Landlord Preferred Policy Product Disclosure Statement and Policy Wording

Landlord Preferred Policy Prodct Disclosre Statement and Policy Wording Astralia s Leading Landlord Insrance Specialist terrischeer.com.a

Astralia s Leading Landlord Insrance Specialist

Terri Scheer Insrance Pty Ltd Landlord Preferred Policy Prodct Disclosre Statement and Policy Wording terrischeer.com.a

2 Prodct Disclosre Statement and Policy Wording (PDS) The prpose of this Prodct Disclosre Statement and Policy Wording (PDS) is to help yo nderstand the insrance policy and provide yo with sfficient information to enable yo to compare and make an informed decision abot it. This PDS is in two parts: Part 1: Part 2: Important Information. This part incldes important information abot yor rights and responsibilities, the General Insrance Code of Practice and how yo may contact s if yo have a complaint. Policy Wording. This part contains the terms, conditions, limits and definitions of yor Insrance. The information in this PDS was crrent at the date of preparation. We may pdate some of the information in the PDS that is not materially adverse from time to time withot needing to notify yo. Yo can obtain a copy of any pdated information by contacting s. We will give yo a free paper copy of any pdates if yo reqest them. In some circmstances this PDS may be amended by a Spplementary Prodct Disclosre Statement. Astralia s Leading Landlord Insrance Specialist

Part 1: Important Information It is important that yo: Read all of this PDS before yo by the Insrance to make sre it gives yo the protection yo need, and Are aware of the limits on the cover provided, the amonts we will pay yo and any excess that applies. Abot Terri Scheer Terri Scheer Insrance Pty Ltd was established in 1995 to specialise in providing landlord insrance for owners of professionally managed residential rental properties. The fonder, Terri Scheer, designed landlords insrance in 1990. The Company is niqe in that it is the only insrance intermediary in Astralia to specialise solely in landlord insrance. Terri Scheer Insrance Pty Ltd provides training for licensed real estate agents and on site Property Managers in the area of general insrance and claims handling, to ensre the best possible reslts for landlords. This insrance is only available to landlords whose property is managed by a licensed real estate agent or on-site Property Manager. Date of preparation : 13th Febrary 2014 Version Nmber : TS00005 01/03/14 A terrischeer.com.a

4 Insrer AAI Limited ABN 48 005 297 807, AFS Licence No. 230859 trading as Vero Insrance is the insrer and isser of the insrance policy and is the isser of this PDS. References to s, we, Vero and or in this Policy are to the insrer. In arranging this insrance Policy, Terri Scheer Insrance Pty Ltd ABN 76 070 874 798, AFS Licence No. 218585 will be acting nder athority given to them by Vero. They will be acting as agents of Vero, not as yor agent. How yo contact s Yo may contact Vero by calling: 1300 794 133 or alternatively by writing to s at: Vero Insrance GPO Box 1619, Adelaide, SA 5001 Abot yor premim The premim is the amont we charge yo for this Insrance. It incldes the amont which we have calclated will cover the risk, as well as stamp dty, GST, other government charges and any fire services levy (FSL) that applies all of which will be shown on yor Policy Schedle. Yor premim incldes any disconts we have given yo. Yo can pay yor premim in one annal payment by cash, cheqe, postal order, MasterCard, Visa or BPay. More details For frther details abot the way we work ot yor premim and for information abot the disconts yo may be eligible for, please refer to or Premim, Excesses, Disconts and Claim Payments Gide available at terrischeer.com.a. A copy of this gide can be provided to yo on reqest, at no charge, if yo contact s on 1800 804 016. Astralia s Leading Landlord Insrance Specialist

How to make a claim As soon as possible after the event that cases loss, damage or legal liability, yo mst follow the steps set ot in Making a Claim on page 55 of the PDS. Contact Terri Scheer Insrance on 1800 804 016, who will advise yo of the claims process and assist yo throgh the next steps. The amont yo pay towards a claim An excess is the amont yo are reqired to pay in the event of a claim. The amont of any excess that applies will either be set ot in the PDS on page 59 or shown on yor Policy Schedle. Depending on the circmstances, yo might have to pay more than one type of excess when yo make a claim. Yo mst pay the excess in fll (if we ask for it) before we pay the claim. We will decide whether yo pay the excess to s or to a repairer or spplier. We may also choose to dedct the excess from the amont we pay yo or from the amonts we mst legally pay another person. More details For frther details abot or excesses, please refer to or Premim, Excesses, Disconts and Claim Payments Gide available at terrischeer.com.a. A copy of this gide can be provided to yo on reqest, at no charge, if yo contact s on 1800 804 016. How a claim payment is calclated When we pay a claim we consider a nmber of aspects in calclating the amont. These can inclde the: Amont of loss or damage or liability, Excess, Sm insred, Policy limits, and Terms and conditions of the Policy. terrischeer.com.a

6 How and when benefits are provided Benefits are provided following the sbmission of a claim. After considering the factors in How a claim payment is calclated, we will either: Pay for repair or replacement of yor contents or bilding, Pay the person to whom yo are legally liable, or Pay yo. More details For frther details on how we calclate and pay claims, please refer to or Premim, Excesses, Disconts and Claim Payments Gide available at terrischeer.com.a. A copy of this gide can be provided to yo on reqest, at no charge, if yo contact s on 1800 804 016. The Policy does not cover certain things The policy provides cover for losses cased by specific events and nder certain circmstances. This means that not all losses are claimable. The specific events we insre and don t insre yo for, along with the terms and conditions of cover, can be fond in the Policy Wording contained in this docment. Yor dty of disclosre Before yo enter into a contract of general insrance with an insrer, yo have a dty, nder the Insrance Contracts Act 1984, to disclose to s every matter that yo know, or cold reasonably be expected to know, is relevant to or decision whether to accept the risk of the insrance and, if so, on what terms. Yo have the same dty to disclose those matters to s before yo renew, extend, vary or reinstate a contract of general insrance. Astralia s Leading Landlord Insrance Specialist

Yor dty however does not reqire disclosre: That diminishes the risk to be ndertaken by s, That is of common knowledge, That we know or, in the ordinary corse of or bsiness, oght to know In respect of which we have waived yor dty. Non disclosre If yo fail to comply with yor dty of disclosre, we may be entitled to redce or liability nder the contract in respect of a claim or may cancel the contract. If yor non disclosre is fradlent we may also have the option of avoiding the contract from its beginning. The General Insrance Code of Practice We spport and adhere to the General Insrance Code of Practice. Yo can get a copy of the code from the Insrance Concil of Astralia website (www.insranceconcil.com.a) or by phoning (02) 9253 5100. terrischeer.com.a

8 How we will deal with a complaint If yo are not satisfied with or prodcts or services or a decision made in relation to yor insrance, please let s know so that we can help. It is important to follow the complaint handling process in order to resolve yor complaint effectively and efficiently. Step 1. Let s know If yo wold like to make a complaint, please let s know by contacting the relevant department as they may be able to resolve the complaint for yo. If not, the staff member will refer yo to a Manager or their delegate and they will attempt to resolve the complaint. A response is sally provided to yo within 5 bsiness days. Yo can contact s: By phone: 1800 804 016 By email: cstomerservice@terrischeer.com.a In writing: GPO Box 1619, Adelaide, Soth Astralia 5001 Step 2. Review by or Internal Dispte Resoltion Team If yo are not satisfied with the otcome of the bsiness review yo can reqest the complaint be referred to the Internal Dispte Resoltion (IDR) Team for review or yo can contact them directly: By phone: 1300 264 783 By email: idr@terrischeer.com.a In writing: Internal Dispte Resoltion, Terri Scheer Insrance Ltd, PO Box 14180, Melborne City Mail Centre VIC 8001 If we reqire additional information we will contact yo to discss. IDR will sally contact yo with a decision within 15 bsiness days of receiving yor complaint. Step 3. Seek review by an external service We expect or procedres will deal fairly and promptly with yor complaint. However, if yo remain dissatisfied, yo may be able to access the services of the Financial Ombdsman Astralia s Leading Landlord Insrance Specialist

Service (FOS). FOS is an independent external dispte scheme and their service is free to yo. Any decision FOS makes is binding on s, provided yo also accept the decision. Yo do not have to accept their decision and yo have the option of seeking remedies elsewhere. FOS is available to cstomers who fall within their terms of reference. FOS will advise if they can help yo. Yo can contact FOS: By phone: 1300 780 808 By fax: (03) 9613 6399 By email: info@fos.org.a In writing: Financial Ombdsman Service, GPO Box 3, Melborne VIC 3001 By visiting: www.fos.org.a Cooling off Yo have the right to cancel and retrn the insrance contract within 30 days of the date it was issed to yo ( cooling off period ), nless yo make a claim nder the contract within the cooling off period. If yo cancel dring this time, we will retrn the amont yo have paid. To cancel at other times, please see Cancelling yor policy on page 64 of the policy wording. terrischeer.com.a

10 Part 2: Policy Wording Or agreement with yo 12 Information yo need to tell s 12 Defined terms 14 Section 1: Loss of rent 19 What yo are covered for 19 Additional benefits 22 Conditions Section 1 24 Basis on which claims are paid 25 Section 2: Contents 27 What are Contents? 27 Contents are not 27 What we do and do not cover (Contents) 29 Basis on which claims are paid 34 Section 3: Bilding (tenant damage) 38 What is Bilding 38 Bilding is not 38 What we do cover (bilding) 39 What we do not cover (bilding) 41 Basis on which claims are paid 42 Section 4: Liability to others 44 What we do cover (liability) 44 What we do not cover (liability) 44 Astralia s Leading Landlord Insrance Specialist

Section 5: Tax Adit 46 Words with special meanings 46 Tax Adit What we do cover 49 Tax Adit Exclsions 50 Tax Adit How mch we will pay 52 Tax Adit Conditions 52 Tax Adit How to make a claim 53 Making a claim 55 General terms and conditions 62 General exclsions 66 terrischeer.com.a

