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Design Improvement Exclusion

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DESIGN IMPROVEMENT EXCLUSION

This policy excludes:

  1. The cost necessary to replace repair or rectify any Property Insured which is defective in design plan specification materials or workmanship.
  2. Loss or damage to the Property Insured caused to enable replacement repair or rectification of such defective Property Insured.

But should damage to the Property Insured which is free of such defective condition (other than damage as defined in (b) above) result from such a defect this exclusion shall be limited to the costs of additional work resulting from and the additional costs of improvement to the original design plan specification materials or workmanship.

For the purpose of the policy and not merely this Exclusion the Property Insured shall not be regarded as lost or damaged solely by virtue of the existence of any defect in design plan specification materials or workmanship in the Property Insured or any part thereof.

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