CHARTERERS' LIABILITY INSURANCE / PART VI / Clause 11

MORTGAGEES

11.1 Payment and Notice

At the request of a mortgagee and with the consent of the Assured, the Managers may in their discretion, and subject to the provisions of Part VI Clause 19 Assignment, agree to:

11.1.1 pay to the mortgagees, or to their order, any recovery the Assured is entitled to receive from the funds of the Association in respect of any liability, costs or expenses incurred by the Assured on receipt of notice from the mortgagees that the Assured is in default under the mortgage;

11.1.2 Not applicable;

11.1.3 give the mortgagees 14 days’ notice of the Association’s intention to cancel the insurance of the Assured by reason of the Assured’s failure to pay when due and demanded any sum due from the Assured to the Association.