corporate travel insurance product disclosure statement and policy

Transcription

1 corporate travel insurance product disclosure statement and policy

2 Supplementary Product Disclosure Statement This Supplementary Product Disclosure Statement (Supplementary PDS) is dated 30 April 2008 and will apply to policies taken out, or with a renewal effective date, on or after 30 April The information in this Supplementary PDS updates and should be read with the last Product Disclosure Statement you received for the policy specified in your policy schedule (PDS) and any other applicable Supplementary PDS. Changes to your PDS The Corporations Act 2001 now requires the terms and conditions of an insurance policy (that are not part of the policy schedule) to be in the PDS for that policy. This Supplementary PDS amends your PDS to meet this requirement. Your PDS booklet contains your policy terms and conditions or policy wording in a separate section or part or under a separate heading. The PDS is amended, and should now be read so that the policy terms and conditions or policy wording, that is included in your PDS booklet, is part of the PDS. Any statement in your PDS to the effect that the policy terms or conditions, or policy wording, is not part of the PDS, is deleted. If you have any questions, or would like another copy of the PDS, please contact your business advisor or call us on the contact telephone number on your schedule.

3 Welcome to the security of CGU Insurance This booklet is important Product Disclosure Statement This Product Disclosure Statement (PDS) contains important information required under the Financial Services Reform Act To assist you locate specific items, a table of contents is provided on pages 7, 8 and 9 of this booklet. Introduction Who is the insurer CGU Insurance Limited is the insurer. Our Australian Business Number is Our Australian Financial Services Licence Number is In this policy the insurer is called we, us or our. How to contact us You may contact us by any of the following ways: In person at any CGU Insurance office. By telephone on By writing to us at CGU Insurance, GPO Box 9902 in your capital city. By on our website 1

4 The purpose of this PDS This PDS has been prepared to assist you in understanding the insurance policy and making an informed choice about your insurance requirements. This PDS sets out the significant features of the insurance policy including its benefits, risks and information about how the insurance premium is calculated. You still need to read the policy wording which commences on page 7 for a full description of the terms, conditions and limitations of the insurance policy. General Insurance Code of Practice CGU Insurance proudly supports the General Insurance Code of Practice. The purpose of the Code is to raise the standards of practice and service in the general insurance industry. Details about the Code are shown in the policy wording under General Insurance Code of Practice on page 13. Brochures on the Code are available from your nearest CGU Insurance office. Your cooling-off period We will refund all premium paid for cover under the insurance policy if you request cancellation of the insurance policy within 21 days of its commencement, provided that no journeys have started and nothing has occurred for which a claim is payable. To do this, you must advise us in writing and return the policy schedule to your nearest CGU Insurance office. You will not receive a refund if you have made a claim under the insurance policy. Details about the cooling-off period are shown in the policy wording under Money Back Guarantee on page 13. What to do if you have a dispute If you have a concern about the insurance policy, our decision on your claim, our service or the service of our authorised representatives, loss adjusters or investigators, you may access our internal dispute resolution process. To do so, please contact your nearest CGU Insurance office. In the event we are unable to resolve your concern through our internal dispute resolution process, you are entitled to seek an external review of our decision. We will provide you with information about option(s) available to you, including, if appropriate, referring you to the external dispute resolution scheme administered by the Financial Ombudsman Service Limited (FOS). Further information about our complaint and dispute resolution procedures is available by contacting us. Your privacy We treat your personal information with care. We will not release your personal information to anyone else other than another insurer, an insurance reference service or as permitted or required by law. In the event of a claim, we may disclose information to and/or collect additional information about you from investigators or legal advisers. Details about your privacy are shown in the policy wording under The way we handle your personal information on page 48. Your duty of disclosure We rely upon the information you provide to us when you apply for insurance and when you renew, change or reinstate your policy. You must tell us anything that you know, or should know, that could affect our decision to insure you and/or the terms on which we insure you. Details about disclosure information are shown in the policy wording under What you need to tell us on page

