2022-23 MISCELLANEOUS ACCIDENT SURPLUS Signed

AFRICAN REINSURANCE CORPORATION
___________________________________________________________________________
PROPORTIONAL REINSURANCE AGREEMENT

MISCELLAENOUS ACCIDENT SURPLUS
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Table of contents
Preamble
General Terms and conditions
Art. 1 Period.....................................................................................................................................
Art. 2 Class ......................................................................................................................................
Art. 3 Territorial Scope ....................................................................................................................
Art. 4 Exclusions ..............................................................................................................................
Art. 5.1 Limits ......................................................................................................................................

5.2 Retention................................................................................................................................
5.3 One Risk ................................................................................................................................
5.4 Prior Facultative Reinsurance................................................................................................
5.5 Protection of the Reinsured’s Retention ................................................................................
5.6 Self-Insurance ........................................................................................................................
5.7 Follow the Fortunes ...............................................................................................................
5.8 Underwriting Practice .............................................................................................................
Art. 6.1 Premium.................................................................................................................................

6.2 Payment of Premiums ...........................................................................................................
Art. 7 Portfolio Consideration ..........................................................................................................
Art. 8 Commission ……………………………………………………………………
Art. 9.1 Notification of Claims .............................................................................................................

9.2 Claims Co-operation ..............................................................................................................
9.3 Ex-Gratia Claims Payments ..................................................................................................
9.4 Cash Losses
9.5 Outstanding Claims ...............................................................................................................
Art. 10 Deposit ..................................................................................................................................
Art. 11.1 Accounting Period .................................................................................................................

11.2 Accounting Items ..................................................................................................................
11.3 Confirmation of Accounts ......................................................................................................
11.4 Settlement of Balances ........................................................................................................
11.5 Delay in payment.........................................................................
Art. 12 Set-off ....................................................................................................................................

Art. 13 Currency ................................................................................................................................
NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY
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Art. 14 Rates of Exchange ................................................................................................................
Art. 15 Taxes .....................................................................................................................................
Art. 16 Inspection .............................................................................................................................
Art. 17.1 Errors and Omissions ...........................................................................................................

17.2 Incorrect or Incomplete Information.......................................................................................
Art. 18.1 Inception and Termination ....................................................................................................
18.2 Special Cancellation....................................................................
Art. 19 Interpretation .........................................................................................................................
Art. 20 Change of Law Clause ..........................................................................................................
Art. 21 Arbitration ..............................................................................................................................
Art. 22 Alterations ..............................................................................................................................
Art. 23 Choice of Law / Jurisdiction ...................................................................................................
Art. 24 Special Conditions and Information.......................................................................................
Art. 25 Intermediaries ........................................................................................................................
Schedules
Schedule 1 Miscellaneous Accident Surplus
Appendix
Appendix 1 Commission
Appendix 2 Profit Commission
Appendix 3 General Exclusions
Appendix 4 Specific Exclusions
Appendix 5 Table of Limits
Appendix 6 Sanction Limitation and Exclusion
Appendix 7 Communicable Disease Exclusion
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Miscellaneous Accident Surplus – Revenue Year Basis
Reinsurance General Terms and Conditions (“Agreement”)
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PREAMBLE The Reinsured and the Reinsurers agree the one to cede and the other to accept by
way of reinsurance the Surplus proportion as specified in The Schedule. The Reinsured shall retain
net for its own account the proportion as stated in The Schedule.
ARTICLE 1
PERIOD. This Agreement shall apply to policies issued or renewed in respect of insurances and
reinsurances during the period specified in the Schedule (Item 2). The Reinsurers’ liability shall
commence simultaneously and obligatorily with that of the Reinsured.
ARTICLE 2
CLASS. This Agreement shall apply to the classes of business written by the Reinsured as specified
in the Schedule (Item 4).
ARTICLE 3
TERRITORIAL SCOPE. This Agreement shall apply to all risks underwritten and situated within the
territory or territories specified in the Schedule (Item 5).
ARTICLE 4
EXCLUSIONS. It is understood and agreed that, unless expressly specified in the Schedule to the
contrary, this Agreement does not apply to:
4.1 Obligatory reinsurance of any sort.
4.2 POLITICAL RISKS. Any loss or damage occasioned by or through or in consequence, directly
or indirectly, of any of the following occurrences, namely:
4.2.1 War, invasion, act of foreign enemy, hostilities or warlike operations (whether war be
declared or not), civil war.
4.2.2 Abandonment and / or permanent or temporary dispossession resulting from detention,

confiscation, seizure, restraint, commandeering, nationalisation, appropriation,
destruction or requisition by order of any government de jure or de facto or by any
public authority.
4.2.3 Mutiny, civil commotion, military rising, insurrection, rebellion, revolution, military or
usurped power, martial law or state of siege or any of the events or causes which
determine the proclamation or maintenance of martial law or state of siege.
4.2.4 Any act, including but not limited to labour disturbance, lock-out, riot or strike, which is
calculated or directed to bring about loss or damage in order to further any political aim,
objective or cause, or to bring about any social or economic change, or in protest
against any State or government, or any political or local authority, or for the purpose of
inspiring fear in the public or any section thereof.
4.2.5 The act of any lawfully established authority in controlling, preventing, suppressing or in
any other way dealing with any occurrence referred to in clauses 4.2.1 to 4.2.4.
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4.2.6 Plundering, looting, war, pillage in connection with civil commotion or any of the
activities referred to in clause 4.2.4 above.
Notwithstanding the foregoing, for the purposes of clauses 4.2.3, 4.2.4 and 4.2.6, any loss or
damage occasioned directly by a labour disturbance, lock-out, riot or strike or in order to bring
about any social or economic change which is not politically motivated as envisaged in clause
4.2.4 shall not be excluded.
If the Reinsurer alleges that, by reason of this clause, loss, damage, costs or expense is not
covered by this Agreement, the burden of proving the contrary shall rest on the Reinsured.
4.3 TERRORISM
Notwithstanding any provision of this Agreement including any exclusion, exception or extension
or other provision not included herein, this Agreement does not cover loss or damage to
property or expense of whatsoever nature directly or indirectly caused by, arising out of or in
connection with any act of terrorism regardless of any other cause or event contributing
concurrently or in any sequence to the loss, damage or expense.
For the purpose of this clause an act of terrorism includes, without limitation, the use of violence
or force including the use of chemical or biological substances or the threat thereof whether as
an act harmful to human life or not, by any person or group of persons, whether acting alone or
on behalf of or in connection with any organisation or Government or any other person or body
of persons, committed for political, ethnic, religious, personal or ideological reasons or purposes
including any act committed with the intention to influence any Government or for the purposes
of inspiring fear in the public or any section thereof.
If the Reinsurer alleges that, by reason of this clause, loss, damage, costs or expense is not
covered by this Agreement, the burden of proving the contrary shall rest on the Reinsured.
4.4 NUCLEAR ENERGY RISKS EXCLUSION CLAUSE (REINSURANCE) (1994

NMA 1975 (A) WORLD-WIDE EXCLUDING USA AND CANADA
This Agreement shall exclude Nuclear Energy Risks whether such risks are
written directly and/or by way of reinsurance and/or via Pools and/or
Associations.
For all purposes of this Agreement Nuclear Energy Risks shall mean all first and/or third-party
insurances or reinsurances (other than Workers' Compensation and Employers' Liability) in
respect of:
(I) All Property on the site of a nuclear power station.
Nuclear Reactors, reactor buildings and plant and equipment therein on any site other
than a nuclear power station.
(II) All Property, on any site (including but not limited to the sites referred to
in (I) above) used or having been used for:
(a) the generation of nuclear energy or
(b) the production, use or storage of nuclear material.
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III) Any other Property eligible for insurance by the relevant local Nuclear Insurance Pool
and/or Association but only to the extent of the requirements of that local Pool and/or
Association.
The supply of goods and services to any of the sites, described in (I) to (III),
above unless such insurances or reinsurances shall exclude the perils of irradiation and
contamination by Nuclear Material.
Except as under-noted, Nuclear Energy Risks shall not include:
(i) Any insurance or reinsurance in respect of the construction or erection or installation or

replacement or repair or maintenance or decommissioning of Property as described in
(I) to (III) above (including contractors' plant and equipment).
(ii) Any Machinery Breakdown or other Engineering insurance or reinsurance not coming
within the scope of (i) above.
Provided always that such insurance or reinsurance shall exclude the perils of irradiation and
contamination by Nuclear Material.
However, the above exemption shall not extend to:
(1) The provision of any insurance or reinsurance whatsoever in respect of:
(a) Nuclear Material;
(b) Any Property in the High Radioactivity Zone or Area of any Nuclear Installation as from
the introduction of Nuclear Material or for reactor installations - as from fuel loading or first
criticality where so agreed with the relevant local Nuclear Insurance Pool and/or Association.
(2) The provision of any insurance or reinsurance for the under-noted perils:
- Fire, lightning, explosion;
- Earthquake;
- Aircraft and other aerial devices or articles dropped there from;
- Irradiation and radioactive contamination;
- Any other peril insured by the relevant local Nuclear Insurance

