Home Insurance. Village Style Residence. Product Disclosure Statement and Policy Wording. Rewarding experience

Transcription

1 Home Insurance Village Style Residence Product Disclosure Statement and Policy Wording Rewarding experience

2 Welcome to Apia Thank you for choosing Apia. If you need anything in relation to your insurance, or if you need to make a claim, you can call us 24 hours a day, 7 days a week on How to use this Product Disclosure Statement and Policy Wording We have designed this Product Disclosure Statement and Policy Wording so that it is easy for you to see what is covered and what is not covered. In most areas of the Policy Wording, we have put What IS covered on the left hand page of the booklet, and What is NOT covered on the right hand page of the booklet. Where a limit applies to a particular benefit of this policy, it will be shown in the far right hand column under Maximum benefit. To fully understand your cover, you should read the full Policy Wording including any limitations and exclusions that may apply. If there is anything you don t understand, please feel free to discuss it with us at your nearest Apia branch, either by telephone or in person. You may need to refer to this document from time to time. So keep it in a safe place. Inflation protection The sum insured shown on your certificate for your home and contents insurance will be automatically adjusted at the end of each period of insurance to account for inflationary trends. Sum insured The sum insured shown on your certificate includes taxes and charges and is the maximum amount we are obliged to pay in settlement of any claim. Notice If more than one person is insured under this policy, a failure or wrongful action by one of those persons may adversely affect the rights of the other person(s) insured under this policy. This insurance product is issued by: Australian Alliance Insurance Company Limited ABN Australian Financial Services Licence No Level 4, 440 Collins Street, Melbourne, VIC This Product Disclosure Statement was prepared on 20/02/2008.

3 Contents The General Insurance Code of Practice 1 Product Disclosure Statement 2-8 Significant features and benefits 2 About the insurer 4 What you must tell us 5 Exclusions applicable to your policy 6 Policy Wording 9-46 Our agreement with you 9 Home insurance cover 10 Home insurance additional benefits 14 Contents insurance cover 20 Contents insurance additional benefits 24 Legal liability cover 36 Valuables cover 40 Specified valuables cover 42 General exclusions applicable to your policy 44 Claims information Making a claim 47 Paying your claim 50 Important information How we resolve your complaints Glossary of important words and phrases The General Insurance Code of Practice Apia believes it is important that insurance companies meet high performance and service standards. That s why we fully support the General Insurance Code of Practice. The Code sets the standards of customer service to be provided by the insurance industry. It covers matters such as purchasing insurance, claims handling and dispute resolution. The Code is the general insurance industry s promise to be open, fair and honest in the way it deals with customers. That s the way Apia runs its business. You can obtain more information about the Code from your local Apia branch or from the Insurance Council of Australia. 1

4 Product Disclosure Statement Please read this Product Disclosure Statement and Policy Wording carefully so you are aware of the risks, limits of cover and other significant features associated with this policy. Significant features and benefits The Apia Home Insurance Village Style Residence policy offers four types of cover to choose from. The cover you choose will be shown on your certificate. Here is a brief summary of the significant benefits available under each type of cover. For the full details you must read the entire Policy Wording which starts on page 9. Home insurance provides cover for the following. Loss or damage to your home caused by an event listed under Home insurance cover on pages 10 13, up to the sum insured shown on your certificate. Legal liability for accidental loss or damage to someone else s property and accidental death or bodily injury to another person for which you are legally liable as owner and/or occupier of your home, up to an amount of $20,000,000. Additional benefits as described in the Policy Wording on pages 14 19, including the following. Extra costs of rebuilding, including reasonable costs of architects, consultants, surveyors and solicitors, following loss or damage covered by this policy. Removal of debris or demolition following loss or damage covered by this policy. Trees, plants and shrubs up to $2,000 for reasonable costs of replacement. Damage caused by heat from kitchen appliances to fixed tables and benches, up to $1,000. Contents insurance provides cover for the following. Loss or damage to your contents caused by an event listed under Contents insurance cover on pages 20 23, up to the sum insured shown on your certificate. 2

5 Legal liability for accidental loss or damage to someone else s property, and accidental death or bodily injury of another person for which you are legally liable as occupier of your home and/or owner of your contents up to an amount of $20,000,000. Additional benefits as described in the Policy Wording on pages Australia-wide cover. Your contents are covered for most insured events anywhere in Australia whilst temporarily removed from your address for up to 120 consecutive days. (Note: some restrictions apply. Please see the Policy Wording on page 26.) Removal of damaged property. Your contents are covered for the reasonable cost of removing debris and damaged property up to $5,000. Temporary accommodation costs you incur for similar temporary accommodation if your home becomes unliveable due to loss or damage covered by this policy, up to 20% of the sum insured on your contents. Contents in professional storage. You can choose to cover your contents in professional storage. Visitors and carers effects are covered for up to $2,000. Veterinary expenses up to $1,000 if your pet is injured as a result of vehicle impact. Unauthorised use of credit cards up to $1,500 for loss caused by an unauthorised use of your credit cards or other financial transaction cards. Temporary repairs and protection to prevent further loss or damage following any loss or damage covered by this policy, for reasonable costs. Valuable items provides cover for accidental loss or damage to your valuable items up to an amount of $1,000 per item, pair, set or collection. Specified valuable items provides cover for accidental loss or damage to your valuable items that you specify up to the limits shown on your certificate. 3

6 About the insurer Australian Alliance Insurance Company Limited ABN , Australian Financial Services Licence No (AAI), has prepared this Product Disclosure Statement and is the issuer of policies effected by Australian Pensioners Insurance Agency Pty Limited ABN (Apia). Apia is the authorised representative and wholly owned subsidiary of AAI, and acts as AAI s agent under authority given to it by AAI to enter into contracts of insurance on behalf of AAI as insurer to deal with and settle claims on behalf of AAI. AAI can be contacted by writing to Level 4, 440 Collins Street, Melbourne What services do we offer? Apia is authorised by AAI to provide the following financial services. Personal advice in respect of the authorised insurance policies, below. Quote or arrange to issue the authorised insurance policies, below. Handling and settlement of claims. Authorised insurance policies Apia Home Insurance. Apia Car Insurance. Apia Boat Insurance. Apia Caravan Insurance. Apia Travel Insurance. Apia Motorhome Insurance. If we recommend a particular insurance policy to you, or arrange for the issue of an insurance policy, we will also provide you with a Product Disclosure Statement. This will contain information to help you make an informed decision about the policy. 4

