payable clause in their current standard form (in the case of clubs); and
(F) they are not aware of any mortgage, charge, assignment or other encumbrance affecting the Obligatory Insurances with which they are concerned (other than any previously disclosed by the Borrower or the Vessel Owner to the Administrative Agent in writing), or in form and substance satisfactory to the Administrative Agent’s insurance adviser.
(iii) Receipt by the Administrative Agent of a final insurance report prepared by BankServe Insurance Services Limited verifying Borrower’s compliance with the insurance requirements set forth in Section 5.26 and 5.27.
Obligatory Insurances. Each of the Borrowers shall insure and keep insured, with financially sound and reputable insurers, all its assets and business under insurances as specified in Annex C and any insurance required by law;
Obligatory Insurances. Certified copies of the Obligatory Insurances in respect of each Collateral Asset.
Obligatory Insurances. Without prejudice to its obligations under Section 5.25, each Collateral Asset Owner will:
(a) not make, do, consent or agree to any act or omission which would or might render any Obligatory Insurance invalid, void, voidable or unenforceable or render any sum paid out under any Obligatory Insurance repayable in whole or in part;
(b) duly and punctually pay when due all premiums, calls, contributions or other sums of money from time to time payable in respect of any Obligatory Insurance;
(c) renew all Obligatory Insurances at least three (3) days before the relevant policies or contracts expire and procure that the applicable brokers shall promptly confirm in writing to the Administrative Agent as and when each renewal is effected;
(d) forthwith upon the effecting of any Obligatory Insurance, give written notice of the insurance to the Administrative Agent stating the full particulars (including the dates and amounts) of the insurance, and on request produce the receipts for each sum paid by it pursuant to paragraph (b) above;
(e) procure that the interest of the Security Trustee is noted on all policies of insurance; and
(f) in the event that the Collateral Asset Owner receives payment of any moneys under the Obligatory Insurances, forthwith pay over the same to the Security Trustee and, until paid over, such moneys shall be held in trust for the Security Trustee by the Borrower.
Obligatory Insurances. 5.1 The Owner covenants that:
(a) The Owner will cause to be carried and maintained on or in respect of the Vessel without expense to the Mortgagee, all risk equivalent Hull and Machinery and Protection and Indemnity insurance with responsible and reputable insurance companies, underwriters, associations, clubs or funds reasonably acceptable to the Mortgagee in an amount not less than the greater of (X) 110% of the amount of the outstanding Indebtedness hereby secured or (Y) the fair market value of the Vessel's hull and machinery (the "agreed value"), war risk and protection and indemnity and insurances in such amounts (with such deductibles or franchises), against such risks (including but not limited to, loss of or damage to hull or machinery; protection and indemnity; war risks in the event the Vessel is located outside United States territorial waters or waters above the outer Continental Shelf of the United States; pollution risks); in such form (including, without limitation, the form of the loss payable clause) and in U.S. currency as the Mortgagee shall from time to time reasonably require or approve and as provided hereafter; and providing for deductibles no greater than USD 1,000,000.00 per occurrence. The Owner shall maintain liability insurance including crew liability, cargo liability, pollution liability, contractual liability and removal of wreck insurance in amounts similar to that maintained by owners of similar vessels and reasonably acceptable to the Mortgagee or, without expense to the Mortgagee, have the Vessel fully entered in a responsible and reputable Protection and Indemnity Association or club in good standing and reasonably acceptable to the Mortgagee. The Owner will cause such association or club to issue to the Mortgagee a Letter of Undertaking or certificate or cover note, noting the Mortgagee's interest in such insurance in a form reasonably satisfactory to the Mortgagee. The Owner will furnish the Mortgagee from time to time on request and in any event at least annually a detailed report (including a list showing the insured value of the Vessel) signed by a firm of marine insurance brokers reasonably acceptable to the Mortgagee with respect to the insurance carried and maintained on the Vessel, together with its report as to the compliance of such insurance with the requirements of this Section 5. The Owner agrees that, unless the insurances by its terms provide that they cannot cease without the Mortgagee being informed a...
Obligatory Insurances. The Borrower shall keep the Vessel owned by it insured at its expense against:
(i) usual marine risks appropriate for its operational status (including hull and machinery, p▇▇▇ ▇▇▇▇, ▇▇▇▇ interest, freight interest, disbursements and/or increased value, other Total Loss interests, war risks, acts of terrorism and piracy), in an amount such that the insured value of the Vessel is equal to or more than the greater of (i) 110% of the Loan or (ii) the Fair Market Value; and
(ii) protection and indemnity risks (including the maximum level for oil pollution liability available from time to time under basic protection and indemnity club entry) in respect of the full tonnage of the Vessel, such insurances to be in dollars and effected on such contractual terms and through such insurers and war risks and protection and indemnity associations as the Lender may approve.
