Capital Market Authority Decision No. 19/2016 on the Standard Vehicle Insurance Policy Form

Decision
No. 19/2016
On the Issuance of the Standard Vehicle Insurance Policy Form Based on the Oman Sultani Decree No. 50/1977 ratifying the consolidated insurance card agreement on the movement of cars through Arab countries, The Insurance Companies Law, promulgated by the Oman Sultani Decree No. 12/1979, The Vehicle Insurance Law, promulgated by the Oman Sultani Decree No. 34/1994, The Oman Sultani Decree No. 90/2004 transferring the insurance competencies from the Ministry of Commerce and Industry to the Capital Market Authority, The Vehicle Insurance Rules, promulgated by the Oman Ministerial Decision No. 99/1995, The standard vehicle insurance policy form, promulgated by the Oman Decision No. ,K/8/2008, The Decision of the Board of Directors of the Capital Market Authority ,And based on the public interest requirements :The following was decided
Article 1
.The enclosed standard vehicle insurance policy form shall enter into effect
Article 2
The said Oman Decision No. 8/2008 shall be abrogated along with all that violates or contradicts .the provisions of this Decision
Article 3
This Decision shall be published in the Official Gazette and shall enter into force thirty days from .the date of publication thereof Issued on: 24 Rabi' Al-Thani 1437 H Corresponding to: 3 February 2016 Abdullah bin Salem bin Abdullah Al Salmi Executive President of the Capital Market Authority The Standard Vehicle Insurance Policy Form
Chapter 1
Definitions and General Provisions
First
Definitions In application of the provisions of this Policy and its Annexes, the following terms

and expressions shall have the meanings stated beside them, unless the context requires :otherwise .Policy: The Standard Vehicle Insurance Policy and its Annexes -1 Vehicle: Any vehicle for the transport of passengers or goods, a motorcycle or trailer whether -2 moving mechanically or in any other way (other than using animals) used or intended to be used .on the road within the boundaries of the Sultanate Road: Any land way available for the passage of vehicles anywhere within the boundaries of -3 .the Sultanate Passenger: Any person inside the vehicle within the limits of the number of licensed seats, or -4 .getting into or out of the vehicle .Insurer: Insurance company licensed to operate in the Sultanate -5 Insured: Owner of the vehicle of which the road accidents are covered by the insurer. Any -6 .person driving the insured vehicle shall be considered as insured Third Party: Every person other than the insured and the like and other than their family -7 .members, even if that person works for the insured Comprehensive Insurance: Insurance of the body of the vehicle itself with third-party -8 .insurance and insurance against natural disasters and personal accidents Accident: Everything that occurs due to the vehicle or as a result of its use, scattering, falling, -9 .explosion, fire or theft, even if it is not rolling Licensed Driver: Any person driving the vehicle and holding a valid driver's license according -10 .to the Omani Traffic Law and its Implementing Regulations Insurance Application: The application to be filled by the insured according to the data -11 specified therein, including the required insurance and additional benefits and coverages that .the insured wishes to obtain Policy Table: The table set forth in the insurance policy, considered an integral part thereof -12 .and specifying the data of the insured, the insured vehicle and the granted insurance coverage Insurance Period: Period specified in the insurance policy during which the insurance policy is -13 .valid, and any renewal period based on an agreement between both parties Deductible: The fixed amount to be borne by the insured for every accident, set forth in the -14 .policy table Depreciation: The rate paid by the insured or the damaged person upon occurrence of -15 accident - according to the depreciation rules and tables enclosed - for the cost of original spare parts in case of partial loss and in case of total loss, the rate deducted from the cash value of the .vehicle Compulsory Insurance: Insurance against the death, physical injuries, material damages and -16 .treatment expenses of third parties Personal Accidents Annex: Covering the death or physical injuries caused by traffic accidents -17 .to the owner and driver of the vehicle and their families, within the limits stated in the Annex Total Permanent Disability: Disability caused by the injury and resulting into either a total -18 permanent loss of the ability to earn, work or use the injured organs, or
the compensation rate of any injury or the total compensation rates of more than one injury reaching (100%) one .hundred percent or more

Permanent Partial Disability: Disability caused by the injury to one or more organs, resulting -19 .(into permanent disability of the injured to use the affected organ(s Temporary Disability: Disability caused by the injury, resulting into loss of the ability of the -20 .injured to use the affected organ(s) temporarily Evidentiary Loss: Loss considered as total loss of the vehicle whenever such vehicle is -21 damaged in a way that the actual cost for the repair thereof exceeds 75% of its value upon .occurrence of the accident No Claims Discount: Discount of a certain rate from the insurance premium due to the -22 .absence of paid or payable claims for the previous insurance period .Natural Disasters: Floods, storms, hurricanes, tornadoes and hail -23 Construction Vehicle: Vehicle used for construction works, not designed to have a cargo -24 .thereon Consequential Loss: Indirect loss not directly resulting from the occurrence of the insured -25 .accident but it is subsequent to it .Locomotive: Vehicle to which a trailer is or may be connected, forming together a single unit -26 Trailer: Vehicle without engine, designed and manufactured to be towed or drawn by a -27 .motor vehicle :Date of completion of the accident file: The date on which the causer of the accident -28 .Pays the prescribed deductible amount .The insurer takes over the vehicle .The insurer is provided with copies of the vehicle's licence and the driving licence .Simple accident form in case of simple accident Technical report of the police inspection in case of serious accident and in case of simple .accident, if necessary .(A letter from the funding or mortgaging entity (if any Any necessary documents required by the insurer from the insured provided they are .required upon reporting of the accident .These requirements shall apply to the injured except for the value of the deductible Insurance Premium: An amount of money that the insured shall pay to the insurer against -29 .the insurer's obligation to assume liability for the insured risks Second General Provisions a - Insurance Application
Table 1
:Information on the Insured
Data of the Applicant -1
Name as per the
:ID Card
Surname :Third :Second :First
::Trade Name of Companies
:Age of Individuals :Date of Birth of Individuals :Head Office of Companies :ID Card No. / Commercial Register .......... :Permanent Address: Governorate: ........ Wilayat: ........ City: .......... Village :E-mail :(Home phone (optional

