PUBLIC AUTHORITIES CLAUSE

The insurance by this Policy extends to include such additional cost of reinstatement of the  destroyed or damaged property thereby insured as may be incurred solely by reason of the  necessity to comply with building or other Regulations under or framed in pursuance of any Government Act or Bye-Law of Municipal or Local Authority provided that :

  1. The amount recoverable under this Extension shall not include :
  2. the cost incurred in complying with any of the aforesaid Regulations or Bye-Laws
  3. In respect of destruction or damage occurring prior to the granting of this Extension
  4. In respect of destruction or damage not insured by the policy
  • Under which notice has been served upon the Insured prior to the happening of the destruction or damage
  1. In respect of undamaged portions of property.
  2. the additional cost that would have been required to make good the property damaged or destroyed to a conditions equal to its conditions when new had the  necessity to comply with any of the aforesaid Regulations or Bye-Laws not arisen.
  3. the amount of any rate, tax, duty, development or other charge or assessment, arising out of  capital appreciation which may be payable in respect of the property or by the owner  thereof any reason of compliance with any of the aforesaid Regulations or Bye-Laws.  
  4. The work of reinstatement must be commencement must be commenced and carried out despatch and in any case must be completed within twelve months after the destruction or damage or within such  further time as the Insurer may (during the said twelve months) in writing allow and may be  carried out wholly or partially upon another site (if the aforesaid Regulations or Bye-Laws so  necessitate) subject to the liability of the Insurer under this Extension not being thereby  increased.
  5. If the liability of the Insurer under (any item of) the Policy apart from this Extension shall be reduced by the application of any of the terms and  conditions of the Policy then the liability of  the Insurer under this Extension (in respect of any such item) shall be reduced in like  proportion.
  6. The total amount recoverable under any item of the Policy  shall not exceed the sum insured  thereby.
  7. All the conditions of the Policy except insofar as they may be hereby expressly varied shall apply as if they had been incorporated herein.

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