5 How to apply for insurance Complete our application form. If we accept your application for insurance, you will receive a schedule that sets out the details of the insurance you have taken out. How to make a claim To make a claim, please contact your nearest CGU Insurance office, or call when something happens that you believe you can claim for. Details about making a claim are shown in the policy wording under How to make a claim on page 49 and You give us your rights to claim from anyone else on page 49. Taxation information CGU Insurance shows all applicable taxes and charges as separate items on all schedules (e.g. stamp duty and the Goods and Services Tax). Details about the Goods and Services Tax are shown in the policy wording under How the Goods and Services Tax affects your claim on page 47. Significant features and benefits This policy includes access to our 24-hour worldwide emergency assistance network. Subject to the terms of this policy, cover is also provided for: Overseas medical, dental and additional expenses. Cancellation of your journey. Luggage and travel documents. Accidental death, disability and loss of income. Liability. Exclusions Our insurance is designed to provide protection for you in the event of something happening which has been insured against. Under some circumstances, this policy will not provide any insurance cover to you. For example, we do not pay for: Your failure to make reasonable efforts to safeguard your property, to avoid accidental injury or to minimise your loss. Nervous anxiety, depression or stress related disorders resulting in a disinclination to travel. This lists some of the events that are not covered by this insurance. For full details of all relevant policy exclusions, you should read the policy wording and make yourself aware of all the exclusions that apply. In the policy wording we show when cover is not provided. Events that we will not pay for include: Overseas medical, dental and additional expenses as shown on page 32. Cancellation of the journey as shown on page 33. Luggage and travel documents as shown on pages 35 and 36. Liability as shown on page 38. It is important that you are aware of these exclusions and so you should read them. There are some things that you must do in order for your insurance cover to apply. For example, you must pay the premium. In the policy wording we show what you need to do under What you are required to do for us on page

6 Significant risks Policy limits Limits do apply to some items. For example, we will pay up to $2000 for dental expenses. You should read the policy wording so that you are aware of limits that may be applicable to you. Disclosure You have certain disclosure obligations that you need to comply with. Failure to comply with these obligations may have consequences in terms of both your insurance cover or in the event that you make a claim. Your disclosure obligations and the consequences of not complying with these obligations are outlined in the policy wording under What you need to tell us on page 14 and What will happen if you do not tell us on page 14. Excess If you make a claim under the policy, you may be required to pay an excess. Details of this excess and the circumstances in which it is applied are shown in the policy wording under Excess on page 17 and the amount of the excess will be shown on your schedule. At the time of your enquiry or application for corporate travel insurance, the amount of each excess will be advised to you. Costs The premium payable by you is shown on your schedule. The key factors that influence the premium calculation are reflected in the questions asked, and information sought, at the time of your enquiry or application for corporate travel insurance. These can include factors relating to the estimated number of employees to be covered, the level of cover, the estimated number of journeys and the expected destinations (international or domestic). Premiums are subject to Commonwealth and State taxes and/or charges. These may include the Goods and Services Tax and stamp duty. The amount of these taxes and/or charges will be shown on your schedule. Table of Contents Schedule of Benefits 10 Corporate Travel Insurance Policy 12 CGU Insurance Triple Guarantee 12 General Insurance Code of Practice 13 Your Policy What you need to tell us 14 What you do not need to tell us 14 What will happen if you do not tell us 14 When you are insured 15 Who is insured under this policy 15 Who is the insurer 15 Words that have a special meaning 16 Things you should know 21 Section 1 Personal Accident What we will pay for 23 Conditions 23 Table of Cover 25 Section 2 Medical, Dental and Additional Expenses What we will pay for - Medical and Dental Expenses 27 What we will pay for - Additional Emergency Expenses 27 What we will pay for - Additional Expenses 29 What we will not pay for under medical, dental, additional and emergency expenses

7 Section 3 Cancellation What we will pay for 33 What we will not pay for 33 Section 4 Luggage and Travel Documents What we will pay for 34 What we will not pay for 35 Section 5 Money What we will pay for 37 What we will not pay for 37 How the Goods and Services Tax affects your claim 47 The law that applies to this policy 48 The way we handle your personal information 48 How to make a claim What you must do when you make a claim 49 What you must not do when you make a claim 49 You give us your rights to claim form anyone else 49 Our service commitment 50 Index 51 Section 6 Personal Liability What we will pay for 38 What we will not pay for 38 Section 7 Hire Car Excess What we will pay for 39 What we will not pay for 39 Section 8 Extra Territorial Workers Compensation What we will pay for 40 What we will not pay for 41 Conditions 42 What we will not pay for under any section of this policy 43 Important Information You cannot give your rights away 46 What you are required to do for us 46 Cancelling your policy before the due date 46 Return of premium if your policy is cancelled before the due date

8 Schedule of Benefits Category: A All employees of the insured. B Accompanying spouse of Directors Coverage: Benefit Personal Accident Australia and International Limits of Cover (Refer Policy Sections for sub-limits) A B Death $500,000 $500,000 Total or partial disablement $250,000 $250,000 (as per table (as per table of cover) of cover) Temporary total $1,500 No Cover disablement from per week accident (104 weeks) Medical and Additional Emergency Expenses Overseas Medical and Unlimited Unlimited Emergency Expenses (any one insured person) Cash in hospital $100 per day and No Cover (any one insured person) $6,000 in total Luggage and Travel Documents Luggage and travel $15,000 $15,000 documents (item limits (item limits apply) apply) Money Money & Negotiable $2000 No cover Documents (any one loss) Personal Liability Personal Liability $5,000,000 $5,000,000 (any one loss) Hire Car Excess Hire Car Excess Waiver $5,000 $5,000 Extra Territorial Workers Compensation Limits Total: $1,000,000 No Cover Weekly: $1,000 No Cover Excess Policy Excess: $200 any one loss $200 any one or event loss or event *Benefits will be reduced by any losses covered under any other insurance policy or scheme, or superannuation fund benefit. Hijack (any one insured person) $1,000 per day and No Cover $10,000 in total Replacement Executive $10,000 No Cover Kidnap and Ransom $500,000 $500,000 (any one insured person) Wrongful arrest (any one $10,000 $10,000 insured person) and in total Missed connection Reasonable No cover expenses Cancellation Cancellation (any one $50,000 $50,000 insured person) 10 11

