gold star home insurance product disclosure statement and policy * see inside front cover Intermediary Insurer

Transcription

1 gold star home insrance prodct disclosre statement and policy Intermediary * Insrer * see inside front cover

2 ABOUT IBNA LIMITED The IBNA Network origins go back to 1984 to give individal general brokers the opportnity to enjoy the benefits of a larger grop, yet still maintain the all important feel of independence. With a total trnover of over 800 million dollars in general insrance premims, the IBNA Network ranks within the top general insrance broking grops in Astralia. IBNA Limited ( IBNA ) has entered into an arrangement with CGU Insrance Limited ABN Astralian Financial Services Licence Nmber , the nderwriter of this insrance policy, to develop financial prodcts and services that are distribted by IBNA members. This insrance policy is available exclsively to IBNA clients throgh IBNA insrance brokers who are licensed members of IBNA Limited ABN IBNA and IBNA insrance brokers do not isse, garantee or nderwrite this insrance policy. For frther information abot IBNA, please visit Table of contents Abot this booklet 1 Dty of Disclosre What yo mst tell s 3 How we handle yor personal information 4 General Insrance Code of Practice 6 How to make a claim 8 Cooling-off information 8 When yo are covered 9 Words with special meanings 11 Section 1: What Bildings and Contents mean 14 Bildings 14 Contents 15 Section 2: Cover for yor Bildings and Contents Accidental Damage 18 What yo are insred against, and what yo are not 18 Specified Events 18 How we will pay 22 Section 3: Cover for yor Legal Liability 29 What yo are covered against 29 Additional benefits Liability 30 What yo are not covered against 32 What we will pay 35 Additional benefits 36

3 Options yo can choose for additional premim 51 Valables 51 Domestic Workers Compensation 55 Strata Title Mortgagees Interest 55 What yo mst pay if yo make a claim Excess 57 When yo are not covered 58 General conditions 63 Abot this booklet Preparation date: 1 Febrary, This booklet contains a Prodct Disclosre Statement (PDS). The PDS is designed to assist yo to make informed choices abot yor insrance needs. The PDS contains information abot costs, or dispte resoltion system, yor cooling-off rights and other relevant information, inclding other rights, terms, conditions, exclsions and obligations attaching to this prodct. Please read this booklet careflly. Other docments may form part of the PDS. Any sch docments will be dated and will inclde a statement identifying them as part of the PDS. If any major omissions, pdates or corrections need to be made to the PDS, a Spplementary PDS may be provided. In either case, the relevant docment will be provided to yo with the PDS. Yo shold keep yor policy booklet and policy schedle together in a safe and convenient place for ftre reference. Or agreement with yo This PDS and the policy schedle form the legal contract between yo and s. Yo pay s the premim, and we provide yo with the cover yo have chosen as set ot in the policy, dring the period of insrance shown on yor policy schedle or any renewal period. Please keep them in a safe place for ftre reference. The exclsions in the section(s) headed When yo are not covered and conditions in the section headed General conditions apply to all types of cover. The excesses set ot in the section headed What yo mst pay if yo make a claim Excess apply to all claims except where otherwise stated. 1

4 The amont of any excess that applies to yor policy will be shown on yor policy schedle. If yo reqire frther information abot this prodct, please contact yor Financial Services Provider. Abot CGU Insrance Limited CGU is one of Astralia's largest intermediary-based general insrers, offering a comprehensive range of commercial, rral and personal insrance prodcts. We have been serving Astralians for over 140 years and have a AA financial strength rating from Standard and Poor s the highest Standard & Poor s financial strength rating of any Astralian-based general insrer. Today, CGU is prod to be part of Astralasia s leading general insrance grop, Insrance Astralia Grop. Insrer The policy is nderwritten by CGU Insrance Limited. Or Astralian Bsiness Nmber is Or Astralian Financial Services Licence Nmber is How to contact s Yo may contact s by any of the following ways: In person at any CGU Insrance office. By telephone on By writing to s at CGU Insrance, GPO Box 9902 in yor capital city. By on or website The cost of this insrance policy The total premim is the amont we charge yo for this insrance policy. It incldes the amont which we have calclated will cover the risk, and any taxes and government charges. The premim and any taxes and government charges will be shown on yor policy schedle. When calclating yor premim we take a range of rating factors into accont. These factors, and the degree to which they affect yor premim, will depend pon the information yo provide to s. Some factors that impact the calclation of yor premim inclde; where the bildings or contents are located, the sm insred and yor previos insrance and claims history. Dty of Disclosre What yo mst tell s Under the Insrance Contracts Act 1984 (the Act), yo have a Dty of Disclosre. The Act reqires that before a policy is entered into, yo mst give s certain information we need to decide whether to insre yo and anyone else to be insred nder the policy, and on what terms. Yor Dty of Disclosre is different, depending on whether this is a new policy or not. New bsiness Where yo are entering into this policy for the first time (that is, it is new bsiness and is not being renewed, varied, extended or reinstated), yo mst tell s everything yo know and that a reasonable person in the circmstances cold be expected to tell s in answer to the specific qestions we ask. When answering or qestions yo mst be honest. Who needs to tell s It is important that yo nderstand yo are answering or qestions in this way for yorself and anyone else whom yo want to be covered by the policy. If yo do not tell s If yo do not answer or qestions in this way, we may redce or refse to pay a claim, or cancel the policy. If yo answer or qestions fradlently, we may refse to pay a claim and treat the policy as never having worked. 2 3