:(Home phone (optional
:Mobile
:E-mail
:Employer :(Occupation (optional
:P.O. Box :(Marital Status (optional
:Postal Code :(Educational Qualification (optional Vehicle licence type: Light / heavy / construction vehicle / motorcycle ..Drivinglicence expiry date: .../.../20 :.Drivinglicence No Details of Insurance Coverage -2 Type ofvehicle: Private vehicle / taxi / rental car / teachingvehicle / bus / small truck / large truck / construction vehicle / emergency car / motor vehicle / motorcycle / bicycle / locomotive / trailer / special use .vehicle / other .Use: Private / commercial light / commercial heavy / transport / taxi / teaching driving/ other Are there any changes oradditions to the vehicle accordingto the Law: ( )Yes ( ) No Signature Please state the :changes oradditions and the value of each: Type of change oraddition: Value
Omani Riyals .................................................
Omani Riyals .................................................
Omani Riyals .................................................
Omani Riyals .................................................
(Number of persons authorised to drive the vehicle (optional -3 Capacity (kinship or Sex Age Name (relationship :.Civil Card No Note: The names authorised to drive the vehicle shall be stated without beingrestricted to aspecified number in case the insured wishes to obtain additional reduction in the insurance premium.The insurer shall not have the right to reject the settlement ofany claim because the driver of the vehicle is not listed within the list of .the persons authorised to drive the vehicle.The deductible set forth in Clause 11 of the Policy Table shall apply Do you have any claims that have not been settled by the insurer? What type are they? ( )Yes ( ) No ..…………………………………………………………… Ifyes, state the claims and their dates :Previous insurers ……………………………………1 ……………………………………2 ……………………………………3 :Date :Signature of the Insurer :Signature of the Insured
Table 2
(Period and Type of Insurance Coverage (Vehicle - Construction Vehicle .../.../... :Required insurance period from: .../.../... to Insurance Yes Type of insurance coverage :Premium Signature No Compulsory insurance only 1 Compulsory insurance in addition to the following 2 :((please select the appropriate coverages .Personal Accidents Annex￾Natural disasters occurring on the body of the - vehicle. - Insurance against fire, theft and

robberies occurring only on the body of the
.vehicle
Deliberate act of third parties (in case of non-use - only). - Civil liability occurringto third parties .during operating or in the workplace 3 Total Signature of the :Signature of the Insured :Insurer :Date
Table 3
New Additional Privileges
Insurance Yes Additional Insurance Coverages S Premium Signature Replacement of the spare parts damaged from 1 the accident with other new and original parts after the first year without paying depreciation .fees of the new pieces OMR Repairat the concerned agent with new and 2 original spare parts after the first year without .payingany additional amounts OMR OMR .Without payingany deductible 3 Vehicle transport service without specification 4 .of the distance OMR Alternative vehicle throughout the period of 5 .repair OMR OMR .Properties of the insured outside the vehicle 6 Cash compensation for consequential loss at 7 ............... Omani Riyals per every day of breakdown OMR Automatic renewal in case ofabsence of 8 claims OMR Loss and damage coverage and third-party 9 liability for commercial vehicles except the .construction vehicles at the workplace OMR Increase of the transport and guardianship 10 costs at ............... Omani Riyals OMR Increase of the compensation amount set 11 forth in the Personal Accidents Annexto .(15/20/25) thousand Omani Riyals OMR OMR Any other privileges agreed upon 12 OMR Premium amount to be paid for the additional privileges Signature of the :Signature of the Insured :Insurer :Date b- Policy Table :Policy Number -1 :Name of the Insurer -2 :Type of Insurance -3 Type of Use: Private / commercial light / commercial heavy / transport / taxi / teaching driving-4 ./ other :Name of the Insured -5 :P.O. Box :Address -6 :Postal Code Occupation or Profession -7 .../.../... :Insurance Period: From: .../.../... to -8 :Insurance Premium -9