9 Corporate Travel Insurance Policy Please read this policy before you apply for insurance. The policy sets out the terms, conditions and limits that apply for the insurance we offer to you. If we accept your application for insurance, you will receive a schedule that sets out the details of the insurance you have taken out. Our agreement with you is made up of your application, this insurance policy, the schedule and endorsements we send to you. Endorsements are notices we sent to confirm any change to your insurance. Keep this insurance policy in a safe place. You may want to refer to it from time to time. We recommend that you keep receipts for major items you purchase. If you need more information on this insurance policy, please contact your insurance adviser. We are happy to give you personal attention and service in relation to this, or any other insurance enquiry. CGU Insurance Triple Guarantee Our triple guarantee assures you of quality insurance and service at all times. Service Guarantee Money Back Guarantee You have twenty-one days after you receive your numbered policy schedule to be sure you have the cover you require. If it is not the cover you require, you can cancel the policy. To do this, you must advise us in writing and return the schedule and policy booklet to your nearest CGU Insurance office. You will receive a full refund of the premium paid, providing no journeys have been started and nothing has occurred for which a claim is payable under the policy. General Insurance Code of Practice CGU Insurance proudly supports the General Insurance Code of Practice. The purpose of the Code is to raise the standards of practice and service in the general insurance industry. The Code aims to improve: The quality, comprehension and accuracy of policy documents and other information provided to consumers. Employee and representative training and supervision. Claims handling and dispute resolution. Brochures on the Code are available from your nearest CGU Insurance office. We will provide you with the highest standards of service. Fair Dealing Guarantee We will meet any claims covered by your policy fairly and promptly

10 What you need to tell us You must tell us anything that you know, or should know, that could affect our decision to insure you and/or the terms on which we insure you. You must do this when you apply for a policy, renew your policy or when you change or reinstate your policy. When we ask you specific questions, you must answer these questions truthfully and in a way that a reasonable person in the circumstances would answer them. It is important that every person who will be insured by the policy answers all questions in this way. These requirements are part of the Insurance Contracts Act What you do not need to tell us You do not need to tell us anything that: Your policy Reduces our risk. Is of common knowledge. We know, or as an insurer should know. We indicate that we do not want to know. What will happen if you do not tell us If you withhold relevant information or you do not answer our questions in the way we have described, we can reduce the amount we pay you for your claim, or we can cancel your policy. If your failure to tell us is fraudulent, or your answers are untruthful, we can treat your policy as if it never existed. When you are insured Your insurance begins when we accept your application. The commencement date of your insurance will be shown on the schedule. The insurance applies for the period for which you have paid us (or agreed to pay us) the premium. You may pay your premium by cash, cheque or credit card. If your cheque or credit card is dishonoured by your financial institution, you are not insured. Who is insured under this policy The names of the people who are insured by this policy are set out in the policy schedule. The person whose name is set out in the policy schedule as the insured is the person who takes out the policy and to whom any benefits of the policy are to be paid. In this policy, this person is referred to as you or your. Any person who is employed by you, who is travelling on company business is the insured person. In this policy, these people are referred to as the insured person. Where cover is specified in the policy schedule it includes the partner of the employee and dependant children up to the age of 21 years. Who is the insurer CGU Insurance Limited is the insurer. Our Australian Business Number is Our Australian Financial Services License Number is In this policy, the insurer is called we, us, our

