HEAD OFFICE REGIONAL OFFICE LILONGWE MZUZU ZOMBA

Delamere House Mali Centre Top Floor, Old McConnell Building

Victoria Avenue
P.O. Box 442, Blantyre, Malawi
Tel.: +265 (0) 1 824 044
Tel.: +265 (0) 1 823 862
blantyre@britam.co.mw
Website:www.britam.co.mw
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P O Box 30711
Lilongwe 3
Tel: +265 (0) 1 759 903
Fax: +265 (0) 1 757 322
Email: lilongwe@britam.co.mw
Website:www.britam.co.mw
Grace Building, Opposite RBM
P.O. Box 314. Mzuzu
Tel.: +265 (0) 1 312 145
Fax: +265 (0) 1 312 149
Email: mzuzu@britam.co.mw
Website:www.britam.co.mw
P.O. Box 718
Zomba. Malawi
Tel.: +265 (0) 1 524 211
Fax: +265 (0) 1 524 182
Email: zomba@britam.co.mw
Website: www.britam.co.mw

PROFESSIONAL INDEMNITY INSURANCE

In consideration of the payment of the premium by the insured, and receipt thereof by the
insurers and having agreed that any proposal or other information supplied by the insured or
on his behalf shall be the basis of this contract of insurance, the insurers will indemnify the
insured in the manner and to the extent stated herein for all sums for which the insured shall
become legally liable including claimants’ costs.

SIGNED for and on behalf of the Insurers

..........................................................................
Manager

Please read this policy to ensure that it is in accordance with your requirements

Page 1 of 9
 PROFESSIONAL INDEMNITY SCHEDULE

Policy Number :

Insured :

Business of Practice

Address :

Agency :

Operative
Endorsements :

Period of Insurance :

Premium (K) : First

VAT
Stamp duty
TOTAL

Geographical Area :

Date of Proposal :

Page 2 of 9
 PROFESSIONAL INDEMNITY RISKS

Limit of Liability Any One Claim & In Aggregate

The Excess, which the assured shall bear in

respect of each and every claim.

Extra Conditions

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1 INDEMNITY TO INSURED
The indemnity stated in the Schedule for any sum or sums which the Insured may become
legally liable to pay arising from any claim for damages for breach of Professional duty made
against him during the period stated in the Schedule as a direct result of any negligent act, error
or omission in the professional conduct and execution of the activities defined in the Schedule
occurring during the period of indemnity stated in the Schedule.

Costs and expenses incurred with the Insurers written consent in the defence and/or settlement
of any claim. However, if a payment in excess of the amount of indemnity available under this
insurance has to be made to dispose of a claim, the Insurers liability in respect of such costs
and expenses incurred shall be such as the amount of the indemnity available under this
insurance bears to the total amount paid to dispose of the claim.

2. JURISDICTION

The indemnity shall not apply to judgments, which in the first instance are delivered by or
obtained from any court outside Malawi

3 EXCESS

Provided always that the Insurers shall be liable only, in respect of each and every claim
hereunder, for that part of the claim (which for the purpose of this clause shall be deemed to
include all costs and expenses incurred by the Insurers investigating and defending the claim)
which exceeds the Excess stated in the Schedule. It being understood and agreed that if any
expenditure is incurred by the Insurers which, by virtue of this clause, is the responsibility of the
Insured then such amount shall be reimbursed to the Insurers by the Insured forthwith on
demand

4 ANY ONE EVENT OCCURENCE

All claims and/or losses arising out of or contributed to by the dishonesty of any one person or
any number of persons acting in collusion shall be deemed to arise out of one event or
occurrence.

5 ACTIVITIES
Shall be limited to those specified in the Schedule under the heading of "Business of Practice

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 ENDORSEMENTS ATTACHING TO AND FORMING PART OF THIS POLICY

1 Definition of Insured Clause

It is hereby understood and agreed that notwithstanding anything contained herein to the
contrary the term Insured shall mean:

The person or persons or partnership or company named in the Schedule

Any person or persons who may at any time during the period of this policy become a
partner or Director in the partnership or Company

Any former Partner or Director of the partnership or Company

The estates and/or the legal representatives of the person or persons or partnership or
Company noted under (a) (b) or (c) hereof in the event of their death, insolvency or
bankruptcy.