7 You are also entitled to receive a statement of advice whenever we give you any personal advice about the authorised insurance policies. Personal advice is advice that takes into account one or more of your objectives, financial situation or needs. The statement of advice will contain a record of the advice given by us and the basis on which it was given. How are we paid for providing financial services? Apia does not receive any commissions or benefits from AAI for giving you advice or for arranging the issue of the authorised insurance policies. AAI as insurer will receive 100% of the premiums paid for the policy. What you must tell us When answering our questions you will need to answer for yourself and anyone else who may receive a benefit under this insurance cover. It is important that you answer our questions truthfully and accurately, as they may affect our decision to insure you or pay a claim. 5

8 Exclusions applicable to your policy Your policy may not provide you with cover in certain circumstances. Further information about the circumstances in which exclusions under this policy may apply is contained on pages Premiums We calculate your premium after taking a variety of factors into account. Some factors are set, such as our costs of distribution and profit component. Other factors can affect the amount of your premium. The higher your risk profile, the higher your premium. Using our experience, we decide what factors will increase your risk profile and how they impact on the premium. The following table is a guide on how these factors combine together and may influence our assessment of the risk and therefore, your premium. Factor The postcode where your home and/or contents are located The amount you choose to insure your home and/or your contents The construction type of your home Purpose for which your home is used In what capacity your home is occupied The amount of your excess Multi-risk discount May Reduce Premium Lower risk postcode Lower sum insured N/A N/A By you A higher excess Your home and contents are insured on the same policy May Increase Premium Higher risk postcode Higher sum insured Fibro Holiday home By a tenant A lower excess N/A 6

9 Your premium also takes into account our obligation to pay any relevant compulsory government charges, taxes or levies (e.g. stamp duty, GST and fire services levy) in relation to your policy. These amounts will be set out separately on any certificate of insurance as part of the total premium payable. Excess When you make a claim under your policy, you may be required to pay an excess in respect of your claim. You can also choose to pay a lower premium by selecting a higher excess. The higher the excess you choose, the lower your premium. Please call for full details. A minimum excess is payable if you claim for valuables and/or specified valuables. The amount of your excess is shown on your certificate. Cancelling this policy You may cancel this policy at any time. If you choose to cancel this policy, you will be refunded the unexpired portion of the premium, less any non-refundable government taxes and duties. How to make a claim For information on how to make a claim under your policy, see Claims information on pages What to do if you have a complaint For information about how we deal with your complaints, see How we resolve your complaints on pages

10 Your privacy Apia complies with Australia s privacy laws. We may communicate your information to organisations to whom we outsource certain functions, such as claim assessing or mail processing. In these circumstances confidentiality agreements apply. On occasion, we may be obliged to disclose information by law if requested to do so. For full details of our privacy policy, you can: view it online at apia.com.au request a copy of our privacy brochure titled Privacy and your personal information by calling or visiting a branch. Apia likes to keep you informed about our products, which may be of interest to you. If you would prefer not to receive any promotional material and have not previously told us, then please call at any time. Please note that you may be able to access any information we hold about you. How to contact Apia Contact us in person at any Apia branch. Call us on hours a day, 7 days a week. Visit us online at apia.com.au Information in this Product Disclosure Statement is subject to change from time to time. We will issue a supplementary or replacement Product Disclosure Statement if the change is materially adverse. For other changes, updated information can be obtained at any Apia branch or by calling A paper copy of any updated information will be provided free of charge, on request. 8

11 Policy Wording Our agreement with you Apia on behalf of Australian Alliance Insurance Company Limited ABN agrees in return for your premium, to insure you in the circumstances and subject to the terms and conditions and amounts of cover set out in this policy. 9

12 Home insurance cover This cover is optional. If you have chosen to include this cover, it will be shown on your certificate. If your home suffers loss or damage caused by an event listed below, we will choose to do one of the following: repair the damaged portion of your home, replace your home, compensate you for the amount we would have paid for repair or replacement. Please refer to the glossary on page 57 for details of what your home means. Home insurance - What IS covered Accidental breakage of: glass and mirrors fixed to your home, skylights, shower bases, basins, sinks, baths, lavatory bowls or cisterns. Earthquake Electrical motor burnout of an electric motor in a machine which is part of your home. 10

13 Home insurance - What is NOT covered Loss or damage if the breakage does not extend through the entire thickness of the damaged item. Accidental breakage of: glass forming part of a glasshouse or greenhouse, tiled shower bases, glass forming part of a cooktop or cooking surface. Repairs or costs that are as a result of the motor burning out or are incurred as a result of repairing the damage caused by an electrical current. This includes, but is not limited to, all protective devices and mechanical parts. Repairs or costs in excess of 2% of the sum insured for your home. Where a replacement motor is required but is not available for any reason, we will only pay the value of the motor prior to it burning out, the reasonable costs of repairing the motor or 2% of the sum insured for your home, whichever is the least. 11

14 Escape of liquid from the following. Any water main or fixed pipe, gutter or guttering, fixed tank or drain. A sink, toilet, bath, basin or waterbed. A fixed heating or cooling system. A dishwasher or washing machine. An aquarium. Home insurance - What IS covered Fire, explosion and lightning Flood Impact of any vehicle, animal, aircraft, space debris, meteorite, aerial or mast that has broken, collapsed or fallen, or a fallen or lopped tree or branch. Malicious damage and vandalism Riot, civil commotion or public disturbance Storm, hail or rainwater Theft, attempted theft, burglary or housebreaking 12