11 Words that have a special meaning In this policy there are words that have a special meaning. These words are listed below. Accidental Injury This is an injury that occurs unexpectedly, but does not include a sickness or disease. Business Partner This is a person who is in a legal, commercial partnership with you in Australia. A business partner must be a permanent resident of, and living in Australia. Dental Expenses These are costs the insured person incurs for emergency dental treatment. Dental Treatment This is emergency treatment of teeth or gums to stop sudden pain. This does not include normal or ongoing care of teeth. Dentist This is a general practitioner with the qualifications required to practise dentistry. Disablement/disabled For the insured person, or their travelling companion, this means a serious accident or illness which requires immediate medical treatment or dental treatment by a doctor or a dentist. For a relative or business partner, it means a life threatening accident or illness. Doctor This is a general practitioner registered to practise medicine. Excess This is the amount of money you will pay if you have a claim. We will reduce the amount we pay you for your claim by the excess. Your excess will apply for each separate identifiable event. Illness This means an unforeseen sickness or disease first manifesting itself during the journey. Injury This means bodily injury caused solely and directly by accidental, external, violent, visible and physical means resulting in any of the events specified in the table of cover. Insolvency This means the financial inability to pay debts, including bankruptcy, liquidation, provisional liquidation, statutory protection, appointment of a receiver, or the happening of anything of a similar nature. Journey/Period of Journey This means a period of up to 90 consecutive days commencing from the time the insured person leaves his or her home or usual place of business in Australia, and ends when the insured person returns to his or her home or usual place of business in Australia. The definition of journey is extended to include leisure travel provided that the leisure travel is part of and continuous with the business journey. Kidnapping This means the seizing, detaining or carrying away of the insured person by force or fraud for the purpose of demanding ransom monies

12 Luggage These are the personal items taken by the insured person on the journey. These include items of clothing, personal jewellery, photographic and video equipment, hearing aids, purchases made overseas, and business effects to be used on the journey. They do not include mechanical or machine parts, items for sale, or cargo taken or purchased overseas. Luggage left unsupervised This means, luggage left: With a person other than the insured person s travelling companion, or In a position where it remains unobserved for sufficient time for it to be removed without the insured person s knowledge, or At a distance which creates an opportunity for it to be taken without reasonable chance for the insured person apprehending or identifying the thief. Medical Expenses These are costs the insured person incurs for medical treatment. Medical Treatment This includes, but is not limited to, medical and surgical care, hospitalisation, medication, physiotherapy, special diet or exercise programs, ongoing assessment or diagnostic investigations. Partial Disablement This means an illness or injury, which prevents the insured person from carrying out his or her normal duties. Period of Insurance This is the period stated in the policy schedule or any renewal certificate provided thereafter. 18 Permanent This means lasting 12 calendar months and at the expiry of that period being beyond hope of improvement. Pre-existing medical condition This is an ongoing medical or dental condition, or any complication directly or indirectly related to that medical or dental condition, and: Diagnosed or documented as a medical or dental condition, or A medical or dental condition which has received medical treatment or dental treatment by a doctor or dentist: During the 30 days (or 90 days for persons 70 years of age or over) immediately before the start of the period of insurance, or During the period of insurance on the original policy certificate of insurance, if the policy is an extension or replacement of the original policy. Note: This definition applies to any person including you, your relatives, travelling companions, or business partners. Cover for preexisting medical conditions is additional to the basic policy cover and is only available for the pre-existing medical conditions of persons insured under this policy. You cannot apply for cover for the pre-existing medical conditions of any other person. You cannot obtain cover for the pre-existing medical conditions if you are not a permanent Australian resident. You must apply for, and receive, our confirmation of approval before this additional cover is included. Ransom Monies This means any monetary loss, which you incur in the event that services or property may have to be delivered to secure release of an insured person following the kidnapping of the insured person. 19

13 Reasonable This means: For medical and dental expenses, that the care obtained should be at the standard level given in the country the insured person is in, and must not exceed the level of care you would normally receive in Australia. For all other expenses, such as transport, meals and accommodation, that the standard must not be better than the level you booked for the rest of your journey. Relative This is a spouse, parent, step-parent, parent-in-law, grandparent, child, stepchild, grandchild, brother, brother-in-law, sister, sister-in-law, son-in-law, daughter-in-law, uncle, aunt, niece, nephew, first cousin, fiancé or fiancee of the insured person. Salary This means the average weekly gross earned income of the insured person during the twelve months immediately preceding any illness or injury which causes disablement. This does not include bonuses, commission, overtime payments or any other allowances. Schedule of Employees This is the list of employees nominated for protection under the policy submitted by you, approved by us and incorporated in and or attached to the application for insurance, renewal request or endorsement request. Where this list is proposed as blanket cover it is agreed that all of your employees are deemed nominated for protection. Temporarily Employed This means a period of up to 12 consecutive months during which time the insured person is employed in full time employment by you outside his or her usual state of residence and at the end of which he or she intend to return to his or her usual state of residence to continue employment with you. Ultimate Net Loss This means, the amount, which you are finally called upon to pay or have paid after all recoveries, which may subsequently be made, have been taken into account. In the event of any recovery of ransom monies subsequent to payment of the indemnity by us an adjustment of the amount of the indemnity payable under this policy shall be made based upon the revised ultimate net loss. Things you should know This policy is issued and cover is provided on the understanding that: During the period of insurance the cover extended by the policy shall only apply to the following journey undertaken by the insured person: Any number of international journeys, or Any number of interstate journeys within Australia, or Any number of intrastate journeys within Australia provided they extend overnight or require the insured person to travel on a flight with a registered airline over a recognised air route. The insured person must be a permanent resident of Australia and intend returning to Australia on completion of the journey unless agreed to in writing by us