Pool and/or Association;
in respect of any other Property not specified in (1) above which directly involves the
production, use or storage of Nuclear Material as from the introduction of Nuclear Material into
such Property.
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Definitions:
"Nuclear Material" means Nuclear fuel, other than natural uranium and depleted uranium, capable of
producing energy by a self-sustaining chain process of nuclear fission outside a Nuclear Reactor,
either alone or in combination with some other material; and
"Radioactive Products or Waste" means any radioactive material produced in, or any material made
radioactive by exposure to the radiation incidental to the production or utilisation of nuclear fuel, but
does not include radioisotopes which have reached the final stage of fabrication so as to be usable for
any scientific, medical, agricultural, commercial or industrial purpose.
"Nuclear Installation" means:
(i) any Nuclear Reactor;
(ii) any factory using nuclear fuel for the production of Nuclear Material, or any factory for the
processing of Nuclear Material, including any factory for the reprocessing of irradiated nuclear
fuel; and
(iii) any facility where Nuclear Material is stored, other than storage incidental to the carriage of
such material.
"Nuclear Reactor" means any structure containing nuclear fuel in such an arrangement that a self-
sustaining chain process of nuclear fission can occur therein without an additional source of neutrons.
"Production, use or storage of Nuclear Material" means the production, manufacture, enrichment,
conditioning, processing, reprocessing, use, storage, handling and disposal of Nuclear Material.
"Property" shall mean all land, buildings, structures, plant equipment, vehicles, contents (including but
not limited to liquids and gases) and all materials of whatever description whether fixed or not.
"High Radioactivity Zone or Area" means:
(i) for Nuclear Power Stations and Nuclear Reactors, the vessel or structure
which immediately contains the core (including its supports and shrouding) and all the contents
thereof, the fuel elements, the control rods and the irradiated fuel store; and
(ii) for non-reactor Nuclear Installations, any area where the level of radioactivity requires the
provision of a biological shield.
4.5 ADDITIONAL NUCLEAR EXCLUSIONS. This reinsurance does not cover loss, damage cost or
expense caused directly or indirectly by any of the following regardless of any other cause or
event contributing concurrently or in any other sequence to the loss:
Nuclear material, nuclear fission or fusion, nuclear radiation, nuclear waste from the use of
nuclear fuels, nuclear explosives or any nuclear weapon.
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Definitions:
“Nuclear material” as defined in NMA 1975.
“Nuclear fission” means a nuclear reaction in which a heavy nucleus splits spontaneously or on impact
with another particle with the release of energy.
“Nuclear fusion” means a nuclear reaction in which atomic nuclei of low atomic number fuse to form a
heavier nucleus with the release of energy.
“Nuclear radiation” means the absorption of electro-magnetic radiation by a nucleus having a magnetic
moment when in an external magnetic field.
“Nuclear waste” as defined in NMA 1975.
“Nuclear fuels” means a substance that will sustain a fission chain reaction so that it can be used as a
source of nuclear energy.
“Nuclear explosives” means an explosive involving the release of energy by nuclear fission or fusion or
both.
“Nuclear weapon” means a nuclear device designed, used or usable for inflicting bodily harm or
property damage.
4.6 pools and pooling arrangements
4.7 businesses written on an excess of loss, layered, stop loss or first loss basis
4.8 Computer Loss General
Notwithstanding any provision of this Agreement including any special exclusion or extension or
other provision not included herein which would otherwise override a general exclusion, this
Agreement does not cover:
a) loss or destruction of or damage to any property whatsoever (including a computer) or any loss
or expense whatsoever resulting or arising there from;
b) any legal liability of whatsoever nature;
c) any consequential loss;
directly or indirectly caused by or contributed to by or consisting of or arising from the incapacity or

failure of any computer, correctly or at all,
i) to treat any date as the correct date or true calendar date, or correctly or appropriately to
recognise manipulate interpret process store receive or to respond to any data or information, or
to carry out any command or instruction, in regard to or in connection with any such date or;
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ii) to capture save retain or to process any information or code as a result of the operation of any
command which has been programmed into any computer, being a command, which causes the
loss of data or the inability to capture save retain or correctly to process such data in regard to
or in connection with any such date or;
iii) to capture save retain or to process any information or code due to programme errors, incorrect
entry or the inadvertent cancellation or corruption of data and or programmes;
iv) to capture save retain or to process any data as a result of the action of any computer virus, or
other corrupting, harmful or otherwise unauthorised code or instruction including any trojan
horse, time or logic bomb or worm or any other destructive code, media or programme or
interference.
A computer includes any computer, data processing equipment, microchip, integrated circuit or similar
device in computer or non-computer equipment or any computer software, tools, operating system or
any computer hardware or peripherals and the information or data electronically or otherwise stored in
or on any of the above, whether the property of the Insured or not.
Special Extension to the above General Exclusion
A Loss or destruction of or damage to the insured property by fire, explosion, lightning, and
earthquake or by the special perils referred to in B below or indemnified by the Glass, Stated
Benefits or Group Personal Accident is not excluded by this General Exclusion.
B The special perils that are not excluded for the purpose of this special extension are damage
caused by:
1. storm, wind, water, hail or snow excluding damage to property
a) arising from its undergoing any process necessarily involving the use or application of
water;
b) caused by tidal wave originating from earthquake or volcanic eruption;
c) in the underground workings of any mine;
d) in the open (other than buildings structures and Unless so described

and specifically
plant designed to exist or operate in the open); insured as a
separate item
e) any structure not completely roofed;
f) being retaining walls;
2. aircraft and other aerial devices or articles dropped there from;
3. impact by animals, trees, aerials, satellite dishes or vehicles excluding damage to such
animals, trees, aerials, satellite dishes or vehicles or property in or on such vehicles.
These special perils do not cover wear and tear or gradual deterioration.
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C. The above General Exclusion also does not apply to consequential loss as insured by any
Business Interruption indemnity provided by this policy to the extent that such consequential
loss results from damage to insured property by the perils referred to in A above.
D. This Special Extension will not insure any loss destruction, damage or consequential loss if it
would not have been insured in the absence of this Computer Loss General Exclusion and this
Special Extension.
E. This Special Extension shall not apply to any Public Liability indemnity.
4.9 Asbestos Exclusion
It is hereby understood and agreed that this contract shall not apply to and does not cover any
actual or alleged liability whatsoever for any claim or claims in respect of loss or losses directly
or indirectly arising out of, resulting from or in consequence of, or in any way involving asbestos,
or any materials containing asbestos in whatever form or quantity
4.10 Electronic Date Recognition Clause EDRC (B)
Section 1
This reinsurance does not cover any loss, damage, cost, claim or expense, whether preventative,
remedial or otherwise, directly or indirectly arising out of or relating to:
a) the calculation, comparison, differentiation, sequencing or processing of data involving the

