{
  "id": "clause-dic-dil",
  "type": "clause",
  "languages": {
    "en": {
      "id": "clause-dic-dil",
      "lang": "en",
      "type": "clause",
      "title": "Difference in Conditions / Difference in Limits (DIC/DIL) Clause",
      "shortDefinition": "The DIC/DIL clause extends an existing local policy under a Controlled Master Program with the broader conditions (DIC) or higher limits (DIL) of the master policy where the local policy does not respond, or does not fully respond, to a loss.",
      "synonyms": [
        "Difference in Conditions Clause",
        "Difference in Limits Clause"
      ],
      "linesOfBusiness": [
        "International programmes"
      ],
      "jurisdictions": [
        "Global"
      ],
      "tags": [
        "International programmes"
      ],
      "relations": {
        "relatedTerms": [
          "term-bedingungsdifferenzdeckung"
        ],
        "partOf": [],
        "appliesTo": [
          "cov-property-all-risks",
          "cov-betriebshaftpflicht"
        ],
        "regulatedBy": [],
        "relevantFor": [],
        "insurableVia": [],
        "mitigatedBy": [],
        "comprises": [],
        "alternativeTo": [],
        "complementedBy": []
      },
      "attribute": null,
      "profile": null,
      "coverageProfile": null,
      "clause": {
        "kind": "extension",
        "origin": "international-programme",
        "favours": "insured",
        "negotiability": "negotiable",
        "standardWordings": []
      },
      "legalBasis": [],
      "standards": [],
      "reviewStatus": "expert-reviewed",
      "reviewedBy": "Guido Hesse, Hesse Group Holding AG",
      "lastReviewed": "2026-09-04",
      "version": "0.1.0",
      "updated": "2026-09-03",
      "generated": {
        "by": "cursor-agent/claude-sonnet-5",
        "at": "2026-09-03T00:00:00.000Z"
      },
      "verified": [
        {
          "by": "human:ghesse",
          "at": "2026-09-04T00:00:00.000Z",
          "method": null
        }
      ],
      "staleAfter": null,
      "url": "https://hgh.ch/lexikon/en/knowledge/clause/difference-in-conditions-difference-in-limits-dic-dil-clause/",
      "alternateUrl": "https://hgh.ch/lexikon/de/wissen/klausel/differenzdeckung-dic-dil/",
      "body": "## Purpose\n\nIn a Controlled Master Program, locally admitted policies exist alongside the master policy, and their conditions and limits differ from country to country. The DIC/DIL clause bridges these differences: if the local policy does not respond to a loss because it does not cover the event (difference in conditions), the master policy's broader cover steps in; if the local limits are exhausted, the master policy provides additional limits (difference in limits).\n\n## Effect and limits\n\nThe clause necessarily requires that a local policy actually exists — in countries where non-admitted insurance is not permitted and no local policy is in place, it cannot operate; FINC clauses are designed for that scenario. Even where a local policy exists, local regulations can delay or restrict payment under the DIC/DIL clause, for example where cross-border remittances require prior approval.\n\n## Negotiation and practice\n\nWhen designing a programme, it must be clarified whether the DIC/DIL clause applies automatically to every loss or requires separate notification and review, and how it interacts with the difference-in-conditions concept familiar from German and Swiss market practice. Coordination with the participating local insurers is also essential, since the master policy can only respond if it receives the relevant loss information from the affected country in a timely manner."
    },
    "de": {
      "id": "clause-dic-dil",
      "lang": "de",
      "type": "clause",
      "title": "Differenzdeckung (DIC/DIL)",
      "shortDefinition": "Die DIC/DIL-Klausel erweitert im Rahmen eines Controlled Master Program eine bestehende lokale Police um die weitergehenden Bedingungen (DIC) oder höheren Limiten (DIL) der Masterpolice, sofern die lokale Police einen Schaden nicht oder nicht vollständig deckt.",
      "synonyms": [
        "DIC/DIL-Klausel",
        "Difference in Conditions",
        "Difference in Limits"
      ],
      "linesOfBusiness": [
        "Internationale Programme"
      ],
      "jurisdictions": [
        "Global"
      ],
      "tags": [
        "Internationale Programme"
      ],
      "relations": {
        "relatedTerms": [
          "term-bedingungsdifferenzdeckung"
        ],
        "partOf": [],
        "appliesTo": [
          "cov-property-all-risks",
          "cov-betriebshaftpflicht"
        ],
        "regulatedBy": [],
        "relevantFor": [],
        "insurableVia": [],
        "mitigatedBy": [],
        "comprises": [],
        "alternativeTo": [],
        "complementedBy": []
      },
      "attribute": null,
      "profile": null,
      "coverageProfile": null,
      "clause": {
        "kind": "extension",
        "origin": "international-programme",
        "favours": "insured",
        "negotiability": "negotiable",
        "standardWordings": []
      },
      "legalBasis": [],
      "standards": [],
      "reviewStatus": "expert-reviewed",
      "reviewedBy": "Guido Hesse, Hesse Group Holding AG",
      "lastReviewed": "2026-09-04",
      "version": "0.1.0",
      "updated": "2026-09-03",
      "generated": {
        "by": "cursor-agent/claude-sonnet-5",
        "at": "2026-09-03T00:00:00.000Z"
      },
      "verified": [
        {
          "by": "human:ghesse",
          "at": "2026-09-04T00:00:00.000Z",
          "method": null
        }
      ],
      "staleAfter": null,
      "url": "https://hgh.ch/lexikon/de/wissen/klausel/differenzdeckung-dic-dil/",
      "alternateUrl": "https://hgh.ch/lexikon/en/knowledge/clause/difference-in-conditions-difference-in-limits-dic-dil-clause/",
      "body": "## Zweck\n\nIn einem Controlled Master Program bestehen neben der Masterpolice lokal admittierte Policen, deren Bedingungen und Limiten von Land zu Land abweichen. Die DIC/DIL-Klausel gleicht diese Abweichungen aus: Reagiert die lokale Police auf einen Schaden nicht, weil sie das Ereignis nicht deckt (Difference in Conditions), springt die weitere Deckung der Masterpolice ein; sind die lokalen Limiten ausgeschöpft, stellt die Masterpolice zusätzliche Limiten zur Verfügung (Difference in Limits).\n\n## Wirkung und Grenzen\n\nDie Klausel setzt zwingend voraus, dass überhaupt eine lokale Police besteht – in Ländern ohne zulässige Non-Admitted-Deckung und ohne lokale Police kann sie nicht greifen; dafür sind FINC-Klauseln vorgesehen. Auch wo eine lokale Police vorhanden ist, können lokale Vorschriften die Auszahlung unter der DIC/DIL-Klausel verzögern oder einschränken, etwa wenn Zahlungen aus dem Ausland genehmigungspflichtig sind.\n\n## Verhandlung und Praxis\n\nBei der Programmgestaltung ist zu klären, ob die DIC/DIL-Klausel automatisch bei jedem Schaden greift oder ob sie eine gesonderte Meldung und Prüfung voraussetzt, und wie sie mit einem in Deutschland und der Schweiz vertraut bekannten Konzept der Bedingungsdifferenzdeckung zusammenwirkt. Wichtig ist zudem die Abstimmung mit den beteiligten lokalen Versicherern, da die Masterpolice nur reagieren kann, wenn ihr die relevanten Schadeninformationen aus dem betroffenen Land zeitnah vorliegen."
    }
  }
}