14 We will pay claims in Australian dollars. The rate of exchange we will use, will be the exchange rate applicable on the date the loss or expense occurred. Any interpretation of this policy wording will be made according to the law of the state or territory in Australia where it was issued and will be subject to the jurisdiction of the courts of that state or territory in Australia. If you have a loss involving other persons or their property, you must not tell them it was your fault or that you will pay them for the loss. In the event that cover is on a nominated employee basis and an insured person terminates his employment with you, the schedule of employees will automatically extend to include any replacement or substituted employee as an insured person. Cover will also be provided under the schedule of employees for any additional employee hired after the commencement of the period of insurance and required to be included as an insured person. If the insured person wishes to make a claim, he or she must tell us in writing within 30 days of returning from the journey. If the journey is cancelled, you must write to us within 30 days of the cancellation. We will give you a claim form which you must complete and send back to us with information to support your loss. This includes police reports, medical and/or dental reports, original receipts for any item the insured person has lost of purchased (such as receipts for existing luggage, accommodation or emergency purchases), valuations or other proof of your loss or ownership. We will not pay for any losses which you or the insured person cannot prove. Section 1 - Personal accident What we will pay for We will pay the insured person s estate for his or her death or the insured person for his or her disability, if he or she is injured during the journey in an accident that is caused by violent, visible and external means. We will only pay if: The insured person dies within 12 months of the accident and a death certificate is produced, or The insured person loses his or her sight, or The insured person loses a limb, or The insured person loses the use of a limb above the ankle or above the wrist, or The insured person is totally unable to resume his or her usual work because of the accident. Conditions: Amounts shown in the Table of Cover will not be paid for more than one of events 1 to 18 in respect of the same injury. Any amount payable for events 1 to 15 and/or 18 will be reduced by any amount already paid for Event 17. After the occurrence of any one of Events 2 to 6 there will be no further liability under this cover for the insured person for injury sustained thereafter. The insured person s loss of a limb, or loss of use of a limb, must occur within 12 months of his or her accident and must be total and permanent. The insured person must provide a medical certificate to confirm his or her loss or loss of use

15 Where payment under event 17 continues for a period greater than 12 months, the amount payable for each 12 month period thereafter will be increased by 5% from the previous 12 months. We will not pay if the insured person s death or disability is directly or indirectly related to a deep vein thrombosis. The most we will pay for the insured person s death is $500,000. The most we will pay for the insured persons disability is $250,000. The table of cover and the benefits payable is detailed on pages 25 and 26. Table of Cover Event number Event Benefit 1. Death $500, The insured person becoming $250,000 totally and permanently incapable of carrying any occupation at all. There must be no duties and no occupation at all that the insured person can carry out. 3. Total and irrecoverable loss of sight in - one eye $125,000 - both eyes $250, Burns or disfigurement of more $100,000 than 40% of the body. 5. Total and permanent loss of the use $100,000 of one limb. 6. Total and permanent loss of the use $100,000 of two limbs. 7. Total and permanent loss of hearing in: - one ear $15,000 - both ears $75, Total and irrecoverable loss of $100,000 the lens of one eye. 9. Total and permanent loss of the use $50,000 of one hand, or four fingers and the thumb of one hand, or the lower part of one arm. 10. Total and permanent loss of the use of $40,000 four fingers of either hand. 11. Total and permanent loss of the use of $15,000 each either phalanx of either thumb

16 12. Total and permanent loss of the use of $4,000 each any phalanx of any finger. 13. Total and permanent loss of the use of any toe other than a great toe, or either phalanx of either great toe. - All toes - one foot $15,000 - Great toe - both joints $5,000 - Great toe - one joint $3,000 - Each toe, other than great toe $1, Fractured leg or kneecap with $10,000 established non-union. 15. Shortening of the leg $7,500 by at least 5cm. 16. The insured person becoming $1,500 per week to totally incapable of carrying out maximum period of all of the usual duties of his or her 104 weeks, or the usual occupation. There must be amount of the insured no usual duties at all that the person s salary, insured person can carry out. whichever is the least. 17. The insured person becoming $1,500 per week to totally incapable of carrying out maximum period of some of the usual duties of his 104 weeks, or the or her usual occupation. amount of the insured person s salary, whichever is the least. 18. Broken Bones. Maximum amount paid $2,000 any one accident - Neck or spine $1,500 - Hip, pelvis $600 - Skull, shoulder blade $500 - Collar bone, upper leg $500 - Upper arm, kneecap, forearm, elbow $200 - Lower leg, jaw, wrist, cheek, ankle, hand, foot $200 - Ribs $150 - Finger, thumb, toe $2,000 Section 2 - Medical, dental and additional expenses Medical and Dental expenses What we will pay for We will pay your reasonable medical expenses and dental expenses if the insured person becomes disabled during the journey. The medical and dental treatment must be authorised by the insured persons doctor or dentist. For medical expenses, we will not pay more than the reasonable expenses that are charged within 12 months of the date of the insured persons disablement. For dental expenses, we will not pay more than $2,000. Additional Emergency Expenses What we will pay for We will pay for reasonable costs you incur for accommodation and/or travelling expenses: If the insured person becomes disabled. If the insured person is delayed because: - The transport you booked is cancelled, delayed or diverted due to strike, riot, civil commotion or hijack, or - The insured person loses their passport or travel documents, or - The insured person unknowingly breaches a quarantine regulation, or - There is a natural disaster or severe weather, or - The insured persons travelling companion is disabled, or 26 27

