CLIMBS LIFE AND GENERAL INSURANCE COOPERATIVE

Home Office: CoopLife Bldg., Zone 5, National Highway, Bulua, 9000 Cagayan deo Oro City, Philippines
Telefax Nos.: (0822) 738738; (088) 8561355
Email: head_office@climbs.coop
TIN: 006237231

PRIVATE CAR POLICY

VALID FOR CTPL USE ONLY

AUTHORIZED DRIVER:

Any of the following: (a) The Insured (b) Any person driving on the Insured's order or with his permission. Provided that the person driving is permitted, in accordance with the licensing law or other regulations, to drive the Scheduled Vehicle, or has been permitted and is not disqualified by order of a Court of Law or by reason of any enactment or regulation in that behalf, provided that for Sections I and II only of this Policy an authorized driver shall include a duly licensed driver but whose license at the time of the accident has expired.

LIMITATIONS AS TO USE:

Use only for social, domestic and pleasure purposes, and for the Insured's business or profession. This policy does not cover:
(a) Use for the hauling and/or carrying of logs, lumber, sand, gravel, bottled beverages, gasoline products and/or other inflammable articles or materials.
(b) Use for racing, pace making, reliability trial or speed testing.
N.B. Provided that limitations (1) and (2) above may be deleted and the risks named therein covered by this Policy upon agreement by, and payment of 20% additional premium to the Company.
(3) Use for the carriage of PASSENGERS or for hire or reward.
(4) Use for any purpose in connection with the Motor Trade.

Sections I AND II of this Policy cover THIRD PARTY liability arising from bodily injury and/or death in amounts set forth under the Schedule of Indemnities.

(THIS POLICY IS INTENDED TO BE ISSUED FOR MEMBERS ONLY)

IMPORTANT NOTICE

The Insurance Commissioner, with offices in Manila, Cebu and Davao is the Government official in-charge of the faithful execution and enforcement of all laws relating to insurance and has supervision over insurance companies. He is ready at all times to render assistance in settling any controversy between an insurance company and a policy holder relating to insurance matters.

WHEREAS THE INSURED, by his corresponding proposal and declaration, and which shall be the basis of this Contract and deemed Incorporated herein, has applied to the Company for the insurance hereinafter contained, subject to the payment of the Premium as consideration for such insurance.

NOW THIS POLICY WITNESSETH;

That, in respect of events occuring during the period of Insurance, and subject to the terms, exceptions and conditions contained herein or endorsed hereon (hereinafter collectively referred to as the Terms of Policy);

Section I - LIABILITY TO THE PUBLIC

1. The Company will pay all sums necessary to discharge liability of the Insured, arising from all expenses and damages directly resulting from any bodily injury and/or death to any Third Party (excluding all moral, exemplary and other incidental damages, expenses and loss of income) in an accident caused by the use of the Scheduled vehicle, provided that the Insured\'s liability shall have first been determined, but not exceeding in the aggregate P100,000 per occurrence or any one occurrence, regardless of the number of individual claims.


2. In terms of and subject to the limitations of this Policy, the Company will indemnify:\nAny authorized Driver who is driving the Scheduled Vehicle, provided that he:
   1. Observes, fulfills, and be subject to the Terms of this Policy insofar as they can apply;
   2. is not entitled to indemnity under any other policy subject, however, to Condition No. 8 of the Conditions Applicable To All Sections;


3. In the event of the death of any person entitled to indemnity under this Policy the Company will, in respect of the liability incurred to such person indemnity his personal representatives in terms of, and subject to the terms and conditions hereof.


4. In the event of accident involving indemnity under this Policy to more than one person, the Limits of Liability shall not exceed the aggregate amount so specified by Law to all persons to be indemnified. Should indemnification both to liability of the Insured and that of another party (as provided under Authorized Driver) be provable, the Insured\'s shall have prior right thereto.


5. Unless the Insured objects, that Company shall:
   1. Arrange for representation at any inquest or investigation in respect of aunty death which may be the subject of indemnity under this Section;
   2. Undertake the defense in the Insurance Commisssion under Section 385 of the Insurance Code, or in any court of law for alleged offenses causing, or relating to, any event which may be the subject to indemnity under this Section.