date change to the year 2000, or any other date change, including leap year calculations by
any computer system, hardware, programme or software and/or any microchip, integrated
circuit or similar device in computer equipment or non-computer equipment, whether the
property of the insured or not; or
b) any change, alteration or modification involving the date change to the year 2000 or any other
date change, including leap year calculations, to any such computer system, hardware,
programme or software or any microchip, integrated circuit or similar device in computer
equipment or non-computer equipment, whether the property of the insured or not.
This clause applies regardless of any other cause or event that contributes concurrently or in any
sequence to the loss, damage, cost, claim or expense.
However, this section shall not apply in respect of physical damage occurring at the insured’s
premises arising out of the perils of fire, lightning, explosion, aircraft or vehicle impact, falling objects,
windstorm, hail, tornado, hurricane, cyclone, riot, strike, civil commotion, vandalism, malicious
mischief, earthquake, volcano, tsunami, freeze or weight of snow.
Section 2
Notwithstanding Section 1 above, this reinsurance does not cover any costs and expenses, whether
preventative, remedial or otherwise, arising out of or relating to change, alteration or modification of
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any computer system, hardware, programme or software or any microchip, integrated circuit or similar
device in computer or non-computer equipment, whether the property of the insured or not.
Section 3
The date change to the year 2000, or any other date change, including leap year calculations, shall not
in and of itself be regarded as an event for the purposes of this reinsurance.
4.11 Clarification Agreement
Property damage covered under this Agreement shall mean physical damage to the substance of
property.
Physical damage to the substance of property shall not include damage to data or software, in
particular any detrimental change in data, software or computer programmes that is caused by a
deletion, a corruption of a deformation of the original structure.
Consequently, the following are excluded from this Agreement:
Loss of or damage to data or software, particular any detrimental change in data, software or computer
programmes that is cause by a deletion, a corruption or a deformation of the original structure, and any
business interruption losses resulting from such a loss or damage. Notwithstanding this exclusion,
loss of or damage to data or software, which is the direct consequence of insured physical damage to
the substance of property, shall be covered.
Loss of damage resulting from an impairment in the function, availability, range of use or accessibility
of data, software or computer programmes, and any business interruption losses resulting from such
loss or damage.
4.12 Terrorism Clause For Contamination and Explosives
It is agreed that, regardless of any contributory causes, this reinsurance does not cover any loss,
damage, cost or expense directly or indirectly arising out of
a) biological or chemical contamination
b) Missiles, bombs, grenades, explosives
due to any act of terrorism.
For the purpose of this endorsement an act of terrorism means an act, including but not limited to the
use of force or violence and/or the threat thereof, of any person or group(s) of persons, whether acting
alone or on behalf of or in connection with any organisation(s) or government(s), committed for
political, religious, ideological, or ethnic purposes or reasons including the intention to influence any
government and/or to put the public, or any section of the public, in fear.
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For the purpose of a) "contamination" means the contamination, poisoning, or prevention and/or
limitation of the use of objects due to the effects of chemical and/or biological substances.
If the Reinsurer alleges that by reason of this exclusion, any loss, damage, cost or expense is not
covered by this reinsurance the burden of proving the contrary shall be upon the Reassured.
4.13 Radioactive Exclusion
Unless specifically agreed for an insured loss involving nuclear material under determined
circumstances, this reinsurance does not cover loss, damage cost or expense of whatsoever nature
directly or indirectly caused, resulting from or in connection with nuclear energy or radioactivity of any
kind including but not limited to any of the following regardless of any other cause or event contributing
concurrently or in any other sequence to the loss:
1. ionising radiations from or contamination by radioactivity from any nuclear fuel or from any
nuclear waste or from the combustion of nuclear fuel.
2. the radioactive, toxic, explosive or other hazardous or contamination properties of any nuclear
installation, reactor or other nuclear assembly or nuclear component thereof.
3. any weapon of war employing atomic or nuclear fission and/or fusion or other like reaction or
radioactive force or matter.
4.14 Transmission and Distribution Line Exclusion
This reinsurance does not cover any loss of, destruction of or damage to any kinds of above or below
ground conductors (e.g. transmission and distribution lines) including wires, cables, poles, scaffolding,
pylons and masts or any property forming a part thereof or connected therewith and including
substations and transformer stations unless such conductors for which the insured carries the risk are
located no further than 150 metres from an insured plant of this insured. This exclusion also applies to
any consequential losses, time element losses or business interruption losses resulting there from
including but not limited to increased cost of working.
This exclusion includes but is not limited to conductors for the transmission or distribution of electrical
energy, telephone or telegraphic signals, and all communication signals whether audio or visual.
It is, however, understood and agreed that this exclusion shall not apply to contingent business
interruption coverage including public utilities extensions and/or suppliers’ extensions, provided that
these are not part of a suppliers’, transmitters’ or distributors’ policy.
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4.15 Pollution/Contamination Exclusion
This agreement excludes any loss arising from Pollution or Contamination except (unless otherwise
excluded) destruction of or damage to the property insured caused by:
◼ pollution or contamination which itself results from a peril reinsured against
◼ any peril reinsured against which itself results from a pollution or contamination
This agreement also excludes any liability in connection with disposed or dumped waste materials or
substances.
4.16 ADDITIONAL EXCLUSIONS. As specified in the Schedule (Item 6) and Additional

Exclusions (Appendix 3 and 4)
ARTICLE 5
5.1 LIMITS. This Agreement shall be subject to the Limits as specified in the Schedule (Item 7).
5.2 RETENTION. The Reinsured shall retain net for its own account the proportion stated in the
Schedule (Item 7).
5.3 ONE RISK. For the purposes of this Agreement, the Reinsured shall be the sole judge as to the
constitution of One Risk.
5.4 PRIOR FACULTATIVE REINSURANCE. Where in exceptional circumstances it is considered

necessary, the Reinsured may reduce its gross commitment on any risk by effecting prior
facultative reinsurance, but the Reinsured shall not effect facultative reinsurance protection
solely for the protection of the business retained net for its own account.
5.5 PROTECTION OF THE REINSURED’S RETENTION. The Reinsured reserves the

right to effect, at its own discretion; excess of loss protection for its net
retention, such excess of loss protection shall not affect the operation of this
Agreement.
5.6 SELF-INSURANCE. In respect of self-insurance which may be effected by the Reinsured, the
liability of the Reinsurers shall be determined without regard to the legal principle that a person,
company or corporation cannot be liable to itself.
5.7 FOLLOW THE FORTUNES. All cessions under this Agreement shall be subject to the same
terms and conditions as those binding upon the Reinsured under the original acceptances. The
Reinsurers shall, subject to the terms and conditions of this Agreement, follow the underwriting
fortunes of the Reinsured.
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5.8 UNDERWRITING PRACTICE. Without prior consultation and with the approval in writing of the
Reinsurers, the Reinsured undertakes not to introduce any change in its established acceptance
and underwriting practice which is potentially capable of increasing or extending the liability or
exposure of or the cessions to the Reinsurers under the original covers hereunder.
ARTICLE 6
6.1 PREMIUM. The Reinsurers shall receive their share of the original gross premium payable to the
Reinsured; their share shall be subject to the original terms and conditions and the
original currencies. If the Reinsurers have assumed liability for an insured risk, they
are entitled to their share of the reinsurance premium even if the Reinsured has not
received the premium owing to it.
6.2 PAYMENT OF PREMIUMS. The Reinsurers’ obligations to pay claims are

contingent on and subject to the payment of the due premiums by the Reinsured and until such
premium is received, the Reinsurers shall have no obligations whatsoever to pay any claims,
provided that, any set-off applied in terms of this Agreement shall constitute compliance with this
provision.
ARTICLE 7
PORTFOLIO CONSIDERATION
7.1 COMMENCEMENT OF THE REINSURANCE.
The Reinsurers shall assume liability for their proportion of:
7.1.1 All cessions in force at the commencement of this Agreement in consideration

of a premium portfolio calculated by applying the system specified in the
Schedule (Item 8) to the premium net of commission appearing in the
accounts (excluding premiums for monthly business) for the four quarters
preceding the date at which this Agreement takes effect; and
7.1.2 All losses outstanding at the commencement of this Agreement in

consideration of a loss portfolio amounting to the percentage specified in the
Schedule (Item 8) of the estimated amount for which the Reinsurers would
have been liable had they previously participated therein, this loss portfolio
being subject to adjustment in accordance with paragraph 7.3 of this Article.
7.2 TERMINATION OF THE REINSURANCE
In the event of this Agreement being terminated and the Reinsured electing to withdraw the
portfolio, the Reinsurers will be relieved of liability for all cessions currently in force and all
losses outstanding at the termination of this Agreement. In consideration, the Reinsured shall
debit the Reinsurers with:
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7.2.1 A premium portfolio calculated by applying the system specified in The

Schedule (Item 8) to the premium net of commission appearing in the
accounts (excluding premiums for monthly business) for the four quarters
preceding the date at which this Agreement terminates; and
7.2.2 A loss portfolio amounting to the percentage specified in The Schedule (Item
8) of all the losses outstanding as at the date of termination, thereby relieving
the Reinsurers of any further liability thereof. This loss portfolio is subject to
adjustment in accordance with paragraph 7.3 of this Article.
7.3 ADJUSTMENT
The Reinsured shall effect at a later date an adjustment to the amounts credited or debited in
terms of paragraph 7.1.2 and 7.2.2 above if such adjustment is warranted, the intention being
that as far as practicable, no one Reinsurer shall be disadvantaged as compared with another
Reinsurer.
7.4 DISPUTED LOSS
Nevertheless and notwithstanding the foregoing, any loss or losses occasioned by a

catastrophe or which may be the subject of dispute or any loss or losses where the Reinsured
is unable to determine a reasonable estimate of liability, shall be excluded from the
abovementioned transactions and any liability in respect thereof shall be borne by the
Reinsurers on risk at the time of the occurrence as and when liability and/or quantum have
been determined.
7.5 CHANGE OF REINSURERS SHARES
In the event of alterations to the Reinsurers shares, the procedure under paragraphs 7.1, 7.2,
7.3 and 7.4 shall be applied.
ARTICLE 8
COMMISSION. The Reinsurers shall pay to the Reinsured commission and profit commission
as specified in the Schedule (Items 9 and 10). In the event of this Agreement being terminated
on a run-off basis the final profit commission will only be calculated after all claims have been
finalised and settled.
ARTICLE 9
9.1 NOTIFICATION OF CLAIMS. It is a condition precedent to the Reinsurer’s obligation to pay

