first advised clause

Used in the 1960s in certain global slip excess-of-loss reinsurance treaties written by underwriters participating in the Lloyd's of London marketplace, the clause provided as follows.

On This Page

Additional Information

This Contract does not cover any claim or claims arising from a common cause, which are not first advised during the period of this Contract. It is part of a larger common cause coverage meant to allow the cedent to cumulate losses ("occurrences") and cede them to the excess-of-loss treaty when the individual losses all arise out of a larger common cause (occurrences during the term of the contract that are the "probable common cause or causes" of more than one claim).