1. This Policy shall specify the minimum limits of civil liability for populated areas and high-risk business in accordance with the terms, conditions and exclusions provided herein or attached hereto. In consideration of the Insured's payment of the premium, the Company promises to provide insurance coverage up to the amounts and limits specified in Appendix (A). The Company and the Insured shall not be permitted to agree on liability limits less than those specified above. However, the Company and the Insured may agree to additional coverage not mentioned below.

2. This policy shall be applied in high-risk areas, activities, and populated areas, according to the classification of the competent entity.

• The following words and phrases, wherever they occur herein, shall have the meanings assigned thereto, unless the context requires otherwise>

  • 1. Policy: The Standard Insurance Policy of Civil Liability for Populated Areas and High-Risk Activities.

  • 2. The Company: The Insurance Company licensed by the Insurance Authority that conducting insurance activities.

  • 3. The Insured: The juristic person who occupied the facility and licensed by the competent entity.

  • 4. The Activity: It refers to the works performed by the Insured under a competent entity's license.

  • 5. Premium: Amount paid by the Insured to the Company for incurring the damages and losses specified in the policy schedule.

  • 6. Civil Liability: the liability of the insured towards a Third Party for bodily injuries or material Damages.

  • 7. Deductible: The amount borne by the Insured from the indemnity, as mentioned in the Policy Schedule.

  • 8. Indemnity: The amount that the Company will pay based on the Insured's civil liability to any third party.

  • 9. Third Party: Any natural or a juristic person who has sustained loss or damage resulting from a risk not excluded by the Policy, other than the Insured.

  • 10.Bodily injury: Death or injuries may be inflicted on a third party, including entire or partial disability, whether permanent or temporary.

  • 11.Material Damages: Damages to property belonging to a third party.

  • 12.Defense Costs: All costs, fees, and expenses incurred in defending the Insured and/or for settling any Claim within the limits of coverage stated in the Policy Schedule.

  • 13.Material Fact: any information requested by the Company from the insurance applicant during the conclusion of the Policy, which may affect the Company’s decision in accepting the insurance or accepting the insurance with different conditions.

  • 14.Policy Schedule: The schedule annexed to the Policy containing information about the Insured; which is considered an integral part of the Policy>

• 1. In accordance with its terms and conditions, this Policy shall cover the Indemnity for amounts to be paid by the Insured to a third party based on its civil liability within the Kingdom of Saudi Arabia, and based on a final verdict issued by the competent judicial authority, or based on a settlement that the Insured and the Company agreed on. This shall include:

  • a. Physical Damages.

  • b. Material Damages.

• 2. Limit of Insurance Coverage: The Company and Insured may agree on a higher limit of insurance coverage; provided that it should not be less than the limit stated in Appendix (a).

• The insurance coverage of the Policy does not include the following:

  • 1. Damages to property owned by the Insured or held in its care and control, excluding personal belongings of employees or premises temporarily used by the Insured for alteration, ratification, or restoration, and which are neither owned nor leased by the Insured.

  • 2. Professional liability risks arising out of any professional failure, negligent conduct, omission, or misbehavior of the Insured or its agent, except for those linked to any first aid services supplied, including liabilities for any consultation, design, or specification offered for fees.

  • 3. The Insured's contractual liability to its employees, including liabilities resulting from employee or trainee harm.

  • 4. War, invasion, acts of a foreign enemy, hostilities, warlike actions (whether proclaimed or not), or civil war.

  • 5. Rebellion, military or popular uprising, insurgency, revolution, usurpation of authority, martial law, siege; or any events or reasons that lead to the declaration or continuation of martial law, siege, or acts of vandalism and terrorism committed by someone acting alone or on behalf of or related to any terrorist organization. Terrorism refers to the use of violence for political, intellectual, philosophical, racial, ethnic, social, or religious reasons. The use of violence involves instilling fear in the public or a part of it, interfering with government operations, actions, or policies, or generating turbulence that harms the national economy or any of its sectors.