under this Agreement that the Reinsured immediately reports losses for which notification is
stipulated in the Schedule hereto (item 10). Such reporting shall include all material information
on the loss, particularly the estimated cost of the loss, the cause and the planned settlement.
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9.2 CLAIMS CO-OPERATION
A further condition precedent to the Reinsurer’s obligation to pay is that the Reinsured shall, on
the Reinsurer’s request, co-operate with the Reinsurer in the adjustment and settlement of
claims. In particular, the Reinsurer may require that the Reinsured, after consultation with the
Reinsurer, appoint a recognised firm of independent loss adjusters and that it be kept informed
of the progress of the settlement and/or be given an opportunity to take part, at its own expense,
in the settlement of the claim by delegating a duly authorised representative.
9.3 EX-GRATIA CLAIMS PAYMENTS
The Reinsurer shall not be obliged, unless it has given its prior consent to contribute to loss
payments made by the Reinsured voluntarily, knowing that no obligation to make such
payments exists.
9.4 CASH LOSSES. If a claim (this is not applicable to claims estimates) on the
Reinsurers exceeds the amount specified in the Schedule (Item 11), the
Reinsured is entitled to payment within ten working days upon receipt of written request for the
amount due by the Reinsurers in terms of this Agreement in respect of that claim (subject to
Set-Off terms as specified in Article 12.
However, it is a condition precedent to the Reinsurer’s duty to pay within such time limit, that the
Reinsured shall prove that it has paid or is about to pay the insured in respect of the relevant
insurance loss and that the Reinsured shall provide the Reinsurer with all related facts, legal
assessment and adjusting reports, unless the Reinsurer expressly waives such rights of
information. All other claims will be settled on account in accordance with Article 11. Any
payment made by Reinsurers does not constitute admission of liability.
9.4 OUTSTANDING CLAIMS. In respect of the outstanding claims on the Reinsured which exceed
the amount stated in the Schedule (Item 11) in terms of Article 9.1, the Reinsured shall supply
the Reinsurers as at the end of each quarter with the name, date of loss and estimated amount
of each outstanding claim given separately per year of occurrence and per underwriting year.
This information shall be forwarded to the Reinsurers not later than six weeks from the end of
the quarter.
Following cancellation in terms of Articles 17.1 and 17.2 of this Agreement the information
above shall be so forwarded to the Reinsurers until all liability under this Agreement shall have
been discharged.
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ARTICLE 10
DEPOSIT. If applicable, the Reinsurer undertakes to set up a deposit in favour of the Company. The
interest on this deposit shall be payable to the Reinsurer.
The unearned premium reserves indicated in the Annexes to this Agreement shall be deposited for the
Reinsurer's share at the end of each accounting period.
The deposit shall remain in existence for 12 months and shall be released at the end of the
corresponding accounting period of the year in question. At the same time a new deposit shall be set
up, based on new reserve calculations.
If reserves are to be assumed at the commencement of this Agreement, those reserves for which a
deposit is required shall be deposited accordingly. The deposit shall be released pro rata at the end of
the accounting periods occurring during the first year of this Agreement.
If the Agreement is terminated with premium portfolio withdrawal, the deposited premium reserves
shall be returned to the Reinsurer in full immediately.
In the event of alterations in the Reinsurer's share, the procedure for commencement and termination
of the Agreement shall be applied accordingly.
The Reinsurer shall have the right to set up the deposit in cash with the Company or in the form of
securities.
In the case of a securities deposit, a separate agreement shall be made between the parties.
In the case of a cash deposit, the Reinsurer shall receive interest annually at the rate indicated in the
Annexes to this Agreement. This rate applies to all cash deposits to be released during the year in
question. The interest shall be credited to the Reinsurer at the same time as the corresponding deposit
is released.
ARTICLE 11
11.1 ACCOUNTING PERIOD. The Reinsured shall render statements of account to the Reinsurers
for the business ceded under this Agreement as specified in the Schedule (Item 14).
11.2 ACCOUNTING ITEMS. The statements of account shall show the following details, broken
down according to the different shares and classes of insurance specified in the Schedule
(Item 14):
11.2.1 The written premiums payable to the Reinsurers less returns, cancellations and
premiums paid for insurances and reinsurances which inure to the benefit of this
Agreement.
11.2.2 Commissions.
17
11.2.3 The claims paid less salvages and recoveries.
11.2.4 Outstanding losses broken down into years of occurrence as per Article 9.4.
11.2.5 Cash loss recoveries.
The time limit for submission of Accounts, and all other items or additional information to be
included in the accounts are specified in the Schedule.
11.3 CONFIRMATION OF ACCOUNTS. Following receipt of the statement of account, the

Reinsurers shall confirm the accounts or raise any objections to them within the period specified
in the Schedule (Item 14).
11.4 SETTLEMENT OF BALANCES The Reinsured shall pay any balance due to the Reinsurers, or
the Reinsurers shall pay. Any balance due to the Reinsured as the case may be, within the
period specified in the Schedule.
11.5 DELAYS IN PAYMENT. Any amount due by either party to this Agreement which is outstanding
after the Due Date on which payment is due shall be subject to the payment of interest by the
debtor party at the rate set out in the Schedule (Item 16). Late payment interest shall be
calculated on the amount due from the due date to the actual date of payment.
ARTICLE 12
SET-OFF. Any amounts due by either of the parties to this Agreement, whether they arise out of this
Agreement or out of any other business relationship between the parties, may be set off against the
claims of the other party. This right shall continue to exist after the termination of this Agreement or of
any business relationship between the parties.
If bankruptcy or liquidation proceedings are initiated in respect of either of the parties to this
Agreement, the other party may set off all the amounts owing to it, whether they arise out of this
Agreement or out of any other business relationship between the parties, against all the amounts due
or not yet due for payment by it, whether these arise out of this Agreement or out of any other
business relationship between the parties. The same right may be exercised by any party to this
Agreement that exercises its right of extraordinary termination for any other reason indicated in this
Agreement.
Where the Reinsurer has set up a deposit, it may, in the event of bankruptcy or liquidation proceedings
being initiated against the Company or in the event of extraordinary termination, exercise its rights in
respect of the deposit or arising out of the deposit agreement wholly or in part as if they were
immediately due debts of the Company, and may set off such debts against any amounts payable to
the Company. To the extent that the Reinsurer exercises its right of set-off, it shall waive any rights
accorded to it by the deposit agreement.
18
ARTICLE 13
CURRENCY. The currency of this Agreement is as specified in the Schedule (Item17). However, the
settlement currency shall be in the same currency as that in which the premium is paid in terms of this
Agreement.
ARTICLE 14
RATES OF EXCHANGE. For the purpose of this Agreement currencies other than the currency in
which this Agreement is written shall be converted into such currency at the rates of exchange used in
the Reins red’s books at the Due Date of settlement. Where there is a specific remittance for loss
settlement the conversion will be at the rate of exchange ruling on the date upon which settlement is
effected.
ARTICLE 15
TAXES. The financial transactions arising out of this Agreement are subject to tax implications as
specified in the Schedule (Item 18).
ARTICLE 16
INSPECTION. The Reinsurers or their duly appointed representatives may at any time during normal
office hours inspect and take copies of such of the Reins red’s records and documents relating to the
business covered under this Agreement.
The Reinsurers shall have this right to information as long as either party has a claim against the other
arising out of this Agreement.
ARTICLE 17
17.1 ERRORS AND OMISSIONS. Any inadvertent delay, error or omission on the part of either
the Reinsured or the Reinsurers shall not relieve the other party from any liability which would
have attached to this Agreement, provided that such error or omission is rectified immediately
upon discovery and shall not impose any greater liability on the Reinsured or the Reinsurers
than would have attached had the error or omission not occurred.
17.2 INCORRECT OR INCOMPLETE INFORMATION. The terms of this Agreement are based on
the information supplied by the Reinsured to the Reinsurers prior to the conclusion of this
Agreement.
Should the Reinsured have supplied the Reinsurers with information which it knew or should
have known to be incorrect or incomplete, this Agreement shall be affected as follows: if the
Reinsurers, in possession of the true facts, would have declined to provide Reinsurance, this
Agreement shall be void. If the Reinsurers, in possession of the true facts, would have
provided Reinsurance but under less advantageous terms, this Agreement shall be
modified accordingly with effect from the commencement of this Agreement.
19
The Reinsurers, if in possession of the true facts, will be deemed to have acted as reasonable
Reinsurers would have acted under the same circumstances, unless the Reinsured is able to
show otherwise.
ARTICLE 18
18.1 INCEPTION AND TERMINATION. This Agreement shall take effect on the date specified in the
Schedule and shall be terminated on the basis specified in the Schedule (Item 2). In the event
of either party giving notice of termination, then such notice shall automatically be deemed to
have been given by both parties. During the period of notice, the Reinsurers shall continue to
participate in all cessions covered in terms of this Agreement.
On termination of this Agreement, the undertaking by the Reinsured to cede and by the
Reinsurers to accept cessions to this Agreement shall fall away in respect of all original policies
with an inception or renewal date falling outside the period of the currency of this Agreement.
It is understood that the Reinsurers shall continue to be bound in respect of liability attaching to
cessions referring to original policies with an inception or renewal date falling within the period of
the currency of this Agreement, up to their natural expiry.
18.2 SPECIAL CANCELLATION. Either party shall have the right to cancel this
Agreement immediately by giving the other party notice in any of the following events:
18.2.1 If the performance of the whole or any part of this Agreement be prohibited or
rendered impossible de jure or de facto in particular and without prejudice to the
generality of the preceding words in consequence of any law or regulation which is
or shall be in force in any country or territory or if any law or regulation shall prevent
directly or indirectly the remittance of any or all or any part of the balance of
payments due to or from either party.
18.2.2 If the other party has become insolvent or unable to pay its debts or has lost the
whole or any part of its paid up capital.
18.2.3 If there is any material change in the ownership or control of the other party.
18.2.4 If the country or territory in which the other party resides or has its head office or is
incorporated shall be involved in armed hostilities with any other country whether
war be declared or not or is partly or wholly occupied by another power.
18.2.5 If the authority to transact any class of insurance or reinsurance in respect of either
party is withdrawn, suspended or made conditional by any court or regulatory
authority.
18.2.6 If the other party shall have failed to comply with any of the terms and conditions of
this Agreement.
18.2.7 All notices of termination served in accordance with any of the provisions of this
Article shall be in writing (written notice shall be deemed to include telefax,
telegram and electronic mail) and shall be:
18.2.7.1 addressed to the party concerned at its Head Office or at any other
address previously designated by that party;
20
18.2.7.2 deemed to be served upon dispatch or where communication