12 Or agreement with yo Yor Policy consists of this Policy Wording and the Policy Schedle we give yo. The Policy is a legal contract between yo and s: Yo agree to pay s the premim, and We will provide yo with the cover yo have chosen as set ot in the Policy, occrring dring the period of insrance shown on yor Policy Schedle or any renewal period. Information yo need to tell s Changing yor Policy If yo want to make a change to this Policy, the change becomes effective when we agree to it, and when we give yo a new Policy Schedle showing the revised details of the insrance. Any new Policy Schedle we give yo will be in writing, and it will be effective if it is delivered: To yo personally, or Posted to yor address last known to s. Change of circmstances dring the period of insrance Yo mst tell s as soon as possible: If yor personal details change, inclding yor name, mailing or insred address, If there is any significant change in condition or change in se of the property, Of any changes that increase the risk of a claim being made nder this insrance, sch as that yo are having major renovations ndertaken or the property falls into a state of disrepair, If yo transfer the management of yor property from one licensed real estate agency to another licensed real estate agency dring the period of insrance, Astralia s Leading Landlord Insrance Specialist

If yor property ceases to be managed by a licensed real estate agent dring the period of insrance. The Policy will come to an end at 4.00pm on the third bsiness day following the day yor property ceases to be managed by a Property Manager. When yo tell s that yor property is no longer managed by a licensed real estate agent, we will refnd to yo a proportion of the premim based on the remaining period of insrance, less any taxes which are not refndable. terrischeer.com.a

14 Defined terms Some key words and terms sed in this Policy have a special meaning these words are shown in italic throghot this docment. If words and terms are only sed in jst 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: Above grond pool Accidental loss or damage Act Act of Terrorism Actions or movement of the sea A pool that has most of its water volme above the average grond level. A sdden or nexpected loss which is cased by persons inclding yor tenant, their family or their gests, bt excldes: Damage cased over a period of time, Malicios damage, Deliberate damage, Damages otherwise exclded by this Policy, and Neglect, wear and tear. The Act of parliament relating to residential tenancies in yor state or territory. An act, inclding bt not limited to the se of force or violence and/or the threat of these, of any person or grop(s) of persons, whether acting alone or on behalf of or in connection with any organisation(s) or government(s) which from its natre or context is done for, or in connection with, political, religios, ideological, ethnic or similar prposes or reasons, inclding the intention to inflence any government and/ or to pt the pblic, or any section of the pblic, in fear. Incldes: Rises in the level of the ocean or sea, Storm srge, Sea waves, High tides or king tides, Tsnami, Any other actions or movements of the sea. Astralia s Leading Landlord Insrance Specialist

Bond monies Break fee Bilding Contents Deliberate damage Excess Floating timber floor boards Those monies paid by the tenant and held as secrity deposit against damage or otstanding rent. The amont described in the tenant s Lease that is payable as a maximm penalty in the event the tenant breaks their Lease. Bilding is defined in Section 3: Bilding of this Policy. Contents are defined in Section 2: Contents of this Policy. An act carried ot withot the owner s consent and with the fll knowledge that the action will alter the crrent state of the property, bt withot any spite, malice or vindictiveness. This does not inclde: Damage cased by the landlord or someone acting nder the express consent of the landlord or the landlord s family, Tenant carelessness, neglect, nhygienic living habits or poor hosekeeping, Malicios damage, Damaged cased by domestic pets, Scratching, denting or chipping, or Accidental loss or damage, Damage otherwise exclded by this policy. The first amont of any claim which yo contribte. We will dedct the amont of the excess before the application of the maximm sm insred limits. The excess mst be paid by yo and is not considered a re-letting expense to be dedcted from the bond money. Timber floors which are loosely laid (i.e. not fixed) onto a sbfloor sch as a concrete slab. The floorboards may be secred arond the edge of the room or to each other, bt not to the sbfloor. terrischeer.com.a

16 Flood In-grond swimming pool Lease Legal expenses Malicios damage Maximm amont Flood means the covering of normally dry land by water that has escaped or been released from the normal confines of any of the following: A lake (whether or not it has been altered or modified), A river (whether or not it has been altered or modified), A creek (whether or not it has been altered or modified), Another natral watercorse (whether or not it has been altered or modified), A reservoir, A canal, A dam. A pool which has most of its water volme below the average grond level. The contract in place between yo and the tenant to rent the property in accordance with the Act in yor state or territory. This can either be a fixed term, periodical or a contination of the Lease. The expenses incrred by the appointment of a solicitor/lawyer, with or prior approval and for the prpose of minimising the claim. Damage committed on the property which is motivated by spite, malice or vindictiveness with the intention of damaging the property. This does not inclde: Damage cased by the landlord or someone acting nder the express consent of the landlord or the landlord s family, Tenant carelessness, neglect, nhygienic living habits or poor hosekeeping, Deliberate damage, Damage cased by children, Damaged cased by domestic pets, Scratching, denting or chipping, or Damage as a reslt of repairs or attempted repairs carried ot by the tenant. The maximm we will pay (inclsive of all legal expenses) for any one occrrence arising from an insred event. Astralia s Leading Landlord Insrance Specialist

Occrrence Incldes continos or repeated exposre to sbstantially the same general conditions. We regard all death, bodily injry or loss of or damage to property arising from one original sorce or case as one occrrence. Open air In or nder any part of the site which is not flly enclosed by walls and a roof, sch as a veranda, carport, gazebo or otdoor living area within the land bondaries, Period of insrance Pet Bond Policy Schedle Possessions Property Property Manager Rainwater In or on a motor vehicle, motorcycle, trailer or caravan, whether those vehicles are locked or not. Open air does not mean in common or shared areas of home nits, flats, villas and the like. The period shown on the Policy Schedle. Those monies paid by the tenant as prescribed by the Act, which can be held as a secrity deposit against loss or damage cased by a pet. The schedle of insrance, or if we sbseqently give yo an endorsement notice, the endorsement notice. Items belonging to the tenant sch as clothing, frnitre and white goods which yo are reqired to store for a period of time as prescribed by the Act. Possessions do not inclde: Items of any kind, inclding rbbish, which yo are not reqired by law to store for the tenant. The bilding and its contents at the sitation set ot in the Policy Schedle which is: Owned by yo, For se by the tenant, Primarily sed as residential rental, and Where the sitation is no more than 2 acres in size. The licensed real estate agent or on-site Property Manager shown as the managing agent in the Policy Schedle. Rain which falls natrally from the sky. It incldes rainwater rn-off over the srface of the land, bt not flood. terrischeer.com.a

18 Re-letting expenses Rent Rent arrears Sitation Storm Storm srge Tenant Tenant s family Tenantable Tsnami Untenantable Watercraft Weekly rent sm insred Yo, Yor Yor family Are those costs that the tenant can be held liable for nder their Lease and the relevant Residential Tenancy Act. Rent applying nder the Lease at the time of loss or damage. Means the tenant s rental payments were in arrears to the extent that a vacate/breach notice on the gronds of a breach of the Lease to pay rent cold have been issed in accordance with the Act in yor state or territory. The address at which the property is located. Violent wind, cyclone or tornado which may also inclde rain, hail or snow. A rise in the sea level de to the meteorological conditions above the predicted astronomical tide level of a particlar day. The person or persons named in the crrent Lease who occpy the property and pay rent. These people if they normally reside in the property the tenant s spose (legal or de-facto), or partner, parents, parents- in-law, siblings or siblings of the tenant s spose, children or the children of the tenant s spose. The property cold be reasonably and safely re-let in its crrent condition withot adversely affecting the amont of rent being soght. A sea wave cased by a distrbance of the ocean floor or by seismic movement. The Property Manager cold not reasonably attempt to re-let the property ntil loss or damage claimable nder this Policy has been repaired, replaced or reinstated bt does not inclde periods of elective maintenance or improvement. Any vessel, machine or object designed to be sed on or in water. This amont is set ot in yor Policy Schedle. The person(s), companies or firms named on the crrent Policy Schedle as the Insred. Any member of yor family who lives permanently with yo, inclding yor partner. Astralia s Leading Landlord Insrance Specialist

Section 1: Loss of Rent What yo are covered for If any of the insred events listed in Section 1 occr dring the period of insrance, we will pay yor reslting loss of rent on the basis set ot nder the heading Basis on which claims are paid and sbject to the Limits and Conditions applicable to this section and the General Terms and Conditions and General Exclsions applying to this Policy together with the reqirements otlined nder the heading: Making a claim. Insred Event a) Absconding Tenant Payable if a tenant vacates with or withot giving yo the reqired notice in accordance with their Lease, or vacates at the end of their Lease leaving npaid rent. Cover will commence from the day following the tenant s rent paid to date, throgh ntil whichever of the following events occrs first: The property is re-let, The tenant s Lease expires, or The Limit is reached. We will not pay more than yo wold be legally entitled to recover from the tenant de to non compliance with their Lease. b) Defalting Tenant (by cort order) Payable if a cort/tribnal order, for the termination of the tenant s Lease, on the gronds of rent arrears, has been issed. Cover will commence from the day following the tenant s rent paid to date, throgh to whichever of the following events occrs first: The property is re-let, The tenant s Lease expires, or The Limit is reached. We will not pay more than yo wold be legally entitled to recover from the tenant de to non compliance with their Lease. Limit 6 weeks loss of rent 15 weeks loss of rent terrischeer.com.a

