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2.5 European Union and Public Authority Requirements (including Undamaged Property)
Subject to the following supplementary conditions this part in respect of buildings and contents
includes the additional cost of reinstatement including demolition and site clearance incurred solely by
reason of the necessity to comply with the stipulations of:
a) European Union legislation
b) Building or other regulations under or framed in pursuance of any Act of Parliament or bye-law of
any public authority
hereinafter referred to as ‘the Stipulations’ in respect of Damage to the property insured and
undamaged portions thereof.
We will not pay for:

i) the cost incurred in complying with the Stipulations:
1) in respect of damage not insured under this part
2) under which notice has been served upon you prior to the happening of the Damage

3) for which there is an existing requirement which has to be implemented within a given period
4) in respect of property entirely undamaged
ii) the additional cost that would have been required to make good the property suffering Damage
to a condition equal to its condition when new had the necessity to comply with the Stipulations
not arisen
iii) the amount of any charge or assessment arising out of capital appreciation which may be payable
in respect of the property or by its owner by reason of compliance with the Stipulations.

Supplementary Conditions
1. The work of reinstatement must be commenced and carried out without delay and in any case
must be completed within 12 months of the Damage or within such further time as we may allow
during the said 12 months and may be carried out upon another site if the Stipulations so
necessitate subject to our liability under this clause not being increased.
2. If our liability in respect of any item under this part apart from this clause is reduced by the
application of any of the terms and conditions of this part then our liability under this clause will
be reduced in like proportion.
3. The total amount recoverable under this clause will not exceed:
a) in respect of the property suffering Damage:
i) 15% of its sum insured

ii) where the sum insured under the item applies to property at more than one premises
15% of the amount for which we would have been liable had the property insured under
the item at the premises where the Damage has occurred been wholly destroyed
b) in respect of undamaged portions of property other than foundations 15% of the total
amount for which we would have been liable had the property insured under the item at the
premises where the Damage has occurred been wholly destroyed.

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