.a- Basic premium b- Premium for treatment expenses per passenger .(c- Premium for the coverage of the personal accidents annex(ifany .(d- Orange card coverage premium (ifany .(e- Total insurance premium (a + b + c + d + e f- No Claims Discount as per Annex 3. h- Discount of the number of persons .(authorised to drive the vehicle. i- Net insurance premium (f -g- h .(g- Supervision and control fees (6 per thousand of the net insurance premium .(h- - Contingency fund fees (1% of the net insurance premium OMR .(l- Paid premium = (h + i + j -10 Objective of the Licence Insurance Amount .Registration No :Deductible: The insured shall bear the following amount -11 Private vehicles Description Light commercial vehicles (except rental vehicles and driving (teachingvehicles Light commercial vehicles (rental vehicles and driving (teachingvehicles Heavy commercial vehicles and construction vehicles a If the driver is included in the list of persons authorised to drive stated in the insurance application, aged 25 years and .above OMR 500 OMR 150 OMR 75 OMR 50 b If the driver is included in the list of persons authorised to drive stated in the insurance application, .aged below 25 years OMR 750 OMR 200 OMR 100 OMR 75 c If the driver is not included in the list and aged 25 years and .above OMR 1,000 OMR 150 OMR 100 OMR 75 d If the driver is not included in the list and .aged below 25 years OMR 1,500 OMR 200 OMR 150 OMR 100 e The date on which the driver of the vehicle obtained the driving licence is less than (3) .three years OMR 500 + OMR 50 + f The date on which the driver of the vehicle obtained the driving licence is less than (5) .five years OMR 250 + OMR 25 + The insurer or the insured may agree upon other than that stated in Clause 11 of the table .above, provided that the written consent of the insured is obtained

:Date :Signature of the Insurer :Signature of the Insured The insurance amount stated in Clause 10 of the policy table shall be determined according -12 :to the following a- The cash value of the vehicle shall be determined upon the date of purchase according to the purchase invoice of the vehicle for the first time. If the said invoice is not available, an attestation shall be required from the agent for the actual cash value of the vehicle on the .first date of purchase b- The depreciation fees shall be calculated according to the approved depreciation table (1 .and 2) of Annex No. 1 c- The difference between Clause (a) and Clause (b) shall be considered the insurance value of the vehicle upon commencement of insurance in the years following the first year. It shall be the basis to be taken in consideration upon settlement of the compensation amount in .case of an accident d- In case it was not possible to obtain the purchase invoice or the attestation of the concerned agent to determine the value of the vehicle, the insurance amount shall be calculated based on the market value of the vehicle according to the rules set by the .Authority e- As an exception to the above-mentioned rules, the insurance amount may be determined .at a value higher than the value set by the previous rules :Restrictions of Use -13 The insured shall not use the vehicle except for the licensed purpose. In case of use of the .vehicle for another purpose, the insurance shall not cover the accidents resulting from such use :a- Limits of the Insurer's Liability The maximum liability of the insurer for the repair costs according to Clause 3 of Chapter -1 .2 is of (150) one hundred and fifty Omani Riyals The maximum authorised guardianship and transport costs according to Clause 5 of -2
Chapter 2 are of (100) one hundred Omani Riyals, unless it is agreed upon a higher amount
.within the additional privileges
The maximum guardianship and transport costs according to Clause (First/f) of Chapter 3 -3 .are the guardianship and transport costs known at the market b- The maximum liability of the insurer as per paragraph (a), Clause 1 of Chapter 3 for any claim or total claims arising from one accident shall be the value of the compensation decided .judicially c- The maximum liability of the insurer as per paragraph (b), Clause 1 of Chapter 3 for any claim or group of claims arising from one accident shall be of (150,000) one hundred and fifty .thousand Omani Riyals unless it is agreed upon a higher amount d- The maximum liability of the insurer as per paragraph 1, Clause 2 of Chapter 3 is of (10,000) ten thousand Omani Riyals for the insurance year, whatever is the recurrence of accidents, .unless it is agreed upon a higher amount within the additional privileges e- The maximum liability of the insurer as per the first aid expenses stated in Chapter 3 for any

.claim or group of claims arising from one accident is of (400) four hundred Omani Riyals :Rules of Settlement of the Treatment Expenses -14 The insurer shall pay the treatment expenses of the physical injuries occurring to others or to the insured and the like and their family members, to the hospitals and medical entities, :according to the following rules a- The hospital or the medical entity shall prepare a detailed report of the treatment made .and the actual cost thereof, supported by the necessary documents b- Upon claim of the treatment expenses, the value approved by the Ministry of Health shall .be taken in consideration c- The insurer shall, after perusing the report, provide the required amount to the hospital .or the medical entity that treated the injured d- In case the treatment was made outside the Sultanate, a proof of impossibility of the .treatment inside the Sultanate, made by the Ministry of Health, shall be submitted I reviewed the contents and table of the insurance policy and I completely agree with the conditions and obligations thereof. I also confirm that the information submitted to the .insurance company is correct :First Party :Second Party :Insurance Company :Name :Signature of the Insurer :Signature of the Insured :Time :Date
Chapter 2
Insurance against Loss and Damage
The insurer shall compensate the insured for the loss or damage occurring to the insured -1 vehicle and its accessories and spare parts present therein and considered an integral part :thereof, as a result of .a- An accident, collision or crash .b- A fire, external explosion, self-ignition or lightning .c- Natural disasters .d- A burglary or theft .e- A deliberate act caused by others The insurer shall repair the vehicle damaged by the accident and return it to its prior -2 condition before the occurrence of the accident. It shall have the right to pay the value of these damages in cash, after the consent of the insured, provided that the liability of the insurer does