between the parties are interrupted, upon attempted dispatch.
18.2.8 On cancellation in terms of this clause, the liability of the Reinsurers to indemnify the
Reinsured shall cease absolutely but it is understood that in respect of claims arising
from losses which occurred during the currency of this Agreement and which are not
settled by the time of cancellation, the liability of the Reinsurers shall continue until
discharged.
ARTICLE 19
INTERPRETATION. The terms of this Agreement shall be construed in accordance with recognised
reinsurance practice rather than being given a strictly literal or legal interpretation.
ARTICLE 20
CHANGE OF LAW CLAUSE. In the event of any change in the law by which the Reinsurers’ liability
hereunder is materially increased, or extended, the parties hereto agree to take up for immediate
discussion, a suitable revision in the terms of this Agreement. In the event of failure to agree upon a
suitable revision, this Agreement shall operate from the effective date of the change of law as if the
change had not occurred, or upon its termination the Reinsurers’ liability will not be increased or
extended by any change of law affecting this Agreement which has not been agreed to by the
Reinsurers.
ARTICLE 21
ARBITRATION. Any difference arising out of this Agreement or concerning its validity shall be
submitted to the decision of a panel of arbitration, regardless of whether this Agreement is terminated
or not.
The panel of arbitration shall consist of three members, unless the parties agree to appoint only one
arbitrator, such agreement to be reached within four weeks of one of the parties receiving a written
request to this effect from the other. Unless otherwise agreed by the parties, the members of the panel
of arbitration shall be knowledgeable and experienced in insurance or reinsurance matters, holding or
having held managerial positions in the industry.
Each party may nominate one arbitrator. In the event of one party failing to appoint an arbitrator within
four weeks of being requested in writing by the other party to do so, the second arbitrator shall be
appointed by the President of the Chamber of Commerce at the seat of the party not in default. Before
entering upon the arbitration, the two arbitrators shall appoint a third arbitrator who shall be
responsible for conducting the business of the panel of arbitration. If the two arbitrators fail to agree
upon a third within four weeks of their appointment, the third arbitrator shall be appointed by the
President of the Chamber of Commerce at the seat of the defendant party. If one of the arbitrators is
unable to participate for any reason, his successor shall be appointed in accordance with the
procedure described above.
An arbitrator may only be objected to if there are legitimate doubts about his professional or personal
suitability. A party may only object to the arbitrator it has nominated itself if the grounds for the
objection were not known to it before his appointment. Objection to an arbitrator, with details of the
21
grounds for it, shall be submitted to the panel of arbitration within two weeks of the constitution of the
panel or within two weeks of the party gaining knowledge of the circumstances that lead to the
objection. If the arbitrator in question does not withdraw from the panel or the other party does not
agree to his removal, the decision on the objection shall be made by the other two members of the
panel, without the arbitrator in question.
The panel of arbitration shall meet at the seat of the defendant party.
The panel of arbitration shall have the power to fix all procedural rules and shall not be bound by
formal rules of legal procedure. It shall decide by simple majority vote; if no majority can be reached,
the verdict of the third arbitrator shall prevail. The panel of arbitration is required to decide primarily in
accordance with reinsurance custom. It shall make its award in writing within six months following the
appointment of the third arbitrator.
The costs of the arbitration shall be awarded to one or both parties in the manner the panel of
arbitration considers to be fair.
Each party undertakes to comply with the award of the panel of arbitration without delay and, where it
is permitted to do so, waives its right to take any further legal action to contest the award. With regard
to the enforcement of the award, each party may apply to a court of competent jurisdiction in any
territory in which the party in default is domiciled or has assets or conducts business.
ARTICLE 22
ALTERATIONS. This Agreement may at any time be altered by agreement between the parties. Such
alterations or additions as may be agreed upon shall be expressed in Addenda or correspondence
which shall be attached to and form an integral part of this Agreement as specified in the Schedule
(Item 20).
ARTICLE 23
CHOICE OF LAW / JURISDICTION. This Agreement shall be governed by the Law stated in the
Schedule (Item 21).
ARTICLE 24
SPECIAL CONDITIONS. Any Special Conditions applicable to this Agreement are as stipulated in the
Schedule (Item 24).
ARTICLE 25
INTERMEDIARIES. The recognised intermediaries negotiating this Agreement, through whom all
communications relating thereto shall be transmitted, are as specified in the Schedule (Item 22).
However, payments by the Reinsurer to the Intermediary for the account of the Reinsured shall
constitute payment to the Reinsured for the purpose of discharging the Reinsurer’s liability hereunder.
Payments by the Reinsured through the Intermediary shall only constitute payment to the Reinsurer
when and to the extent that such payments are actually received by the Reinsurer.
22
NOTICE The subscribing Reinsurers’ obligations under this Agreement are several and not joint
and are limited solely to the extent of their individual subscriptions. The subscribing
Reinsurers are not responsible for the subscription of any co-subscribing Reinsurers who
for any reason do not satisfy all or part of their obligations.
Executed In Duplicate and Signed
for and on behalf of African Reinsurance Corporation

Digitally signed by Habtamu
Debela
Date: 2022.08.05 12:10:36
+03'00'
Addis Ababa
at…………………………………. 5th
this ………………………….day August
of…………….2022
And for and on behalf of Nib Insurance Company.
at…………………………………this ……………………………day of ……………2022
Signed line: 30%
23
The Schedule
1 REINSURED Nib Insurance Company

(Preamble)
Continuous subject to 3 months notice of cancellation as
PERIOD per 30 June any year. Hereon effective 1st July 2022 to
2 (Article 1) 30th June 2023.
However, it is understood that the provisional notice of

cancellation is automatically tendered at 31st March by both
the Reassured and Reinsurers heron, unless otherwise
advised by either party. All renewal information – statistics
current year + 3 previous years, as well as gross, cession
and net profiles will be provided to Reinsurers 4 weeks prior
to renewal date.
3 TYPE Miscellaneous Accident Surplus Treaty
4 CLASS Miscellaneous Accident business underwritten by the

(Article 2) Reinsured directly, as co-insurance or by way of facultative
reinsurance
5 TERRITORIAL SCOPE Ethiopia and Ethiopian interests abroad excluding USA &
(Article 3 ) Canada but Worldwide in respect of Personal Accident for
business written in Ethiopia
Various classes.
6 EXCLUSIONS Additional Exclusions per Appendix 3,4,6 and Appendix 7

(Article 4)
7 LIMITS / RETENTION As per Table of Limits (Appendix 5)

(Article 5.1 & 5.2)
Reinsured’s Retention
Various
Reinsurance Limits
Various
Surplus:
Lines as per Table of Limits (Appendix 5)
24
Facultative Reinsurance Acceptances:
Facultative Reinsurance acceptances /Co-insurances by

the Reinsured are limited to 50% of the treaty limits, but
always subject to the Table of Retentions.
8 PORTFOLIO Incoming: Premium 40% less commission

(Article 7) Losses 90%
Outgoing: Premium 40% less commission

Losses 90%
Incoming and outgoing portfolio accounts must be

presented simultaneously on due dates.
9 COMMISSION Rate: 34.5% (applied on ceded premiums, net of taxes,

(Article 8) where taxes are applicable)
10 PROFIT COMMISSION Rate 34.5%; Management Expenses 7.5% Losses carried

(Article 8) forward to 5 years.
Calculations as per Appendix 2 if applicable
11 NOTICE OF CLAIM Losses equal to exceeding Etb 50% of 100% treaty

(Article 9.1) retention. Reinsurers to be notified within 30 days of
occurrence or knowledge. In as much as possible full policy
and all assessors’ reports to be provided. Late notifications
will not be entertained/ indemnified.
12 CASH LOSS LIMIT Losses equal to exceeding Etb 75% of 100% treaty
(Article 9.4) retention subject to deduction (Off-Set Clause). Cash Loss
request to also provide start and end date of policies. Full
policy copy and all assessors’ reports to be provided.
13 RENDERING OF ACCOUNTS Quarterly to be submitted within 6 weeks after close of each

(Articles 11.1 and 11.2) quarter.
Losses paid and outstanding to be advised with accounts in

their years of occurrence.
14 CONFIRMATION AND Confirmation within 7 days of receipt of Accounts

SETTLEMENT OF ACCOUNTS
(Articles 11.3 and 11.4) Losses paid and outstanding losses to be advised with
accounts in their years of occurrences.
Balances to be settled by the debtor party at the rate of

exchange ruling as quoted by the Local Commercial Banks
on the due date of settlement.
25
16 DELAY IN PAYMENT Nil.