15 Home insurance - What is NOT covered Costs incurred in repairing or replacing the item from which the liquid escaped. Damage caused by condensation. Scorching, arcing, or heat damage that happens without flames. Flood damage to retaining walls, paths, driveways, tennis court surfaces and paved or concrete outdoor surfaces. Tidal inundation caused by the action of the sea, erosion, landslide, subsidence or tsunami. Impact by: an animal kept at your address, a tree or branch lopped by you or on your behalf. Malicious damage or vandalism caused by: you, a person living with you, or a person lawfully at your address. Storm, hail or rainwater damage to: retaining walls, paths, driveways, tennis court surfaces and paved or concrete outdoor surfaces, external paintwork of your home if that is the only damage sustained to that part of your home. Theft, attempted theft, burglary or housebreaking by: any person who lives with you, or any person who is lawfully at your address. 13

16 Home insurance additional benefits The additional benefits listed below are in addition to the sum insured for your home. These additional benefits only apply when you have insured your home. Home insurance - What IS covered Emergency services We will pay to repair any damage to your home caused by emergency services in the case of a medical emergency. Exploratory costs Following loss or damage insured by this policy, we will pay the reasonable costs incurred in locating the cause. Fees associated with rebuilding Following loss or damage insured by this policy, we will pay the reasonable costs of the following. Architects, consultants, surveyors and solicitors fees relating to the replacement or repair of your home. Fees incurred during discharge and reinstatement of a mortgage on your home. Preparation of new title deed documents for your home, when lost or destroyed in your home or a bank safe deposit. Any additional costs incurred in complying with government or local authority regulations or by-laws. Funeral expenses If you, or a member of your family dies as a result of loss or damage insured by this policy, we will pay the funeral expenses to you or your estate. Heat from kitchen appliances We will pay for damage to fixed tables and benches in your kitchen caused by heat emanating from a kitchen appliance. Home rebuilt at another address If your home is replaced as a result of loss or damage insured by this policy, you may do so to your specifications at your address or another address you choose. 14

17 Home insurance - What is NOT covered Maximum benefit Reasonable costs. We will not pay these costs if the loss or damage is caused by a lack of maintenance. Reasonable costs. $5,000 $5,000 $1,000 Any amount in excess of the amount we would pay if the change of address or specifications had not occurred. Up to the sum insured for your home shown on your certificate. 15

18 Home insurance - What IS covered Locks and keys If the keys, magnetic swipe cards or handheld remote controls to your home are stolen from your home, we will pay the cost of rekeying, recoding or replacing (whichever is the lesser) locks and cylinders on external doors and windows for which the stolen keys, magnetic swipe cards or handheld remote controls were intended. Loss of metered water or gas Following loss or damage insured by this policy, we will reimburse you for costs you become legally liable to pay for loss of metered water or gas. Paraplegia and quadraplegia If you are injured as a result of loss or damage insured by this policy and that injury results in your paraplegia or quadraplegia, we will pay for modifications to your home so that you can continue to live in your home. Rainwater tank If we replace your home following loss or damage insured by this policy, we will pay the reasonable costs of a rainwater tank. Removal of debris Following loss or damage insured by this policy, we will pay the reasonable cost of removing debris and necessary demolition. Temporary accommodation Following loss or damage insured by this policy, if we are satisfied your home is unliveable, we will pay any additional costs you incur for similar accommodation until you are able to live in your home. The amount we pay you will be based on the market s weekly rental value of your home, less any savings you receive on your usual accommodation costs during the repair period. If we pay temporary accommodation for you, we will also pay for temporary accommodation for your pets in a commercial boarding establishment for the same period. 16

19 Home insurance - What is NOT covered If you have insured your contents, this benefit will be paid under your contents insurance cover. Maximum benefit $1,000 $500 $10,000 $1,000 Removal of any tree stump. Removal of fallen trees or branches where no damage to your home has occurred. $5,000 Up to 20% of the sum insured for your home as shown on your certificate. 17

20 Home insurance - What IS covered Temporary accommodation official evacuation If emergency services refuse you access to your home for safety reasons, we will pay the costs you incur for similar accommodation until you are able to access your home again. The amount we pay you will be based on the market s weekly rental value of your home. If we pay temporary accommodation for you, we will also pay for temporary accommodation of your pets in a commercial boarding establishment for the same period. Temporary repairs Following loss or damage insured by this policy, we will pay the reasonable costs incurred for temporary repairs and protection necessary to prevent further loss or damage. Trees, plants and shrubs Following loss or damage insured by this policy, we will pay the reasonable costs of replacing inground: trees, plants, or shrubs. Uninstalled building materials We will pay the costs of replacing any uninstalled building materials whilst at your address for loss or damage insured by this policy. 18

21 Home insurance - What is NOT covered Any costs incurred for temporary accommodation after you can access your home. If your temporary accommodation is free. Maximum benefit Up to 5% of the sum insured for your home shown on your certificate. Reasonable costs. Damage caused by the escape of liquid from: any water main or fixed pipe, gutter or guttering, fixed tank or drain, a fixed heating or cooling system. Storm, hail or rainwater. Flood. $200 per tree, plant or shrub, up to $2,000 for any one claim. $1,000 19

22 Contents insurance cover This cover is optional. If you have chosen to include this cover, it will be shown on your certificate. If your contents suffer loss or damage whilst contained in your home from any of the events listed below, we will choose to do one of the following: repair the damaged contents, replace the damaged contents, compensate you the amount it would have cost us for repair or replacement. Please refer to the glossary on page 56 for details of what contents means. Contents insurance - What IS covered Accidental breakage of glass forming part of your furniture. Earthquake Electrical motor burnout of an electric motor in a machine which is part of your contents. 20

23 Contents insurance - What is NOT covered Accidental breakage of: glass in sound equipment, television sets and computers, glass forming part of your furniture in the open air. Loss or damage if the breakage does not extend through the thickness of the damaged item. Motors forming part of equipment used in connection with your trade, business or occupation. Repairs or costs that are as a result of the motor burning out or are incurred as a result of repairing the damage caused by an electrical current. This includes, but is not limited to, all protective devices and mechanical parts. Repairs or costs in excess of 2% of the sum insured for your contents. Where a replacement motor is required but is not available for any reason, we will only pay the value of the motor prior to it burning out, the reasonable costs of repairing the motor, or 2% of the sum insured for your contents, whichever is the least. 21

