Article 10 Public liability insurance

(1)

In this article—

“insurer” means any insurer or insurers authorised under the Insurance Companies Act 1982^f1 to carry on in the United Kingdom insurance business of a relevant class or who has corresponding permission under the law of another member state of the European Economic Community;
“policy” means a public liability policy with an insurer providing maximum cover in respect of any one accident on or occasioned by the operation of the railways or any part thereof of not less than £2m.

(2)

(i)

The Council shall not work the railways or any part thereof unless there is in force a policy.

(ii)

In default of compliance with the provisions of this paragraph the Council shall be liable on summary conviction to a fine not exceeding the statutory maximum or, on conviction on indictment, to a fine.

(3)

The Company shall, while the railways or any part thereof are leased to the Company—

(a)

at all times maintain a policy approved by the Council in the joint names of the Company and the Council and in default thereof the Council may (without prejudice to any other powers granted under this Order) effect and maintain such policy and pay the premiums payable in respect thereof so that the premiums so paid and all incidental expenses shall be repaid by the Company to the Council on demand;

(b)

at the request of the Council produce to the Council such evidence as may be requisite for the purpose of proving compliance with the provisions of this paragraph.

(4)

Notwithstanding and without prejudice to the provisions of this article, the Council may while the railways or any part thereof are leased to the Company effect and maintain a policy in their own name with an insurer providing such cover for such period or periods and generally in such manner as the Council may from time to time determine:

Provided that, during such times as the Company are not operating the railways or any part thereof under the lease granted under article 5(1) of this Order, the Council shall not work the railways or any part thereof unless there is in force a policy and the Council shall on those occasions be liable for failure to comply with this provision on the terms referred to in paragraph (2) of this article.

(5)

The adequacy of the cover provided by a policy maintained in accordance with this article shall be regularly reviewed by the body which is for the time being required to effect and maintain the policy.

Annotations

Footnotes

f1: 1982 c. 50.