20 c) Defalting Tenant (by termination notice) Payable where a tenant vacates becase they were issed a termination notice by yor Property Manager on the gronds of rent arrears. Cover will commence from the day following the tenant s rent paid to date, throgh to whichever of the following events occrs first: The property is re-let, The tenant s Lease expires, or The Limit is reached. We will not pay more than yo wold be legally entitled to recover from the tenant de to non compliance with their Lease. If yo have applied for a cort hearing to seek vacant possession of the property sbseqent to the expiry of the termination notice and the tenant vacates prior to that hearing, we will increase the Limit for this event p to a maximm of 10 weeks. d) Failre to give vacant possession Payable where yor tenant has refsed to pay rent and has resisted all attempts by yo or yor Property Manager to gain vacant possession following service of the Cort/Bailiff/Tribnal order for possession or eviction. Cover will commence from the day following the tenant s rent paid to date, throgh to whichever of the following events occrs first: The property is re-let, The tenant s Lease expires, or The Limit is reached. We will not pay more than yo wold be legally entitled to recover from the tenant de to non compliance with their Lease. e) Death of tenant Payable in the event of the death of yor tenant and they were the sole person listed on the Lease. Cover will commence from the day following the tenant s rent paid to date, throgh to whichever of the following events occrs first: The property is re-let, or The Limit is reached. 6 weeks loss of rent 28 weeks loss of rent 15 weeks loss of rent Astralia s Leading Landlord Insrance Specialist

f) Hardship Payable if a cort awards the tenant a release from their Lease obligations, over and above the tenant s bond monies, de to hardship. Cover will commence from the day following the tenant s rent paid to date, throgh to whichever of the following events occrs first: The property is re-let, The tenant s Lease expires, or The Limit is reached. We will not pay more than yo wold be legally entitled to recover from the tenant de to non compliance with their Lease. g) Untenantable (bilding) Payable where yor property becomes ntenantable for a minimm period of 7 days de to: Malicios damage to yor bilding cased by yor tenant, (provided we have accepted yor malicios damage claim nder Section 3), or Mrder or sicide, or attempted mrder or sicide. Cover will commence from the date the property became ntenantable ntil whichever of the following events occrs first: The date two weeks after the property becomes tenantable again, bt only if yo have attempted to re-let the property and have been nable to, or The date yo re-let the property, or The Limit is reached. h) Untenantable (contents) Payable where yor property becomes ntenantable for a minimm period of 7 days de to: Yor contents only being damaged by an Insred Event listed in Section 2 of the Policy. Cover will commence from the date the property became ntenantable ntil whichever of the following events occrs first: The property becomes tenantable, The property is re-let, or The Limit is reached. 4 weeks loss of rent 52 weeks loss of rent 6 weeks loss of rent terrischeer.com.a

22 i) Prevention of access Payable when yor tenant does not have access to yor property, as a reslt of damage to other property in its immediate vicinity cased by an Insred Event listed in Section 2 of this Policy. (except Malicios damage). Cover will commence from the date access was prevented ntil whichever of the following events occrs first: When access was restored, or The Limit is reached. 52 weeks loss of rent Additional benefits Yor legal expenses If we have accepted a claim nder an Insred Event nder Section 1 of this Policy, we will also pay p to $5,000 for each claim for legal expenses, provided they have been incrred with or prior written approval, and are for the prpose of redcing yor claim nder Section 1 of this Policy or filing a legal defence while the claim is being investigated. Replacement of locks If we have accepted a claim cased by Insred Event b) Defalting tenant (by cort order) in Section 1 of this Policy, and the tenant has not retrned the keys for the property, we will also pay p to $250 per claim for the costs yo incr (over and above the tenant s bond monies), to replace locks at the property following the sccessfl eviction of a tenant. Representation costs If we have accepted a claim for an Insred Event nder Section 1 of this Policy, we will pay p to $500 dring any one period of insrance for the costs yo incr as a reslt of yor Property Manager: Representing yo in cort or a tribnal for the prpose of obtaining a cort order against the tenant. This benefit only applies where the liability for this expense is specifically expressed in the Managing Agent Agreement between the landlord and the Property Manager, and/or Astralia s Leading Landlord Insrance Specialist

Engaging a bailiff/sheriff for the prpose of evicting yor tenant this benefit has a sb limit of $300 per claim. However, we will not pay costs incrred or charged by the Property Manager on yor behalf, sch as: 8 Representation costs associated with the release of the tenant s bond monies, 8 Cort or tribnal filing fees, 8 Lodgement or application fees, or 8 Preparing an insrance claim. Removal of goods If we have accepted a claim cased by an Insred Event in this Section 1 and the tenant has vacated leaving their possessions at the property, then we will pay p to $500 per tenancy for costs yo incr (over and above the bond amont) for: The removal of the tenant s possessions from the property, and For the storage of the possessions for the time reqired by the Act. Reletting expenses in excess of the bond If we have accepted a claim for an Insred Event nder Section 1 of this Policy, we will also pay p to $500 dring any one period of insrance for reletting expenses that exceed the tenant s bond money. This benefit will only apply if: Bond money, eqivalent to 4 weeks rent has been collected from the tenant, and The bond money has been flly exhasted. Re-letting expenses that do not exceed the tenant s bond money are not claimable nder this Policy. terrischeer.com.a

24 Conditions Section 1 A claim nder Section 1 Loss of rent may be refsed or redced if the following terms and conditions have not been met or followed. Rent is in arrears at commencement of policy If the tenant s rent payments were in arrears in the 2 months prior to the commencement of the Policy, then rent cover is not available nless the Rent arrears clase has been met refer to General Terms and Conditions on page 63 for this clase. Loss of rent before commencement of policy We do not cover loss of rent, for any period before the commencement of the initial period of insrance. Breach notices are not issed We may redce or refse yor rent arrears claim if yo or yor Property Manager: Fail to isse or delay issing rent arrears and termination notices to the tenant, or Fail to prse or delay prsing a cort or tribnal order for the eviction of the tenant following the expiry of the breach or termination notice. The above processes shold be followed in accordance with the Tenancy Act in the State or Territory in which yor property is located. Failre to repair and re-let Yo or yor Property Manager mst demonstrate that all reasonable steps have been taken to repair and re-let the property as soon as possible after the departre of the tenant or damage is discovered. If yo fail to do so, we will commence the loss of rent claim from the point in time that it wold have been reasonable to have repaired any damage and attempted to re-let the property. Astralia s Leading Landlord Insrance Specialist

Delaying repairs If yo case nreasonable delays in commencing or carrying ot any repair or rebilding work, we will redce the rental income benefit to take into accont any loss of rent that reslts from yor delay. Market conditions This Policy does not cover yor inability to rent the premises de to adverse market conditions. This means that if none of the Insred Events covered by Section 1 has occrred and the conditions of the rental market dictate that a vacancy period will be sstained between tenancies, the Policy will not cover that loss. Alternate accommodation Section 1 does not provide cover for alternate accommodation costs for the tenant as a reslt of the property becoming ntenantable for any reason. Vacant at time of loss Cover nder Insred Events g) Untenantable (bilding), h) Untenantable (contents) and i) Prevention of access of this Policy Section 1, will only apply when: The property was tenanted immediately prior to, or at the time of it becoming ntenantable or when access was prevented, or Yo can demonstrate that the property wold have been tenanted had the loss not occrred. Basis on which claims are paid Weekly rent The maximm weekly loss of rent that is recoverable nder this Policy is the weekly rent sm insred shown on yor Policy Schedle. terrischeer.com.a

26 How we calclate what we will pay Loss of rent is calclated sing either: The weekly rent of the tenant in accordance with their crrent Lease, or The weekly rent sm insred on yor Policy Schedle, whichever is less. This is then mltiplied by the nmber of week s loss of rent that yo are entitled to nder this Policy. This amont is then redced by: Any bond monies left over after sbtracting allowable re-letting expenses*, Any break fee, which the tenant has paid nder their Lease, and Any applicable rent excess shown on yor Policy Schedle. The resltant amont, if it exceeds the Policy Limit that applies to the event being claimed, is then redced to that Policy limit. *Re-letting expenses inclde bt are not limited to: General/carpet cleaning, Gardening costs & rbbish removal, Water sage, letting fees and advertising, and The cost of minor repairs which are not covered by this or any other insrance as a reslt of a policy excess. Claims for more than one Insred Event Where a claim is possible nder more than one of the Insred Events of this Section, yo may only claim nder one of those Insred Events for any one period of rent loss. Astralia s Leading Landlord Insrance Specialist

Section 2: Contents What are Contents? Contents inclde any of the items listed below which are owned by yo (or which yo are legally responsible for), which are listed in the most recent inventory/property condition report and which have been left at the property: Portable hosehold goods and electrical appliances, Hosehold frnitre, frnishings and light fittings (not hardwired to the bilding), Crtains or internal blinds, Manchester and linen, Floating timber floorboards, Carpets and floor rgs, Above grond pools or spas (inclding their fixed accessories). Strata Titled Bildings For Strata titled bildings contents also means: temporary wall, floor and ceiling covers, and any fixtre or strctral improvement servicing a particlar lot which the body corporate or similar is not reqired by law to insre. Contents are not Contents do not inclde any of the following items: 8 Anything inclded in the definition of Bilding in Section 3 of this Policy 8 Compters, compter tapes, or discs 8 Cameras and photographic eqipment, 8 Electronic data and images on films, negatives or photographs, memory cards, hard drives, video tapes, compact discs and DVDs, terrischeer.com.a

28 8 Tools of trade, commercial or retail stock, 8 Pets, animals, birds, reptiles or insects, 8 Plants, hedges, trees or shrbs, except those in pots or tbs, 8 Grass, lawn or artificial trf, 8 Soil or bark (mlch), gravel, stones, shale or clay on or in paths, gardens, driveways or tennis corts, 8 Any property which is illegally in yor possession, 8 Clothing, jewellery, frs, watches or other personal effects, 8 Cash, coins, transaction cards or any other negotiable instrments, 8 Unset precios stones, 8 Antiqes (except antiqe frnitre), 8 Gold or silver objects or materials made of, covered by or containing gold or silver, 8 Sporting goods or eqipment, 8 Stamps, coins or medals, 8 Wills, share certificates, manscripts, plans and docments of any kind, 8 Pictres or works of art valed at more than $1,000 each item, 8 Hand woven rgs or hand woven carpets, 8 Watercraft, bicycles, vehicles of any type (inclding, wheel chairs, motor vehicles, trailers, caravans, motorised toys, motor cycles, all-terrain vehicles), aircraft, or contents stored in any of these, and 8 Accessories or spare parts of watercraft, bicycles, vehicles of any type (inclding wheel chairs, motor vehicles, trailers, caravans, motorised toys, motor cycles, all-terrain vehicles) or aircraft. Astralia s Leading Landlord Insrance Specialist

What we do and do not cover (Contents) If any of the Insred Events listed in this Section 2 occr dring the period of insrance, we will pay for reslting loss or damage to yor Contents on the basis set ot nder the heading Basis on which claims are paid and sbject to the Limits, Conditions and Exclsions applicable to this section and the General terms and Conditions and General Exclsions applying to this Policy together with the reqirements otlined nder the heading Making a claim. Insred Events a) Accidental loss or damage. We will not provide cover when: 8 Damage is covered by another Insred Event in this Section 2, or 8 The property is occpied or damaged by yo or yor family or yor non-paying gests. b) Deliberate damage cased by: Yor tenant, Yor tenant s family, Yor tenant s visitors, An nknown person e.g. a brglar. We will not provide cover: 8 When the property is occpied or damaged by yo or yor family or yor non-paying gests. c) Earthqake. 8 Bt not tidal wave or tsnami. terrischeer.com.a