5 Renewals, variations, extensions and reinstatements Once yor policy is entered into and is no longer new bsiness, then yor dty to s changes. Yo are reqired before yo renew, vary, extend or reinstate yor policy, to tell s everything yo know and that a reasonable person in the circmstances cold be expected to know, is a matter that is relevant to or decision whether to insre yo, and anyone else to be insred nder the policy, and, if so, on what terms. Yo do not have to tell s abot any matter: that diminishes the risk that is of common knowledge that we know or shold know in the ordinary corse of or bsiness as an insrer, or which we indicate we do not want to know. If yo do not tell s If yo do not comply with yor Dty of Disclosre, we may redce or refse to pay a claim or cancel yor policy. If yor non-disclosre is fradlent, we may treat this policy as never having worked. How we handle yor personal information We are committed to handling yor personal information in accordance with the Privacy Act. We need to collect, se and disclose yor personal information in order to consider yor application and to provide the cover yo have chosen. Yo can choose not to give s some or all of yor personal information, bt this may affect or ability to provide yo with cover. When yo provide yor personal information to s Yo acknowledge and consent to s collecting and sing yor information to: consider yor insrance application and any sbseqent application for insrance nderwrite and price any policy issed by s or or related entities calclate and offer disconts isse yo with a policy administer the policy, and investigate, assess and pay any claim made by or against yo. For these prposes, yo acknowledge and consent to s collecting yor personal Information from, and disclosing it on a confidential basis to, yor intermediary* or the third party who yo have been dealing with in respect to this insrance policy and who referred yo to s, other insrers, or related entities, insrance reference breas, law enforcement agencies, investigators and recovery agents, lawyers, any credit provider that has secrity over yor property, assessors, repairers, sppliers retained by s to spply goods and services, advisers and/or the agent of any of these. When yo provide personal information to s abot another person Yo mst be athorised to do so, and yo mst inform that person, nless informing them wold pose a serios threat to the life or health of any individal: who we are how we se and disclose their information, and that they can gain access to that information. Privacy of yor personal information for marketing prposes In order to enhance their relationship with yo, yor intermediary may se yor personal information that yo have provided to s to offer yo other prodcts and services, which may be of benefit to yo. 4 5

6 When yo provide yor personal information to s for marketing prposes Yo acknowledge and consent to yor personal information being sed on a confidential basis by s or yor intermediary to contact yo by mail, phone or to provide yo information on offers, prodcts and services or for planning, market research and prodct development. In sing yor personal information for these marketing prposes, we and yor intermediary may se and disclose yor personal information to offer yo or or yor intermediary's prodct and services directly, or to any other organisation to carry ot the above marketing prposes on or or yor intermediary's behalf. However: CGU Insrance Ltd (CGU Insrance) and yor intermediary will not se yor information in this way if yo have already told CGU Insrance or yor intermediary not to. Yo mst inform CGU Insrance or yor intermediary if yo do not want yor personal information disclosed or sed for these marketing prposes. * The intermediary is a company or individal throgh which yo prchased this insrance, or the company named on the inside front cover of this booklet. General Insrance Code of Practice The prpose of the Code is to raise standards of practice and service in the general insrance indstry. The objectives of the Code are: to promote better, more informed relations between insrers and their cstomers to improve consmer confidence in the general insrance indstry to provide better mechanisms for the resoltion of complaints and disptes between insrers and their cstomers, and to commit insrers and the professionals they rely pon to higher standards of cstomer service. Or commitment to yo We have adopted and spport the Code and are committed to complying with it. Please contact s if yo wold like more information abot the Code. How to resolve a complaint or dispte 1. Talk to s first If yo have a complaint, the first thing yo or yor insrance adviser shold do is speak to one of or staff. If yor complaint relates specifically to a claim, speak with the claims officer managing yor claim. If the staff member or claims officer are nable to resolve the matter for yo, yo or yor insrance adviser may speak to a manager. The manager will sally provide yo with a response to yor complaint within 15 days. If the timeframe is impractical for any reason sch as the need for more information or frther investigation, they will discss with yo alternative timeframes. If yo are not satisfied with or response or we cannot agree with yo on alternative timeframes, yo can go to step Seek a review If the matter is still not resolved, the manager will refer yo or yor insrance adviser to the relevant dispte handling department or area who will condct a review of yor dispte and will sally provide yo with a response to yor dispte within 15 bsiness days. If the timeframe is impractical, we will discss with yo alternative timeframes. 6 7