INTEREST
(Article 11.5)
17 BORDEREAUX Premiums and claims bordereaux, together with the list of

outstanding losses in their years of occurrences to be
submitted with quarterly statements of accounts.
18 CURRENCY Ethiopian Birr

(Article 13)
19 TAXES Nil
(Article 15)
20 ARBITRATION Seat of Arbitration. Addis Ababa, Ethiopia

(Article 21)
21 ALTERATIONS By Addendum and/or as agreed

(Article 22)
22 CHOICE OF LAW / The Agreement is subject to Ethiopian Law of practice

JURISDICTION
(Articles 20 & 23)
23 INTERMEDIARIES Nil
(Article 25)
24 BROKERAGE Nil
25 SPECIAL CONDITIONS AND Nil

INFORMATION
(Article 24)
26 INFORMATION Estimated Premium Income 2022-23 = Etb 2,000,000.
27 RATE Original Gross Rates
26
CLAUSES ATTACHING TO AND FORMING PART OF THIS AGREEMENT:
1. Sliding Scale Commission - Appendix No1.
2. Profit commission – Appendix No 2.
3. General Conditions – Appendix No. 3
4. Specific Exclusions – Appendix No. 4
5. Table of Limits – Appendix No. 5
6. Sanction Limitation and Exclusion Clause – Appendix No.6
7. Communicable Disease Exclusion Clause – Appendix No. 7
Executed In Duplicate and Signed
for and on behalf of African Reinsurance Corporation
Digitally signed by
Habtamu Debela
Date: 2022.08.05
12:11:09 +03'00'
Addis Ababa
at…………………………………. 5th
this ………………………day August
of…………….2022
And for and on behalf of Nib Insurance Company
at…………………………………this …………………………. day of ……………2022
Signed line: 30%
27
Appendix No1
attaching to and forming part of The Schedule
Commission
The Reinsured shall at the end of each treaty year calculate an adjusted commission on the following
“sliding scale” basis:-
Commission Loss Ratio
Provisional Commission: 25%
The commission calculation shall be submitted to the Reinsurer within six weeks of the last day of the
treaty year in question and the difference between the provisional; commission and the adjusted
commission shall thereupon become payable by the debtor party.
In the event of cancellation of this Agreement on a run-off basis, then a further calculation shall be
done at the end of the second year and a further adjustment of the commission for the year shall then
be made, and a similar
calculation and adjustment shall be made at the end of each year thereafter, until such time as any
outstanding claims brought into such calculation shall fall below an amount of R* in which event the
calculation and adjustment at the end of that year shall be final.
For the purpose of applying the sliding scale:

“Loss ratio” shall mean the percentage of “Incurred Claims” to “Earned Premiums”
“Incurred Claims” shall mean claims paid during the treaty year plus the reserve for outstanding
claims at the end of the treaty year less the Reinsurer’s reserve for outstanding claims at the
end of the previous treaty year.
“Earned Premiums” shall mean premiums paid by the Reinsured under this Agreement for the
treaty year less the premium reserve for the treaty year calculated on the “eighths” system as
set out hereunder plus the premium reserve from the previous treaty year calculated on the
“eighths” system as set out hereunder.
“Eighths System” calculated as follows:-
12.50% of Written Premium ceded in the First Quarter

Plus
37.50% of Written Premium ceded in the Second Quarter
Plus
62.50% of Written Premium ceded in the Third Quarter
Plus
87.50% of Written Premium ceded in the Fourth Quarter
28
Appendix No. 2
attaching to and forming part of The Schedule
Profit Commission
The Reinsurers shall pay the Reinsured a Profit Commission at the rate stated in The Schedule on the
Profit derived by the Reinsurers from the operation of this Agreement. The profit shall be calculated as
follows:
Items of Income
a) Premium Reserve (at the rate stated in The Schedule) from the previous year. On Entry
into the Premium Portfolio this Item shall be replaced by the corresponding Premium
Portfolio credited to the Reinsurer.
b) Premiums for the current year.
c) Reinsurer’s claims outstanding as at the close of the previous year. On Entry into the
Loss Portfolio this Item shall be replaced by the corresponding Loss Portfolio credited to
the Reinsurer.
Items of Outgo
a) Premium Reserve (at the rate stated in The Schedule) for the current year. On
Withdrawal of the Premium Portfolio this Item shall be replaced by the corresponding
Premium Portfolio debited to the Reinsurer.
b) Commission paid by the Reinsurer on Item b) of Income.
c) Reinsurer’s claims paid during the current year.
d) Reinsurer’s claims outstanding as at the close of the current year. On Withdrawal of the
Loss Portfolio this Item shall be replaced by the corresponding Loss Portfolio debited to
the Reinsurer.
e) Reinsurer’s Expenses at the rate stated in The Schedule.
The difference between the Items of Income and Items of Outgo shall be the Profit or Deficit for the
year.
Profit Commission shall be payable on the Profit for the year; should a Deficit arise no Profit
Commission will be payable and the Deficit shall be against Profit arising in subsequent years until that
Deficit or the accumulation of Deficits shall be extinguished by Profit, whereupon the payment of Profit
Commission shall be resumed on the remaining Profit and on Profit for subsequent years, until a
Deficit should again arise.
The Profit of Deficit for the year shall be ascertained by the Reinsured as at the last day of each treaty
year, the Profit Commission Statement to be submitted within three months of that day and any Profit
29
Commission due to be reflected in the next quarterly account, or at the option of the Reinsured, paid
by the Reinsurer on submission of the Profit Commission Statement.
On cancellation of this Agreement the Profit of Deficit for the year shall be ascertained as at the date of
cancellation but the final Profit Commission calculation shall only be made after all liability under this
Contract shall have been discharged.
Either party shall have the right at any time to request the re-calculation of the Profit or Deficit for any
year should it be found that by under or over providing for outstanding claims, the Profit Commission
paid was inaccurate.
30
Appendix No. 3
General Exclusions
Miscellaneous Accident - All Classes
1 Obligatory insurances and reinsurances of any sort.

2 Business written on a First Loss, Stop Loss, Excess of Loss or Layered basis other than
normal underwriting excesses or deductibles unless agreed by the Leading Reinsurer.
3 Pools or Pooling Arrangements.
4 Retroactive cover for known losses other than as specifically agreed herein.
5 Liability arising from the purchase or transfer of insurance loss portfolios (loss reserves) from
another insurer.
6 All ex-gratia payments.
7 Accidental Damage as written under Assets All Risks policies but not applicable where
individual items are insured on an All Risks basis.
8 Risks involving the mining and/or manufacturing of asbestos and products used in the
processing of asbestos and asbestos related products.
9 Line slips, binding authorities, brokers’ covers, captive pools or automatic covers.
10 Fines, penalties, punitive or exemplary damages.
11 Policies which incorporate costs in addition to the limit of indemnity greater than twenty (20)
percent of the limit insured.
12 Pollution and/or Environmental Impairment Liability unless sudden and accidental.
13 Policies issued for a longer period than twelve (12) months plus odd time but not to exceed
eighteen (18) months in all unless with the specific agreement of the Reinsurer.
14 Political Riot of any kind.
15 Surety, Libel and Slander, Credit, Financial Guarantee, Bankers Blanket Bond Risks and
contingency Risks.
16 Any policy under which the insured carries an aggregation of losses or deductibles
whatsoever, except as underwritten under a motor policy.
17 Liability arising from the delegation of underwriting authority on a basis other than on
conditions fully specified by the Reinsured.
18 Any direct or indirect loss by infectious disease, outbreak (infectious epidemics)
19 Cyber Risks
20 Jeweller’s Block
31
Appendix No. 4
Specific Exclusions
Theft/Burglary
1. Loss or damage in which the principal, partner, director or any member of the insured’s
household or any of the insured’s employees is concerned as a principal or accessory.
2. Loss or damage which can be insured under a fire policy except in the case of explosion caused
in an attempt to effect entry.
3. Loss or damage insurable under a glass insurance policy.
4. Jewellers, Furriers, Watch Dealers, Watchmakers, Pawnbrokers, Professional Cash Carriers

property more specifically insured or, unless specified in the schedule, cash, bank and currency
notes, cheques, postal orders, money orders, current negotiable stamps and documents or
certificates of a negotiable nature.
Cash
1. Arising from dishonesty of any principal, partner, director or person or persons in the employ of
the insured not discovered within 14 working days of the occurrence thereof
(a) arising from shortage due to error or omission;
(b) arising from the use of keys to any safe or strong room unless the keys
• are obtained by violence or threats of violence to any person
• are used by the key holder or some other person with the collusion of the key holder
and the insured can prove to the satisfaction of the company that the key holder or
such other person had used the keys to open the safe or strong room.
2. In an unlocked safe or strong room whilst the portion of the premises containing such safe or
strong room is unattended but this exception will not apply if it can be shown to the satisfaction
of the company that the key holder to the safe or strong room deliberately left it unlocked with
the intention of allowing the money to be stolen.
3. Not contained in a locked safe or strong room whilst the portion of the premises containing such
money is unattended but this exception will not apply if it can be shown to the satisfaction of the
company that the person(s) responsible for the money deliberately left it outside the safe or
strong room with the intention of allowing it to be stolen.
4. In any vehicle being used by the insured unless a principal, partner, director or employee of the
insured is actually in such a vehicle, or if not in such vehicle, is within 5 metres of it in a position
from which the vehicle is clearly visible.
5. Professional Cash Carriers
6. Pawn brokers
32
Glass
1. Loss or damage which is insured by, or would, be insured, by any fire insurance, except in
respect of any excess beyond the amount which would be payable under such fire insurance
had the insurance not be effected but shall not apply to loss or damage for which the insured is
responsible as tenant and not as owner.
2. Glass forming part of stock in trade.
3. Glass which, at inception of this insurance, is cracked or broken unless cover has been agreed
by the company.
4. Defacement or damage other than fracture through the entire thickness of the glass or any
laminated thereof.
Fidelity Guarantee
Credit, Bonds and Guarantees of any kind (other than Fidelity Guarantee), combined covers, in the
form of Bankers‘ Blanket Bonds, Computer Fraud i.e. manipulation of, input into, suppression of input
into, destruction of, alteration of any computer programme, system, data or software, Credit Card and
Financial institutions.
“Financial Institutions are banks and bank-like institutions of which the main purpose is arranging and
supplying of financing and investments in the wider sense. Examples are commercial banks (incl.
retail, wholesale, mortgage, investment and merchant banks), savings and loans associations, credit
unions, trust and investment companies, money exchanges, issuers of travelers cheques and payment
instruments, mortgage lenders, building societies, stockbrokers etc.”
Business All Risks
1. Wear and tear or gradual deterioration.
2. Mechanical, electronic or electrical breakdown, failure, breakage or derangement unless caused