24 Escape of liquid from the following. Any water main or fixed pipe, gutter or guttering, fixed tank or drain. A sink, toilet, bath, basin or waterbed. A fixed heating or cooling system. A dishwasher or washing machine. An aquarium. Contents insurance - What IS covered Fire, explosion and lightning Flood Impact of any vehicle, animal, aircraft, space debris, meteorite, aerial or mast that has broken, collapsed or fallen, or a fallen or lopped tree or branch. Malicious damage and vandalism Riot, civil commotion or public disturbance Storm, hail or rainwater Theft, attempted theft, burglary or housebreaking 22

25 Contents insurance - What is NOT covered Costs incurred in repairing or replacing the item from which the liquid escaped. Damage caused by condensation. Scorching, arcing, or heat damage that happens without flames. Flood damage to retaining walls, paths, driveways, tennis court surfaces and paved or concrete outdoor surfaces. Tidal inundation caused by the action of the sea, erosion, landslide, subsidence or tsunami. Impact by: an animal kept at your address, a tree or branch lopped by you or on your behalf. Malicious damage or vandalism caused by: y o u, a person living with you, or a person lawfully at your address. Storm, hail or rainwater damage to: retaining walls, paths, driveways, tennis court surfaces and paved or concrete outdoor surfaces, external paintwork of your home if that is the only damage sustained to that part of your home. Theft, attempted theft, burglary or housebreaking by: any person who lives with you, or a person who is lawfully at your address. 23

26 Contents insurance additional benefits The additional benefits listed below are in addition to the sum insured for your contents. These additional benefits only apply when you have insured your contents. Contents insurance - What IS covered Contents in common areas We will extend cover provided by this policy to include your contents that are permanently fixed in common areas of your residential complex. We will only do this if you are the owner of a unit on a plan of subdivision, which as provided for or resulted in the creation of a body corporate. Contents in storage (after loss or damage) If your home suffers loss or damage insured by this policy and we agree that your contents cannot be kept in your home or at your address we will pay for your contents to be stored in a professional storage facility until your home is repaired or replaced. If this does occur, cover provided by this policy for your contents will continue. Contents in professional storage We will extend cover provided by this policy to include your contents stored in a professional storage facility. We will only do this if you have told us and we have agreed to cover them. Contents in the open air Following loss or damage insured by this policy, we will extend cover to your contents in the open air at your address. 24

27 Contents insurance - What is NOT covered Any loss or damage for which your body corporate is liable. Any item not wholly owned by you. Maximum benefit $2,000 Up to $5,000 or 12 months, whichever is the lesser. Any amount unless shown on your certificate. Accidental breakage. Electrical motor burnout. Food or beverages of any kind. Cash or negotiable documents. Up to $1,000 per item, pair, set or collection for pictures, works of art, vases, ornaments, furs, leather items, cameras or photographic equipment or video cameras and their accessories. Theft claims - $1,000. All other claims - up to 5% of your contents sum insured shown on your certificate. 25

28 Contents insurance - What IS covered Contents in transit We will cover your contents whilst in transit when you are changing address within Australia, if the vehicle being used as transport is damaged due to fire, accident or theft. Contents stored at residential complex We will extend cover provided by this policy to include your contents whilst stored in a locked storage cage that is located within your residential complex. Contents temporarily removed We will extend cover provided by this policy to include your contents anywhere in Australia whilst temporarily removed from your address. 26

29 Contents insurance - What is NOT covered Cash or negotiable documents. Your contents whilst they are removed for sale, storage, hire or reward unless we have agreed your contents must be stored following loss or damage to your home. Accidental breakage. Electrical motor burnout. Cash and negotiable documents. Any storage cage located in the open air. Accidental breakage. Your contents whilst they are removed for sale, storage, hire or reward. Cash or negotiable documents. Electrical motor burnout, theft, attempted theft, burglary or housebreaking unless your contents are in a residence, hotel, motel, residential club, hospital or nursing home where you are residing at the time of the loss. Maximum benefit The contents sum insured shown on your certificate. Theft claims - $5,000 All other claims - $1,000 per individual item, pair, set or collection up to a total of $10,000 or 25% of the sum insured for your contents shown on your certificate, whichever is the lesser. $1,000 per item, pair, set or collection up to a total of 20% of the sum insured for your contents shown on your certificate. 120 consecutive days. 27

30 Contents insurance - What IS covered Credit cards or other financial transaction cards We will pay you for your loss if your credit cards or other financial transaction cards are stolen from your home and misused by an unauthorised user. The amount we pay you will be less any amount covered by your credit card or other financial transaction cards provider. Death, paraplegia or quadraplegia If you are injured as a result of loss or damage insured by this policy and that injury results in your death, paraplegia or quadraplegia, we will pay you or your estate in respect of your injury. Fixtures and fittings We will extend cover provided by this policy to include bench tops, floor coverings, fixtures, fittings and in-ground plants owned or installed by you or for which you are legally liable. We will only do this if you do not own your home, or you are the owner of a unit on a plan of subdivision, which has provided for or resulted in the creation of a body corporate. Food and medication spoilage We will cover the replacement of any lost or spoiled food or medication, if your refrigerator or freezer breaks down following: electrical or electronic breakdown, failure or malfunction, the escape of refrigerant fumes, the public electricity supply failing to reach your home. 28

31 Contents insurance - What is NOT covered If you have failed to comply with the terms and conditions of the card. If the unauthorised user of your card was a member of your family or a person who lives in your home. Any amount covered by the credit card or other financial transaction card s provider. Maximum benefit $1,500 $10,000 Any amount in excess of the amount that would have been paid under Your home cover if this benefit had not been applied. $200 per item up to $2,000 in total for in-ground plants. If the public electricity supply failure was caused by industrial action or the deliberate act of a power supply authority. $500 29

32 Contents insurance - What IS covered Guests, visitors and carers contents Following loss or damage covered by this policy, we will extend cover to contents belonging to your guests, visitors or carers that are not otherwise insured. Locks and keys If the keys, magnetic swipe cards or handheld remote controls to your home are stolen from your home, we will pay the cost of rekeying, recoding or replacing (whichever is the lesser) locks and cylinders on external doors and windows for which the stolen keys, magnetic swipe cards or handheld remote controls were intended. Moving to a new address If you are permanently moving to a new address, we will cover your contents at your current address and your new address. Office equipment If you maintain an office at your home, we will extend cover to include your office equipment. Recreational goods We will extend cover provided by this policy to include your recreational goods whilst contained within the boundaries of your residential complex. 30

