57.3 Consequences
57.3.1 If the requirements of Clause 57.2 above are satisfied, but the Parties cannot agree as to how to manage the risk, then:
(a) in respect of such third party liability insurance only129, the Authority shall (at the Authority's option) either pay to the Contractor an amount equal to the amount calculated in accordance with Part 5 (Compensation on Termination for Force Majeure and Uninsurability) of Schedule 17 (Compensation on Termination) and the Contract will terminate or elect to allow the Contract to continue and Clause 57.3.1(b)) below shall thereafter apply in respect of such risk; and
(b) in respect of [contractors' all risks insurance, property damage insurance, third party liability insurance (if the Authority elects to allow the Contract to continue in accordance with Clause 57.3.1(a)) delay in start up and business interruption insurance (but not loss of profits) or statutory insurances] the Contract shall continue and on the occurrence of the risk (but only for as long as such risk remains Uninsurable) the Authority shall (at the Authority's option) either pay to the Contractor an amount equal to insurance proceeds that would have been payable had the relevant insurance continued to be available and this Contract will continue, or an amount equal to the amount calculated in accordance with Part 5 (Compensation on Termination for Force Majeure and Uninsurability) of Schedule 17 (Compensation on Termination) plus (in relation to third party liability insurance only) the amount of insurance proceeds that would have been payable to the Contractor whereupon the Contract will terminate; and
(c) where pursuant to Clauses 57.3.1(a) and 57.3.1(b) this Contract continues, then the Unitary Charge shall be reduced in each Contract Year for which the relevant insurance is not maintained, by an amount equal to the premium paid by the Contractor in respect of the relevant risk in the Contract Year prior to it becoming Uninsurable (Indexed from the date that the risk becomes Uninsurable). Where the risk is Uninsurable for part of a Contract Year only the reduction in the Unitary Charge shall be pro rated to the number of Months for which the risk was Uninsurable; and
(d) where pursuant to Clause 57.3.1(a) and/or 57.3.1(b) this Contract continues the Contractor shall approach the insurance market at least every four (4) Months to establish whether the risk remains Uninsurable. As soon as the Contractor is aware that the risk is no longer Uninsurable, the Contractor shall take out and maintain or procure the taking out and maintenance of insurance (to be incepted as soon as is reasonably practicable) for such risk in accordance with this Contract.130
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129 It may be appropriate to extend to environmental impairment insurance following specialist insurance advice and agreement with WIDP.
130 Additional Clauses [57.3.1 (e)] and [57.3.1 (f)] may be added at the Authority's discretion as follows:
■ [57.3.1 (e)] In respect of any period between the Authority receiving notification in accordance with Clause 57.2.1
■ [57.3.1 (f)] Clause [57.3.1 e)] shall only apply provided the Contractor does not unreasonably materially delay (a) agreement and/or determination in accordance with the Dispute Resolution Procedure as to whether the requirements of Clause 57.2.2
■ TPL Risk should be defined as 'a risk which is required to be insured under the third party liability insurance policy'.