30 d) Electric motor brnot We will pay p to $2,000 for the cost to repair or replace any motor in a hosehold electrical machine or appliance, bt only if: The electrical machine or appliance forms part of yor contents and, The motor is brnt ot by electric crrent, and The motor is brnt ot at the property. We will not pay for: 8 Costs to replace fses or protective devices, contact switches or relays, lighting or heating elements, starter switches, other parts where sparking or arcing occrs dring their ordinary se, 8 Damage to mechanical parts of any description, 8 The hiring of a replacement appliance or machine, 8 Any electrical appliance or component which is not an electric motor, 8 Mechanical parts which do not carry an electric crrent sch as a pmp, 8 Loss of or damage to compter software or data stored on a compter, 8 Lighting or heating elements, fses or switches of any kind, 8 Damage to swimming pools, spas or their water as a reslt of fsion, or 8 Any amont recoverable nder a manfactrer s garantee or warranty. However, yo mst contribte towards the cost of replacement parts where the age of the motor is more than 5 years. The contribtion will be 7% of the cost of the replacement parts for each complete year of age from new. For example: If the motor is 6 years old, we will depreciate it by 42% (6 years x 7%), meaning that if the cost of replacement parts is $1000, we will dedct $420 depreciation. e) Fire or explosion. f) Flood Bt we do not cover damage: 8 Cased by the actions or movements of the sea (e.g. storm srge, tsnami, high tides etc) 8 Cased by erosion, vibration, sbsidence, landslip, landslide, mdslide, collapse, shrinkage or any other earth movement, bt we will cover damage cased by a landslide or sbsidence that occrs within 72 hors of, and directly becase of flood, and not becase of erosion over time, strctral falt or design falt, Astralia s Leading Landlord Insrance Specialist

8 To water in a tank, swimming pool or spa or their liners or covers, 8 For the cost of cleaning md or debris ot of tanks, swimming pools or spas, 8 To swimming pools and their parts or ndergrond tanks cased by water leaking down the sides, against the sides, or getting nderneath them, 8 The cost of cleaning yor contents at the insred address. g) Glass breakage in free standing frnitre sch as table tops, dressing table mirrors and wall nits bt exclding glass: 8 In clocks, pictres, radios, television sets or visal display nits (e.g. compter monitors), 8 That was damaged or that had imperfections before the breakage, or 8 That is only chipped or scratched or which arises from any imperfections in the glass. h) Impact by: Motor vehicles or water craft, Aircraft, space debris or satellites, Falling trees and branches, or TV antennae, satellite dishes or radio masts. We will not pay for: 8 Damage cased by tree lopping or felling carried ot by yo or at yor reqest, or 8 Removal of the fallen tree or branch nless it is reqired to allow repairs to be carried ot. i) Lightning, inclding power srge cased by lightning striking power spplies away from the property, bt only when yo can show s reasonable meteorological evidence that lightning was the most likely case of the power srge. j) Malicios damage cased by: Yor tenant, Yor tenant s family, Yor tenant s visitors, An nknown person e.g. a brglar. We will not provide cover when: 8 The property is occpied or damaged by yo or yor family or yor non-paying gests. k) Oil leakage from any heater. terrischeer.com.a

32 l) Pet Damage cased by a domestic pet. Cover will only apply if: The pet is owned by the tenant, The landlord has agreed for the pet to be at the property, The pet is noted on the tenant s Lease, Where yo are legally able to collect a pet bond from the tenant, then that pet bond mst be collected and be applied to any pet damage costs prior to making a claim. Cover will not apply for damage that reslts from: 8 The keeping of reptiles. The most we will pay for this insred event nder Sections 2 and 3 combined is $500 dring any one period of insrance. m) Riot or civil commotion. n) Scorching cased by cigarettes, irons or hot cooking pots/ pans. This cover only applies to: Carpet bt only in the room where loss or damage occrs. Bench/vanity tops bt only to the section of bench/vanity top that was damaged. Cover will not apply: 8 For damage to any item of bildings/contents not listed above, and 8 If the scorching is malicios damage. The most we will pay for this insred event nder Sections 2 and 3 combined is $1,000 dring any one period of insrance. o) Storm or rainwater, bt there is no cover for loss or damage: 8 Cased by flood, 8 Cased by wind, rainwater, hail or snow penetrating into yor bilding, nless it enters as a reslt of strctral damage made by the storm, 8 Cased by wind, rainwater, hail or snow penetrating into yor bilding as a reslt of falty design of yor bilding or falty workmanship in its constrction, 8 Cased by wind, rainwater, hail or snow penetrating into yor bilding as a reslt of strctral alterations, additions, renovations or repairs, 8 Cased by the actions or movement of the sea, Astralia s Leading Landlord Insrance Specialist

8 Loss or damage cased by erosion, vibration, sbsidence, landslip, landslide, mdslide, collapse, shrinkage or any other earth movement, bt we will cover damage cased by a landslide or sbsidence that occrs within 72 hors of, and directly becase of a storm and not becase of erosion over time, strctral falt or design falt, 8 De to rst, corrosion, wear, tear or gradal deterioration, 8 To swimming pool or spa covers or liners, 8 Reslting from yor failre, or failre by yor Property Manager, to maintain the property in a good state of repair or failre to fix damage or deterioration, 8 De to a defect that yo or yor Property Manager were aware of or shold reasonably have been aware of. Under no circmstances will we pay the cost of rectifying the defect itself. p) Theft or damage de to theft cased by: Yor tenant, Yor tenant s family, Yor tenant s invited gests, or An nknown person e.g. a brglar. We will not provide cover when: 8 The property is occpied or damaged by yo or yor family, yor non-paying gests, or any person acting for yo. q) Water damage de to the accidental escape of liqid from any: Rainwater pipes, roof gttering and drains, Water main or pipe, Water tanks, aqarims and hot water systems, Roads, pathways, gtters, Washing machine or dishwasher, and Other parts of the property designed to contain or carry liqid sch as sinks, basins, baths and cisterns. We will not provide cover for: 8 Loss or damage cased by the gradal escape of liqid over a period of time, 8 Loss or damage cased by the poros condition of any tiles, grot or sealant, 8 Loss or damage de to a leaking shower base which has not been fitted with a tray or water proof membrane, or 8 The cost to locate or repair the defective part or item that cases the loss or damage. terrischeer.com.a

34 Contents in the open air We will not pay for loss or damage to yor contents in the open air that is cased by storm or rainwater. We will not pay more than $3,000 per claim for contents in the open air cased by any other insred event. Basis on which claims are paid Limit of Amont Payable The maximm combined amont we will pay nder Section 2: Contents, and Section 3: Bilding, dring any one period of insrance is $60,000 or the sm insred shown in the Policy Schedle. Deliberate damage is limited to $500 per claim. Floating timber floorboards are limited to $2,000 per claim. Electric Motor Brnot is limited to $2,000 per claim. How we calclate what we will pay After considering the terms and conditions of the Policy we will determine the amont of loss or damage that is covered. This will be redced by: Any available bond money from the tenant*, then By any applicable excess(s)**. We will then apply the policy limit (if applicable) to yor claim and pay yo the remaining amont. We will not pay more than the sm insred shown on yor Policy Schedle. *When yor contents are damaged by the tenant, yo mst se their bond money for re-letting expenses and rental arrears and then apply any balance to redce the loss or damage being claimed. We will not pay for loss of, or damage to contents items that cold have, bt were not dedcted from the bond money prior to making a refnd of bond money to the tenant. **Refer to section Making a Claim for excess vales and how they are applied. Astralia s Leading Landlord Insrance Specialist

Repairing and replacing contents When an Insred Event cases loss or damage to yor contents dring the period of insrance, and we accept yor claim, we will decide which of the following actions we will take. Repair If an item can be economically repaired we will pay the reasonable cost of repairing it with new materials. Replace Unless otherwise stated, we will replace any items which are less than 20 years old with a new one at replacement vale if it cannot be economically repaired. For items that are over 20 years old, we will pay yo the indemnity vale. When yo do not want a replacement item or repairs If yo do not want s to replace an item or to repair it and want cash instead, we will pay yo the indemnity vale or the cost of repairs (if repairs are possible) or the contents sm insred, whichever is less. When the item cannot be replaced If we agree that an item cannot be replaced then we will pay the lesser of the contents sm insred or the retail vale of the item at the time of the loss or damage. Pay yo the amont to repair or replace If we decide to pay the cost of repairing or replacing yor contents then we will pay the lesser of the contents sm insred or: The retail vale of the item at the time of the loss or damage, if it cannot be repaired, or The repair cost, if repairs are possible. Pairs and sets If the item for which yo are claiming forms a part of a pair, set or collection, we only pay the reasonable costs of replacing or repairing that item. We do not pay for any special vale the item may have as part of the pair, set or collection. terrischeer.com.a

36 If we decide to repair or replace yor contents we will make reasonable endeavors to match existing materials or contents. We will not pay to replace any ndamaged item or materials, nless otherwise specified by s. Indemnity vale for the prposes of this section means the new replacement cost, less an allowance for age, wear, tear and depreciation, at the time of the loss or damage. Replacement vale for the prposes of this section means the new replacement cost of new items or materials with the same (or, if the same is not available, sbstantially the same) specifications from otlets within Astralia, at the time the claim is made. Carpets We will only pay for repair or replacement of carpet in the room where damage occrs this cold inclde carpet within that room which is ndamaged. However, we will not pay to repair/replace ndamaged carpet in other rooms to achieve a match with the carpet we have repaired/replaced. Whilst we will try to match carpet with the original materials, if this is not possible, we reserve the right to se nearest eqivalent or similar materials. Where the carpet in one room has accidental damage cased by: One event, we will apply one excess to the claim, More than one event, we will treat the damage to the carpet in that room as one event and apply one excess to the claim. Where the carpet in more than one room has accidental damage cased by: One event, we will apply one excess to the claim, More than one event, we will apply one excess for each room with damaged carpet. Astralia s Leading Landlord Insrance Specialist