by accident or misfortune.
3. Loss of damage to cash, bank or currency notes, coins, bonds, coupons, stamps, negotiable
instruments, title deeds, manuscripts or securities of any kind.
4. Loss of or damage to property resulting from or caused by:

(a) inherent vice or defect, vermin, insects, damp, mildew or rust;
(b) the dishonesty of any principal, partner, director or employee of the insured whether
acting alone or in collusion with others;
(c) detention, confiscation or requisition by customs or other officials or authorities;
(d) its undergoing a process of cleaning, repair, dyeing, bleaching, alteration or restoration;
(e) Theft from unattended vehicle in the custody or control of the insured or any principal,
partner, director or person or employee of the insured unless the property is contained in
a completely closed and securely locked vehicle or building is accompanied by forcible
and violent entry or exit.
33
Personal Accident (including Stated Benefits)
1) Air travel except as a fare paying passenger in a fully licenced passenger carrying
aircraft operating on regular schedule air routes, provided that such passenger is
neither acting as a member of the Aircraft Crew, nor flying for the purpose of any
Trade or Technical Operations connected with the aircraft in which he or she is
travelling.
2) Professional sports teams or professional sportsmen/women of any kind, winter sports
involving snow or ice, aerial sports including ballooning, hang-gliding or parachuting,
big game hunting.
3) Rock climbing or mountaineering normally involving the use of ropes or guides.
4) Participation in any kind of speed contest other than on foot.
5) Divers.
6) Insurances covering persons employed in:
(a) Manufacture and/or supply and/or production, storage, filling, breaking-down, use trade and transport
of fireworks, ammunitions, fuses, cartridges, gunpowder, nitroglycerine or any explosives, petroleum
and gasoline at refineries.
(b) Sub-aqueous work.
(c) Underground work including underground mining, colliery and tunnelling.
(d) Construction and maintenance of dams and cofferdams.
7) Workmen’s Compensation Act Insurances, Employer’s Liability and/or Common Law

Liability.
8) Automatic airline passenger covers.
9) Crew of ships and Crews of Offshore drilling rigs.
10) Fire brigades and law enforcement agencies such as naval, military or air force service
or operations, national security forces, national intelligence institutions.
11) Suicide or attempted suicide or intentional self-inflicted injury.
12) Influence or drugs or alcohol.
13) Active participation in strike, riot and malicious damage. (ie. Direct participation of the
Insured)
14) Cover provided for the fulfilment of any demands in the event of Kidnap and/or
ransom.
15) Accidental death or injury arising out of Chemical and/or Biological substances, unless
such chemicals or biological substances are used for peaceful means.
16) Group Personal Accident policies for production units, the principal object of which is
the manufacture, processing, storage, conveyance, and use of and trade in explosive
substances.
17) Airport Coupon machine business, Tour operators’ group schemes and Travel Agency
business.
18) Policies sold through credit card organisations or other financial institutions and
coupons insurance schemes by way of newspaper, periodicals or as part of any
publicity campaign.
19) Long term disability and/or salary continuance business.
20) Permanent Health (i.e. non-cancellable) business.
21) Inclusion of health insurance elements (e.g., losses due to illness) with the exception
of travel accident insurance.
22) Any form of HIV/AIDS and sexually transmitted diseases, and blood transfusion
services.
23) Sickness other than as a consequence of an accident.
24) Losses arising other than those caused solely and directly by violent, accidental,
external and visible means.
34
Professional Indemnity Specific Exclusions
1. Bank, Bankers Blanket Bonds or Indemnities, Stock Exchanges and other Financial
Institutions, Investment Advisors and Brokers.
2. Reinsurance Brokers, insurance brokers.
3. Reinsurance companies, Insurance companies and Captive Insurance Companies,

Underwriting Agencies.
4. Management Consulting Companies.
5. Shipping, Forwarding and Customs Agents.
6. Error and Omissions policies for professional occupations not acquired by means of
advance learning or science.
7. Directors and Officers Liability.
8. Medical Malpractice and hospitals.
9. Internet Liability.
10. Advertising and Estate Agents.
11. Tax consultants.
12. Policies not written on a “claims made” basis.
13. Exposures in USA or Canada.
14. Foreign activities on Multinational Accountants and all International Concerns;
15. Turnkey Projects and Project Management Exposures including exposures in respect of
any contracts where an insured acts as a contractor whether in conjunction with his
profession or not.
16. Blood Banks and Silicone implants.
17. Medical and Biological Research Facilities, and Clinical Tests or Trial Drugs.
18. Genetic damage connected with X-Ray and other Radioactive Equipment.
19. Stevedoring Risks.
20. Any policy which incorporates costs of more than 10% in addition to the limit of indemnity.
21. Gradual pollution from any source.
22. Fines, Penalties, Punitive or Exemplary Damages.
35
23. Any form of Guarantees or Warranties.
24. Any form of HIV or AIDS related claims.
25. Embezzlement, Misappropriation or Loss of Money Exposures.
26. Design and Construct Covers.
27. Single Project Covers exceeding Etb 50,000,000.
28. News Reporters and newspaper business.
29. Security firms/companies.
30. Professional Indemnity policies without an annual aggregate limit.
GENERAL THIRD PARTY AND PRODUCTS LIABILITY EXCLUSIONS
1 Products Guarantee, Performance Guarantee/Inefficacy, Products Recall, Defective

design, Contractual Penalties.
2 R C Décennale and comparable risks.
3 Professional Liabilities of whatsoever kind including Directors and Officers, Errors and
Omissions and Medical Malpractice.
4 Ocean Marine Liability including Warehousemen's Legal Liability.
5 Liability section of Combined/Package policies such as Multi-Peril, All Risks and Whole
Account policies, Erection All Risks, Contractors All Risks, if the liability risks are not
underwritten, rated and accounted for separately and according to the requirements of the
liability department of the Reinsured.
6 Liability arising from asbestos mining, handling, processing, manufacturing, sales,
distribution, storage or use of asbestos products and/or products containing asbestos.
(refer to Asbestos Exclusion Clause)
7 Gradual Environmental Impairment as per the Gradual Pollution LMC 1(b) Clause, (as per
attached Annexure I) however, for USA and/or Canada gradual, as well as
sudden and accidental pollution is excluded.
36
8 Marine Protection and Indemnity risks.
9 Public Utilities i.e. Public Bodies such as Municipalities, Electricity or Gas Supply
Boards, Water Boards, Fire Brigades, Police, Ambulance Services.
10 Policies which provide cover for fines and/or penalties and/or punitive and/or exemplary
damages.
11 Chemical/ /petrochemical and agrochemical risks if not written on a claims made basis.
12 Products Liability without an annual aggregate limit.
13 Liability arising from operations located in the USA and/or Canada.
14 Policies which provide cover for costs in addition to the limit of indemnity.
15 Policies which do not limit the interpretation of all terms, conditions, limitations and
exclusions in the first instance to the local Courts.
16 Products Liability covers of Blood Transfusion Services, Blood banks, Blood Products and
Blood Product Manufacturers.
17 CAR and EAR Liabilities not written in conjunction with an annual commercial TPL policy.
18 Electro magnetic fields (Annexure XIV).
19 E-commerce (Cyber Liability), Internet Liability.
20 Pure Financial (Economic) Losses.
21 Liability arising from Chemical and/or Biological substances, which are not used for peaceful
means
22 Genetic Engineering.
23 “Organisational Liability” and “Operational Risks”.
24 Policies without a Local Jurisdiction clause.
25 Liabilities arising from the storage and processing of petroleum and gasoline at refineries.
26 Manufacture and Processing of Fuel elements.
37
27 Products Liability Policies issued to companies/operations involved in the manufacture,
Production, distribution, supply, mixing and/or labelling of
• Animal Feed
• Fertilisers
• Insecticides, herbicides or pesticides
• Chemical and/or Pharmaceutical products
• Medical equipment and dressings
28 Any liability arising from the ownership, operation, maintenance or use of
• Motor vehicles or motor cycles unless as underwritten in terms of a Motor Policy

