Civil Engineering Reference
In-Depth Information
death of any person or any damage, loss or injury caused to the Works or Site Mate-
rials, work executed, the site or any other property by the effect of an Excepted Risk.
hesearedeinedinclause6.8oftheSBCandtheSBC/DBas(a)ionizingradiations
or contamination by radioactivity from any nuclear fuel or from any nuclear waste
from the combustion of nuclear fuel, radioactive, toxic, explosive or other hazardous
properties of any explosive nuclear assembly or nuclear component thereof; (b) pres-
sure waves caused by aircraft or other aerial devices travelling at sonic or supersonic
speeds; and (c) any act of terrorism that is not within the Terrorism Cover required
to be taken out and maintained under the contract. The last mentioned category was
added by the SBCC Terrorism Cover Update 2010. See Section 14.2.10.
14.2.10 Terrorism
The common difficulty in obtaining terrorism cover wider than that generally avail-
able under the Pool Reinsurance Company scheme (Pool Re Cover) was recognized
by the publication of the SBCC Terrorism Update 2010 which made amendments to
the SBC and the SBC/DB. Clause 6.10 of each contract now provides that to the extent
thatthejointnamespolicyforworkandSiteMaterialsexcludeslossordamagecaused
by terrorism, the Contractor (or the Employer, where Options B or C apply) shall take
out such terrorism cover as specified in the Contract Particulars. Where Option A is
used, the following applies. Where the specified terrorism cover is Pool Re Cover, the
cost of that cover and its renewal is deemed to be included in the Contract Sum pro-
vided that, if at any renewal of the cover there is a variation in the rate on which the
premium is based, the Contract Sum shall be adjusted to reflect such variation. Where
theterrorismcoverspeciiedisotherthanPoolReCover,thecostofsuchcoverandits
renewal is added to the Contract Sum; however, where the Employer is a local author-
ity and there is an increase at renewal of terrorism cover (of any type) of the rate on
which the premium is based, the Employer may instruct the Contractor not to renew
the terrorism cover; and if such an instruction is given then the replacement or repair
by the Contractor of works or Site Materials which are subsequently subject to loss or
damage by terrorism shall be treated as a Variation (or Change under the SBC/DB).
14.3 Insurance under the NEC3
14.3.1 General
Consistent with its overall style, the NEC3 adopts a somewhat different approach to
the SBC and the SBC/DB by setting out core requirements in relation to insurance and
allowing the parties flexibility to modify these by means of the Contract Data. These
core requirements are contained in clauses 84-87 and the Insurance Table. The Con-
tractorisrequiredtoprovidetheinsurancesstatedintheInsuranceTableexceptany
insurancewhichtheEmployeristoprovideasstatedintheContractData.hus,under