Crtains We will only pay for repair or replacement of damaged crtains in the room where damage occrs. Frnitre coverings If the covering of an item of frnitre cannot be repaired or replaced (or repairs have been nsccessfl) we will pay yo: The replacement cost of the frnitre. For frnitre that is more than 10 years old, we will pay yo the indemnity vale, and For any nsccessfl repairs, less any applicable excess. If the covering of an item of frnitre cannot sccessflly be repaired or replaced and it forms part of a set (or site), we will treat the entire set as a total loss. If we do this, the set becomes or property. Manchester and linen We will pay yo the indemnity vale of Manchester and linen, less any applicable excess. terrischeer.com.a

38 Section 3: Bilding (tenant damage) What is Bilding? Bilding means the property owned by yo at the address shown in the Policy Schedle, sed principally and primarily as a residential bilding, and incldes: Domestic fixtres and fittings i.e. bilt in air conditioners and heaters, plmbed-in dishwashers, garbage disposal systems, cook tops, bilt-in cabinetry, doors, walls, windows (and glass), tapware, hot water systems and shower screens, Strctral domestic improvements sch as paths, driveways, garden borders, yor proportion of fencing, gates, retaining walls, in-grond swimming pools and spas (inclding attachments which fit into their filter systems), External awnings, pergolas, fixed rainwater tanks, solar panels and their fixed accessories (e.g. inverters), TV antennae, satellite dishes and letter boxes, Fixed floor coverings sch as linolem, floor tiles and parqetry, (bt not carpets) Fixed light fittings which are hardwired to the bilding, Tennis corts, and Undergrond services sch as plmbing, sewerage, water and electrical which are located on yor property. Bilding is not Bilding does not inclde: 8 Any item defined as Contents in Section 2 of this Policy, 8 Common property if the bilding is part of a strata title or any property that is insred by the body corporate, whether or not that property is contained within yor nit or lot and whether or not any excess applies to the strata title insrance, Astralia s Leading Landlord Insrance Specialist

8 Carpets, carpet nderlay or floating timber floorboards (these are insred nder contents), 8 Grass, lawn, artificial trf, plants, hedges, trees or shrbs, 8 Soil or bark (mlch) in gardens, 8 Above-grond swimming pools, 8 Any jetty or other marine strctre, 8 Caravans trailers or vehicles of any kind, or 8 Gravel, stones, shale, or soil on paths, driveways or tennis corts. What we do cover (bilding) If any of the Insred Events listed in this Section 3 occr dring the period of insrance, we will pay for reslting loss or damage to yor Bilding on the basis set ot nder the heading Basis on which claims are paid and sbject to the Limits, Conditions and Exclsions applicable to this Section and the General terms and Conditions and General Exclsions applying to this Policy together with the reqirements otlined nder the heading Making a claim. Insred Events a) Accidental loss or damage cased by: Yor tenant, Yor tenant s family, or Yor tenant s invited gests, Bt only to the extent that it is not also directly or indirectly cased by a specified event that is exclded nder the heading What we do not cover (bilding) on page 41. We will not provide cover when: 8 The property is occpied or damaged by yo, yor family or yor non-paying gests. b) Deliberate damage cased by: Yor tenant, Yor tenant s family, or Yor tenant s invited gests. We will not provide cover when: 8 The property is occpied or damaged by yo, yor family or yor non-paying gests. terrischeer.com.a

40 c) Malicios damage cased by: Yor tenant, Yor tenant s family, or Yor tenant s invited gests. We will not provide cover when: 8 The property is occpied or damaged by yo, yor family or yor non-paying gests. d) Pet Damage cased by a domestic pet. Cover will only apply if: The pet is owned by the tenant, The landlord has agreed for the pet to be at the property, The pet is noted on the tenant s Lease, Where yo are legally able to collect a pet bond from the tenant, then that pet bond mst be collected and be applied to any pet damage costs prior to making a claim. Cover will not apply for damage that reslts from: 8 The keeping of reptiles. The most we will pay for this insred event nder Sections 2 and 3 combined is $500 dring any one period of insrance. e) Scorching cased by cigarettes, irons or hot cooking pots/ pans. This cover only applies to: Carpet bt only in the room where loss or damage occrs. Bench/vanity tops bt only to the section of bench/vanity top that was damaged. Cover will not apply: 8 For damage to any item of bilding/contents not listed above, and 8 If the scorching is malicios damage. The most we will pay for this insred event nder Sections 2 and 3 combined is $1,000 dring any one period of insrance. f) Theft or damage de to theft cased by: Yor tenant, Yor tenant s family, or Yor tenant s invited gests. Bt only to the extent that it is not also directly or indirectly cased by a specified event that is exclded nder the heading What we do not cover on page 6. We will not provide cover when: 8 The property is occpied or damaged by yo, yor family or yor non-paying gests. Astralia s Leading Landlord Insrance Specialist

What we do not cover (bilding) The bilding is not covered against loss or damage cased by the following events: 8 Theft, malicios, deliberate or accidental damage cased by any person, other than yor tenant, yor tenant s family, or yor tenant s invited gests, 8 Fire (nless maliciosly cased by the tenant), 8 Explosion, 8 Lightning strike, 8 Earthqake, 8 Riot or civil commotion, 8 Water damage de to the accidental escape of liqid from any: Rainwater pipes, roof gttering and drains, Water main or pipe, Water tanks, aqarims and hot water systems, Roads, pathways, gtters, Washing machine or dishwasher, and Other parts of the property designed to contain or carry liqid sch as sinks, basins, baths and cisterns, 8 Oil leakage from any heater, 8 Accidental breakage of fixed glass, shower base, basin, sink, bath, lavatory pan or cistern, 8 Impact by: Motor vehicles or watercraft, Aircraft, space debris or satellites, Falling trees and branches, and TV antennae, satellite dishes or radio masts, 8 Storm, rainwater or flood, 8 Action or movement of the sea, 8 Erosion, sbsidence, landslide, mdslide, expansion or contraction of the earth, any other earth movement or ndergrond water, 8 Wind, rainwater, hail or snow penetrating into yor bilding as a reslt of falty design of yor bilding or falty workmanship in its constrction, or 8 Rst, corrosion, wear, tear or gradal deterioration. terrischeer.com.a

42 Basis on which claims are paid Limit of amont payable The maximm combined amont we will pay nder Section 2: Contents and Section 3: Bilding, dring any one period of insrance is $60,000 or the sm insred shown in the Policy Schedle. Deliberate damage is limited to $500 per claim. How we calclate what we will pay After considering the terms and conditions of the Policy we will determine the amont of loss or damage that is covered. This will be redced by: Any available bond money from the tenant*, then By any applicable excess(s)**. We will then apply the Policy limit (if applicable) to yor claim and pay yo the remaining amont. We will not pay more than the sm insred shown on yor Policy Schedle. *When yor bilding is damaged by the tenant, yo mst se their bond money for re-letting expenses and rental arrears and then apply any balance to redce the loss or damage being claimed. We will not pay for loss of, or damage to bilding items that cold have, bt were not dedcted from the bond money prior to making a refnd of bond money to the tenant. **Refer to section Making a Claim for excess vales and how they are applied. Repairing and replacing yor bilding When an insred event cases loss or damage to yor bilding dring the period of insrance, and we accept yor claim, we will decide which of the following actions we will take. Repair If we establish yor bilding can be repaired, then we will repair it sing new materials. Astralia s Leading Landlord Insrance Specialist

Replace If we establish that yor bilding needs to be replaced, then we will replace it sing new materials. Pay yo the amont to repair or replace If we decide to pay the cost of repairing or replacing yor bilding then we will pay the lesser of the bilding sm insred, the retail vale of the bilding fixtre (if applicable) at the time of the loss or damage or the repair cost (if repairs are possible), whichever is less. When yo do not want to replace or repair yor bilding If yo do not want s to replace or repair yor bilding and want cash instead, we will pay yo the indemnity vale of the bilding, the bilding sm insred or the repair cost (if repairs are possible), whichever is the lesser. When we pay to restore or rebild yor bilding we will make reasonable endeavors to match existing materials. Unless specified otherwise, we will assess yor claim on the basis of the replacement vale of the bilding. We will not pay to replace ndamaged materials nless otherwise specified by s. Replacement vale, for the prposes of this section means the reasonable and necessary cost of rebilding, replacing or repairing the bilding (at the time of the loss or damage), to a condition which is eqivalent to, bt not more extensive than when it was new. Indemnity vale, for the prposes of this section means the replacement cost, less an allowance for the age, wear and tear and depreciation of yor bilding at the time of the loss or damage. If yo case nreasonable delays in commencing or carrying ot the rebilding work, yo mst pay any extra costs that reslt from yor delay. terrischeer.com.a

44 Section 4: Liability to others What we do cover (liability) This section insres yor legal liability as the landlord and owner of the property in respect of an occrrence happening dring the period of insrance at the sitation which yo did not expect or intend to happen and which cases: Death or bodily injry to other people, or Damage to other people s property, sbject to the General Terms and Conditions and General Exclsions applying to this Policy together with the reqirements otlined nder the heading Making a claim. The maximm amont we will pay for any claim or series of claims arising ot of any occrrence is $20,000,000. The maximm amont incldes all legal expenses: Incrred by s, Incrred by yo with or prior written consent, and Which are recoverable from yo by a claimant when or lawyer is acting on yor behalf. What we do not cover (liability) We will not indemnify yo for any claim: 8 In respect of death or bodily injry to yo or yor family, 8 In respect of damage to property: Owned by yo, or anyone employed by yo, or Not owned by yo bt in yor cstody care and control, 8 For any liability to pay benefits nder any domestic workers compensation or accident compensation legislation, 8 For death of or bodily injry to anyone employed by yo or someone who lives with yo if the death or injry arises ot of their employment, 8 Arising nder the terms of any agreement nless liability wold have attached to yo in the absence of sch agreement, Astralia s Leading Landlord Insrance Specialist