not exceed the value of the damaged parts and the reasonable value for the installation of these .parts The insured may repair the damages occurring to the vehicle as a result of the accident -3 insured under this policy, if the estimated value of repair does not exceed (150) one hundred and fifty Omani Riyals. He shall not have the right to repair if the value exceeds such amount, unless with the consent of the insurer. He shall, in case of repair, provide the insurer with a detailed statement of the repair costs approved by the repairing entity in order to obtain the .repair value The insurer shall compensate the insured by the value of the vehicle in cash in case of total -4 actual or evidentiary loss. He may, with the consent of the insured, compensate the latter with .another vehicle of the same model, type and specifications The insurer shall bear the costs of the guardianship and transport of the vehicle to the nearest -5 repair shop in the place where the insured loss or damage has occurred, provided that these costs do not exceed (100) one hundred Omani Riyals, unless it is agreed upon in writing on a .bigger amount within the additional privileges set forth in Table 3 of Chapter 1 Exceptions of Chapter 2 :The insurer shall not be liable for paying any compensation for the following matters a- Financial consequential loss caused to the insured unless it is agreed upon to be covered -1 .within the additional privileges set forth in Table 3 of Chapter 1 b- Shortfall in the value of the vehicle as a result of use, wear and tear, or any mechanical or .electrical malfunction Damage occurring to the vehicle as a result of overloading or exceeding the authorised -2 number of passengers, whenever it is proved that the overload or excess in both cases caused .the accident Damage of the tires unless such damage is related to, resulting from or associated to an -3 .accident covered by this policy :Loss or damage occurring to the vehicle by accidents resulting from -4 a- The vehicle's driver, whether the insured or the like, being under the influence of alcohol .or drugs b- The use of the vehicle for purposes other than those authorised and set forth in this .policy .c- Driving the vehicle by a person not legally authorised to drive
Chapter 3
Compulsory Insurance
:The compulsory insurance shall cover the following :First: Third-party Insurance Upon the occurrence of an accident resulting from the use of the insured vehicle, the insurer shall, within the limits of his liability set forth in this policy, pay all the amounts that he is :committed to pay under the Law as compensation for the following cases a- Death or any physical injury incurred by any person including the vehicle's passengers (except the insured in person, the vehicle's driver at the time of accident and their family members

"parents, children and spouse"). The person shall be considered a passenger if he is inside the vehicle or getting inside or outside of it. The workers of the vehicle owner shall be covered by .this insurance as they are considered third parties b- Damages occurring to objects and properties outside the vehicle except those owned by the insured or the vehicle's driver at the time of accident or their family members, or the objects .kept in their custody or guardianship .c- Treatment expenses of the injuries incurred by the third parties because of the accident d- Costs and expenses of the medical entities according to the rules and limits set forth in the .policy table e- Expenses entailed by the accident, such as the vehicle's guardianship and transport to the .nearest repair shop and handing it over at the time of occurrence of the damage and loss f- The amounts ruled judicially, including compensation, judicial expenses, legal costs, such as the expert's report in case of referral to an expert, translation of the reports or the like .((attorney's fees :Second: Treatment expenses of the insured and the like and their family members This insurance shall cover the treatment expenses of the injuries incurred by the insured and the like and their family members due to the accident of the insured vehicle, within the limits of the amount set forth in the insurance policy table. The insurer shall pay these expenses to the .hospitals and medical entities according to the rules set forth in the table of this policy The insurance set forth in this Chapter, within the limits of the provisions and conditions contained therein, shall be extended to the liability of every driver of the vehicle permitted by the insured to drive the insured vehicle, provided that he complied with and implemented the .conditions of this policy and abided by it as if he is the insured himself
Chapter 4
First Aid Expenses
The insurer shall bear the expenses of emergency medical services provided by the first aid workers at the Public Authority for Civil Defence and Ambulance at a fixed amount of (400) four .hundred Omani Riyals per accident against the provision of these services
Chapter 5
General Exceptions
The insurance shall not cover loss, damage or civil liability resulting or arising from accidents -1 occurring to the insured vehicle because of or associated to, directly or indirectly, volcanoes, earthquakes, tremors, foreign invasion or attack, war acts whether the war is declared or not, civil war, strike, terrorism, unrest, disobedience, revolution, military coup, usurpation of power, confiscation, nationalisation, radioactive isotopes, atomic or nuclear bombs or any factor related .directly or indirectly to any of the above-mentioned reasons Upon determination of third-party insurance, the insurer shall not be liable for the damages - -2 of any type - resulting directly, during or because of the functioning of the insured vehicle at the workplace related to drilling, lifting, construction, agricultural or similar works unless it is agreed upon their coverage within the additional privileges. The functioning of the vehicle under this Clause shall not be considered the movement of the vehicle on the road from and to the .workplace .The insurance shall not cover the objects or cargo transported in or on the insured vehicle -3