7 If yo are still not satisfied with or response to yor dispte or we cannot agree on alternative timeframes, yo can go to step Seek an external review Yo are entitled to seek an external review of or decision. We will provide yo with information abot options available to yo, inclding, if appropriate, referring yo to the external dispte resoltion scheme administered by the Insrance Ombdsman Service Limited (IOS). Yo will not be able to have yor dispte resolved by the IOS if yo are not eligible nder the IOS's Terms of Reference. Frther information abot or complaint and dispte resoltion procedres is available by contacting s. How to make a claim Please contact s to make a claim. We will only accept responsibility for repairs or payments to third parties nder a claim where yo have told s abot them beforehand and we have accepted yor claim. Fll details of what yo mst do for s to consider yor claim are provided at the end of this booklet. Cooling-off information If yo want to retrn yor insrance after yor decision to by it, yo may cancel it and receive a fll refnd. To do this yo mst notify s in writing within 21 days from the date the policy commenced. This cooling-off right does not apply if yo have made or are entitled to make a claim. Even after the cooling-off period ends, yo still have cancellation rights, however, yor Financial Services Provider may dedct certain amonts from any refnd for administration costs or any non-refndable taxes. Intermediary remneration CGU Insrance Limited pays remneration to insrance intermediaries when we isse, renew or vary a policy the intermediary has arranged or referred to s. The type and amont of remneration varies and may inclde commission and other payments. If yo reqire more information abot remneration we may pay yor intermediary, yo shold ask yor intermediary. When yo are covered Yor insrance begins when we accept yor application. The commencement date of yor insrance will be shown on the schedle we will send yo. We will not cover yor bildings and yor contents for a period of 48 hors from the time of the commencement of yor insrance for loss or damage cased by: bshfire or grassfire, or a named cyclone. We will provide cover however if: This insrance commences directly after another insrance policy covering the same property expired withot a break in cover. Yo have entered into a contract of sale to prchase the property. Yo have entered into a contract to lease the property. The insrance applies for the period for which yo have paid s (or agreed to pay s) the premim. Yo may pay yor premim by cash, cheqe or credit card. If yor cheqe or credit card is dishonored by yor financial instittion, yo are not insred. Yo can also pay yor premim by instalments direct from a financial instittion accont or from 8 9

8 yor credit card. Yo cannot make a claim nder this policy if yo owed s more than one month s premim when the event yo want to claim for happened. If yo pay yor premim by instalments and yo are more than one month behind, we can cancel yor policy withot notice. If yo have a total loss, we shall dedct the instalments for the remaining period of insrance from the amont we pay yo. Words with special meanings Some key words and terms sed in this policy have a special meaning. If words and terms are sed in one section of the policy, we will describe their special meaning in that section. Wherever the following words or terms are sed in the policy, they mean what is set ot below: damage any form of physical harm to the insred property bt does not inclde wear and tear. excess flood negotiables the first amont of any claim, which is yor responsibility to contribte. We dedct the excess shown in this PDS or policy schedle from the amont of yor claim. When a sb-limit is applicable, the excess will be applied to the claim prior to applying the sb-limit. The inndation of normally dry land by water escaping from any watercorse, lake, canal, dam or reservoir. Flood does not inclde inndation from rainwater that cannot flow into a stormwater drain becase the drain is blocked or backed p treasry notes, savings certificates, stamps, money orders, gift certificates and any other negotiable instrments

9 occpied the bildings is frnished sch that it is comfortably habitable and yo, yor family or someone with yor consent has resided in the bildings overnight. To be occpied the bildings mst: yor family Any member of yor family who lives permanently with yo, inclding yor partner. Stdent children of yors or of yor partner, boarding at school or niversity. contain at least one sable bed/mattress contain at least one dining table or bench, a chair and some other frnitre contain a fnctioning refrigerator be connected to the electricity, and be connected to hot and cold rnning water. period of insrance the period shown on the policy schedle. policy schedle the docment we give yo which sets ot the details of yor cover which are personal to yo. It forms parts of the policy. It shows the cover and any options that yo have selected. When yor policy is changed or renewed, we will give yo a new policy schedle. sitation The address shown on yor policy schedle where yor bildings are located or yor contents are kept. we, or or s CGU Insrance Limited, ABN yo or yor The person(s), companies or firms named on the crrent policy schedle as the Insred

10 Cover for yor Bildings and Contents This part of the policy contains the following three sections: Section 1: What Bildings and Contents mean Section 2: Cover for yor Bildings and Contents Accidental Damage Section 3: Cover for yor Legal Liability Section 1: What Bildings and Contents mean Bildings Yor policy schedle indicates whether yor bildings is insred and the sm insred. What bildings means Yor bildings are the dwelling sed entirely or primarily as a place of residence at the sitation shown on the policy schedle. Bildings incldes the following: (a) Otbildings, fixtres and strctral improvements inclding in-grond swimming pools, tennis corts, in-grond spas, sanas, jetties and pontoons, all of which are sed for domestic prposes. (b) Fixed light fittings, fixed wall coverings, fixed ceiling coverings and fixed floor coverings. (c) Services (whether ndergrond or not) that are yor property or which yo are liable to repair or replace or pay the cost of their repair or replacement. (d) Landscaping, paved pathways and paved driveways, free standing walls, retaining walls, fences and gates entirely or partly on the sitation. What bildings does not mean Bildings does not inclde: (a) Carpets (whether fixed or not), crtains or internal blinds. (b) Earth or gravel pathways or driveways or other npaved srfaces. (c) A hotel, motel, nrsing home, boarding hose, bildings of flats, strata title nit or caravan (whether fixed to the sitation or not). (d) Any bilding sed for any bsiness or trade, except a dwelling sed principally as a place of residence that also contains an office or srgery. (e) A bilding in the corse of constrction. (f) A temporary bilding or strctre. (g) Trees, shrbs and any other plant life inclding grass or lawns, soil, sand, gravel, bark or mlch. Contents Yor policy schedle indicates whether yor contents are insred and the sms insred. The total contents sm insred consists of: (a) a sm insred for contents, and (b) a sm insred for special contents. Special contents are items of particlar vale that yo have individally listed as specified items and that are listed on the policy schedle nder Special Contents

