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NIA shall:

a) hold Contractor harmless from all liability for damages or destruction of the Works or any property in the Philippines whether owned by NIA or third parties, and for injury or loss of life caused, directly or indirectly, by declared or undeclared war, invasions, rebellion, insurrection, military or usurped power in the Philippines, hereinafter referred to as "Special Risks" and
b) compensate Contractor when occasioned directly or indirectly by said Special Risks for: 

(i) legitimate cost and expenses, and 

(ii) loss or damages to property of Contractor at the Site, including that in transit within the Philippines to the Site.