The insurance shall not cover the consequential loss resulting from a loss caused by a risk -4 .covered by the insurance policy
Chapter 6
General Conditions
The policy and its table and annexes as well as the insurance application shall be considered -1 as a single contract and any word or expression given a special meaning in any part of the policy or the insurance application shall have the same meaning in any other place unless the context .requires otherwise The insured shall take all reasonable precautions to preserve the insured vehicle and protect -2 it from loss or damage and to keep it in a usable condition. The insurer may, at any time, .examine the insured vehicle or any part thereof In case of an accident or damage to the vehicle, the insured shall not leave the vehicle or any -3
part thereof without guardianship and without taking necessary measures to prevent further
damages. If the vehicle was driven before making the necessary repairs, any increase in the .damage or any other damage occurring to the vehicle shall be borne by the insurer a- The insurer and the insured shall not cancel Chapter 3 (Compulsory Insurance) on the -4 vehicle as long as the vehicle's licence is valid, and such cancellation, if it occurs, shall not entail any effect on others. With the exception of the case of submittal of a new insurance policy for the remaining validity period of this insurance and the ownership of the vehicle stating the name of the new insured. In such event, the insurer shall return the paid premium to the insured after deducting the part that is proportionate with the period during which the policy was valid according to the short-term insurance categories set forth in Table 4, Annex 1 of this policy, .provided that no claim was submitted during the validity period of the policy b- The insurer may cancel the provisions of Chapter 2 (Loss and Damage) of this policy in case of proof of presence of substantial and compelling causes that necessitate cancellation, such as carrying out deliberate action to obtain compensation - by means of a written notice sent to the insured by a registered letter (15) fifteen days before the date specified for cancellation, on his last known address. In such event, the insurer shall return the paid premium to the insured after deducting the part that is proportionate with the period during which the policy was valid :according to the following Insurance premium × Remaining period Insurance period The insured may cancel the provisions of Chapter 2 of this policy by means of a written notice handed over or sent to the insurer by a registered letter. In such event, the insurer shall return the paid premium to the insured after deducting the part that is proportionate to the period during which the policy was valid according to the short-term insurance categories set forth in
Table 4, Annex 1. In both cases, no claim should have been submitted during the validity period
of the policy. With the exception that if the insurance of the vehicle was made at a value higher than the actual insurance value as per the principles in force, and the obligation of the insurer is limited to the payment of the difference in compensation and the right of the insured in claiming the refund of the insurance premium shall be forfeited, provided that the insured settles the .deductible agreed upon c- If the insurance period of the vehicle expires, the vehicle owner shall remain alone liable for .any claim arising after expiry of the policy d- Without prejudice to paragraph (b) of this Clause, if the vehicle was sold before expiry of the

insurance period, the original insured and insurer shall remain liable for any claim against the vehicle. If the insurance is comprehensive, the original insurer shall remain also liable for compensating for any material damages occurring to the vehicle due to traffic accidents, according to the provisions and conditions of this policy, until the name of the new owner .reaches the vehicles' registration entity at the Royal Oman Police e- The insurance of the examination plates of the new vehicle shall expire immediately upon issuance of a new insurance policy in the name of the owner and the latter takes over his .vehicle In case of an accident that may entail a claim, the insured or his representative shall -5 immediately notify the insurer in writing and give it all the data related to him. Every declaration, notification of claim, warning or judicial papers shall be notified or handed over to .the insurer immediately upon mere receipt of the same by the insured or his representative The insured shall also immediately notify the insurer upon mere knowledge of a lawsuit being filed or investigation conducted concerning the said accident and in case of a theft or another criminal act that may entail a claim under this policy, the insured shall immediately notify the .Police and cooperate with the insurer in order to convict the perpetrator of the crime The insurer shall have the right, at any time if it deems it proper, to handle the defence and -6 proceed with a lawsuit in the name of the insured concerning any claim that the insured may be enquired about under this policy, and to settle such claim. It may also demand, in the name and in favour of the insured, all the compensations and guarantees. The insurer, in this regard, shall .have full authority to proceed with any procedures and to conciliate in any claim a- If it is proved in the police report that the liability for the accident is shared between two -7 colliding vehicles, the liability of each vehicle towards the other for the material damages shall be according to the error rate of the driver thereof. If the report does not specify such rate, the error shall be considered divided equally between them and the liability of the insurer of every vehicle shall be specified at 50% (fifty percent) for the material damages incurred by the other vehicle. The owner of the damaged vehicle shall personally bear the other half of his vehicle's damages unless the insurance is comprehensive then the insurer shall bear the compensation for this other half. The same principle applies if the liability for the accident is shared between more .than two vehicles b- The provisions of the preceding paragraph shall not apply to the physical injuries caused by the traffic accidents, as whoever is physically injured and the heirs of the deceased third party because of such accident shall have the right to receive the amount ruled judicially by virtue of a .final judgment, from the insurer(s) of all the other
vehicles sharing liability for the accident c- Physical injuries and decease of the vehicle's driver or the like or one or more of their family members. The liability of every vehicle for the physical injuries and decease shall be according to the error rate of the driver thereof. If such rate is not specified, the error shall be considered divided equally between them. Thus, if it was proved that the error is shared between two vehicles and the the rate was not specified, the error shall be considered divided between them by 50% (fifty percent) and the liability of the insurer of every vehicle shall be specified at 50% (fifty percent) for the physical injuries or decease of the driver of the other vehicle, or the like or one or more of their family members injured by the accident. The owner of the vehicle shall personally bear the other half of these injuries or decease ruled by a final judgment unless the owner of the vehicle is insured by virtue of the Personal Accidents Annex then the insurer .thereof shall pay the other half according to the provisions and limits of this Annex .The same applies if the liability for the accident is shared between more than two vehicles d- Treatment expenses of the physical injuries incurred by the insured and the like and their family members: The liability of every vehicle for these expenses shall be determined according to the error rate of the driver thereof, if such rate is not specified, the error shall be divided