SCHEDULE OF INDEMNITIES FOR BODILY INJURY AND/OR DEATH

The following Schedule of Indemnities shall be observed in the settlement of claims for death, bodily injuries and professional fees and hospital charges for services rendered to traffic accident victims under the Compulsory Motor Vehicle Liability Insurance Coverage.

A. DEATH INDEMNITY      Burial and Funeral Expenses		PHP 70,000.00 30,000.00
B. BODILY INJURIES AND FRACTURES Types of Accomodation or Professional Attendance Extended	Services Rendered	Maximum Reimbursable Fees and/or Charges
1. Hospital Rooms	Maximum of 45 days per accident Laboratory examination fees, X-rays	500.00/day 2,000.00
2. Surgical Expenses	Major Operation Medium Operation Minor Operation	7,500.00 5,000.00 1,500.00
3. Anesthesiologist's Fees	Major Operation Medium Operation Minor Operation	2,500.00 2,000.00 500.00
4. Operating Room	Major Operation Medium Operation Minor Operation	1,500.00 1,000.00 500.00
5. Medical Expenses	For daily visits of Practitioner or Specialist The total amount of medical expenses must not exceed (For a single period of confinement)	400.00/day 5,000.00
6. Drugs and Medicine	Actual value of drugs and medicine used but not to exceed	20,000.00
7. Ambulance	Actual amount of charged for ambulance transport but not exceed	1,500.00

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Section II - NO FAULT INDEMNITY

The Company will pay any claim for bodily injury and/or death to any THIRD PARTY without the necessity of proving fault or negligence of any kind, provided that

1. the total indemnity in respect of any one third party shall not exceed Fifteen Thousand Pesos, subject to the foregoing Schedule of Indemnities in case of death or physical injury without prejudice to the claimant from pursuing his claim further, in which case he shall not be required or compelled by the Company to execute any Quit Claim or document releasing it from liability under the policy of insurance.
2. the following proofs of loss when submitted under oath shall be sufficient evidence to substantiate the claim:
   1. Police report of accident or any evidence sufficient to establish the accident, and
   2. Medical report and evidence of medical or hospital expenses and/or
   3. Death Certificate and evidence sufficient to establish the proper payee.

SECTION III - LOSS OR DAMAGE

1. The Company will, subject to the Limits of Liability, indemnify the Insured against the loss of or damage to the Scheduled Vehicle and its accessories and spare parts whilst thereon:
   1. by accidental collision or overturning, or collision or overturning consequent upon mechanical breakdown or consequent upon wear and tear;
   2. by fire, external explosion, self-ignition or lightning or burglary, housebreaking or carnapping, or any unlawful taking of the car accessories or any part whilst thereon, but excluding those committed by an employee of the insured or any person or persons to whom the scheduled vehicle has been entrusted;
   3. by malicious act;
   4. whilst in transit (including the processes of loading and unloading) incidental to such transit by road, rail, inland waterway, lift or elevator.
   
   
2. At its own option, the Company may pay in cash the amount of the loss or damage, or may repair, reinstate or replace the Scheduled Vehicle or any part thereof or its accessories or spare aprts. The Liability of the Company shall not exceed the value of the parts lost or damaged and the reasonable cost of fitting such parts or the value of the Scheduled Vehicle at the time of the loss or damage, whichever is the less. The Insured's estimate of value stated in the Schedule shall be the maximum amount payable by the Company in respect of any claim for loss or damage.
3. In the event of a claim being payable under Section III of this Policy for the cost of replacement parts, the amount of settlement shall be the cost of brand new part(s) to replace the damaged part(s) of the insured vehicle less the share of the insured on the cost of the replacement parts computed based on the following depreciation schedule:

Age of Vehicle	Rate of Depreciation (Share of the Insured)	Age of Vehicle	Rate of Depreciation (Share of the Insured)
Up to 3 years	Nil	Over 6 years up to 7 years	35%
Over 3 years up to 4 years	20%	Over 7 years	40%
Over 4 years up to 5 years	25%	Batteries, Tires, Ball Joints, Tie Rods, and Shock Absorbers (for vehicle over three (3) years old	45%
Over 5 years up to 6 years	30%

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It is further declared and agreed that in case of the total loss of the vehicle insured this Clause shall not apply but the settlement shall be based on the provisions of Section III, Paragraph No.2 of this Policy.