17 - There is a railway, motor vehicle, marine or aircraft accident. You must provide written proof of the delay from the carrier. Moving the insured person to another place or back to Australia if they become disabled, and our doctor or dentist agrees with your treating doctor or dentist that the insured person should be moved urgently. We will control this move. For the insured person to return to Australia if: - The insured persons travelling companion becomes disabled, or - The insured persons residence where they normally live in Australia is destroyed by fire, explosion, earthquake or flood, or - The insured persons relative or the insured persons travelling companion s relative, unexpectedly dies or becomes disabled. These people must be permanent residents of Australia. If the insured person becomes disabled, we will pay the accommodation and/or travelling expenses for one of their travelling companions, relatives or partner to Travel to them, or Stay with them. We will only pay these expenses if the insured persons treating doctor or dentist advises they require assistance. We will also pay these expenses for one of the insured persons travelling companions, relatives, or their partner to escort them to Australia, or another place agreed by us. Additional Expenses What we will pay for Cash in hospital If the insured person becomes disabled and is hospitalised overseas, we will pay the insured person $100 for every 24 hours they are required to stay in hospital. The most we will pay is $6,000. Hijack We will pay each insured person $1,000, for every 24 hours they are detained, if their public transport is forcibly and violently seized for the purpose of extortion, or any other illegal reason. The most we will pay is $10,000. Replacement Executive We will pay the reasonable cost for accommodation and travelling expenses of a replacement executive necessary to complete the purpose of the journey of the insured person following the insured person becoming disabled. The most we will pay is $10,000. Missed Connection We will pay the reasonable costs the insured person incurs for alternate transport or services needed to arrange if they miss, or are going to miss, their transport to attend an officially scheduled meeting or conference which cannot be delayed if the insured person is absent. We will only pay this if: You or the insured person has already booked and paid for the transport with a registered transport provider, and The insured person is unable to reach their transport due to unforeseen or unforeseeable circumstances beyond their control, and The reason for the delay is not the cancellation of the transport

18 Kidnap and Ransom We will pay you the cost of: The ultimate net loss in respect of ransom monies paid by you if the insured person is kidnapped during a journey. 30 Expenses you incur following receipt of a ransom demand in addition to the limit shown in the schedule of benefits. Expenses include interest charged by a financial institution for a loan of a principal amount, and any other direct expenses reasonably incurred by you for the purpose of investigating, negotiating or paying such a demand or recovering the insured person. We will only pay this if: You take all reasonable precautions to protect the confidentiality of the cover for this event. Under no circumstances will we act as an intermediary or negotiator for you, or offer advice to you on dealing with any kidnapper. In the event of the reported kidnapping of the insured person occurring during the period of insurance you must make every reasonable effort to: Determine positively that the insured person has been the subject of a kidnapping, and Record the serial numbers of any currency paid to secure release of the insured person who was the subject of the kidnapping. In the event of a kidnapping of the insured person during the period of insurance there is no claim hereunder unless the ransom monies demanded or part thereof are paid. If upon or after payment of a loss under this policy, investigation establishes collusion or fraud on your part or on the part of the insured person on the said loss, you must do all things necessary to prosecute any such person and reimburse us for all monies paid by them for the said loss. The cover provided under this policy will be over and above any other valid bond or insurance. In the event of a kidnapping of the insured person, you must make every reasonable effort to give immediate oral and written notice to us. In the event of a kidnapping of the insured person, you must make every reasonable effort to notify the law enforcement agency of the demand for ransom prior to the payment of the ransom monies, and to comply with their recommendations and instructions, if it appears to be in the best interests of the person subject to the kidnapping. We will not pay for: Any expenses, fees or damages incurred as a result of any suit against you arising out of such a demand, or Any losses or damages caused or claimed to be caused by business interruption. Wrongful Arrest We will pay the reasonable legal costs incurred as a result of the false arrest or wrongful detention of the insured person during the journey by any legally recognised foreign Government. The most we will pay is $10,