equally between them and the insurer of the vehicle shall bear 50% (fifty percent) of these expenses, without exceeding the amount stated in paragraph (d), Clause 13 of the use restrictions in the table of this policy, while the insurer of the other vehicle bears 50% (fifty percent) of the total expenses. The same principle applies if the liability for the accident is .shared between more than two vehicles The insured with comprehensive insurance shall have the right to refer directly to the insurer -8 to claim compensation for the damages incurred by his vehicle as a result of an accident caused by one or more other vehicles, provided that the insurer refers, for the amount paid, to the insurance company of the causer of the accident or to the causer himself in case there is no insurance contract or in case the insurance contract does not cover this liability for any reason. In such event, the insured shall not forfeit the privilege of deduction due to him because of absence of claim and the insured shall not be obliged to pay the deductible upon using the right .of referral In case of, at the time of claim of compensation under this policy, any other insurance -9 covering the same loss, damage or liability, the insurer shall only pay a part of the value of such loss, damage, compensation, costs or expenses, equivalent to the proportion of the insurance amount or compensation under this policy, to the total insurance amount or compensation for .the same loss, damage or liability combined The commitment of the insurer to pay any amount due from it under this policy shall be -10 conditioned by the fact that the insured fully complies with the conditions of this policy, such as carrying out or abstaining from carrying out any act. This shall also be considered a fundamental condition for the commitment of the insurer towards the validity of the data and declarations issued by the insured in the insurance claim submitted by him and meeting the accidents' risks .as per Article 4 of this Chapter The insurer may refer to the insured for the value of compensation paid to the third party -11 and may refrain from paying the prescribed compensation to the insured for the damages of the vehicle under comprehensive insurance or compensation for the physical injuries incurred by the insured and the like and their family members, as well as the treatment and first aid expenses in :case the policy covers these injuries, and that in the following cases a- If it was proved that the insurance was based on false statements made by the insured or in case the latter hides essential facts that would affect the acceptance of the risk coverage, the .insurance price or conditions b- If the accident results from the use of the vehicle for a purpose other than the authorised purpose or in case the number of passengers and the weight of cargo exceeds the prescribed amount, provided that the increase in both cases was the reason of the accident, or because the .cargo was not
well tied or it exceeded the limits of the allowed width, length or height c- If the vehicle's driver is not licensed to drive such type of vehicles or in case the licence was withdrawn by virtue of an order issued by the competent authorities, or the driver was under .the effect of alcohol or drugs d- If it was proved that the accident, decease or physical injury was caused by an act committed intentionally by the insured. The right of referral to the insurer according to the provisions of this Clause and the conditions stated in this policy shall not entail any prejudice to the right of .the person damaged by the insured The lawsuits arising from the application of this policy shall not be heard after expiry of a -12 period of two years from the date of occurrence of the incident regarding which the lawsuit was filed. However, in case of hiding substantial data related to the insured risk or submitting incorrect data, the said prescription period shall start from the date of knowledge of the person of interest in filing the lawsuit of the hidden or incorrect data. The said prescription shall be ended by a registered letter or by handing over the documents related to the claim to the

.concerned insurer within the period set forth in this paragraph Royal Oman Police shall be the competent authority for the issuance of the accident planning -13 .report and the examination reports of the vehicle damaged by any accident In case of a disagreement on the invisible causes of the damages incurred by the vehicle, the latter shall be resent to the concerned agent or the Examination Department at Royal Oman Police to specify the invisible cause of the damage, if because of the accident or because of the wear and tear of the vehicle. If the damages were caused by the accident, the insurer shall bear all costs but if the damages were not resulting from the accident, the vehicle's owner shall bear the examination and repair costs. In case the agent was not able to determine the cause, the .report of the Examination Department shall prevail and shall be observed by all parties The insurer shall not have the right to postpone the settlement of the claim of the third -14 party because of the failure of the insured, liable for the accident, to pay the deductible amount .due to the insurer The depreciation fees shall not be deducted or used parts shall not be installed if the parts -15 were within the list set fort by Royal Oman Police, according to Table No. 5 of Annex 1. 16- In case of insurance of construction equipment or commercial vehicles used for drilling, construction or the like, the insurer shall offer the other insurances covering the risks to which these vehicles are exposed in case of their use at the workplace and shall obtain the consent or rejection of the vehicle's owner in writing according to Table No. 2 of Clause 2 in the insurance claim. If these vehicles are sold by instalments, the consent of the financer (mortgagee) shall be .obtained The maximum period for the repair of any damaged vehicle shall be (30) thirty days only -17 from the date of completion of the accident file. In case the said period was exceeded, the damaged person shall have the right to refer to the competent Courts directly to claim .compensation The insurer shall pay the cash compensation for the injuries and damages resulting from the -18 vehicles' accidents within a period not exceeding (14) fourteen days from the date of completion .of the accident file or from the date of issuance of the final judgment The damaged vehicle shall be repaired at the concerned agent if the period of use thereof -19 does not exceed one year from the date of first registration and shall be repaired at a workshop selected from a list of workshops approved by the Police if the period of use exceed the above- .mentioned period If the period of use of the damaged vehicle does not exceed one year, the spare parts used in -20 the repair shall all be new and original without deducting any depreciation fee. No used parts .shall be installed instead of the parts damaged by the accident :The principles of calculation of spare parts shall be as follows -21 a- If the age of the
damaged vehicle exceeds one year, the spare parts used shall be original, good and of the same type and age of the damaged vehicle and shall be valid for use without .deducting any depreciation fees on these parts b- If it was not possible to obtain used spare parts, the insurer shall provide new original spare .parts without deducting any depreciation fees c- If the insured or the damaged person wishes to install new spare parts instead of the damaged spare parts despite the availability of used spare parts, the insurer may deduct depreciation fees .on these parts d- If the insured wishes to repair his vehicle at the concerned agent and with new and original spare parts, the insurer may collect the difference between the workshop and the addition of