  • 6. Ionizing radiation, radioactive pollution from nuclear fuel or waste, or contamination induced by nuclear fuel combustion can all cause damage, either directly or indirectly. For the purposes of this exclusion, combustion includes any nuclear fission. This exclusion doesn’t apply to the Insured who licensed by the competent entity to practice these activities.

  • 7. Natural disasters such as hurricanes, earthquakes, floods, or volcanoes.

  • 8. Injuries, damage, or expenses caused directly or indirectly by leakage, pollution, or impairment, unless caused by an unintended and unexpected event.

  • 9. Liabilities arising from the use of any product made, sold, provided, repaired, served, tested, planned, identified, formulated, constructed, installed, distributed, processed, altered, or outfitted by the Insured

  • 10.Liabilities arising from the Insured or its agent's ownership, acquisition, or use of aircraft, hoverflies, water vehicles, or any vehicle driven by mechanical propulsion (including trailers), This exclusion doesn’t apply in case the Insured is practicing these activities as core business.

  • 11.Damage inflicted directly or indirectly by attacks and cyber-hacking aiming at harming the insured or another person, regardless of the source.

  • 12.Damage, directly or indirectly, caused by the use of asbestos.

• 1. The Insured and the Company shall not cancel the Policy except in the following cases:

  • a. The Insured obtains another Policy.

  • b. the insured stopped practicing the activity, or if the license expired or terminated by the competent entity.

  • c. Existence of a claim or claims paid amounting to indemnification provided for in the Policy Schedule.

• 2. In the event of cancelation, the premium refund shall be calculated as follows:

  • The Company shall refund the Insured the due amount payable for the uncovered period by depositing the remaining amount to their bank account via IBAN, within three working days from the date on which the Company becomes aware of the occurrence of any of the cases mentioned above. The due amount payable to the Insured for the uncovered period is calculated by subtracting the elapsed days from the total Policy term (in days) and then dividing the result by the total Policy term. The result is then multiplied by the insurance Premium less Administrative Fees to determine the return Premium: (365− elapsed days) /365) × insurance Premium - administrative fees = Return Premium.

• 3. The Company is exempted from its obligation to pay the due amount in the case that there is a Claim related to the Policy to be cancelled with a value exceeding the amount to be refunded as per the calculation formula mentioned above.

• Regardless of the above, the Company, and the Insured shall be bound by the provisions of this Policy with respect to liabilities accruing prior to its cancellation.

• 1. The Insured Obligations:

  • a. Disclose any information that is a marital fact, relevant to the conduct of the activity and its facilities prior to the issue of the policy, as well as the requirement to report any change in the marital fact after the issuance of the policy.

  • b. Provide the Company or their duly appointed representative such information, assistance, signed statements or depositions as the Company may require within the scope of this Policy. This is in addition to reasonably aiding the Company in disputing any claim without incurring additional fees.

  • c. The Insured may not pay, undertake, or seek to pay any sum to any affected person without prior consent from the Company.

  • d. The Insured shall exercise the same level of care as it would in safekeeping his own property, provided that such care is on par with that of a reasonable person to prevent the damage from getting worse.

• 2. The Company shall notify the Insured once the indemnity limit specified in the Policy Schedule has been reached.

• 3. Fraud:

  • The Insured must provide and declare a correct statement. The rights and benefits arising from this Policy shall be forfeited if the Claim involves proven fraud or it was submitted or used false statements, or if the Insured or his representative used fraudulent approaches or methods to gain benefit from this Policy, or if the liability or damage results from a deliberate act by, or collusion with, the Insured.

• 4. Judicial Jurisdiction and Governing Law:

  • a. The Policy and any dispute that arises concerning this Policy shall be subject to the laws and regulations in force within the Kingdom of Saudi Arabia and shall be settled by the Committees for Resolution of Insurance Disputes and Violations.

  • b. Any cases arising in connection with this Policy shall not be investigated after five years from the date of the incident forming the basis of the Claim, and of which the parties are aware, unless the Committees for Resolution of Insurance Disputes and Violations are satisfied with the justification for consideration of the Claim.

Policy Schedule

Appendix A