• Waste disposal sites
29 Products Liability in respect of manufacture of automobiles and/or motor cycles and trucks
including suppliers of all parts vital to the functionality of the vehicles.
30 Aviation Liability and airport control tower liability policies and Products Liability policies of
manufacturers of
a) aircraft and/or
b) the following aircraft components:
• aircraft fuselage
• wings and all structural parts
• landing gears
• tyres
• engines and engine components
• propellers
• fuel systems
• electronic and electrical equipment
• hydraulic equipment
• aircraft instruments
31 The Manufacturing, Maintenance, Ownership, Operation or use of Railways, tramways,
Cable-cars and chair-lifts.
32 Ship-building, ship repairing and ship breaking yards including construction, repair or
Installation work on vessels
33 Operation of ooffshore platforms and rigs.
34 Products Liability covers for manufacturers of tobacco/tobacco products.
38
35 Contractors engaged:
• exclusively in wrecking and demolition

• In construction and maintenance of dams
• In sub-aqueous work
• In hydro-electric work
36 Underground and underwater mines and all underground service in connection therewith.
37 Tunneling including excavation work in connection therewith.
38 Quarries when explosives are used.
39 Products Liability Policies issued to companies or plants involved in the manufacture or
Production of:
a) fireworks, ammunition, fuses, cartridges, gunpowder, Nitroglycerine or any explosive unless

purely incidental to the main operations of the insured;
b) gases and/or air under pressure in containers unless purely incidental to the main operation of
the insured.
40 Oil Companies: Drilling, producing, refining and/or distributing by pipelines (other than
general distributors).
41 Removal, Storage and disposal of nuclear waste
42 Employment Practices Liability
39
Appendix No. 5
TABLE OF LIMITS
CLASS OF BUSINESS RETENTION Etb. SURPLUS Etb.
Fidelity Guarantee Per Person 28,000,000 112,000,000

Per entity per year 28,000,000 112,000,000
Per event 28,000,000 112,000,000
All Risks Per Insured 28,000,000 112,000,000
Plate Glass A.O. Policy 28,000,000 112,000,000
Burglary Per Risk 28,000,000 112,000,000
Cash/Money Any one Transit 28,000,000 112,000,000

and in safe
(Nib Bank) 28,000,000 308,000,000
PA/GPA/Group WOC Per Person 28,000,000 112,000,000
Professional Indemnity Per Risk 28,000,000 112,000,000
Commercial General Liability Per Risk 28,000,000 112,000,000
Project PI – up to Etb 50,000,000 to be ceded to the treaty subject to the rates, excess
and period in the table below.
Rate
Indemnity Period 0-1 Over Over Over

year
1-3 3- 4 4- 5
years years years
Engineering Design, Consultancy & 0.90% 1.50% 1.90% 2%
Supervision
Engineering Consultancy & Supervision 0.75% 1.40% 1.50% 1.7%
Architects/ Surveyors /Auditors 0.90% 1.50% 1.90% 2%
Excess
10% each and every loss, Minimum Birr 50,000.
40
Appendix No. 6
Sanction Limitation and Exclusion Clause
No (re)insurer shall be deemed to provide cover and no (re)insurer shall be liable to pay any claim or
provide any benefit hereunder to the extent that the provision of such cover, payment of such claim or
provision of such benefit would expose that (re)insurer to any sanction, prohibition or restriction under
United Nations resolutions or the trade or economic sanctions, laws or regulations of the European
Union, United Kingdom or United States of America.
15/09/10
LMA3100
Appendix No. 7
COMMUNICABLE DISEASE EXCLUSION

(Casualty treaty reinsurance)
1. Notwithstanding any provision to the contrary within this reinsurance agreement, this reinsurance
agreement excludes all actual or alleged loss, liability, damage, compensation, injury, sickness,
disease, death, medical payment, defence cost, cost, expense or any other amount incurred by or
accruing to the reinsured, directly or indirectly and regardless of any other cause contributing
concurrently or in any sequence, originating from, caused by, arising out of, contributed to by, resulting
from, or otherwise in connection with a Communicable Disease or the fear or threat (whether actual or
perceived) of a Communicable Disease.
2. As used herein, a Communicable Disease means any disease which can be transmitted by means
of any substance or agent from any organism to another organism where:
2.1. the substance or agent includes, but is not limited to, a virus, bacterium, parasite or other
organism or any variation thereof, whether deemed living or not, and
2.2. the method of transmission, whether direct or indirect, includes but is not limited to, airborne
transmission, bodily fluid transmission, transmission from or to any surface or object, solid, liquid or
gas or between organisms, and
2.3. the disease, substance or agent can cause or threaten bodily injury, illness, emotional distress or
damage to human health, human welfare or property damage.
LMA5399
06 May 2020
41
COMMUNICABLE DISEASE EXCLUSION
(Property treaty reinsurance)
1. Notwithstanding any provision to the contrary within this reinsurance agreement, this reinsurance
agreement excludes any loss, damage, liability, claim, cost or expense of whatsoever nature, directly
or indirectly caused by, contributed to by, resulting from, arising out of, or in connection with a
Communicable Disease or the fear or threat (whether actual or perceived) of a Communicable Disease
regardless of any other cause or event contributing concurrently or in any other sequence thereto.
2. As used herein, a Communicable Disease means any disease which can be transmitted by means
of any substance or agent from any organism to another organism where:
2.1. the substance or agent includes, but is not limited to, a virus, bacterium, parasite or other
organism or any variation thereof, whether deemed living or not, and
2.2. the method of transmission, whether direct or indirect, includes but is not limited to, airborne
transmission, bodily fluid transmission, transmission from or to any surface or object, solid, liquid or
gas or between organisms, and
2.3. the disease, substance or agent can cause or threaten damage to human health or human welfare
or can cause or threaten damage to, deterioration of, loss of value of, marketability of or loss of use of
property.
LMA5394
27 March 2020
42

2022-23 MISCELLANEOUS ACCIDENT SURPLUS Signed

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2022-23 MISCELLANEOUS ACCIDENT SURPLUS Signed

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AFRICAN REINSURANCE CORPORATION

PROPORTIONAL REINSURANCE AGREEMENT

General Terms and conditions

Art. 2 Class ......................................................................................................................................

Art. 3 Territorial Scope ....................................................................................................................

Art. 4 Exclusions ..............................................................................................................................

Art. 5.1 Limits ......................................................................................................................................

Art. 6.1 Premium.................................................................................................................................

Art. 7 Portfolio Consideration ..........................................................................................................

Art. 8 Commission ……………………………………………………………………

Art. 9.1 Notification of Claims .............................................................................................................

Art. 10 Deposit ..................................................................................................................................

Art. 11.1 Accounting Period .................................................................................................................

Art. 12 Set-off ....................................................................................................................................

Art. 14 Rates of Exchange ................................................................................................................

Art. 15 Taxes .....................................................................................................................................

Art. 16 Inspection .............................................................................................................................

Art. 17.1 Errors and Omissions ...........................................................................................................

Art. 20 Change of Law Clause ..........................................................................................................

Art. 21 Arbitration ..............................................................................................................................

Art. 22 Alterations ..............................................................................................................................

Art. 23 Choice of Law / Jurisdiction ...................................................................................................

Art. 24 Special Conditions and Information.......................................................................................

Art. 25 Intermediaries ........................................................................................................................

Schedule 1 Miscellaneous Accident Surplus

Appendix 2 Profit Commission

Appendix 3 General Exclusions

Appendix 4 Specific Exclusions

Appendix 5 Table of Limits

Appendix 6 Sanction Limitation and Exclusion

Appendix 7 Communicable Disease Exclusion

NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY

Miscellaneous Accident Surplus – Revenue Year Basis

Reinsurance General Terms and Conditions (“Agreement”)

NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY

4.1 Obligatory reinsurance of any sort.

4.2.2 Abandonment and / or permanent or temporary dispossession resulting from detention,

NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY

4.4 NUCLEAR ENERGY RISKS EXCLUSION CLAUSE (REINSURANCE) (1994

(I) All Property on the site of a nuclear power station.

(a) the generation of nuclear energy or

(b) the production, use or storage of nuclear material.

NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY

Except as under-noted, Nuclear Energy Risks shall not include:

(i) Any insurance or reinsurance in respect of the construction or erection or installation or

However, the above exemption shall not extend to:

(1) The provision of any insurance or reinsurance whatsoever in respect of:

(a) Nuclear Material;

- Fire, lightning, explosion;

- Aircraft and other aerial devices or articles dropped there from;

- Irradiation and radioactive contamination;

- Any other peril insured by the relevant local Nuclear Insurance

NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY

"Nuclear Installation" means:

(i) any Nuclear Reactor;

"High Radioactivity Zone or Area" means:

NIB INSURANCE CO. – 2022/23 MISCELLANEOUS ACCIDENT SURPLUS TREATY

“Nuclear material” as defined in NMA 1975.

“Nuclear waste” as defined in NMA 1975.

4.6 pools and pooling arrangements

4.8 Computer Loss General

b) any legal liability of whatsoever nature;

c) any consequential loss;