.the agent
The insurer who rejects the claim of compensation shall hand over to the claimant a written -22 statement of the reasons of rejection within a period not exceeding two weeks after submittal of the claim of compensation with the supporting documents. The claimant may, in such event, .refer to the competent authorities to claim compensation If the insured vehicle caused an accident that resulted into the loss or damage of vehicle(s) -23 owned by the same insured, the insurer shall only be liable for compensating the loss or damage incurred by the insured vehicle, while the insurer(s) of the other vehicles shall bear the loss or .damage in case of insurance coverage thereof by virtue of Chapter 1 If the vehicle incurs a total loss as a result of an accident and was cancelled by a decision -24 from the Police, or if it incurs losses considered as total loss "evidentiary loss", the compensation :shall be considered according to the following :First: For the comprehensive insurance The cash value of the vehicle shall be determined upon the date of purchase according to -1 the purchase invoice of the vehicle for the first time. If the said invoice is not available, an attestation shall be required from the agent for the actual cash value of the vehicle on the .first date of purchase The depreciation fees shall be calculated according to the approved depreciation table (1 -2 .and 2) of Annex No. 1 The difference between Clause (1) and Clause (2) shall be considered the insurance value -3 of the vehicle upon commencement of insurance in the years following the first year. It shall be the basis to be taken in consideration upon settlement of the compensation amount in .case of an accident As an exception to the above-mentioned rules, in case of insurance of the vehicle at more -4 than the value stipulated above, the insurer shall pay the amount agreed upon in the table .(of this policy (after taking in consideration the prescribed depreciation :Second: For the third-party insurance The insurer of the causer of the accident shall pay the market value of the vehicle or the value .thereof according to Clause 3 under (First) in Article 24 of Chapter 6, whichever is higher
Annex 1
Rules of Settlement of Claims and Depreciation Principles :Principles of Calculation of Compensation :Comprehensive Insurance and Compulsory Insurance Total Loss: The depreciation shall be calculated from the first month at the rate of 1.25% per - month and 15% at the end of the first year. The approved depreciation table shall apply to the .subsequent years according to tables 1 and 2 of this Annex Partial Loss: The depreciation shall be calculated from the first month of the beginning of the - second year at the rate of 0.8% per month and 10% at the end of the second year. The approved .depreciation table shall apply to the subsequent years according to table 3 of this Annex
Table 1
Depreciation used in the Calculation of the Total Loss of Private Vehicles

Year
Balance at the beginning of the year
Total depreciation n Balance at the end of the year 85% 15% 100% First 72% 28% 85% Second 62% 38% 72% third 52% 48% 62% Forth 47% 53% 52% Fifth 42% 58% 47% Sixth 38% 62% 42% Seventh 34% 66% 38% Eighth 31% 69% 34% Ninth 28% 72% 31% Tenth 25% 75% 28% Eleventh 23% 77% 25% Twelfth 20% 80% 23% Thirteenth Fourteenth and above 20% 80% 20%
Table 2
Depreciation used in the Calculation of the Total Loss of Commercial Vehicles year Balance at the beginning of the year Total depreciation Balance at the end of the year 85% 15% 100% First 72% 28% 85% Second 62% 38% 72% Third 52% 48% 62% Fourth 45% 55% 52% Fifth 38% 62% 45% Sixth 32% 68% 38% Seventh 27% 73% 32% Eighth 23% 77% 27% Ninth Tenth and above 20% 80% 23% Note: Proportionality shall apply relatively to the period of use during the year
Table 3
Depreciation used in the Calculation of the Partial Loss

year
Balance at the beginning of the year
End of the first

End of the second
10%
End of the
Third
15%
End of the
Forth
20%
End of the
Fifth
25%
End of the
Sixth
30%
End of the
Seventh
35%
End of the
Eighth
40%
End of the
Ninth
45%
End of the tenth and above
50%
Table 4
Table of Calculation of the Recovered Premium
The recovered premium shall be calculated for the short periods based on the deduction of the :part that is appropriate to the same according to the table below Deducted rate Periods From 1 to 10 days 10% From 11 to 30 days 20% From 31 to 60 days 30% From 61 to 90 days 40% From 91 to 120 days 50% From 121 to 150 days 60%

From 151 to 180 days
70%
From 181 to 210 days
75%
From 211 to 240 days
80%
From 241 to 270 days
85%
From 271 days to the end of the year
100%
Table 5
List of the Spare Parts to be replaced by New Parts if damaged because of a Traffic Accident, according to the Standard Specifications without deducting any Depreciation Brake master cylinders Brake wheel cylinders Brake calipers Brake cables (conduit (type Brake hoses Brake diaphragms Steering boxes Steeringracks Steering ball joints and swivels Seat belts Glass Tires Air bags
Annex 2
Personal Accidents (Optional Insurance of the Insured and the Like and their Families against (Physical Injuries and Death In implementation to the provision of paragraph (a) of Article 9 of the Vehicles Insurance Law ,concerning the coverage of the vehicle's driver and his family Below is a table of the principles and rates of compensation for physical injuries incurred by the vehicle's owner and driver and their families due to the vehicle's accident and compensation .rates based on (10,000) ten thousand Omani Riyals, whether for the male or female Compensation Rate Type of Injury S

100% Death orTotal Permanent Disability 1
2
Loss ofan individual organ in the body or loss of the utility thereof 100% 3 Loss of two paired organs of the body or one of them in case such loss entails the loss of utility of the other or in case the other organ was not present at the time of injury 100% 4 Loss ofany other paired organ not stated in this
table or loss of the utility thereof
50%
100% Loss of fingers or toes or loss of their utility 5 6 Loss of the sexual capacity or loss of reproduction capacity of men and women 100%

