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3 Insured section B - Public liability

3.1 Public liability cover
The insurer agrees to indemnify the insured by the terms of this insured section against
legal liability to pay damages or compensation, including claimant costs recoverable from the
insured, as a result of personal injury, damage, denial of access or nuisance that occurs
during the period of insurance and arises out of and in connection with the business.
3.2 Public liability defence costs

3.2.1 North American jurisdiction
Where any clause or endorsement to this policy extends cover to apply to North American
jurisdiction, the insurer agrees to indemnify the insured for defence costs but the said
defence costs count towards and are not additional to the limit of indemnity.

3.2.2 All other jurisdictions
a) For claims not involving North American jurisdiction, the insurer agrees to indemnify
the insured for defence costs but the said defence costs are payable in addition to
and do not count towards the limit of indemnity.
b) Where payment exceeding the limit of indemnity has to be made to dispose of a claim,
the insurer’s liability for defence costs shall be limited to such proportion of the said
defence costs as the limit of indemnity bears to the total amount paid to dispose of
the claim.

3.2.3 All jurisdictions
This indemnity is subject to the exclusion ‘Defence costs incurred without the insurer’s
consent’.
3.3 Public liability extensions
3.3.1 Data Protection

The insurer will indemnify the public authority and, if the public authority so requires, any
director, partner or employee in respect of their liability to pay:

a) any valid compensation, including any associated defence costs, in respect of:

i. damage or distress under section 13 of Part II of the Data Protection Act 1998
(‘DPA’), or any equivalent provision under any subsequent amending or
replacement legislation; or

ii. material or non-material damage under Article 82 of the General Data Protection
Regulation (‘GDPR’),
first occurring during the period of insurance and resulting in a claim or claims brought
by any person not being a director, partner or employee and notified to the insurer
during the period of insurance; and

b) defence costs in relation to a prosecution commenced during the period of insurance
under the DPA, any subsequent amending or replacement legislation or the GDPR and
incurred with the prior written consent of the insurer.
This extension shall not apply in respect of:

a) the cost of replacing, reinstating, rectifying or erasing any personal data;
b) any cost relating to the investigation of a data breach, or any obligation to report a data
breach to the Information Commissioner’s Office or any other supervisory authority or
other regulator or to data subjects;
c) liability caused by or arising from a deliberate act by or omission of any party entitled to
indemnity under this policy, the effect of which would knowingly result in liability under
the DPA, or any subsequent amending or replacement legislation, or the GDPR but this

PPBL010121 Public Authority Combined Liability Insurance Policy (UK) Page 10 of 48