The Insuring Agreement. The Underwriter will indemnify the Policyholder against all claims discovered and notified to the Underwriter during the Period of Insurance in respect of:
1) The cost of complete or partial rebuilding or rectifying work to the Housing Unit which has been affected by Major Damage provided always that the liability of the Underwriter does not exceed the reasonable cost of rebuilding each Housing Unit to its original specification.
2) The reasonable costs incurred in repairing, replacing or rectifying any part of the Waterproof Envelope within the Housing Unit as a result of ingress of water caused by a defect in the design, workmanship, materials or components of the waterproofing elements of the Waterproof Envelope of the Housing Unit.
3) The cost of repairing or making good any defects in the chimneys and flues of each Housing Unit causing an imminent danger to the health and safety of occupants. The Excess shall be as specified in the Certificate of Insurance. In the event of a claim under this Policy the Underwriter has the option either of paying the cost of repairing, replacing or rectifying any damage resulting from items 1 to 3 above or itself arranging to have such damage corrected.
The Insuring Agreement. The Underwriter will indemnify the Policyholder against all claims discovered and notified to the Underwriter during the Period of Insurance in respect of:
1. The cost of complete or partial rebuilding or rectifying work to the Residential Unit which has been affected by Major Damage provided always that the liability of the Underwriter does not exceed the reasonable cost of rebuilding each Residential Unit to its original specification.
2. The cost of making good any defect in the design, workmanship, materials or components in the drainage system which was newly constructed by the Builder in connection with the Residential Unit and for which the Policyholder is responsible.
3. The reasonable costs incurred in repairing, replacing or rectifying any part of the Waterproof Envelope within each Residential Unit which was newly constructed by the Builder as a result of ingress of water caused by a defect in the design, workmanship, materials or components of the waterproofing elements of the Waterproof Envelope of each Residential Unit. The Minimum Claim Value and/or the Excess shall be as specified in the Initial/Final Certificates. A time deductible of 12 months commencing from the date specified in the Final Certificate as the commencement of the Period of Insurance shall apply in respect of all claims made under section 3.3 above In the event of a claim under this Policy the Underwriter has the option either of paying the cost of repairing, replacing or rectifying any damage resulting from items 1 to 3 above or itself arranging to have such damage corrected.
The Insuring Agreement