4. If the Scheduled Vehicle is disabled by reason of loss or damage insured under this Policy, the Company will, subject to the Limit of Liability for towing, bear the reasonable cost of protection and removal to the nearest repairer.
5. The insured may authorize the repair of the Scheduled Vehicle necessitated by damage for which the Company may be liable under this Policy, provided that:
   1. the estimated cost of such repair does not exceed the Authorized Repair Limit and;
   2. a detailed estimate of the cost is forwarded to the Company without delay
   
   
6. In the event of loss or or damage to the Scheduled Vehicle or its accessories or spare parts necessitating the supply of a part not obtainable from stock held in the Philippines, or in the event of the Company exercising the option under Paragraph 2 to pay in cash the amount of the loss or damage, the liability of the Company in respect of any such part shall be limited to:
   1. 1. the price quoted in the latest catalogue or price list issued by the Manufacturer or his Agents for the Philippines or
      2. if no such catalogue or price list exists, the price last obtaining at the Manufacturer's Work plus the reasonable cost of transport other than by air, to the Philippines, and the amount of the relative import duly, and:
      
      
   2. the reasonable cost of fitting such part.
   
   
7. This policy shall be operative whilst the Scheduled Vehicle is being used for the purposes of towing any one disabled mechanically propelled vehicle provided that:
   1. such towed vehicle is not towed for reward;
   2. the Company shall not be liable in respect of damage to such towed vehicle or property being conveyed thereby.
   
   

EXCEPTIONS TO SECTION III

The Company shall not be liable to pay for:

1. Loss or Damage in respect of any claims arising out of one event, the first amount of each and every loss for each and every vehicle insured by this Policy, such amount being equal to one half of one percent (0.50%) of the Insured estimate of Fair Market Value as shown in the Policy Schedule with a minimum deductible amount of PHP 2,0000.00;
2. Consequential loss, depreciation, wear and tear, mechanical or electrical breakdowns, failures or breakages;
3. Damage to tires, unless the Scheduled Vehicle is damaged at the same time;
4. Any malicious damage caused by the Insured, any member of his family or by a person in the Insured's service;

SECTION IV - EXCESS LIABILITY INSURANCE

1. The Company will, subject to the Limits of Liability, reimburse the Insured for all sums actually paid by the Insured to discharge liability in accordance with all the provisions of Section I except the limits of Liability for Section I but only in excess of:
   1. the Limits of Liability for Sections I and II of this Policy, when such limits have been exhausted or;
   2. the liability limits required for the Scheduled Vehicle under Section 377 of the Insurance Code, as amended in the event no coverage exist as described in paragraph (a) above.
   Coverage under this paragraph is not subject to the Schedule of Indemnities under Section I.
   
   
2. The Company will, subject to the Limits of Liability, pay all sums necessary to discharge liability of the Insured, in respect of damage to Third Party property in an accident caused by and arising out of the use of the Scheduled Vehicle, or in connection with the loading or unloading of the Scheduled Vehicle, provided that the Insured's liability shall have first een determined either by final court judgement after actual trial, or by written agreement of the Insured, the Claimant, and the Company. Provided, further, that the Company shall not be liable in respect of damage to property belonging to the Insured, or held in trust by, or in the custody or control of the Insured or any member of the Insured's household, or being conveyed by the Scheduled Vehicle.
   For the purpose of this paragraph, Scheduled Vehicle shall include any Private Car whilst being personally driven by the Insured not belonging to him and not hired to him under a hire purchase agreement.