33 Contents insurance - What is NOT covered Malicious damage or vandalism. Cash and negotiable documents. Contents owned by guests, visitors or carers who have stayed in your home for more than 30 consecutive days. Accidental loss or accidental damage. Maximum benefit $2,000 unless a higher amount is shown on your certificate. $1,000 Up to 14 consecutive days. $10,000 or 25% of the sum insured of your contents shown on your certificate, whichever is the lesser. Laptop computers, PDAs and mobile phones. $1,000 31

34 Contents insurance - What IS covered Removal of debris Following loss or damage insured by this policy, we will pay the reasonable cost of removing debris and damaged property. Spare parts and accessories of motor vehicles or watercraft Following loss or damage insured by this policy, we will cover accessories and spare parts removed from your motor vehicle, motorcycle or watercraft and stored within your home. Stock Following loss or damage insured by this policy, we will extend cover to include stock used in your trade, business or profession. Temporary accommodation If your home is unliveable following loss or damage insured by this policy, we will pay any additional costs you incur for similar accommodation until you are able to live in your home. The amount we pay you will be based upon the weekly market rental value of your home, less any savings you receive on your usual accommodation costs during the repair or replacement period. If we pay temporary accommodation for you, we will also pay for temporary accommodation for your pet in a commercial boarding establishment for the same period. 32

35 Contents insurance - What is NOT covered Maximum benefit $5,000 $2,000 or 1% of your contents sum insured shown on your certificate, whichever is the lesser. $1,000 Up to 20% of the sum insured for your contents shown on your certificate. 33

36 Contents insurance - What IS covered Temporary accommodation official evacuation If emergency services refuse you access to your home for safety reasons, we will pay the costs you incur for similar accommodation until you are able to access your home again. The amount we pay you will be based on the market s weekly rental value of your home. If we pay temporary accommodation for you, we will also pay for temporary accommodation for your pets in a commercial boarding establishment for the same period. Temporary repairs Following loss or damage insured by this policy, we will pay the reasonable cost of temporary repairs and protection to prevent further loss or damage. Theft of your bag If your bag is stolen anywhere in Australia whilst being carried by you, we will pay you the cost of your bag and the contents contained within your bag. Tools, instruments and equipment Following loss or damage insured by this policy, we will extend cover to include tools, instruments and equipment used for your current or former business or occupation whilst in your home. Veterinary expenses We will pay the reasonable veterinary expenses if your pet is injured as a result of vehicle impact. 34

37 Contents insurance - What is NOT covered Any costs incurred for temporary accommodation after you can access your home. If your temporary accommodation is free. Maximum benefit Up to 5% of the sum insured for your contents shown on your certificate. Reasonable costs. If the theft of the bag was not reported to the police. Cash and negotiable documents. $500 $3,000 unless a higher amount is shown on your certificate. $1,000 35

38 Legal liability cover Legal liability - What IS covered We will cover you for your legal liability following an occurrence or series of occurrences for: accidental loss of or accidental damage to any property, accidental death or bodily injury. We will also cover you for legal costs incurred with our consent or ordered against you. The extent of that cover is as follows. Where you have insured your home and you are the owner and occupier of your home, your liability as owner and/or occupier is covered. Where you have insured your home and you are the owner but not the occupier of your home, your liability as owner is covered. Where you have insured your home and your home is a unit in a subdivision which resulted in the creation of a body corporate, your liability as a member of the body corporate is covered. Where you have insured your contents and you are the occupier of your home (whether as an owner or as a tenant): your liability as occupier of your home is covered, your liability as owner of your contents is covered, your liability to your landlord in respect of any contents, fixtures or fittings left by the landlord in your home for use by you and your family is covered, your personal legal liability arising anywhere in the world is covered. 36

39 Legal liability - What is NOT covered Any amount in excess of $20,000,000 for any legal liability covered under this policy or any other policy issued by us resulting from an occurrence or series of occurrences. Claims arising from and of, or in connection with: your ownership of any buildings or land other than your home or the land at your address, the transmission of any disease by you, any trade, business, occupation or employment carried on by you or your family for reward other than casual babysitting, your liability or your acceptance of liability arising out of any contract, vibration or interference with the support of land, buildings or other property, registered vehicles (other than garden appliances, bicycles, motorised wheelchairs, mobility scooters and golf carts), aircraft or the provision of any facilities for the landing or storing of such craft, watercraft (other than surfboards, surf skis, sailboards, canoes and kayaks) or the provision for commercial purposes of any facilities for the landing or storing of such craft, any building construction, alteration, addition, repair or decoration which exceeds $50,000 per project. Claims for bodily injury to, the death of or the illness of: you or any person who lives with you in your home, an employee of yours or of any such person. Claims for bodily injury, death or illness of employees or workers who are covered, or should have been covered by Workers Compensation or similar legislation, and who at the time of the accident, were employed by you or any person living at your address. Your liability as owner of your home if you have not insured your home. 37

40 38 Legal liability - What IS covered

41 Legal liability - What is NOT covered Claims for death, bodily injury or illness resulting in part or in total from the consumption of alcohol or drugs of any kind (including tobacco) provided or permitted by you. Claims for loss or damage to property belonging to or under the control of: y o u, any employee of yours, or any person living with you. Claims for punitive or exemplary damages. Claims arising out of, or in connection with contamination or pollution. Claims resulting directly or indirectly from the existence of asbestos, asbestos fibres or derivatives of asbestos. Claims brought against you in any country on the continent of North America, or any state or territory incorporated in or administered from such country. Claims covered by your body corporate s insurance policy. Claims arising as a director of a body corporate. 39

42 Valuables cover This cover is optional. If you have chosen to cover your valuables, it will be shown on your certificate. If your valuables suffer loss or damage, we will choose to do one of the following: repair the damaged valuables, replace the valuables, compensate you the amount it would have cost us for repair or replacement. If, at your request, we agree to compensate you for the cost of repair or replacement, we will reduce the amount of compensation by an amount equal to any trade discount that we would have obtained from a supplier, had we chosen to repair or replace your valuables. Valuables - What IS covered We will cover you for accidental loss or accidental damage to your valuables, during the period of insurance and not excluded by this policy, less any excess shown on your certificate. 40

