Article 5.3

(Cause-based aggregation)

(1)  Where the parties agree on a cause-based aggregation in a contract reinsuring first-party insurance policies, all losses that occur as the direct consequence of one or multiple events within the meaning of Article 5.2(1) shall be considered as arising out of one common cause if it was reasonably foreseeable that a cause of this kind could give rise to such an event.

(2)  Where the parties agree on a cause-based aggregation in a contract reinsuring third-party liability insurance policies, all losses that occur as the direct consequence of one or multiple events within the meaning of Article 5.2(2) shall be considered as arising out of one common cause if it was reasonably foreseeable that a cause of this kind could give rise to such an event.