GENERAL EXCEPTIONS

The Company shall not be liable under any Section of this Policy in respect of:

1. Any Accident, or liability caused, or incurred
   1. outside the Republic of the Philippines.
   2. whilst the Scheduled Vehicle is:
      1. being used otherwise than in accordance with the limitations as to use;
      2. being driven by any person other than an Authorized Driver;
      3. on board a sea vessel on inter-island transit;
         
         
2. Any liability which is attached by virtue of an agreement but which would not have attached in the absence of such agreement, except liability arising out of an on the spot agreement or amicable settlement of minor accident to avoid impairing the flow of traffic
3. Except in respect of claims arising under Sections I and II of this policy, any accident loss, damage or liability directly or indirectly, proximately or remotely occasioned by, contributed to by or traceable to, or arising out of, or in connection with flood, typhoon, hurricane, volcanic eruption, earthquake or other convulsion of nature, invasion, the act of foreign enemies, hostilities or warlike operations (whether war be declared or not), strike, riot, civil commotion, mutiny, rebellion, insurrection, military or usurped power, or by any direct or indirect consequences of any of the said occurrences and in the event of any claim hereunder, the Insured shall prove that the accident, loss or damage or liability arose independently of and was in no way connected with or occasioned by, or contributed to, any of the said occurrences, or any consequences thereof, and in default of such proof, the Company shall not be liable to make any payment in respect of such a claim.
4. Any sum which the Insured would have been entitled to recover from any party but for an agreement between the Insured and such party.
5. Bodily injury and/or death to any person in the employ of the Insured arising out of and in the course of such employment, or bodily injury and/or death to any member of the Insured's household who is riding in the Scheduled Vehicle.
6. Death, bodily injury or damage cause or arising beyond the limits of any carriageway or thoroughfare in connection with the bringing of the load to the Motor Vehicle for loading thereon or the taking away of the load from the Motor Vehicle after unloading therefrom
7. Damage to any bridge, weighbridge or viaduct or to any road or anything beneath by vibration or by the weight of the Motor Vehicle or of the load carried by the Motor Vehicle.

DEFINITIONS

1. MOTOR VEHICLE is any vehicle as defined in Section Three, Paragraph (a) of Republic Act - Numbered Four Thousand One Hundred Thirty Six, otherwise known as the "Land Transportation and Traffic Code".
2. THIRD PARTY is any person other than a PASSENGER as defined in the law and shall exclude a member of the household, or a member of the family within the second degree of consanguinity or affinity, of a motor vehicle owner or his employee in respect of death, bodily injury or damage to property arising out of and in the course of employment.