11 What contents means Contents means, items (a) to (g) below, while they are at the sitation, and which belong to yo or yor family or for whose loss or damage yo or yor family are legally liable. Contents are: (a) All hosehold goods (inclding carpets whether fixed or not), crtains and internal blinds, personal effects, cash, coins and negotiables. (b) Articles of special vale which yo have listed on the policy schedle nder Special Contents. (c) If yo live in a strata title bilding, the internal paintwork, wallpaper and any fixtre or strctral improvement within or attached to that residence which the Body Corporate is not reqired by law to insre. (d) If yo are a tenant, landlord s fixtres and fittings for which yo are legally liable and fixtres and fittings installed by yo for yor own se. (e) Any of the following eqipment if it does not reqire registration: golf bggies motorcycles p to 250cc engine capacity garden eqipment, or motorised wheelchairs. (f) Canoes, srfboards, srfskis or sailboards, and any other watercraft p to for (4) metres in length. This means that if the watercraft is not a canoe, srfboard, srf-ski or sailboard and it is longer than for metres, it is not covered. A watercraft motor: not attached to a watercraft, and at the sitation, will be treated by s as a watercraft accessory. (g) Frnitre and eqipment of an office or srgery sed by yo or yor family in yor own bsiness in the bildings and tools and eqipment sed for earning income by yo or yor family. What contents does not mean Contents does not inclde: (a) Fish, birds or animals of any description. (b) Trees, shrbs and any other plant life (other than pot plants). (c) Any caravan or trailer. (d) Motorised vehicles other than those listed in point (e) nder the heading What contents means. (e) Watercraft other than those listed in point (f) nder the heading What contents means. (f) Aircraft or their accessories (other than a nonpilotable model aircraft). (g) Accessories or spare parts, keys or remote locking or alarm devices of motor vehicles (inclding motorcycles and motor scooters), caravans, trailers or watercraft while they are in or on the motor vehicle, caravan, trailer, aircraft or watercraft. (h) Photographic and video eqipment and msical instrments or msical eqipment sed for earning any income. (i) Any property: illegally in yor possession stored in a dangeros and illegal way, or any eqipment connected with growing or creating any illegal sbstance. (j) Yor bildings or any part of yor bildings. (k) Pedal cycles while they are sed for racing or pacemaking

12 Section 2: Cover for yor Bildings and Contents Accidental Damage What yo are insred against, and what yo are not Yo are insred against malicios damage, accidental loss or damage (inclding the Specified Events listed below) to yor bildings, contents belonging to yo, yor family or for which yo or they are legally responsible or both at the sitation dring the period of insrance. There is also some extended cover provided for yor contents nder Additional benefit 1 - Temporary Removal, for when yor contents are away from the sitation. Specified Events Specified Events means loss or damage directly cased by the following events (a) to (r): (a) (b) (c) (d) (e) (f) (g) (h) fire lightning thnderbolt explosion implosion earthqake or tsnami sbterranean fire volcanic erption (i) impact ( impact means a collision of two or more objects) (j) aircraft and/or other aerial devices and/or articles dropped from them (k) (l) sonic boom theft (m) breakage of glass (n) the acts of persons taking part in riots or civil commotion or of strikes or of lockedot workers or of persons taking part in labor distrbances which do not assme the proportions of or amont to an prising (o) falling objects (p) water and/or other liqids and/or sbstances discharged and/or overflowing and/or leaking from any apparats and/or appliance and/or pipes (q) storm, tempest, rainwater, wind, hail, tornado, cyclone or hrricane, freeze or weight of snow (r) power srge. Whether yo have selected cover for yor bildings, contents or both is shown on yor policy schedle. There are some limits and exclsions described nder How mch we will pay and When yo are not covered, which yo mst read. In addition, yo are insred for loss or damage to yor bildings, contents or both at the sitation, cased directly by any of the events set ot in the left colmn of the following table (except to the extent indicated in the right colmn of the table)

13 Yo are insred against Bt not Yo are insred against Bt not (a) Mechanical and electrical breakdown Mechanical breakdown means: Any sdden and nforeseen physical loss or damage which may inclde (bt not limited to) the actal fsing, breakdown, seizing, deformation or explosion of any part of the insred item of machinery which is sfficient to prevent the machinery ndertaking its normal operation. If yor bildings are insred by this policy, we pay for loss or damage cased by mechanical or electrical breakdown to bilt in: air conditioners and coolers, fans dishwashers, spas and pool filter motors vacm cleaners, secrity gates or garage doors. If yor contents are insred by this policy, we pay for loss or damage cased by mechanical or electrical breakdown to: refrigerators, freezers, washing machines, clothes dryers The mechanical or electrical breakdown of: radios, stereos, CD players or amplifying eqipment, televisions, video players recorders or cameras, microwave ovens eqipment or motors nder manfactrer s garantee or warranty or any item which is more than 15 years old. portable air conditioners and coolers, portable fans portable vacm cleaners, spa and pool filter motors, if the spa or pool motor is not biltin or portable dishwashers water pmps sed for domestic prposes. (b) Spoilage of food If this policy insres yor contents, we also pay for spoilage of food in domestic refrigerators or freezers at the sitation cased by: breakdown of the refrigerator or freezer failre of the electricity spply to the bildings contamination by lbricant oil or refrigerant accidental damage to the refrigerator or freezer. Spoilage as a reslt of: strikes intentionally switching off or disconnecting the electricity spply

