General Conditions of Contract

16. Insurance

16.1

Without prejudice to its liability to indemnify the Council under Clause 15 (Indemnity to Council) the Contractor shall effect and maintain such insurances as are necessary to cover its liability under Clause 15 (Indemnity to Council).

16.2  

The insurance in respect of risks of liability to third parties arising out of the action or default of the Contractor, its agents, servants or others acting under its control shall be to a minimum value of £5,000,000 (five million pounds) or such increased sum as the Council shall from time to time stipulate in respect of one claim and the number of incidents shall be unlimited. The Contractor's insurance in respect of claims for personal injury or the death of any person under a contract of service with the Contractor and arising out of hand and in the course of each person's employment shall comply with the Employers Liability (Compulsory Insurance) Act 1969.

16.3

Without prejudice to the provisions of Clause 16.1, the Contractor shall reimburse the Council all payments or additional payments made by the Council to third parties which have become necessary as a direct consequence of delay in the performance of the Contract which the Contractor had failed to remedy after being given reasonable notice thereof by the Council, provided always that the Council shall take all reasonable steps to minimise the need to make such payments and shall not claim for any payments arising as a result of the Council's neglect to take such reasonable steps.

16.4  

In addition to any other liability which the Contractor shall incur, and without prejudice to the foregoing provisions, the Contractor shall be liable to the Council for any loss, damage, injury or expense (whether direct, consequential or otherwise) arising out of or in connection with the performance of the Contract, including the operation of any computer software contained in or contributing to the performance of the Contract, where such loss, damage, injury or expense arises from the breach of contract or the breach of duty or fault or negligence of the Contractor, his employees or his agents.

16.5

Nothing in these General Conditions of Contract nor in any other part of the Contract shall impose any liability on any member of the staff of the Council or its representatives in their personal capacity.

16.6   

The Council shall indemnify the Contractor against legal liability for all actions, claims, demands, costs, charges and expenses arising from or incurred by reason or any infringement or alleged infringement of copyright, patent, registered design or other property right used at the request of the Council by the Contractor in the course of undertaking the Contract

16.7  

The Contractor shall prior to the commencement of the Services produce to the Authorised Officer without charge documentary evidence that the insurances required are properly maintained.

16.8   

The Council shall be entitled, without prejudice to its existing rights and remedies, upon the failure of the Contractor to maintain the insurance referred to in this Clause 16, to terminate this Contract.

16.9   

The Contractor shall without charge, provide to the Council on request evidence that the premiums payable in respect of the insurances required under this Clause 16 have been paid and that the said insurances are in full force and effect.

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Procurement

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