19 What we will not pay for under Medical, Dental and Additional and Emergency Expenses We will not pay for any losses: Incurred as a result of: The death or disablement of any relative who is not a permanent resident of Australia. The insured person travelling against medical advice for the purpose of obtaining medical treatment. Incurred overseas after the date when the insured person in the opinion of our medical advisers, can be safely repatriated at our expense. Incurred which are consequent on the insured person engaging or taking part in: Naval, military or air force service operations. Professional sports of any kind. Any additional expenses (other than moving you back to another place or back to Australia if you become disabled) you incur resulting from any act of terrorism. What we will pay for We will pay any amount you have paid in advance that is unused and you are unable to recover. We will only pay this if the journey must be cancelled due to unforeseen or unforeseeable circumstances. This amount also includes your travel agent s cancellation fees up to $500 or 15% of the total journey cost, whichever is the least. Valid reasons for cancellation include, but are not limited to: Section 3 - Cancellation Death or disablement of the insured persons travelling companion, relative, travelling companion s relative or business partner. The insured person is required to sit for supplementary exams or to attend for jury duty. A declaration of a state of emergency and the insured person is required to attend because they are employed by the state police, federal police, fire or ambulance brigade, or the armed forces. The insured persons unexpected retrenchment. This does not include their voluntary retrenchment. What we will not pay for We will not pay losses directly or indirectly caused by: Delays due to a carrier. This includes the re-scheduling or cancellation of the insured persons transport. Any business, financial or contractual obligations of the insured person, or any other person. You or the insured person making a booking through an unlicensed travel agent. A prohibition or regulation by any government (e.g. the insured person cannot enter a country because they do not have a visa)

20 What we will pay for Section 4 - Luggage and travel documents If the insured persons luggage is accidentally lost, accidentally damaged or stolen, we will: Replace it, or Repair it, or Pay the insured person for their loss in cash. We will decide which one we will do. The amount we will pay will be reduced to allow for age, wear, tear and depreciation. The most we will pay for video recorders, cameras and portable electronic equipment, including their attached and unattached accessories is $3,000. For any other luggage, the most we will pay for any one item, set, pair or collection is $1,000. We will pay the insured person reasonable costs for the emergency purchase of clothing and toiletries because their luggage checked in with their carrier for storage in the cargo hold of their transport, has been delayed, misdirected or misplaced by the carrier. We will only pay the insured person if they provide: Written proof from the carrier that they were unable to get their luggage for at least 8 hours, and Receipts for emergency purchases made. The most we will pay is $1,000 in total. We will deduct any amount we pay for this benefit from any claim we pay the insured person for the lost luggage. We will not pay if the carrier has delayed, misdirected or misplaced the insured persons luggage on the final section of their journey. We will pay for costs that the insured person cannot recover if their personal travel documents, credit cards, or travellers cheques are stolen. We will also pay for the insured persons loss if the stolen cards are used for illegal purposes. We will only pay this if the insured person has complied with all the conditions of their issue and have done everything they can do to minimise their loss. What we will not pay for Electrical or mechanical breakdown of items. Breakage of fragile items, unless they are broken during a motor vehicle collision. This does not include the lenses of spectacles, binoculars, cameras or video equipment. Losses due to wear and tear; normal loss of value due to age or use; climatic or atmospheric conditions; rats, mice or insects; cleaning, repairing or restoring. Any damage to, loss or theft of the insured persons luggage if they do not report it to the appropriate authority, the police, or the person in charge of your public transport. The insured person must do this within 24 hours of the loss. The insured person must report all lost items and the written proof must contain a list of all those items. Loss of luggage left unsupervised in a public place. Loss of luggage from an unlocked vehicle. Damage to sporting equipment whilst it is in use

21 Loss of, or damage to, the insured persons luggage that they do not take with them on their transport or which has been sent by road, rail or marine freight contract. Loss of, or damage to, jewellery, cameras, video cameras, or computer or portable electronic equipment which the insured person put in the cargo area of a train, aircraft, ship or coach. This applies from the time the insured persons luggage is passed to the carrier or its representative. Section 5 - Money What we will pay for We will pay the insured person up to $2,000 for accidental loss or theft of money and negotiable documents. We will also pay if the negotiable documents are misused after they are accidentally damaged or stolen. What we will not pay for We will not pay for: Loss or theft not reported within 24 hours to the police, or responsible officer of any aircraft, or vessel or coach on which the insured person is travelling. These reports are to be verified in writing from the appropriate authority. Loss of money, cheques or petrol coupons not reported within 24 hours to the police or the issuing authority. All reports are to be verified in writing from the appropriate authority. Losses due to confiscation by customs or other officials or authorities or arising out of devaluation. Loss of money in excess of the amount allowed by the applicable currency regulations at the time of commencement of the journey