8 Cased by the ownership possession or se of any: Motorised or mechanically propelled vehicle or motor cycle, Trailer or caravan, Aircraft, aerial device or watercraft, or Any vehicle or craft that is reqired by law to be insred nder a complsory third party insrance policy or scheme at the time of any occrrence. However, this exclsion will not apply to any motorised garden appliance that is not reqired by law to be insred nder a complsory third party insrance policy or scheme at the time of any occrrence, 8 In connection with yor trade, profession or employment other than as landlord and owner of the property, 8 Arising ot of alterations, renovations or bilding works at the property, where the cost of bilding or contract works, inclding labor and materials, exceeds $50,000, 8 Arising ot of any deliberate or intentional act by yo or someone acting with yor consent, 8 Arising ot of any nlawfl or criminal act, 8 Arising ot of pregnancy or the transmission or spread of any infectios disease or virs, 8 For any fine, penalty, pnitive, exemplary, aggravated or mltiple damages, 8 Arising from demolition, vibration or interference with spport of land, bildings or other property, 8 Arising ot of the discharge, dispersal, release or escape of smoke, vapors, soot, fmes, acid, alkalis, toxic chemicals, liqid or gases, waste materials or other irritants, contaminants, or polltants into or pon land, the atmosphere or any watercorse or body of water or any costs and expenses incrred in the prevention or remediation of sch contamination or polltion, or 8 Cased by or arising directly or indirectly, ot of or in connection with the actal or alleged se or presence of asbestos. terrischeer.com.a

46 Section 5: Tax Adit Words with special meanings Some key words and terms sed in this Section have a special meaning. Wherever the following words or terms are sed in this section, they mean what is set ot below: Word/Term Adit Aditor Completion of the Adit Designated Liability Exclsions Meaning An investigation or adit of yor financial or taxation affairs that is initiated by an athorised Commonwealth, State or Territory government, government athority or agency in relation to, and following the lodgement of, a retrn. An adit does not inclde anything related to: Any review pertaining to maintaining any indstry stats, licence, membership or any compliance with any employee related legislation or reglations, Any government agency or athority gathering data or information that is not directly part of the adit, or An adit of a sperannation fnd or sperannation fnd contribtions for the prpose of determining any matter relating to the sperannation fnds or its trstees compliance with any of the provisions of the Sperannation Indstry Spervision Act 1993. An officer who is athorized nder Commonwealth, State or Territory legislation to carry ot an Adit of yor taxation, financial affairs or a Taxation Liability. When the Aditor: Has given written notice to that effect, Forwards notification to yo that they have made a final decision of a Taxation Liability, or Has issed an assessment or amended assessment of a designated liability. Means yor obligation to pay an amont nder Commonwealth, State or Territory Legislation. Any loss, sitation, circmstances or amonts that are not covered nder this Section of the Policy. Astralia s Leading Landlord Insrance Specialist

Final decision Goods and Services Tax Retrn Limit of Indemnity Notification Date Professional Adviser Professional Fees A written notification of the Aditor s conclded view in connection with a Taxation Liability and incldes any written statement which is intended by the Aditor to be its findings in connection with a Taxation Liability or the basis pon which it proposes to act in connection with a Taxation Liability. Any retrn reqired to be lodged by yo prsant to relevant Goods and Services Tax Legislation. Per Adit (apart from Sb-Limits of Liability): $1,000 Limit of Indemnity in total for each period of insrance: $2,000 The date that yo or yor representative was first made aware of a potential adit whether verbally or in writing. If yo received a pre-adit qestionnaire following the lodgement of a retrn, then the notification date cannot be later than the date that yo received the qestionnaire. A qalified accontant which is a member of a nationally recognized acconting body, registered tax agent or tax consltant. With or prior written approval, any other qalified professional person or consltant engaged by or at the recommendation of the accontant, bt does not mean yo or any person working for yo nder a contract of employment. Fees, costs and/or expenses reasonably incrred by yo to engage a Professional Adviser. Professional Fees do not inclde any fees, costs or expenses related to: Preparing or completing any acconts, retrns, financial or taxation records, qestionnaires, or docments that yo wold ordinarily be reqired to complete or rewriting or reconstrcting any of yor records or receiving any advice whether or not these fees, costs or expenses shold have been incrred prior to lodging yor retrn or prior to any adit, Any part of an annal or reglar fixed fee or cost arrangement, or Any sbseqent objection or appeal or reqest for review in respect of the adit, any assessment, amended assessment or final decision of the Adit. terrischeer.com.a

48 Record keeping adits Retrn Schedle Sb-limits of indemnity Taxation Liability An enqiry or investigation by the Astralian Taxation Office to determine the extent of yor compliance with the record keeping or record retention reqirements of relevant taxation legislation sbject to the Sb-Limits of Indemnity. Any taxation retrn that is legally reqired to be lodged with the government, government agency or government athority by yo or on yor behalf. Refer to the most recently issed schedle or certificate of insrance. The maximm we will pay dring any one period of insrance in relation to Adits pertaining to: Goods and Services Tax $500, Record Keeping Adits $500. Yor obligations to pay an amont of tax nder Commonwealth, State or Territory Legislation. Astralia s Leading Landlord Insrance Specialist

Tax Adit What we do cover On completion of the Adit we will pay yo the Professional Fees reasonably and necessarily incrred by yo in connection with assisting yo to respond to or defend the Adit pertaining to the residential rental property insred by this policy provided that: The Notification Date of the Adit occrred dring the period of insrance, or the period of insrance immediately prior to the period of insrance in which the adit occrred, and This Section 5 was in force at the time of the Notification Date, and The Adit first occrred dring the period of insrance, and a) The Adit was notified to s dring the period of insrance or the period of insrance immediately prior to the period of insrance in which the adit occrred, b) The Adit related to a Retrn actally lodged no more than 12 months prior to the original inception date of this Section 5 of yor policy, c) The Adit related to a Retrn for a financial year that ended no more than 3 years prior to the Notification Date, and d) No exclsion applies. However, we will pay the Professional Fees when this policy and Section 5 are not in force at the time of the Adit in relation to yor property only if: Yo have sold the property and not replaced it, or Yo have sold the property and replaced it with another property and that replacement property is insred by s and this policy and Section 5 is in force in relation to that replacement property at the time of the Adit, and All the other provisions of the What we do cover (above) section apply and none of the provisions What we do not cover (below) section apply. terrischeer.com.a

50 Tax Adit Exclsions We will not pay for any claim: 8 If a retrn or docment, which is reqired to be lodged in relation to the Adit, has not been lodged: At all, Properly, or By the de date, 8 In relation to an Adit condcted by or on behalf of the Astralia Prdential Reglation Athority or the Astralian Secrities and Investments Commission, 8 In relation to rotine enqiries or enqiries from the Aditor which are not identified as being either preliminary to, or relating to an Adit, 8 In relation to an Adit if, prior to the commencement of the Period of insrance, yo or any person acting on yor behalf: Received any notice of any proposed Adit, Had information that the Adit was likely to take place, Had information that wold lead a reasonable person in yor position, or in the position of any person acting on yor behalf, to believe that an Adit was likely to take place, 8 For professional fees of persons of organizations ordinarily resident otside Astralia, 8 Where there has been a dishonest or fradlent act or omission in relation to a Retrn or docment or in commnications with the Aditor (inclding where any spporting docments have been falsely created, amended or collected) by yo or any person acting on yor behalf, 8 Where there has been a statement whether orally or in writing by yo or any person acting on yor behalf which was false or misleading in a material particlar and/or which was made knowingly, recklessly or negligently to an Aditor. This exclsion does not apply if the false or misleading statement was made relying on representations made by the aditor, or if yo did not and cold not reasonably have known that the statement was false or misleading, or if the statement was made on the basis of an honest and reasonable mistake as to what the law was as a reslt of advice from yor Professional Adviser, 8 If the Adit is condcted specifically for the prposes of determining if any fine, penalty or prosection action shold be imposed in connection with any act or omission by yo, or in connection with any failre, act or omission arising from, or in connection with yor stattory obligations, Astralia s Leading Landlord Insrance Specialist

8 If yo, withot lawfl jstification, refsed to or failed to comply with the reqest made by or on behalf of the Aditor for the prodction of docments or the spply of information, 8 For any Professional Fees: Incrred more than twelve months after the commencement of the Adit, nless yo can show that completion of the Adit has been delayed as a reslt of the condct of the Aditor, That were charged by someone other than a qalified Accontant who is a member of a nationally recognized acconting body, registered tax agent or tax consltant nless or prior written consent was first obtained, For any work performed in connection with any prosection which arises from the Adit or in connection with yor clpable behavior being assessed to be deliberate evasion or recklessness, Unless they directly pertain to the residential rental property insred by this Policy, 8 For any fines, penalties, interest or adjstments to tax, additional tax, dty, government impost or similar, payable nder any circmstances, 8 If yor collective annal trnover and/or any related entity in the latest financial year exceeds $250,000, 8 If at the commencement of the Adit yo are bankrpt within the meaning of the Bankrptcy Act 1966, or insolvent or nder external administration within the meaning of the Corporation Law, 8 Relating to an Adit by the ATO if yo fail to comply with any reqirement or obligation imposed pon yo by any relevant legislation if a retrn in relation to the Adit was not prepared or reviewed by an Accontant prior to dispatch, 8 If the Adit is commenced or is condcted specifically for the prposes of determining yor taxation liabilities and liability to pay tax, interest, additional tax or penalty as a reslt of participation in any Mass Marketed Tax Avoidance Scheme (where the reslt of participation has reslted from an introdction, proposal or recommendation made by yo), 8 If the Aditor imposes Clpability Penalties at a rate prescribed by the Aditor and yo have no reasonably argable case, 8 In relation to any Adit of any form of managed investment, or 8 If yo breach any conditions in this policy, inclding failing to comply with any reqirement imposed by any relevant legislation or failing to do what yo mst do if yo intend to make a claim or yo make a claim. terrischeer.com.a

52 Tax Adit How mch we will pay The most we will pay for all claims dring any one period of insrance relating to Goods and Services Tax retrns and Record Keeping Adits is the Sb-Limit of Indemnity, $500. The most we will pay for each Adit is $1,000. The maximm amont in the aggregate is limited to $2,000. If yo have more than one residential landlord property insred, whether nder the same policy or not, and those properties benefit from the cover provided by Section 5: Tax Adit Insrance, we will not pay more than a total of $4000 for all residential landlord policies that yo have insred with s dring any one period of insrance. We will not pay any Professional Fees pertaining to any residential landlord policies that are not insred nder Section 5: Tax Adit Insrance. We will not pay any Professional Fees pertaining to any activity or part of a retrn not pertaining to the residential rental property insred by this policy. Tax Adit Conditions For a claim to be payable nder this Section, yo mst comply with the following policy conditions: Make every effort to comply with the relevant legislation, procedres and gidelines issed by the relevant government, government athority or agency inclding in relation to maintenance of records, books and docments, Lodge taxation and other retrns within the time limits prescribed by statte, pay all taxes by their respective de dates, or, if an extension is granted by the Aditor, within the frther period granted, and Have and properly maintain records which: (a) Yo are either reqired to keep or shold or wold keep in the ordinary corse of bsiness, or (b) Wold be kept ordinarily in relation to a taxation liability. Astralia s Leading Landlord Insrance Specialist

