Insurance Hold Harmless Agreement Template for Indonesia

The Insurance Hold Harmless Agreement serves as a critical risk management tool in Indonesian commercial relationships where parties seek to clearly define and allocate risks while ensuring adequate insurance coverage. This document is typically used when one party wishes to protect itself from potential liabilities arising from the other party's activities or when complex commercial relationships require clear risk allocation supported by insurance. The agreement must comply with Indonesian legal requirements, including Law No. 40 of 2014 on Insurance and OJK regulations, making it particularly important to structure the agreement in accordance with local insurance laws and regulatory requirements. It includes detailed provisions on insurance coverage requirements, claim procedures, and indemnification obligations, while ensuring alignment with Indonesian regulatory frameworks and market practices.

1. Parties: Identifies and defines the parties to the agreement, including the indemnitor (party providing indemnification) and indemnitee (protected party)

2. Background: Sets out the context and purpose of the agreement, including the relationship between the parties and the general scope of activities covered

3. Definitions: Defines key terms used throughout the agreement, including specific insurance-related terminology

4. Scope of Indemnification: Details the specific risks, losses, and liabilities covered by the indemnification

5. Insurance Requirements: Specifies the types and amounts of insurance coverage required, including minimum coverage limits and insurance provider requirements

6. Duration and Termination: Establishes the term of the agreement and conditions for termination

7. Notice Requirements: Outlines procedures for providing notice of claims, changes in insurance coverage, or other significant events

8. Claims Procedures: Describes the process for making and handling claims under the agreement

9. Representations and Warranties: States the parties' assertions regarding their authority, insurance coverage, and other material facts

10. Governing Law and Jurisdiction: Specifies Indonesian law as governing law and establishes jurisdiction for dispute resolution