22 Section 6 - Personal liability Section 7 - Hire car excess What we will pay for We will pay the amount the insured person is legally liable to pay if they act negligently and this causes: 38 Death or bodily injury to another person, or Loss of, or damage to, the property of another person. This includes legal costs and expenses incurred by you or the insured person, which we have agreed in writing to pay. This does not include legal costs and expenses awarded against you or the insured person. What we will not pay for We will not pay any amount you or the insured person are legally liable to pay if you act negligently and this causes: Death, bodily injury, or disease to any relative, travelling companion or employee, or anyone else you cover under any Workers Compensation legislation, ordinance or agreement. Loss of, or damage to, property you or the insured person own, or another person s property you or the insured person have borrowed, hired or have in your control. Death, bodily injury, disease, or damage to property which arises out of you or the insured persons ownership, use or possession of, any mechanically propelled vehicle, aircraft or watercraft. Death, bodily injury, disease or damage to property which arises out of you or the insured persons business, profession or trade activities, including you or the insured person giving advice. Penalties, fines or awards of aggravated, exemplary or punitive damages made against you or the insured person. What we will pay for We will pay the excess you, or the insured person must pay the rental company if the insured person is involved in an accident in a car you or the insured person hired, or the hired car is subject to theft or malicious damage. We will only pay this if you and the insured person have observed all the terms and conditions of the rental agreement. We will not pay for any amount you or the insured person is liable to pay arising out of your acceptance of an additional excess to reduce hiring fees. The most we will pay is $5,000. What we will not pay for We will not pay for losses where the hired vehicle: Was being driven by a person other than the insured person at the time of the collision. Was being driven by an insured person who was not licensed to drive. Was being driven whilst the insured person was under the influence of alcohol or drugs. Was being used by the insured person for illegal purposes. Was being used in breach of the rental agreement. 39

23 What we will pay for: We will pay if the insured person suffers an accidental injury or occupational disease and/or death arising whilst temporarily employed during a journey. We will only pay this if you have become liable to pay damages at Common Law (other than punitive or exemplary damages): For damages awarded as a result of litigation brought outside of the state of domicile; and Legal expenses incurred with our consent. We will not be liable for compensation arising out of contractual liability unless the liability would have applied irrespective of the terms of the contract. If the insured person is not entitled to compensation under the workers compensation legislation of the state of domicile, because they are temporarily employed, we will pay an amount equal to the amount of compensation that would have been paid under the workers compensation legislation in the state of domicile if the insured person was entitled to compensation. We will pay this on the understanding that: All entitlement under this clause will be treated as voluntary; Section 8 - Extra territorial workers compensation Payments made under this clause are in full and final settlement of any claim or claims for compensation; Subject to the provisions of the Insurance Contracts Act 1984 the insured person will assign their rights of recovery against any third party, liable to them for the accidental injury or occupational disease, to us, such assignment to be limited to the amount paid by us for compensation to the insured person including legal expenses and expenses incurred in the action for recovery; If you become liable to pay compensation under any workers compensation legislation outside the state of domicile: all payments made under this clause will cease except for the difference between the amount payable under the workers compensation legislation and the amount payable under this clause; all payments already made under the provisions of this clause will be deducted from the amount of compensation payable under the workers compensation legislation outside the state of domicile; that we may, at our discretion, withdraw cover under this clause, without notice, if the insured person refuses to accept payment or continuation of payment under this clause or you request that we withdraw cover under this clause In the event of a withdrawal of cover by us cover under this clause will be limited to the cover provided under clause 1. What we will not pay for We will not pay for claims incurred whilst the insured person is: Engaged in manual work; or Acting as a pilot or crew of any aircraft

24 Conditions: You must have Workers Compensation Insurance in force, in the state of domicile, at the time the insured person is temporarily employed; and The total amount payable is limited to the amount stated in the schedule of compensation. We will not pay claims for, or which are directly or indirectly caused by: What we will not pay for under any section of this policy Losses covered under any other insurance policy, fund or scheme, including superannuation fund or pension fund, private health scheme, Workers Compensation scheme or other accident compensation schemes. Pregnancy or childbirth. This does not include any medical complication which occurs before the end of the 24th week of your pregnancy. The 24th week is calculated using your estimated date of delivery given to us by your doctor. Your failure to make reasonable efforts to: Safeguard your property. This would include failure to use any safe or safety deposit facility made available to you, or Avoid accidental injury, or Minimise your loss, or Avoid a loss if there has been a warning given by the general media of an intended strike, riot or civil commotion or severe weather. Motor cycling, unless the driver has a current motor cycle license. This applies even if the driver is not required to hold a motor cycle license because the driver has a motor vehicle license, or a motor cycle license is not required by law. Professional sporting activities