CONDITIONS APPLICABLE TO ALL SECTIONS

1. This Policy and the Schedule shall be read together, as one contract, and any word or expression to which a specific meaning has been attached in any part of this Policy or of the Schedule shall bear such specific meaning wherever it may appear.
2. Every notice or communication to be given or made under this Policy shall be delivered in writing to the Company.
3. The Insured shall take all reasonable steps to safeguard the Scheduled Vehicle from loss or damage and to maintain the Scheduled Vehicle in efficient condition, and the Company shall have at all times free and full access to examine the Scheduled Vehicle or any part thereof or any driver or employee of the Insured. In the event of any accident or breakdown, the Scheduled Vehicle shall not be left unattended without proper precaution being taken to prevent further loss or damage, and if the Scheduled Vehicle be driven before the necessary repairs are effected, any extension of the damage or any further damage to the Scheduled Vehicle shall be excluded from the scope of the indemnity granted by this Policy.
4. In the event of any accident which may give rise to a claim under this Policy, the Insured shall, as soon as possible, give notice thereof to the Company with full particulars. Every letter, claim, writ, summons and process shall be notified or forwarded to the Company immediately on receipt. Notice shall also be given to the Company immediately as soon as the Insured shall have knowledge of any impending prosecution, inquest or fatal inquiry in connection with any such occurrence. In case of carnapping or other criminal act which may give rise to a claim under this Policy, the Insured shall give immediate notice to the Police and cooperate with the Company in securing the conviction of the offender.
5. Without prejudice to No. 2 of the General Exceptions, no admission, offer, promise or payment shall be made by or on behalf of the Insured without the written consent of the Company which shall be entitled to take over the conduct in his name the defense or settlement of any claim, or to prosecute in his name for its own benefit any claim for indemnity or damages or otherwise, but shall not exercise any discretion prejudicial to the interest of the insured in the conduct of any proceedings in the settlement of any claim, and the Insured shall give all such information and assistance as the Company may require. If the Company shall with the consent of the Insured make any payment in settlement of any claim, and such payment includes any amount not covered by this Policy, the Insured shall repay the Company the amount not so covered.
6. At any time after the happening of any event giving rise to a claim or series of claims under this Policy, the Company may pay to the Insured and the Third Party claimant jointly the full amount of the Company's Liability and relinquish the conduct of any defense, settlement or proceedings, and the Company shall not be responsible for any damage alleged to have been caused to the Insured in consequence of any alleged action or omission of the Company in connection with such defense, settlement or proceedings or of the Company relinquishing such conduct, nor shall the Company be liable for any costs or expenses whatsoever incurred by the Insured or any claimant or other person after the Company shall leave so relinquished.
7. The Company may cancel this Policy in accordance with Section 64, 65 and 380 of the Insurance Code, in which case, the Company shall there upon return to the Insured premiums paid less the pro rata portion thereof for the period when the Policy has been in force. The Insured may, at any time, cancel the Policy by surrendering it to the Company and (provided no claim has arisen during the then current period of Insurance) the Insured shall be entitled to a return of the premium at the Company's Short Period Rates for the period when the Policy has been in force. However, in respect of Section I and II, the cancellation made by the Insured shall not be effective unless he has secured a similar Policy of insurance or surety bond to replace the policy to be cancelled or make a cash deposit in sufficient amount with the Commissioner and without any gap file within five (5) working days from the date of cancellation the required documentation with the Bureau of Land Transportation in accordance with Section 381 of the Insurance Code.
8. If, at any time any claim arises under this Policy, there is any other insurance covering the same loss, damage or liability, the Company shall not be liable to pay contribute more than its rateable proportion of any loss, damage, compensation, costs or expenses. Provided always that nothing in this Condition shall impose on the Company any liability from which, but for this Condition, it would have been relieved under provision (ii) of Section 1-2 (a) of this Policy.
9. Except in case of claims arising under Sections I and II of this Policy, if any difference or dispute shall arise with respect to the amount of the Company's liability under this Policy, the same shall referred to the decision of a single, to be agreed upon by both parties or, failing such agreement of a single arbitrator, to the decision of two arbitrators, one to be appointed in writing by each of the parties within one calendar month after having been required in writing to do so by either of the parties and, in case of disagreement between the arbitrators, to the decision of an umpire who shall have been appointed in writing by the arbitrators, before entering on the reference, and the costs of and expenses incident to the reference shall be dealt with in the award. And it is hereby expressly stipulated and declared that it shall be a condition precedent to any right of action or suit upon this Policy that the award by such arbitrators or umpire of the amount of the Company's liability hereunder, if disputed, shall be first obtained. If a claim be made and rejected, and an action or suit be no commenced within twelve months after such rejection or in case of an arbitration taking place as provided herein, within twelve months after the arbitrator or arbitrators, or umpire shall have made their award, then the claim shall, for all purposes, be deemed to have been abandoned and shall not hereafter be recoverable hereunder. Provided, however, that in case of any dispute in the enforcement of the provision of Section I and II of this Policy, the adjudication of such dispute shall be within the original and exclusive jurisdiction of the Insurance Commissioner, subject to the limitations provided in Section 416 of the Insurance Code, as amended.
10. The due observance and fulfillment of the Terms of this Policy, insofar as they relate to anything to be done or not to be done by the insured, and the truth of the statements and answer on the proposal, shall be conditions precedent to any liability of the Company to make any payment under this Policy.
11. In the event that the Company should pay or be held liable to pay any claim or claims under the "No Fault" provision of the Insurance Code, the Insured shall reimburse the Company all such sums, whenever the Insured or his authorized driver or representative has committed a breach of any of the warranties, clauses or conditions of the Policy, or whenever the circumstances fall under any of the EXCEPTIONS listed in the Policy, for which the Company would not have been liable were it not for the application of the "No Fault" provision of the Insurance Code.