Tax Adit How to make a claim What yo mst do For a claim to be payable nder this Section 5, yo mst comply with the following policy conditions: Immediately give s fll written details as soon as yo become aware of any proposed Adit that cold lead to a claim. As soon as yo receive it, yo mst spply s with a copy of the notice from the government, government agency or athority that shows the type of Adit that they intend to condct. Where an adit commences withot notification, yo mst spply the following details, where possible: (a) A letter signed by yo confirming that an Adit has commenced, (b) Date of the Aditor s first visit, and (c) The officer s agency, athority, position/title, fll name and telephone contact details, Obtain or prior written approval before engaging any Professional Adviser, other than yor accontant, and notify s of all fees and costs that person proposes to charge, Ensre that yo: (a) Provide s with all material information as it develops in relation to yor claim and the Adit in a timely manner, (b) Take all reasonable steps to minimise costs and delay, (c) Respond to any letters, reqests and enqiries from the Aditor within the reqired time and where there is no reqired time, a reasonable time, (d) Sbmit to s all acconts for Professional Fees that relate to this claim, pon conclsion of the Adit. These acconts mst provide s with sfficient detail to enable s to determine the natre of the work done and the basis of calclation of any Professional Fees for which yo are making a claim, and terrischeer.com.a

54 Assist s with the processing of yor claim by cooperating with or, or or agent s investigation into any matters which are or may be the sbject of the claim. Yo mst also instrct yor Professional Adviser to assist s at all times, providing s with docments and details in connection with the claim. This may also inclde the prsit of matters with the department, body or agency which is or may be the sbject of a claim nder this policy. Astralia s Leading Landlord Insrance Specialist

Making a claim Actions yo mst take in the event of loss or damage In the event of loss or damage yo mst take the following actions: Take all reasonable precations to prevent any frther loss, damage or liability, If yor property sffers malicios damage or theft then yo mst report it to the police. If the loss is expected to exceed $10,000, then the police report nmber needs to be sbmitted with yor claim, Not carry ot repairs, except to prevent any frther loss or damage, ntil we have had the opportnity to examine the damage and have athorised repairs, Not delay in arranging the repair or replacement of stolen or damaged items after we have given yo the athority to do so. We will not pay any increased costs or expenses which reslt from yor nreasonable delay in retrning the property to a tenantable condition, Contact s as soon as possible after yo become aware of any loss, damage or liability (refer to yor schedle for the phone nmber). We will help and advise yo, and explain the next steps yo shold take. We may also arrange for an assessor to attend and inspect yor property if reqired, Keep any damaged property or stolen property that yo recover and let s inspect it if we need to. Please remember that we take over yor legal right to recover the insred property, and Not admit falt or settle or defend a claim withot or prior agreement. If yo do not follow these steps we may be entitled to redce the amont payable to yo or refse to pay a claim. terrischeer.com.a

56 Providing Proof Within a reasonable period of time of yo becoming aware of loss, damage or liability yo mst give s fll written details of yor claim. Docments which we may ask for inclde bt are not limited to: A copy of the tenant s rental payment history and Lease if the claim involves loss of rent, malicios/accidental/ deliberate damage or theft by yor tenant, Rent arrears/termination notices issed to, or cort orders issed against the tenant, nder the appropriate Tenancy Act of yor State or Territory, Evidence of dated advertising done to demonstrate yor efforts to relet the property, Proof of ownership i.e. receipts, valations, photographs, warranties, instrction manals etc for items which have been stolen or damaged, Itemised qotes to repair/replace damaged items. If we have appointed an assessor, they can assist with sorcing qotes if reqired, Invoices to establish the cost of re-letting expenses that were dedcted from the tenant s bond money, Copies of entry/exit and rotine property inspection reports along with photographs to spport a claim for damage, Any other cort issed docments, letter, claim, writ or smmons, in relation to a claim, as soon as possible after yo receive it. Yo mst be able to prove to s that yo have sffered a loss that is covered by this Policy before we will pay yo for it. Astralia s Leading Landlord Insrance Specialist

Actions we take when a claim is reported When we receive a claim from yo we will: Examine the circmstances to see if the loss, damage or liability is insred, and Tell yo if it is covered. If the event is covered we will: Tell yo how the claim will be assessed, examined and paid and what frther spporting docments yo need to provide s, Either dedct any excess from yor loss or ask yo to pay it to a repairer, spplier or s. If we choose to replace items yo mst: Assist s by giving accrate descriptions and specifications to s and sppliers, and Replace items as reqested. If yo do not wish s to replace items from sppliers we nominate, yo may nominate another spplier bt yo mst pay any additional costs incrred by s as a reslt. Claim Payments Claims payments may be paid either to: A spplier we have athorised to complete repairs or replacements, To a third party if yo have a legal liability, or To yo. For the prposes of claim payments only, yo, incldes the policyholder and property owner as well as the licensed Property Manager who has been engaged (by way of a Managing Agency Agreement) to manage yor property. Payments will be made to the party who sbmits the claim, nless otherwise notified in writing at the time the claim is lodged. terrischeer.com.a

58 Settling or defending yor claim If we agree yo have a claim, only we have the right to: Make or accept any offer or payment, or in any other way admit yo are liable, Settle, or attempt to settle, any claim, or Defend any claim. Yo mst co-operate with s in defending or settling yor claim. Yo mst tell s abot and send s a copy of any notice, letter, claim, writ or smmons, in relation to a claim, as soon as possible after yo receive it. If yo prevent or right to recover from someone else If yo have agreed not to seek compensation from a person who is liable to compensate yo for any loss, damage or legal liability (which is covered by this Policy) we will not provide yo with cover nder this Policy for that loss, damage or legal liability. Contribtion/other insrance If at the time of any claim nder this Policy there are other insrances covering the property, then we will have the right to seek reimbrsement from the other insrer(s) in respect to their proportion of any loss, damage or liability. Yo mst give s all information and assistance we may reasonably reqire. Excesses payable in the event of a claim An excess is an amont payable by yo when yo make a claim nder yor insrance Policy. We will either dedct any excess from yor loss or ask yo to pay it to s or a repairer or spplier. The excesses which apply to claims nder this Policy are shown in yor Policy Schedle. Astralia s Leading Landlord Insrance Specialist

Claim Type Loss of rent Excess The amont of yor excess will be shown on yor Policy Schedle. Malicios damage, accidental loss or damage, deliberate damage and scorching. Earthqake Representation costs, Replacement of locks, Bailiff/ sheriff fees, Removal of Goods, Legal expenses, Liability and Tax Adit Other claims This excess will apply for claims for malicios, accidental or deliberate damage and scorching. For malicios damage discovered at the end of a tenancy, only one excess will be applied. For accidental loss or damage, the excess applies per event. For each event reported together as one claim we will only apply an excess to a maximm of 2 events. The third and any sbseqent events reported together as one claim will not have an excess applied provided that the loss or damage for each event wold have exceeded the excess amont if it had applied. For deliberate damage and scorching the excess applies per claim. The amont of yor excess will be shown on yor Policy Schedle. This excess applies for claims directly or indirectly cased by earthqake. All loss, destrction or damage occrring within a period of 48 hors of an earthqake is regarded as the one event. The amont of yor excess will be shown on yor Policy Schedle. Nil. This excess will apply for all claims of a type not listed above. The amont of yor excess will be shown on yor Policy Schedle. terrischeer.com.a

60 If loss or damage reslts from more than one insred event, then the excesses that apply nder each applicable section of the Policy will apply separately and yo mst contribte the total of all applicable excesses (except as described in Section 2: Contents in relation to damaged carpet). If a single insred event reslts in a claim nder more than one Section of this Policy then only one excess will apply and that will be the largest excess applicable nder any section nder which a claim cold be made. More details For frther details abot or excesses, please refer to or Premim, Excesses, Disconts and Claim Payments Gide available at terrischeer.com.a. A copy of this gide can be provided to yo on reqest, at no charge, if yo contact s on 1800 804 016. What can affect a claim? We may limit the amont payable or refse to pay a claim for any of the following reasons: There has been a change in the risk, nless yo inform s of it and we have agreed to cover it nder this Policy, When applying for this insrance or when making a claim yo: Are not trthfl, Have not given s fll and complete details, or Have not told s something yo shold have, Yo do not comply with yor dty of disclosre (refer to the Prodct Disclosre Statement on page 6 of this docment), Yo do not at all times take reasonable care to: Protect any property yo have insred with s against any initial or frther loss or damage, Keep yor property in good condition, Obey any laws or reglations that safegard people or their property, Astralia s Leading Landlord Insrance Specialist

Yo do not give s the spporting docments we reqire to assist with or decision in relation to a claim, If any fradlent means or devices are sed by yo or anyone acting on yor behalf to obtain benefits nder this Policy. Frthermore, we may also cancel this Policy or take legal action against yo if it is proven the claim yo sbmitted was in any way fradlent, Yo breach any of the conditions of the policy, inclding any endorsements noted on or attached to the Policy Schedle, Yo do any of the following withot s agreeing to it first: Make or accept any offer or payment, or in any other way admit yo are liable, Settle, or attempt to settle any claim, Defend any claim. A claim may also be redced by an excess the amonts are shown on yor Policy Schedle. Other general obligations If yo do not take reasonable care to: Avoid the risk of injry to tenants and others, Ensre that yor property does not have defects that may case injry to any person at the time a tenant takes possession or that sch defects identified at any other time are rectified promptly once they have been broght to yor attention, Maintain the property in a good state of repair, Ensre that all bilding, maintenance or repairs to the property are ndertaken by appropriately licensed and qalified person(s), Comply with all stattory obligations, by-laws and reglations imposed by any pblic athority, for the safety of persons or property, We will not pay for loss, damage, liability or injry to which this failre to take reasonable care contribtes. terrischeer.com.a

