Regarding insurance coverage
We are executing one turnkey project for ONGC , wherein we have to deliver material at their NHAVA base at Mumbai from there ONGC will take the material to the respective off shore RIG . Once the material reaches to their RIG our job is to install & commission these supplied systems .
ONGC wants us to insure the material supplied to them till installation & commissioning activity is completed . The insurance clause written in the contract is as below:
" Contractor shall , at his own expenses, arrange appropriate insurance to cover all risks assumed by the Contractor under this contract in respect of its personnel deputed under this contract as well as Contractors equipment , tools and any other belongings of the contractor or their personnel during entire period of their engagement in connection with this contract. ONGC will have no liability on this account." However , Contractor shall not be required to take insurance cover for their equipment , tools when these are in the custody of ONGC "
Kindly advise on the matter.