14 How we will pay Bildings (a) (b) (c) (d) At or option we: repair the bildings, or replace the bildings to a condition sbstantially the same as, bt not better than when new, or pay the reasonable cost of its repair or replacement to a condition sbstantially the same as when new, or pay p to the sm insred shown on yor policy schedle. If yor bildings are damaged beyond economic repair, we will pay no more than the reasonable cost of replacement when new even if yo have insred for an amont greater than the reasonable cost of replacement when new. When we pay yor claim for yor bildings being damaged beyond economic repair, the policy is exhasted and comes to an end. Yo may choose to have the bildings replaced at another sitation, bt we do not pay more than for the insred sitation. If yor bildings are damaged beyond economic repair and yo do not commence rebilding within six (6) months of the damage occrring (or any other period which we agree with yo in writing), yo may have to pay any increase in cost cased by yor delay. If part of yor bildings are damaged and we agree to pay yor claim, we pay only for the part or parts of the bildings that actally sstained damage. We do not pay to replace any ndamaged materials. However, if: it is impossible to acqire new material to replace the damaged material that reasonably matches the ndamaged portion to a similar extent as immediately prior to the damage occrring, and the amont of damaged material that cannot be matched to the ndamaged material is more than 40% of the total material that wold have to be replaced if all the matching damaged and ndamaged material was replaced, then we will replace both the damaged and ndamaged material. Example 1 There are 300 matching white wall tiles in the bathroom. As a reslt of a brst pipe, eight (8) bathroom wall tiles are damaged. We wold pay only the reasonable cost to repair or replace the eight (8) damaged tiles to a condition sbstantially the same as when new. (In addition, we wold pay for damage sstained in locating the leak (Additional benefit 25). Example 2 There are 300 sperseded, matching, wall tiles in the bathroom. As a reslt of a brst pipe, 140 wall tiles are damaged. It is impossible to locate tiles that reasonably match the remaining 160 tiles. Over 40% of the matching wall tiles have been damaged. Therefore, we wold pay the reasonable cost to repair or replace all 300 tiles (140 damaged and 160 ndamaged) to a condition sbstantially the same as when new. We wold be entitled to keep the 160 ndamaged wall tiles by way of salvage. We wold not pay to replace any tiles located in a room other than where the loss or damage occrred. (e) Where materials that are reqired to settle a claim that we agree to pay are not commercially available in Astralia, at or option, we will: replace the materials with the nearest eqivalent or similar new materials available in Astralia or overseas, or 22 23

15 (f) pay the cost to replace the materials with the nearest eqivalent or similar new materials available in Astralia or overseas. Fences, gates, and retaining walls We will pay for loss or damage to yor fences, gates or retaining walls cased by storm, rainwater, or wind if they are constrcted of: Brick, stone, metal. Timber, bt are 20 years old or less. Other material, provided the constrction is in accordance with manfactrer s specifications. Contents (a) (b) At or option, we will: repair the damaged items, or replace the items with items sbstantially the same as, bt not better than when new, or pay the reasonable cost of repair or reinstatement to a condition sbstantially the same as, bt not better than when new, or pay p to the sm insred shown on yor policy schedle. If yor contents are damaged beyond economic repair, we will pay no more than the reasonable cost of replacement when new even if yo have insred for an amont greater than the reasonable cost of replacement when new. When we pay yor claim for all yor contents being damaged beyond economic repair, the policy is exhasted and comes to an end. We will not pay more than the total contents sm insred for all contents lost or damaged. If we agree to pay a claim where film, photos, home movies or home videos or any similar recorded material is destroyed, we pay for the replacement with new, blank film, videos or similar (e.g. if a compact disc pon which yo had photos stored is destroyed, we wold replace it with a new, blank compact disc). We do not pay to reconstrct any circmstances or conditions. If we agree to pay a claim where software is lost, damaged or destroyed, we pay the cost to replace it with the nearest eqivalent new software. We do not pay for any software that was acqired by yo at no cost. Where an item reqired to settle a claim that we agree to pay is not commercially available in Astralia, at or option, we will: replace the item with the nearest eqivalent or similar new item available in Astralia or overseas, or (c) (d) (e) pay the cost to replace the item with the nearest eqivalent or similar new item available in Astralia or overseas. The maximm we pay on the following contents items is shown in the table below. Yo may obtain higher limits for (a) by having any of these items specified on yor policy schedle. We will pay p to the amont specified for each item. Contents where a maximm limit applies (a) Works of art, pictres, tapestries or rgs. (b) Items of jewellery, gold or silver articles, frs, watches, collections of coins, stamps or medals. (c) Office or srgical eqipment sed by yo or yor family in yor or their own bsiness in the bildings. Maximm limit $20,000 per item $10,000 per item and in total 25% of the sm insred for nspecified contents $20,000 in total contined next page

