7 losses, insurance enterprises are not responsible for compensating the construction industry

DNHN - Circular No. 50/2022/TT-BTC of the Ministry of Finance, effective from October 1, 2022, in Article 5 stipulates that insurers are not liable to compensate for the following losses:

- Loss due to war, riots, strikes, acts of hostile forces, rebellion, malicious acts on behalf of or in connection with political organizations, confiscation, expropriation, requisition, confiscated or destroyedamagemaged by order of a State agency.

- Damage caused by acts of terrorism.

- Loss due to nuclear radiation, nuclear reaction, radioactive contamination.

- Loss from willful acts of violating the law of the insurance buyer or the insured (not applicable to compulsory insurance for construction workers on the construction site in case of self-defence, life-saving, property-saving, or use of stimulants as prescribed by a doctor).

- Loss in case the insurance buyer has no interest can be insured under Clause 9 Article 3 of the Law on Insurance Business.

- Loss due to cessation of construction work or loss resulting from the cessation of construction work.

- Loss to data, software and computer programs.

In addition, the Circarly stipulates that an insurance contract is terminated in the following cases: The insurance buyer and the insurance enterprise have an agreement in the insurance contract on the termination of the insurance contract in the event of suspension in performing the work in the construction contract or terminate the construction country with the law.

At the same time, the insurance buyer must notify in writing the insurance enterprise within 5 working days from the date the investor makes a decision on the suspension of the performance of the work in the construction contract or the termination of the construction contract as prescribed by law.

Other cases of termination of insurance contracts shall comply with the provisions of law.

Duc Hoa