62 General terms and conditions Payment of premim Yo mst pay yor annal premim by 4.00pm on the de date. If we do not receive yor premim by this time or yor payment is dishonored, this Policy will not start and there will be no cover if yo have not paid, yo are not insred. Yo can pay yor premim in one annal payment by cash, cheqe, postal order, MasterCard, Visa or BPay. Important conditions Cover provided by this Policy is only applicable where: Yor property is managed by a Property Manager, and There is a Lease in place between yo and the tenant. This Lease mst fall within the gidelines of the Residential Tenancy Act applicable to the State or Territory in which the property is located, and The property is being sed primarily for residential rental accommodation, and The property is no more than 2 acres (8000 sqm) in size, nless yo have notified s of a larger property and we have agreed in writing to insre this larger property. Actions and advice by or from yor property manager Any notification, advice or discovery made to or by yor Property Manager is considered to have been made to or by yo. Any action taken or that shold have been taken by yor Property Manager is considered to be an act or omission by yo. Astralia s Leading Landlord Insrance Specialist

Rent arrears If the tenant was in rent arrears either at the commencement of the initial period of insrance (or in the 2 months prior), the following condition applies: Cover will be limited to Section 2: Contents, (bt exclding malicios damage) and Section 4: Liability to Others of this policy. If the tenant sbseqently brings their rental payments ot of rent arrears for a period of two consective months, then these limitations will not apply from the end of that two month period or the date of the commencement of the initial period of insrance, whichever occrs last. Bond monies Yor Policy settlement will operate on the basis that bond monies eqivalent to at least for weeks rent have been collected. This applies regardless of whether a fll bond has been collected. In the event of loss of or damage to yor property cased by the tenant, yo will se the bond money to minimise yor loss. If yo have volntarily retrned the bond money to the tenant, and yo lodge a claim for loss of or damage to yor property, we will redce any amont we pay by the amont of prejdice we have sffered as a reslt of yor actions. Unoccpied properties When the property is noccpied, Section 1: Loss of rent, Section 2: Contents and Section 3: Bilding will not apply nless yo obtain or prior written agreement to provide the cover prior to the event giving rise to a claim nder one of these sections. If we agree in writing to provide cover and a claim is made while the property is noccpied, a higher excess will be applied. This excess will be shown on yor Policy Schedle. Unoccpied means that the property was vacant for the 90 day period immediately before loss or damage occrred. terrischeer.com.a

64 Other party s interests Yo mst tell s of the interests of all parties (e.g. financiers, owners, lessors) who have an interest in the property insred. We will protect their interests only if yo have told s abot them and we have noted them on yor Policy Schedle. Cancelling yor Policy Cancellation by yo Yo may cancel this Policy at any time by telling s that yo want to cancel it. If yo cancel this Policy yo will be refnded the nexpired portion of the premim, less any non-refndable government charges. Cancellation by s We can cancel yor Policy where the law allows s to do so. If we cancel yor Policy yo will be refnded the nexpired portion of the premim, less any non-refndable government charges. When we cancel yor Policy we will tell yo so in writing. This notice of cancellation will be given to yo in person or sent to yor last known address. If we cancel yor Policy de to frad, we will not refnd any money to yo. Goods and Services Tax (GST) How the Goods and Services Tax (GST) affects this insrance Yo mst tell s abot the inpt tax credit (ITC) yo are entitled to for yor premim and yor claim, each time yo make a claim. If yo do not give s this information or if yo tell s an incorrect ITC, we will not pay any GST liability yo incr. Or liability to yo will be calclated taking into accont any inpt tax credit to which yo are entitled for any acqisition which is relevant to yor claim, or to which yo wold have been entitled were yo to have made a relevant acqisition. Astralia s Leading Landlord Insrance Specialist

This otline of the effect of the GST on yor Policy is for general information only. Yo shold not rely on this information withot first seeking expert advice on the application of the GST to yor particlar circmstances. GST Limits and the most we pay amonts stated in this PDS and on yor Policy Schedle inclde GST. Changes of terms and conditions In some circmstances the terms and conditions of the policy may be amended by endorsement. If yor Policy is endorsed yo will receive notification of this in writing. Notices Any notices we give yo will be in writing, and it will be effective if it is delivered: To yo personally, or Posted to yor address last known to s. terrischeer.com.a

66 General Exclsions General exclsions applying to this Policy We do not insre yo for: 1. Any war (whether it has been formally declared or not), any hostilities, rebellion, revoltion or theft of property as a reslt of any of these, or 2. Acts of terrorism regardless of any other case or even contribting concrrently or in any other seqence to the legal liability, loss, damage, cost or expense, or any legal liability, loss, damage, cost or expense of whatsoever natre directly or indirectly cased by, reslting from or in connection with any action taken in controlling, preventing, sppressing or in any way relating to any act of terrorism, or 3. Radioactivity or the se, existence or escape of any nclear fel, nclear material, or nclear waste or action of nclear fission or fsion, or 4. Any intentional act committed by the landlord, the landlord s family or any person acting with the express or implied consent of the landlord. This Policy also excldes any loss, destrction, damage, death, injry, illness, liability, cost or expense of any natre directly or indirectly cased by, contribted to by, reslting from or arising ot of or in connection with any action taken in controlling, preventing, sppressing, retaliating against, or responding to or in any way relating to 1, 2, 3 or 4 above. Astralia s Leading Landlord Insrance Specialist

Additional exclsions applying to all sections of this Policy a) We will not pay a claim nder any section of this Policy (nless stated otherwise) when the claim is cased by or arises directly ot of: 8 A bshfire, storm or flood that occrs within 72 hors of the start of this insrance Policy. However we will cover these incidents if yor Policy began on the same day: Yo boght the property, or Another Policy covering the property expired. If this is the case, we pay p to the sm insred covered nder the expired Policy (any increase in the bilding sm insred will not be covered for these incidents in the first 72 hors). 8 The actions or movement of the sea, 8 Water seeping throgh a wall or floor, 8 Water entering the bilding throgh an opening made for the prpose of alterations, additions, renovations or repair, 8 Erosion, vibration, sbsidence, landslip, landslide, mdslide, collapse, shrinkage or any other earth movement, bt we will cover landslide or sbsidence that occrs within 72 hors of, and directly becase of one of the following insred events: Storm, Flood, Earthqake, Explosion, 8 Poor hosekeeping by yor tenants or a member of yor tenant s family or yor tenant s gests. Poor hosekeeping incldes costs associated with the tenants ntidy, nclean or nhygienic living habits, terrischeer.com.a

68 8 Rst, wear, tear, mold or mildew, oxidation, change of color, the action of light, atmospheric conditions or vibration nless cased by an insred event, 8 Damage cased by insects or vermin (sch as termites, rats, mice or wildlife) bt we will pay for any resltant fire damage to insred property, 8 Scratching or denting, 8 The actions of cleaning, 8 Damage from heat, smoke, or soot when the bilding or contents have not caght fire, 8 Tree roots, 8 Inherent defects, falty workmanship, strctral defects, falty design or any gradal process, 8 Any intentional act committed by yo, yor family or by any person acting with yor express or implied consent, 8 An act by the tenant, where consent for the act was given to them by yo, 8 Any loss or damage arising ot of or connected with keys being provided for the prpose of property inspections, 8 The tenant tilising the premises for trade, manfactring or childcare with yor knowledge and/ or consent, 8 Mechanical or electrical breakdown or electrical power srge, other than the brning ot of electric motors, 8 Damage to swimming pools or similar strctres cased by hydrostatic pressre, 8 The removal or weakening of spports or fondations for the prpose of alterations, additions, renovations or repair, 8 Settling, shrinkage or expansion in bildings, fondations, walls or pavements, Astralia s Leading Landlord Insrance Specialist

8 Conseqential loss, sch as having to hire a washing machine becase one provided by yo for the tenants se, was stolen, 8 Expropriation, lawfl seizre, resmption, confiscation, nationalisation or reqisition of any property by any lawflly constitted athority or persons, or 8 Destrction of, or damage to the bilding by any government, pblic or local athority. b) We will not pay a claim nder any section of this Policy from the point in time that: 8 The landlord takes over private management of the property, or 8 The landlord takes p residence in the property, or 8 The property is vacant, is not advertised for sale, and: No effort is made to prepare the property for a new tenant, or No effort is made to replace the tenant. This effort mst be within a reasonable period of: The tenant s departre from the property, or Yo or yor Property Manager becoming aware of their departre, Whichever occrs later, or 8 Yor property is vacant and advertised for sale. However we will provide the following limited cover nder: Section 1 Loss of rent, providing yo can demonstrate a contining reasonable effort was made to obtain a new tenant (sch as advertising for a tenant), whilst yo were simltaneosly marketing the property for sale, and terrischeer.com.a

70 Section 2 Contents and Section 4 Liability to others while the property is advertised for sale and vacant for a maximm period of 90 days. After the property has been vacant for 90 days, we will not pay a claim nder any section of the Policy nless yo have obtained or prior written agreement for cover to be provided. c) We will not cover any loss, damage or liability that occrred prior to the commencement of the initial period of insrance. d) There is no cover for loss of or damage to water in swimming pools, spas or water tanks nless maliciosly cased. Astralia s Leading Landlord Insrance Specialist

Financial Claims Scheme The policy described in this Gide may be a protected policy nder the Federal Government s Financial Claims Scheme (FCS) which is administered by the Astralian Prdential Reglation Athority (APRA). The FCS only applies in the extremely nlikely event of an insrer becoming insolvent and the Federal Treasrer making a declaration that the FCS will apply to that insrer. The FCS entitles certain persons, who have valid claims connected with certain protected policies issed by that insrer to be paid certain amonts by APRA. Information abot the FCS can be obtained from APRA at www.apra.gov.a or by calling 1300 55 88 49. terrischeer.com.a

72 Astralia s Leading Landlord Insrance Specialist

terrischeer.com.a

Terri Scheer Insrance Pty Ltd ABN 76 070 874 798 AFS Licence No: 218585 www.terrischeer.com.a GPO Box 1619, Adelaide SA 5001 Phone 1800 804 016 Facsimile 1300 370 874 Email cstomerservice@terrischeer.com.a This policy is issed by: AAI Limited ABN 48 005 297 807, AFS Licence No. 230859 trading as Vero Insrance TS00005 01/03/14 A