Any Partner or Director in a predecessor to the Business of the Insured, Practice or

Company provided that evidence satisfactory in all respects to the Underwriters in
produced by the Insured that an Indemnity certificate similar in kind to this Certificate was
issued to the Partners or Directors of the said predecessor in business of the Insured,
Practice or Company

ALL OTHER TERMS AND CONDITIONS REMAIN UNALTERED

2 Claims by Associated Companies

This policy shall not indemnify the Insured in respect of claims made against them by any
associated, parent or subsidiary company or by any person or entity having a financial or
executive interest in the operation of the Insured.

EXCLUSIONS

This insurance does not cover any liability whatsoever arising out of:

1. The manufacture, construction, alteration, repair, servicing, treating of any goods or

products sold, supplied or distributed by the Insured or from any business or occupation
other than as stated in the Schedule, even though same may be carried on by the Insured
in conjunction with their business as stated in the Schedule

2. The estimation of costs and/or the assessment of the financial viability of any project or
part thereof

3. 1. The procurement of:

3.2 finance for any project

.

Page 5 of 9
 3.3 planning, zoning or other central or regional government approvals licences permits
and the like provided that this Exception shall apply only in respect of the Activity of
Project Management

3.4 Contract Guarantee or Suppliers' Guarantees

4 Any failure to require arrange and/or to maintain any policy of insurance

5 The insolvency liquidation or judicial management of the Insured or of any party with
whom the Insured may be associated on any project.

6 The assumption by the Insured

6.1 Under a hold harmless agreement (other than a standard written agreement) of any
liability of another party
or

6.2 Under any express warranty or guarantee of any liability that would not otherwise
have attached to the Insured.

7 Any Contract where the Insured acts as a Contractor whether in conjunction with his/their
profession as stated in the Schedule or not

8 Bodily injury, sickness, disease or death sustained by any person arising out of and in the
course of his employment by the Insured under a contract of service or apprenticeship
with the Insured.

9 Any claim made against the Insured as a result of any dishonesty, malicious or illegal acts
of the Insured, their employees or directors.

10 The ownership, use, occupation or leasing of property mobile and/or immobile by, to or
on behalf of the insured. For the purpose of the exception, mobile property shall include
any vehicle, aircraft or waterborne vessel.

11 Work in connection with contracts outside Malawi.

12 12.1 Loss or destruction of or damage to any property whatsoever or any loss or expense
. whatsoever resulting therefrom or any consequential loss

12.2 Any legal liability or whatsoever nature directly or indirectly caused by or contributed
to by or arising from

a) ionising radiations or contamination by radioactivity from any nuclear fuel or from

any nuclear waste from the combustion of nuclear fuel.(for the purpose of this
exception the term combustion shall include any self-sustained process of nuclear
fission).

b) The radioactive, toxic, explosive or other hazardous properties of any explosive

nuclear assembly or nuclear component thereof.

13 Any consequence of war invasion act of foreign enemy hostilities or warlike operation
(whether war be declared or not) civil war mutiny military or popular uprising insurrection
rebellion revolution military or usurped power martial law or state or siege or any of the
events or causes which determine the proclamation or maintenance of martial law or state
of siege.

14 Libel or slander

15 Loss of documents

Page 6 of 9
16 The consequence of any circumstance

a) notified under any insurance which was in force prior to the inception of this policy or

known to the Insured at the inception of this Policy which might reasonably be
b) expected to produce a claim.

Page 7 of 9
 CONDITIONS

1 ALTERATION IN RISKS

Notice shall be given as soon as possible of any material alteration in risk, and the Insured
shall supply such further information as the Insurers may require for reassessment thereof

2 PRESERVATION OR RIGHTS

2.1 The Insured shall ensure to the best of their ability that any consultant or party with
whom they may be associated on a particular project arranges and maintains
adequate insurance covering such party's liability in relation to the duties to be
performed by him on behalf of or in association with the Insured

2.2 The Insured shall not without the Insurers consent waive any right against any agent
correspondent consultant or other party with whom the Insured may be associated

3 CLAIMS

3.1 Upon receipt of or on behalf of the Insured of notice whether written or oral of
intention by any person or body to make a claim against the Insured, or of any
allegation of neglect, error or omission which might give rise to such a claim or on
the discovery of any such act of neglect, error or omission the Insured shall notify
the Insurers of such receipt or discovery as soon as practicable and shall provide
full information respecting it so far as such information is in his/their possession.

