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The liabilities in respect of which a member is insured by the club must have arisen by reason of the member’s interest in the ship, out of events occurring during the period of the ship’s entry in the club and in connection with the operation of the ship.
Under a charterer’s entry, a member is entitled to recover for his liability to indemnify another person in respect of the risks set out in rule 3.
Where such liabilities would not have arisen but for the terms of any contract or indemnity, the contract or indemnity must either correspond to any specific requirements set out in rule 3 or rule 5, or have been approved by the managers.
A member’s insurance is subject to the warranties, conditions, exceptions, limitations and other terms set out in the rules and the certificate of entry.
A member is not insured for any liabilities incurred by him in a capacity other than that in which he has entered into the contract of insurance with the club.