16 Contents where a maximm limit applies (d) Other eqipment sed by yo or yor family for earning income. (e) Accessories, or spare parts of motor vehicles (inclding motorcycles and motor scooters), caravans, trailers and watercraft, not in or on the motor vehicle, caravan, trailer or watercraft. We inclde motor vehicle keys, remote locking or alarm devices as accessories while they are not in or on the motor vehicle, bt we do not pay for any re-coding of devices or changing of vehicle locks. (f) Cash, coins, negotiables or bllion. (g) Data stored on any compter disk or tape (inclding cost of data restoration). Note: Maximm limit $10,000 in total Inclding a maximm of $1,500 for bsiness stock kept temporarily in the bildings $2,000 in total $1,500 in total $1,000 in total Where an item cold be classified nder more than one of the above maximm limits, (a) throgh to (g), the lower or lowest limit applies. For example, if an item of nspecified, antiqe jewellery worth $11,000 was stolen from the bildings and we agreed to pay the claim, the maximm limit of $10,000 for jewellery wold apply even thogh there is no sb-limit for antiqes. If the item has been specified for $11,000, then we wold pay p to $11,000 to replace the item. The sm we pay yo wold be sbject to any applicable excess. If we choose to pay to replace a specified item, we will pay no more than the amont that it wold cost s to replace the item with an item sbstantially the same as, bt not better than, when new, even if yo have specified the item for a higher amont, whether or not yo have spplied a valation. We have negotiated special arrangements with varios sppliers to prchase items for less than retail cost. Premims are therefore based pon s replacing items at less than retail cost. Antiqes Where we pay a claim for an antiqe item, and the market vale of the item exceeds the cost of its replacement with a new item becase of its antiqity and rarity, we will treat the market vale as thogh it is the cost to replace the lost or damaged antiqe with a new item. For example: An antiqe sterling silver claret jg created in 1880 is stolen and we agree to pay the claim. A valation for $11,000 has been spplied to s. To replace the item with the closest, similar new item wold cost $2,100. At the time of the loss, or inqiries indicate that to replace that antiqe item at market vale wold be approximately $11,000 bt there is no eqivalent item crrently for sale in Astralia or overseas. The market vale of the item is higher than the new replacement cost de to the item s antiqity and rarity. In this instance, we wold pay yo $11,000 for the jg rather than $2,100. The sm we pay yo wold be sbject to any applicable excess. (f) Floor and wall coverings, blinds and crtains 26 27

17 For wall coverings, and carpets and other floor coverings, crtains and internal blinds, we pay only for items in the room, hall or passage, where the damage occrred. (g) Pairs and sets A pair or set means two (2) or more articles the collective vale of which exceeds the sm of their individal vales. In the event of a total loss of any article or articles which are part of a pair or set, we agree to pay yo at yor option, exercisable after the loss the fll amont of the vale of sch pair or set, and yo agree to srrender the remaining article or articles of the pair or set to s. If yo elect not to srrender the remaining article(s) of the pair or set to s, then we pay no more than the actal vale of the item. We do not give any allowance for any special vale it may have as forming part of a pair or set, or for any redction in vale of the remaining part or parts. We will only pay the cost of replacing the item even thogh the pair or set to which it belongs is less valable becase it is incomplete. Section 3: Cover for yor Legal Liability What yo are covered against If this policy covers yor bildings If this policy covers yor bildings or, if the bildings are a strata titled residence and yor contents are insred nder this policy, we insre yo and any member of yor family against any claim for compensation or expenses which yo or the member of yor family become legally liable to pay for: (a) personal injry to, any person, (b) the loss of, or damage to, property, reslting from an occrrence dring the period of insrance, arising ot of the ownership of the bildings or occpancy of the bildings. In this section, we inclde the bordering footpath, land, trees, shrbs and other plant life on the sitation as part of yor bildings. If this policy covers yor contents If this policy covers yor contents and, the bildings are yor primary residence, we insre yo and any member of yor family against any claim for compensation or expenses which yo or the member of yor family become legally liable to pay for: (a) personal injry to, any person, (b) the loss of, or damage to, property, reslting from an occrrence dring the period of insrance, anywhere in the world that is not related to the ownership of yor bildings. An occrrence incldes continos or repeated exposre to sbstantially the same general conditions. We regard all death, bodily injry or loss 28 29

18 or damage to property arising from one original sorce or case as one occrrence. Personal injry means: (a) Bodily injry, death, sickness, disease, shock, fright, mental angish, psychiatric or psychological disorder or mental injry, (b) The pblication or tterance of libellos or slanderos comments. 'Personal injry' does not inclde the pblication or tterance of a libel or slander: (a) made prior to the commencement of the period of insrance, or (b) made by or at the direction of yo with knowledge of its falsity, or (c) relating to advertising, broadcasting or telecasting activities by or on behalf of yo. Property damage means: (a) Physical damage to, or loss or destrction of, tangible property inclding any reslting loss of se from the damage or destrction. (b) Loss of se of tangible property, which has not been physically damaged or destroyed, provided the loss of se is as a direct reslt of an occrrence. Additional benefits Liability These additional benefits apply only when yo occpy the bildings insred by this policy as yor primary residence or this policy insres yor contents in yor primary residence. Motor Vehicle Liability What we insre yo against: (a) We insre yo and any member of yor family against any claim for compensation or expenses which yo or the member of yor family become legally liable to pay for: personal injry to, any person (b) the loss of, or damage to, property, arising from the ownership, cstody, or se of: any vehicle which is a type that is not reqired to be registered by law any motorised wheelchair any domestic trailer not attached to any vehicle, reslting from an occrrence dring the period of insrance. We also insre yo or any member of yor family against claims for: personal injry cased by yo or yor family solely as a reslt of yo or yor family being passengers in a registered vehicle personal injry cased by any registered vehicle if the occrrence casing the death or bodily injry takes place at the sitation, dring the period of insrance. When we do not insre yo or yor family We do not insre yo or yor family: (a) If yo or yor family are entitled to be wholly or partly insred by any complsory stattory insrance or accident compensation scheme, or wold have been, bt for failre to register the vehicle or to apply for cover nder the scheme or to comply with a term or condition of the scheme. (b) If yo or yor family are entitled to be wholly or partly protected by any other policy of insrance which specifically covers the vehicle (except where this exclsion wold contravene s.45 of the Insrance Contracts Act, 1985). (c) While any vehicle is sed for competitive racing or pacemaking