43 Valuables - What is NOT covered Any amount in excess of the sum insured shown on your certificate for each claim. The exclusions on pages Any valuable items covered under Specified valuables cover. Any amount in excess of $1,000 per individual item, pair, set or collection. Damage to sporting or recreational and leisure goods and equipment whilst in use. Restoration of your computer records. Any valuable item kept in professional storage. 41

44 Specified valuables cover This cover is optional. If you have chosen to cover your specified valuables, it will be shown on your certificate. If your specified valuables suffer loss or damage, we will choose to do one of the following: repair the damaged specified valuables, replace the specified valuables, compensate you the amount it would have cost us for repair or replacement. If you receive compensation for the cost of repair or replacement, we will reduce the amount of compensation by an amount equal to any trade discount that we would have obtained from a supplier, had we chosen to repair or replace your specified valuables. Specified valuables - What IS covered We will cover you for accidental loss or damage to your specified valuables, during the period of insurance and, not excluded by this policy up to the limit shown on your certificate, less any excess. 42

45 Specified valuables - What is NOT covered Any amount in excess of the sum insured shown on your certificate for each claim. The exclusions on pages Damage to sporting or recreational and leisure goods and equipment whilst in use. Restoration of your computer records. Any valuable item kept in professional storage. 43

46 General exclusions applicable to your policy You are not covered under any section of this policy for damage, loss or liability caused by, arising from or involving any of the following. General exclusions applicable to your policy Any damage caused by flood, a named cyclone, bushfire or grassfire within 48 hours of the start date of this policy, unless this policy commenced: the day you bought your home, the day you signed a lease contract for your home, or immediately after another policy covering the same home expired without a break in cover. Any amount in excess of the sum insured on your certificate. Any claim that occurs outside the period of insurance shown on your certificate. In respect of loss or damage caused by one of the events listed in this policy (other than earthquake, riot, civil commotion or public disturbance, or impact), we will not cover you if your home has been unoccupied for a period of 60 continuous days or more (unless you have obtained our written consent and paid any additional premium required by us). Costs incurred in complying with any government, strata or local authority regulations or by-laws where notice requiring compliance was received by you prior to a claim. Loss or damage to any structural improvements, extensions or renovations where you have not obtained required approval from the relevant local authority. Consequential loss of any kind. Cracking, chipping or scratching. Any act by you intended to cause loss or damage or to incur a liability. Incorrect siting of buildings. Demolition ordered by government or local authority. Where your home is in the course of construction. Mechanical, electric or electronic breakdown, failure or malfunction except where an electrical motor is burnt out by electric current. 44

47 In relation to contents, specified valuables and valuables, any costs associated with network connections, including SIM cards. Malicious, unlawful or dishonest acts by persons lawfully at your address. Water entering your home: as a result of your failure to perform adequate maintenance on your home, or a structural defect, or faulty design or workmanship, through any opening made for the purpose of repairs or alterations to your home unless you can prove that the loss or damage was caused by the negligence of someone other than you. Any process involving the use of chemicals. Wear and tear, lack of maintenance or inherent defect. Rust, corrosion, mildew, wet or dry rot, rising damp or seepage and other signs of failure to keep your home in good order and repair. The action of insects, vermin and birds. The action of trees or their roots. Loss or damage to property occasioned by its undergoing any process involving the application of heat. Structural defects or faulty workmanship, settling, shrinkage or expansion. The action of the sea, erosion, landslide, subsidence or tsunami. The lawful seizure or repossession of your home, contents or any valuables. War, invasion, act of a foreign enemy, hostilities (whether war be declared or not), civil war, rebellion or insurrection. 45

48 General exclusions applicable to your policy The use, misuse, or existence of nuclear weapons or the use, misuse, escape or existence of nuclear fuel, waste or materials or ionising radiation or contamination from such fuels, waste or materials, or the combustion, detonation, fission and/or fusion of nuclear fuel or nuclear materials. The existence of, or operation of, or threatened existence or operation of chemical or biological weapon(s) or actual or threatened pollution or contamination from such weapons, or action taken by a public authority or anyone authorised by a public authority to prevent, limit or remedy such pollution or contamination. Damage caused by water seeping or percolating through walls, roofs or floors. Structural improvements owned by your body corporate or building management. Structural improvements located on common property within your residential complex. 46

49 Claims information Making a claim The checklist below can help to ensure you have done all you need to ensure your claim is handled quickly and without further worry. What you MUST do when you make a claim Call us immediately on If you incur a loss resulting in a claim against your Apia policy, contact us immediately on providing full details of the loss you have sustained. We are open 24 hours a day, 7 days a week. This also applies to notification of any claim made against you. You should promptly forward any writ, summons or proceedings which you receive relating to any prosecution, inquest or hearing and all other information relevant to those matters where any liability under this policy may arise. Report to police Immediately advise the police of any malicious damage or act, theft, attempted theft, burglary or loss, and give them a list of items damaged, stolen or lost. You will need to give us the name of the police officer, station reported to and date reported, or the police report number. Prevent further loss Do everything you reasonably can to prevent any further loss or damage from occurring. Assist us with your claim You will need to give us any information relevant to your claim which we may need to handle, assess or investigate your claim, in order to arrive at a settlement of your loss. This may include providing us with quotations for the repair or replacement of your loss, or giving evidence in court if required. If you make a claim and we wish to recover the amount we have paid from another person then subject to the Insurance Contracts Act, we can do so. And you and any other person entitled to cover under this policy must give us any information and help that we may reasonably require. 47

