Common use of Observance of Terms Clause in Contracts

Observance of Terms. Failure to comply with any of the terms and conditions of the Policy where they are material or relevant to any loss may entitle Us to reduce or avoid Your claim. 8 Our Liability All the sums insured, Limits of Indemnity and any other restrictions on the amount of Our liability stated in this Policy, will apply as maximum limits to Our liability irrespective of the number of persons entitled to indemnity under this Policy. For all purposes, including but not limited to, the application of sums insured, Limits of Indemnity and any other restrictions on the amount of Our liability stated in this Policy, the definition of You shall constitute one insured party, and there shall only be one contract of insurance between that insured party and Us. 9 Reasonable Precautions You must at Your own expense take all reasonable steps to prevent or minimise any Damage or any Injury to Employees or the public. If You discover any defect or danger, You must make it good as soon as practicable and in the meantime take such additional precautions as circumstances reasonably require.