MB insurance clause(英文版).doc

THE PEOPLE’S INSURANCE (PROPERTY) COMPANY OF CHINA PAGE PAGE 7 MACHINERY BREAKDOWN INSURANCE CLAUSE This Policy comprises mainly the Schedule, Scope of Cover,Exclusions, Treatment of Claim,Insureds Obligations, General Conditions and Special Provisions, including also the Proposal of Insurance together with its attachments as well as any additions to be made, from time to time, by the Company in the form of Endorsement. I. SCOPE OF COVER The Company shall indemnify the Insured in respect of the physical loss of or damage to themachinery and its associated equipment insured during the period of insurance arising from any sudden and unforeseen accident caused by: 1. faulty design, faults at workshop or in erection, defects in casting and material; 2. faulty operation, lack of skill, bad workmanship, negligence, faults and malicious acts on the part of workers or technicians; 3. tearing apart on account of centrifugal force; 4. overloading, overvoltage, electric line contact, arcing, leakage of electricity, short-circuit, atmospheric, inductive electricity and other electric phenomena; 5. any other events than those enumerated in Exclusions under Article II hereinafter. II. EXCLUSIONS The Company shall not be liable for loss or damage or expenses arising directly or indirectlyfrom the following causes: 1. physical or chemical reaction such as wear and tear, cavitation, erosion, corrosion, rust or boiler scale as a direct consequence of ordinary use or operation; 2. loss of or damage to belts, ropes, wires, chains,rubber tires, exchangeable dies,rods,tools, engraved cylinders, sleeve, moving pipes, objects made of glass, porcelain, ceramics, felts, sieves or fabrics, all operating media( e.g. lubricating oil, fuel, catalysts) and other vulnerable and consumable parts; 3. faults or defects existing in the machinery and its associated equipment at the commencement of the insurance which ought to have been known or were known