50 What you MUST do when you make a claim Provide proof of ownership, loss or damage When you make a claim you may be required to provide proof of your ownership of the items you are claiming for. Some acceptable proof of ownership documents are listed below. Model and serial numbers as well as evidence of ownership and value of the property. Instruction booklets, and owner s manuals. Valuations. Receipts or accounts of purchase (original or duplicates). Credit card statements or bank statements showing the purchase transaction details. Builder or electrician s reports detailing the loss or damage. Allow us access You may be required to let us enter your home to investigate the cause of loss or damage following a claim. Pay your excess For further information on excesses applicable to your policy refer to page 7. Make your damaged property available You must make your damaged property available for inspection by us or a representative of ours and if we require, deliver the items which have been damaged to us. Co-operate with us When requested, you must provide us with all proof, information, co-operation and assistance in relation to a claim, including giving evidence in court as we may reasonably require. 48

51 What you must NOT do when you make a claim Admit liability You must not: admit guilt or liability to anyone, offer, agree or promise to settle any claim without our prior consent. Authorise repairs Following a loss, you should not carry out or authorise any repairs or arrange replacement of any property without our prior consent (apart from emergency repairs necessary to prevent or minimise further damage). Dispose of damaged goods You will need to keep any damaged property for inspection and assessment of repair costs by our representative or us. You should also not wash or clean or remove debris from an area damaged by fire unless we have agreed for you to do so. 49

52 Paying your claim How we pay a claim for your home Where we pay a claim for your home, we will choose to do one of the following: repair your home, replace the damaged portion of your home, compensate you the amount it would have cost us for repair or replacement. If you decide not to repair or replace your home, or do not commence repair or replacement within six months of the date the loss or damage occurred, we will only compensate you for what it would have cost to repair or replace your home at the date of the loss or damage. Matching building materials Where we repair your home we will try to return your home to the same condition as when new, or when last renovated by matching building materials as far as we can. Where we cannot achieve an exact match, we will use materials that match the damaged or lost materials as near as possible in our opinion. We will only do this to the room where the loss or damage occurred. We will not pay for matching building materials in order to create a uniform effect throughout your home. The most we will pay for your home The most we will pay for your home is the sum insured shown on your certificate. Reinstatement following a loss Where there is loss or damage to your home, your contents or your valuables, and a claim is admitted by us, the sum insured will be automatically reinstated without payment of an additional premium. 50

53 How we pay a claim for your contents Where we pay a claim for your contents, we will choose to do one of the following: repair your contents, replace your contents, compensate you the amount it would have cost us for repair or replacement. If we agree to compensate you for your loss, we will reduce the amount we compensate you by any amount equal to any trade discount which we would have obtained from a supplier, had we chosen to repair or replace your contents. Matching contents materials When we repair or replace your carpets or internal window furnishings, we will only pay for the repair or replacement in the room or rooms where the loss or damage occurred. We will not pay for matching carpets or internal window furnishings to create a uniform effect throughout your home. The most we will pay for your contents Up to $500 for cash, negotiable documents, pre-decimal currency, stamps, postal notes or money orders. Up to $3,000 for stamps, non-negotiable currency and curio collections, unless a higher amount is specified on your certificate. $1,000 per item, pair or set up to 20% in total of the sum insured for your contents for pictures, works of art, vases, ornaments, watches, jewellery, unset stones and gems, furs, leather items, gold or silver articles, documents, cameras or photographic equipment or video cameras and their accessories, unless a higher amount is specified on your certificate. All other items, the sum insured shown on your certificate. 51

54 Important information Protection of property You must do everything you can to safeguard your home, contents and valuables from damage, maintain them in good condition and minimise the risk of injury from them. This includes compliance with all laws, by-laws and statutory regulations. Strata title mortgagee s interest If this policy has been arranged to insure only the interest of a mortgagee in a strata title unit, we will only pay that part of the claim that applies to the interest of the mortgagee but no more than the sum insured shown on your certificate. Hazardous goods If you are storing hazardous goods or substances in your home or at your address, you must comply with all applicable laws and regulations. Other persons bound by this policy Any person entitled to cover under this policy is bound by its terms and conditions. Notification of change of risk You must notify us as soon as possible if any change is made to your home, contents or valuables which we insure and might affect the nature of the risk covered by this policy. Breach of policy If you fail to comply with this policy and your breach or failure prejudices our interests, subject to the Insurance Contracts Act, we may refuse to pay any claim under this policy, whether in whole or in part. Legal representation We may represent or defend you or any person entitled to cover under this policy in respect of legal liability as we see fit at any inquest or inquiry or in any action or proceedings. Cancellation by you This policy may be cancelled by you at any time, either by telephone or in writing. If you cancel this policy, you will be refunded the unused portion of the premium, less any non-refundable government taxes and duties. 52

55 Cancellation by us We may cancel this policy at any time where we are entitled to do so under the Insurance Contracts Act. If we cancel this policy, you will be refunded the unused portion of the premium, less any non-refundable government taxes and duties. Paying by instalments If you are paying the premium for this policy by instalments, you should be aware that if any instalment is not paid on time and remains overdue for: 14 days (or more) we will not pay claims that occur on or after the 14th day, a month (or more) we will cancel this policy from when the instalment was due for payment. When your home is unoccupied for more than 60 consecutive days If loss or damage caused by events listed in this policy occurs (other than earthquake, riot, civil commotion or public disturbance, or impact), we will not cover you if your home has been unoccupied for a period of 60 continuous days or more (unless you have obtained our written consent and paid any additional premium required by us). For your home to be considered occupied, you or someone nominated by you must have stayed in your home for two consecutive nights on at least one occasion in a 60 day period. If you will not be living in your home for more than 60 consecutive days, you are required to: tell us beforehand, pay us any extra premium which may be applicable, make sure that someone collects your mail and sees to the general tidiness of your home so as not to encourage intruders. Excess In respect of each claim you make under this policy, you must contribute the amount of your excess stated on your certificate. You do not have to pay the excess when you make a claim, however you will have to pay the excess before we will pay your claim. 53

56 How we resolve your complaints Our goal Our goal is to have you as a happy, long-term customer. We want you to be completely satisfied in all your dealings with us. Apia is committed to dealing with our customers by: listening carefully to what you tell us, being accurate and honest in telling you about our products and services, communicating with you professionally and in plain language, resolving any complaints or concerns you have with us. If you think we have let you down in any way, or our service is not what you expect, please let us know so that we can help. Talk to us, we re here to help Call us by phone If you have a complaint, please call If we can t resolve the matter over the phone, we will ask you to put it in writing. Contact us in writing Send us the full details of your complaint, including any supporting documents and evidence, and explain what you would like us to do. Please address this information to your nearest Apia branch. Visit us in person Come in and talk to us face to face at your local Apia branch. You ll receive friendly and efficient service and we ll be happy to help. 54