19 Committee member of a social or sporting clb What we insre yo against We insre yo and any member of yor family against any claim for compensation or expenses which yo or the member of yor family become legally liable in Astralia to pay for an alleged or actal act or omission arising ot of yor position as a committee member of a sporting clb or social clb. We will not pay if yo receive more than $1,000 per year for holding the position. We only pay for a claim made as a reslt of an occrrence dring the period of insrance. The most that we will pay nder this additional benefit in any one period of insrance is $10,000. We do not insre yo or yor family against liabilities arising from: (a) any act or omission for which yo or yor family receive reimbrsement from the sporting or social clb, or (b) any act or omission which is committed or alleged to have been committed prior to the period of insrance commencing or after it has ended. What yo are not covered against (applies to Legal liability and Additional benefits Liability ) When we do not insre yo or yor family We do not insre yo or yor family: (a) Against any liability cased by or arising directly or indirectly, ot of or in connection with the actal or alleged se or presence of asbestos. (b) Against fines, penalties, or pnitive, aggravated, mltiple or exemplary damages. We do not insre yo or yor family against liabilities arising from: (a) Any agreement, nless liability wold have attached to yo or yor family if that agreement did not exist, or, nless the agreement is a lease agreement for yor residential tenancy. (b) Illness or death of or bodily injry to yo or to any person who normally lives with yo. (c) Illness or death of or bodily injry to anyone employed by yo or by someone who lives with yo if the death or injry arises ot of their employment. (d) Damage to property belonging to yo or any person who normally lives with yo or to yor or their employees. (e) Any workers compensation legislation, indstrial award or agreement, or stattory accident compensation scheme. (f) The ownership, cstody, or se of any lift, aerial device or aircraft (except model aircraft or toy kites), aircraft landing area, boat exceeding for (4) metres in length (except canoes, srfboards, srf skis or sailboards) or motorised watercraft in excess of 10 horsepower. (g) The condct of any activity carried on by yo or yor family for reward except for as a clb committee member, provided yo do not receive more than $1,000 per year for holding the position, or babysitting on a casal basis. Babysitting cannot be considered to be on a casal basis where: The babysitting is not of a casal natre. Any licence or other permission is reqired by any government body or pblic athority in order to legally condct the babysitting

20 The income derived from babysitting is the primary or only sorce of the hosehold s income. There is a registered bsiness associated with the babysitting. (h) Vibration or the weakening of, removal of or interference with spport to land, bildings or other property. (i) Bilding work, constrction or demolition of a bilding, inclding the bildings if the vale of the work exceeds $100,000. (j) Personal injry to any person arising ot of the transmission of any commnicable disease by yo or yor family. (k) The ownership of land, bildings or strctres other than the bildings insred by this policy. (l) Loss, damage, illness or injry intentionally cased by yo or a member of yor family or a person acting with yor consent or the consent of any member of yor family nless it was reasonably to redce loss, damage or injry that otherwise wold have occrred. (m) The lawfl seizre, confiscation, nationalisation or reqisition of the property insred. (n) Destrction of or damage to property by any government or pblic or local athority. (o) The ownership or se of any motor vehicle other than nder the cover given by the Additional benefit Motor Vehicle Liability. (p) Any act or omission that is knowingly illegal, dishonest, fradlent, wilfl, malicios or done with reckless disregard for their conseqences by yo, yor family or a person acting with the consent of yo or yor family. (q) Flood. What we will pay (a) We pay p to $20,000,000 for any one occrrence. (b) We do not pay more than this amont in total nder all policies we have issed to yo which cover the same liability. (c) In addition to this amont, we pay legal costs for which we have provided prior written approval. (d) In addition to this amont, we pay cort appearance expenses which we approve. Cort appearance expenses shall inclde p to $250 per day bt exclding the first day, to a total of $5,000 in any one period of insrance for proven income loss by yo or a member of yor family at or reqest. Provided that we will only reimbrse income loss for days on which yo are not able to condct any income-earning activity whatsoever

21 Additional benefits We give yo the following additional benefits. For any additional benefits to be payable, yo mst sffer or incr the relevant loss, liability or damage dring the period of insrance. We pay additional benefits 1 to 32 in addition to yor sm insred for bildings or contents, depending on the type of cover yo have chosen: 1. Contents away from the sitation This additional benefit applies if this policy insres yor contents in yor primary residence. We insre yor contents anywhere: in Astralia or New Zealand whilst they are temporarily away from the sitation, or yor stdent children s contents while yor child is temporarily residing and stdying away from the sitation, and worldwide whilst they are temporarily away from the sitation, for a period of p to 90 days, in any one period of insrance. We insre nder this additional benefit items that yo have prchased in Astralia or overseas, provided that: yo intend to retrn the item to the sitation for an indefinite period, the item wold be contents as defined in this policy once they are retrned to the sitation. Bt, nder this additional benefit 1, we do not insre: (a) The following items: Contents in transit dring a permanent removal from the sitation (other than as described in Additional benefit 11 Contents being conveyed to yor new or residence, and covered nder Additional benefit 2 Contents in storage. Property sed in connection with a profession, trade or bsiness. Contents in storage, other than as described in Additional benefit 2, Contents in storage. (b) The following items, accessories or spare parts while they are contained in a tent, vehicle, watercraft, aircraft or in the open air: Canoes, srfboards, srf skis and sailboards or other watercraft. Ride-on golf bggies and ride-on mowers. Motor vehicle (inclding motorcycle and motorscooters), caravans and trailers. Open air incldes non-lockable strctres and non-lockable parts of strctres not at the sitation. The maximm we pay for items of: (i) jewellery, gold or silver articles, frs, watches, (ii) collections of any kind, while they are temporarily removed from yor sitation, is $10,000 per item, p to 25% of yor nspecified contents sm insred in total, nless yo have specified them and they appear on yor policy schedle nder the Valables option and yo have paid any additional premim. For items other than (i) or (ii) above, the maximm amont we pay for items while they are temporarily removed from yor sitation is sbject to the limits described nder What we will pay. 2. Contents in storage If this policy insres yor contents, we pay for loss or damage to them cased by an event insred when they are in storage provided yo obtain or written agreement before they are pt into storage