7
Loss of one of the senses (taste, touch, hearing (,sight, smell 100% 100% Loss of the brain functions 8 100% Loss ofall teeth 9 100% Foetus born alive then died 0 10 100% Foetus born dead 11 50% Loss ofa hand oraleg or loss of their utility 12 10% Loss ofany finger or toe or loss of their utility 13 14 Amputation of the distal phalanges of the thumb or the first toe or loss of their utility 5% 15 Amputation of the distal phalanges of the index finger or the second toe or loss of their utility 3.3% 5% Loss ofatooth 16 33.3% Deep wound not penetratingto the other side 17 66.6% Deep wound penetratingto the other side 18 33.3% Piercing wound 19 33.3% Brain Aneurysm 20 33.3% Brain wound 21 10% Wound breakinga bone not in the face 22 20% Wound breakinga bone in the face 23 15% Breakingand dislocating bones 24 5% Bone-clearing wound not in the face 25 10% Bone-clearing wound in the face 26 27 Coma: This rate shall be due if no prayer time has passed. In case a prayer time has passed, every prayers shall correspond to one fifth third of the amount (0.066%) until the compensation amount is complete and it will not be increased even if the period of comais extended 1% 28 Temporary Disability: Compensated for every week and fora period not exceeding 26 weeks in one insurance period at the rate of (one half percent) 0.5% :The injuries stated in the table above shall mean the following Deep wound: Resulting into a penetrating wound in a cavernous organ Brain Aneurysm: reaching the brain Piercing wound: Resulting into a penetrating wound in a non-cavernous organ

Brain wound: Reaching the brain
Wound breaking a bone: If it breaks a bone but does not dislocate it Wound breaking and dislocating bones: If it breaks and dislocates the bone .Bone-clearing wound: If the wound shows the bones The physical injuries stated in the injuries compensation table shall not be considered exclusive but shall be taken in consideration for all the injuries not stated therein. The rates, rules and regulations mentioned therein shall be considered as minimum limits that the excess thereof .may be agreed upon :The rules and regulations to be followed in the application of the injuries compensation table In all the cases of disability, a report issued by the treating hospital shall be taken in -1 .consideration If the injured person is left-handed, his disability degrees arising from the injuries of the left -2 .upper limb shall estimated at the same rates decided for such disability in the right limb If any organ of the body is permanently disable to perform its function, this organ shall be -3 considered lost and if such disability is partial, its rate shall be estimated according to the .disability of the organ to perform its function Upon estimating the degrees of disability, the surgery should be completely healed without -4 leaving any complications, obstacles to the movements of the remaining joints such as scars, infections, sensory complications and other. The disability degrees shall increase due to the .outcome of these complications The injured in one accident shall not combine the compensation of permanent total disability -5 and the compensation of death but can combine the compensation of more than one partial permanent disability, provided that the total liability of the insurer, in such event, does not .exceed the amount to be paid in case of death or permanent total disability If the temporary disability becomes - within (6) six months from the date of issuance of the -6 final medical report - a permanent disability or leads to the death of the injured as a result of the same physical injury, the compensation of the permanent disability or death shall be .reduced by the total amount paid to the injured for such temporary disability The insured, the vehicle's driver and their families shall not be entitled to obtain any -7 compensation for the death of any of them or other physical injury resulting, directly or indirectly, totally or partially, from the suicide of the insured or the vehicle's driver, their attempt of suicide, being under the effect of alcohol or drugs, not holding a driving licence for the type of vehicle, if the number of passengers exceeds the authorised limit or if the cargo exceeds the authorised limit and either of them caused the accident, without prejudice to the compensation due to the persons damaged by others for the same accident or to the right of the .insurer to refer to the causer of the accident The total liability of the insurer towards the passengers for one accident according to the -8 provisions of the
injuries table for any insurance period of the vehicle, shall not exceed the result of multiplication of the number of passengers, according to the authorised capacity per .vehicle, with the amount specified in the injuries table
Annex 3
Rules of No Claims Discount
The discount rate due to the insured upon coverage of comprehensive insurance and third-party insurance as a result of no claims, shall be specified at 5% (five percent) of the insurance

premium according to the period(s) specified in the table of no claims discount of the :comprehensive insurance and third-party insurance, according to the following rules In case of continuity of the insurance contract with the same insurer, the discount rules shall -1 apply based on the insurance premium of the first year, while taking in consideration the minimum limit of the comprehensive insurance and third-party insurance premium in force at .the insurer In case of conversion to another insurer, the discount rules shall apply based on the insurance -2 premium in force at the new insurer at the time of conclusion of the policy, taking in consideration the minimum limit of the comprehensive insurance and third-party insurance .premium in force at the new insurer The right of the insured to receive the cumulative no claims discount shall remain valid in case -3 of change of the type of insurance coverage from comprehensive insurance to third-party .insurance and vice-versa .The insurer and the insured may agree upon longer periods or bigger discount rates -4 The insured shall have the right to request a no claims discount certificate from the current -5 .insurer in case of conversion to another insurer In case the insured has an accident during his insurance period, he shall be deprived from -6 .obtaining the discount rates stated in the table below Year Rate Beginning of the second year 5% Beginning of the third year 10% Beginning of the fourth year 15% Beginning of the fifth year 20% Beginning of the sixth year 25% Beginning of the seventh year 30% Beginning of the eighth year 35% Beginning of the ninth yearand above 40%