57 Rest assured, that is what we will do If you call, you will be told the name of the most appropriate person to deal with the matter. If you write to us, your letter will be directed to the correct person. In either case your complaint will be handled by the person who has the authority to deal with it. This person will consider the facts and contact you to resolve your complaint as soon as possible, usually within 24 hours. If this person is not able to resolve the matter to your satisfaction, then it will be referred to a Dispute Resolution Manager who has the authority to deal with it and you will be contacted within five business days. If the matter is not resolved to your satisfaction, then it will be referred to the Executive General Manager. You will be sent our final decision in writing within 15 business days from the date you first made your complaint. If your complaint remains unresolved We expect our procedures will deal fairly and promptly with your complaint, however if you remain dissatisfied you have external dispute resolution options available to you such as mediation, arbitration or legal action. You can also raise certain complaints directly with the Financial Ombudsman Service. This is an independent body and its service is free to you. We agree to accept the service s decision. You also have the right to take legal action if you don t accept the service s decision. You can write to them at: Financial Ombudsman Service Limited GPO Box 3 Melbourne, Vic 3001 Or you can phone them on for the cost of a local call anywhere in Australia. 55

58 Glossary of important words and phrases Accidental damage means damage that occurs without intent. Address is where your home or contents is located within your residential complex as shown on your certificate. Certificate is a document outlining the terms and conditions of your contract. Together with the Product Disclosure Statement and Policy Wording, your current certificate forms your contract with us. Contents means items kept in your home for domestic use including: - domestic and antique furniture and furnishings, - carpets, drapes and interior blinds, - moveable swimming pools, - moveable saunas and spas, - wall and floor coverings not fixed to your home, - household goods, medical equipment, clothing and other personal effects, - cash and negotiable documents up to $500, - bicycles, surfboards, surf skis, sailboards, kayaks and canoes, - computer equipment and licensed software, - motorised golf carts, wheelchairs, lawn mowers and motor scooters which do not require registration, - tools used only for domestic purposes, - contents for which you do not own but for which you are legally liable, - fixtures and fittings installed by you or for which you are legally liable, when you do not own your home or it is a unit on a plan of a subdivision, that has resulted in the creation of a strata title or body corporate. Contents does not mean: - motor vehicles, motorcycles, pee wee bikes, trail bikes, trailers, caravans, aircraft, watercraft and their attached accessories, - any item included in the definition of home, - restoration of electronic data files and computer records, 56

59 - trees, plants, shrubs and landscaping, - pets or animals of any kind, - items covered under specified valuables and valuables, - fixtures and fittings insured under another policy. Electrical motor burnout means the breakdown of an electric motor as a result of the electric current flowing through it. Excess means the amount you may be required to contribute towards your claim. Family means the following people who live with you: - your spouse or partner, - your children, parents, grandparents, grandchildren, brothers and sisters, - the children, parents, grandparents, grandchildren, brothers and sisters of your spouse or partner, - people who provide care or services to you. Fire means burning with flames. Fixtures and fittings means any item permanently attached or fixed to your home that you would not normally take with you. This includes, but is not limited to: - kitchen cupboards and benchtops, - built-in wardrobes, - taps and tapware, - shower screens, - vinyl and ceramic flooring. Flood means the inundation of normally dry land by water overflowing from the natural confines of any natural or artificial watercourse or lake. Flood does not mean storm water run off from areas surrounding the site or water escaping from any water main, pipe, street gutter, guttering or surface. Home means the residential building situated at your address, and includes: - domestic outbuildings, - structural improvements, - fixtures including fixed wall, ceiling and floor coverings, - insulation. 57

60 Impact means the forceful, sudden and unexpected striking of one object, surface or item against another. Open air means any area of your address that is not fully enclosed by the walls and roof of your home and is not capable of being secured by a lock or similar device. Period of insurance is the duration of time from the start date to the end date of your policy as shown on your certificate. Pet means a domestic animal kept at your home. Policy means your contract of insurance with us and includes the Policy Wording, your certificate and any endorsements. Professional storage means a secure commercial storage facility containing several individual storage areas that are lockable and fully enclosed by walls, a door and a roof. Rainwater means rain falling naturally from the sky, including rainwater run-off over the surface of the land and including rainwater overflowing from storm water drains and channels. Recreational goods means portable sporting and leisure items and equipment. Residential complex means the estate, park or village in which your home and any communal facilities are located. Storm means violent wind (including a cyclone or tornado), thunderstorm or a heavy fall of rain, snow or hail. Structural improvements are permanent additions to your home that add value to the cost of rebuilding or repairing it and include, but are not limited to: - clotheslines, - paved driveways or paths, - masts and aerials, - pergolas, gazebos and balconies, - in-ground pools, - saunas and spas, - privately owned gates and fences, 58

61 - privately owned wharves, jetties and pontoons not used for commercial purposes, - wheelchair ramps and rails. Valuables means: - belongings normally worn or carried by you, - jewellery and watches, - items that contain gold or silver, - sporting, recreational and leisure goods and equipment, - portable electronic and electrical items and their accessories, - photographic and optical equipment. Valuables does not mean: - cash, negotiable documents, stamps, postal notes, money orders, - unset precious or semi-precious stones or gems, - items thinly coated with gold or silver, - credit, debit, stored value and access cards, - films, compact discs, video and audio tapes, digital video discs, - vehicles and motorcycles, - watercraft, aircraft and aerial devices, - tools of any description. We, us, our means Apia on behalf of Australian Alliance Insurance Company Limited. You, your means the person or persons named on your current certificate of insurance and that person or person s family. 59

62 Notes 60

63 61

64 Your nearest Apia branch Insurance issued by Australian Alliance Insurance Company Limited (AAI) ABN AFSL No Australian Pensioners Insurance Agency Pty Limited ABN acts as agent and authorised representative of AAI apia.com.au AP /06/09 E