22 We do not pay for: yor contents stored in open plan storage premises, inclding frnitre repositories, warehoses, factories, or other indstrial premises yor contents stored in shipping containers, or any jewellery, or negotiable instrments whilst they are in storage. 3. Fees If this policy insres yor bildings, and: it is damaged as a reslt of an event insred nder this policy, and we agree to pay a claim, we pay any reasonable fees which we have approved and which are incrred directly in relation to repair or replacement of yor bildings. 4. Removal of debris If this policy insres yor bildings, and: it is damaged as a reslt of an event insred nder this policy, and we agree to pay a claim, we pay the reasonable costs of demolition and removal of debris from the sitation. If the damage for which we agree to pay a claim is cased by a fallen tree, which as a reslt becomes debris, we will remove the tree from the sitation. We will remove a standing tree or branch that formed part of the tree that cased the insred damage only if: we agree that the remaining tree or branch is nsafe the remaining tree or branch only became nsafe as a direct reslt of the event covered nder this policy casing damage to the tree, and all necessary approvals have been obtained and removal of the tree or branch wold not reslt in a breach of any laws, bylaws, reglations or contractal obligations. We will remove a stmp that formed part of the tree that cased the insred damage only if: all necessary approvals have been obtained and removal of the stmp wold not reslt in a breach of any laws, bylaws, reglations or contractal obligations, and not removing the stmp wold interfere with repairing or replacing the damaged part of the bildings reqired to settle yor claim. If it is not necessary to remove the stmp to repair or replace yor bildings, then we will pay the cost of treating the stmp to prevent re-growth. If this policy insres yor contents, and they are damaged as a reslt of an event insred nder this policy, and we agree to pay a claim, we pay the reasonable costs of removal of contents debris from the sitation. 5. Extra costs of reinstatement If this policy insres yor bildings, and it is damaged as a reslt of an event insred nder this policy, and we agree to pay a claim, we pay p to $25,000 for the extra costs necessary to meet the reqirements of any stattory athority in connection with rebilding or repairing yor bildings at the sitation. If only part of yor bildings is damaged, we pay only the extra costs yo incr in repairing that part. We do not pay any extra costs which reslted from any notice which a stattory athority served on yo before yor bildings sffered loss or damage. 6. Illegal se of credit card or financial transaction card If this policy insres yor contents in yor primary residence and a credit card or financial transaction card, mobile phone SIM card or cheqe is lost or stolen, we pay p to $5,000 towards any legal liability yo incr from its nathorised se.

23 We do not pay if: the card does not belong to yo or yor family yo have not complied with the card isser s reqirements, or the nathorised ser of the card is someone living at the sitation. 7. Visitors or employees contents If this policy insres yor contents in yor primary residence, we also insre contents p to $5,000 in total belonging to any visitors or employee temporarily living with yo at the sitation. We do not pay for visitors or employees contents that are insred nder another policy taken ot by someone other than yo or yor family. 8. Replacement of locks and keys We pay to replace or alter locks and/or keys, or remote control devices if: locks to yor bildings or vehicle are damaged, or keys to yor bildings or vehicle are lost, damaged or stolen from anywhere in Astralia. 9. Change of sitation If this policy insres yor contents and yo are moving into a new bildings within Astralia, we insre yor contents at both sitations for a maximm of 30 days. The maximm we pay at each sitation will be the proportion of the sm insred that the vale of the contents at that sitation bears to the total vale of the contents at both sitations. Yo mst tell s of yor new address within 30 days of first moving to it. If yo wish to insre yor contents at yor new address after that 30 days, we mst agree to insre them at that address. Yo mst pay s any additional premim we ask for and comply with any conditions we impose. 10. Contracting prchaser If this policy insres yor bildings, and yo have entered a contract to sell the bildings, this policy insres the prchaser(s) for their respective rights and interests ntil: the sale is completed, or the prchaser takes possession of yor bildings, or the sale is terminated, or this policy expires, whichever happens first. 11. Contents being conveyed to yor new residence This additional benefit applies if this policy insres yor contents in yor primary residence. We insre yor contents damaged while they are in a vehicle being sed to convey yor contents. The damage mst occr directly as a reslt of: theft from the conveying vehicle fire on the conveying vehicle flood damage to the contents in the conveying vehicle collision and/or overtrning of the conveying vehicle, while yor contents are in transit by road to: yor new principal place of residence, or a storage facility at which yor contents or some of yor contents will be temporarily located pending conveyance to yor new principal place of residence, within Astralia. We do not insre yor contents: For removal to any residence other than one intended to be occpied by yo as yor principal residence. 12. Trees, shrbs and plants If yo occpy the bildings insred by this policy as yor primary residence, we pay for damage cased directly by accidental or malicios damage to trees, 40 41