Obligatory Insurances. The Borrower undertakes in respect of the Vessel:
15.2.1 to effect and maintain sufficient insurances on and over the Vessel in respect of (a) hull and machinery, (ii) hull interest, (iii) freight interest, (iv) protection and indemnity (including oil pollution risks for the Vessel) and (v) war risks (including piracy, terrorism and confiscation);
15.2.2 to effect such insurances on the Vessel in Dollars and upon such terms as shall from time to time be reviewed by the Security Trustee, but in any event for not less than:
(a) in the case of hull, machinery and equipment, marine and war risks, on an agreed value basis for an amount (the “agreed insurable value”) which is equal to the greater of (i) the Fair Market Value of the Vessel and (ii) 125% of the amount of the Loan, provided however that the amount of hull and machinery cover other than total loss only cover shall be equal to at least 70% of the agreed insurable value of the Vessel; and
(b) in the case of protection and indemnity risks (including pollution risks) for the full value and tonnage of the Vessel, for an aggregate amount equal to the highest level of cover from time to time available under basic protection and indemnity club entry with a protection and indemnity association belonging to the International Group of Protection and Indemnity Associations;
15.2.3 to effect the Insurances through Belgibo or such other brokers (the “approved insurance brokers”) and with such insurance companies, underwriters, war risks associations and/or protection and indemnity associations as shall from time to time be approved in writing by the Security Trustee, as directed by the Lenders (which approval shall not be unreasonably withheld);
15.2.4 to notify the Security Trustee, at least 10 days before the relevant policies or contracts expire, of the relevant brokers and/or insurance companies, underwriters, war risks association and/or protection and indemnity association through and with whom the Insurances for the Vessel are expected to be renewed;
15.2.5 to renew the Insurances before the relevant policies or contracts expire, and to procure that the approved insurance brokers or insurers with which the Insurances for the Vessel are effected shall promptly confirm such renewal in writing to the Security Trustee and inform the Security Trustee of the terms and conditions thereof, as and when the same occurs;
15.2.6 punctually to pay all premiums, calls, contributions or other sums in respect of the Insur...
Obligatory Insurances. 5.1 The Borrowers shall ensure that at all times, during the Facility Period:
(a) each Vessel remains insured against marine risks and war risks (including blocking and trapping) for her full market value and in any event for an amount which is not less than the greater of (i) the market value of that Vessel and (ii) an amount which, when aggregated with the insured value of the other Vessels, equals one hundred and ten per centum (110%) of the aggregate of the Facility Outstandings; and
(b) each Vessel remains entered in a protection and indemnity association in both protection and indemnity classes, or remains otherwise insured against protection and indemnity risks and liabilities (including, without limitation, protection and indemnity war risks); and
(c) each Vessel remains insured against oil pollution caused by that Vessel for one billion Dollars ($1,000,000,000) such amounts as the Mortgagee may from time to time approve unless that risk is covered to the satisfaction of the Mortgagee by the Vessel’s protection and indemnity entry or insurance, such insurance to be on such terms and with such insurers or insurance companies (or, in the case of war risks and protection and indemnity risks, such war risk or protection and indemnity associations) as may be approved in writing by the Agent from time to time (such approval not to be unreasonably withheld or delayed).
5.2 The Borrowers shall effect and maintain oil pollution insurance cover in respect of each Vessel in an amount equal to US$1,000,000,000 in respect of each incident (such insurance shall include cover taken out or effected under clause 5.1 of this Schedule insofar as insurance risks are concerned) or where (in the reasonable opinion of the Majority Banks, which shall take into consideration the price at which such cover can be effected) such insurance cannot be obtained in the international insurance market following due diligence (other than where the absence of available cover is caused by a history of accidents and/or spillage in respect of the Vessel in question and/or the relevant Owner) such insurance shall be in an amount equal to at least US$500,000,000 in respect of each incident (or such other amount as may be agreed by the Majority Banks).
5.3 If the Borrowers fail to take out or maintain any Obligatory Insurance required to be effected by them, the Agent, for and on behalf of the Borrowers, may (but shall not be obliged to) effect any such insurance (without prejudice to any o...