NUCLEAR EXCLUSIONS CLAUSE

1. This Policy does not cover:
   1. Loss or destruction of, or damage to any property whatsoever or any loss or expense whatsoever resulting or arising therefrom, or any consequential loss;
   2. Any legal liability of whatsoever nature, directly or indirectly caused by, or contributed to by, or arising from, ionizing radiations or contamination by radioactivity from any nuclear fuel, or from any nuclear waste from the combustion of nuclear fuel. For the purpose of this exclusion only combustion shall include any self-sustaining process of nuclear fission.
      
      
2. The indemnity provided by this Policy shall not apply to nor include any loss, destruction, damage or legal liability directly or indirectly caused by or contributed to, by, or arising from, nuclear weapons material.

CIVIL CODE ARTICLE 1250 WAIVER CLAUSE

IT IS HEREBY DECLARED AND AGREED that the provision of Article 1250 of the Civil Code of the Philippines (Republic Act No. 386) which reads: "In case an extraordinary inflation or deflation of the currency stipulated should supervene, the value of the currency at the time of the establishment of the obligation shall be the basis of payment..." shall not apply in determining the extent of liability under the provisions of this policy.

SHORT PERIOD RATE SCALE

It is hereby agreed, in the event this Policy is surrendered by the Insured for cancellation, the Company shall retain a premium in accordance with the following scale for the time the Policy has been in force:

No. of Month/s	1	2	3	4	5	6	7	8	9	10	11
Percentage	20	30	40	50	60	70	75	80	85	90	95

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ATTACHED TO AND FORMING PART OF CLIMBS LIFE AND GENERAL INSURANCE COOPERATIVE
WAR AND TERRORISM EXCLUSION ENDORSEMENT

Notwithstanding any provision to the contrary within this insurance or any endorsements thereto it is agreed that this insurance excludes loss, damage, cost or expense of whatsoever anture directly or indirectly caused by, resulting from or in connection with any of the following regardless of any other cause or event contributing concurrently or in any other sequence to the loss;

1. War, invasion, acts of foreign enemies, hostilities or warlike operations (whether war be declared or not), civil war, rebellion, revolution, insurrection, civil commotion assuming the portion of or amounting to an uprising, military or unsurped power; or
2. Any act of terrorism for the purpose of this endorsement, an act of terrorism means an act, including but not limited to the use of force or violence and/or the threat thereof, of any person or group(s) of persons, whether acting alone or on behalf of or in connection with any organization(s) or government(s), committed for political, religious, ideological or similar purposes including the intention to influence any government and/or to put the public, or any section of the public, in fear.

This endorsement also excludes loss, damage, cost or expense of whatsoever nature directly or indirectly caused by, resulting from, or in connection with any action taken in controlling, preventing, suppressing or in way relating to (1) and/or (2) above.

If the underwriters allege that by reason of this exclusion, any loss, damage, cost or expense is not covered by this insurance, the burden of proving the contrary shall be upon the Assured. In the event any portion of this endorsement is found to be invalud or unenforceable, the remainder shall remain in full force and effect.

DATA PRIVACY DISCLAIMER

By signing herein, you, the policy owner/insurance applicant/proposed insured, expressly consent to the lawful collection, processing, use, sharing, storage, retention or destruction and for other lawful or legal purposes, of all personal data pertaining to you in line with your application for life insurance policy and the servicing requirements thereof, in accordance with Republic Act No. 10173 or the Data Privacy Act of 2012 and its Implementing Rules and Regulations. CLIMBS Life and General Insurance Cooperative shall use this information with full regard to the provisions of the said law and its implementing rules and regulations, in connection with the necessary processes pertinent to the said insurance policy or application, or servicing thereof, and for other legitimate purpose or in compliance with government regulations, court orders, industry association, and in case authorized by law. You shall hold CLIMBS free and harmless from any liability or expense that may arise from any transfer, discolsure, processing, collection, use, storage, or destruction of the said information for activities done by CLIMBS Life and General Insurance Cooperative in regards to your insurance application and servicing thereof in accordance with Republic Act No. 10173 or the Data Privacy Act of 2012 and its Implementing Rules and Regulations.

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