5.  INSURANCE

5.1.  The Consultant hereby covenants with the Authority to:

5.1.1.  take out and maintain Professional Indemnity insurance cover with a limit of indemnity that shall be a minimum of ten million pounds (£10,000,000) either each and every loss or in the aggregate in relation to the Works (if in the aggregate then in any one (1) year of insurance a minimum of one (1) automatic reinstatement of the aggregate indemnity limit is required) and that it will maintain such insurance with reputable insurers carrying on business in the European Union from the date hereof until twelve (12) years after practical completion of the Works, provided that such insurance is generally available in the market to members of the Consultant's profession at commercially reasonable rates and provided further that payment of any increased or additional premiums required by insurers by reason of the Consultant's own claims record or other acts, omissions, matters or things peculiar to the Consultant will be deemed to be within the reasonable rates;

5.1.2.  provide evidence (as and when reasonably required by the Authority) satisfactory to the Authority of the Professional Indemnity insurance referred to in clause 5.1.1 being in full force and effect from the date of the Appointment (such evidence to include details of the cover);

5.1.3.  provide the Authority with notice of:

(a)  any cancellation of the Professional Indemnity insurance referred to in clause 5.1.1 not less than thirty (30) days prior to the relevant cancellation date; and

(b)  any adverse material changes to or suspension of cover relevant to the Works not less than thirty (30) days prior to the relevant change or suspension;

5.1.4.  inform the Authority as soon as reasonably practicable of any claim under the Professional Indemnity insurance referred to in clause 5.1.1 in respect of the Works in excess of one million pounds (£1,000,000) and provide such information to the Authority as the Authority may reasonably require in relation to such claim and provide notice of any potential breach of the aggregate limit of the policy; and

5.1.5.  indemnify the Authority in respect of any subrogation claim by the insurers brought in connection with any claim made under the Professional Indemnity insurance referred to in clause 5.1.1.