3.2 The insured shall also notice on becoming aware of any event or circumstances
which may subsequently give rise to a claim or Loss under this policy. Such notice
having been given any claim subsequently made against the Insured or any loss
established after the expiry of the period of insurance arising out of that event or
circumstances shall be deemed for the purposes of this policy to have been made
or incurred during the period of insurance

3.3 Notice shall be given in terms of Condition 3.1 and/or Condition 3.2 of every claim
event or circumstances irrespective of the Insured's assessment of the merits or
potential thereof.

3.4 The Insured shall not admit liability for nor settle any claim nor incur any costs or
expenses in connection therewith without the written consent of the Insurers who
shall be entitled at its own expense at any time to take over and conduct in the
name of the Insured the defence of settlement of any such claim for which purpose
the Insured shall give all information and assistance as the Insurers may reasonably
require.

3.5 In relation to any loss the burden of establishing defective advice design
specification supervision or management by or on behalf of the Insured shall rest
upon the Insured

3.6 The Insured shall not be required to contest any legal proceedings unless a Senior
counsel (to be mutually agreed upon by the Insured and the Insurers) shall advise
that such proceedings should be contested.

3.7 The Insurers waive any rights of subrogation against any director or employee of
the insured unless such person has committed a dishonest or criminal act in relation
to matters the subject of a claim or loss hereunder

3.8 In the event of a claim or loss arising out of or being contributed to by any dishonest
act or omission of any director or employee of the Insured, any monies which but
for such dishonesty would be due to such person from the Insured shall be

Page 8 of 9
 deducted from the Insured's loss if the Insured are legally entitled to withhold such
monies.

3.9 If the Insured shall prefer any claim knowing the same to be false or fraudulent as
regards amount or otherwise this Policy shall become void and all benefit hereunder
shall be forfeited.

4 ARBITRATION

Save as provided for in Condition 3.6 any dispute or disagreement between the Insured
and the Insurers arising out of or in connection with this insurance may be referred by
mutual agreement to an acceptable Senior Counsel whose decision shall be binding on
both parties

5 PREMIUM ADJUSTMENT

The Premium has been calculated on estimated fees supplied by the Insured shall keep
an accurate record of information on matters for which estimates have been given, which
shall be available to the Insurers for inspection. Within one month of expiry of each period
of Insurance the Insured shall supply the Insurers with a true statement of the particulars
necessary for assessment of premium and should these particulars differ from the
estimates upon which premium has been paid the difference in premium shall be met by a
further proportionate payment or refund as the case may be. Failure to supply such
particulars shall entitle the Insurers to estimate if they so wish such particulars and to
assess the further premium payment due calculated on such estimated particulars

6 CANCELLATION

This policy may be cancelled by the Insured or by the Insurers on thirty days' notice in
writing.

7 OTHER INSURANCES

7.1 If at the time of any occurrence giving rise to a claim under this policy there shall be
any other insurance effected by or on behalf of the Insured and covering the same
liability the Insurers shall be liable only in respect of any excess beyond the amount
payable under such other insurance.

7.2 The Insured shall not effect any insurance in respect of the deductible to which this
policy is subject without prior written consent of the Insurers

8 DISCLAIMER OF LIABILITY BY THE INSURERS

If the Insurers shall disclaim liability for any claim for indemnity or for any costs or expenses
in connection therewith and the Insured does not institute legal proceedings within twelve
months of the date of such disclaimer the Insurers shall be entitled to assume that the claim
has been abandoned and shall note hereafter be liable to make any payment whatsoever
in connection therewith.

9 RETROACTIVE DATE

Where a retroactive date is specified in the Schedule this insurance will not apply to claims
made against the Assured by reason of any negligent act, error or omission committed or
alleged to have been committed prior to the said retroactive date.

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