Transcription
Here are the details of yourHomeInsurance Policy
About your policyThis policy document explains yourinsurance cover, the benefits you’llreceive, your responsibilities and howto make a claim. Please read it carefullyand keep it in a safe place.Welcome toAA InsuranceThank you for choosingAA Insurance. When youneed us, we’ll get thingssorted for you.How to contact usWe value our customers and aim to deliver the best servicepossible. If you have any questions about your policy or needmore information, please contact us. We’re more than happyto help. We also appreciate and encourage your feedback – thegood and the bad.Sales, service and general enquiries Call us on 0800 500 213 Email us at customerservice@aainsurance.co.nz Go to aainsurance.co.nzTo make a claim or enquire about your existing claim Call us on 0800 500 216 Email us at myclaim@aainsurance.co.nz Go to aainsurance.co.nz1
ContentsCover for unoccupied homesOwner OccupiedAbout your policy1Holiday HomeHow to contact us1Optional benefitContents2Introduction4If you change your mindWhat we don’t cover20Policy conditions25You must not transfer your legal rightsHeadingsYou must give full and accurate statementsGoods and services taxYou must tell us if there are any changes in circumstancesGoverning lawYou must maintain and secure your home519Excess-Free Glass CoverWords with specific meaning in this policyWhat you are covered for18You are jointly insuredCover for loss to your homeIf you breach policy terms and conditions27Your home includesHow we administer your policy28Your home excludesIf we send noticesCover for private or business useIf you pay your premium by instalment Private useCancellation Business use29Cancellation by youCover for your legal liabilityLimits on what we will pay8Conditions of making a claim9What you must doCancellation by usDefinitions30Let’s get it sorted33Your excessHow we will settle your claim11Replacement CoverSum Insured CoverIndemnity CoverDemolition and debrisRelated costsClassifying your home as a total lossHaving interested partiesStandard benefits14Cover for temporary accommodationCover for new building workCover for natural disasterCover for resulting gradual damageCover for keys and locksCover for retaining walls23
IntroductionWhat you are covered forWe agree to cover you as set out in this policy documentprovided you have paid the premium due.Cover for loss to your homeYour insurance contract consists of all of the following: this policy documentWe will cover you for loss to your home at the insured addressthat happens during the period of insurance. the most recent policy schedule we have sent youYour home includes the information you provided to us in your applicationor declarationYour home includes all of the following items which are ownedby you, used for residential purposes and located within theresidential boundaries at the insured address: any information you provide to us regarding any changein circumstances residential buildings, including sleep-outswhether you have received or provided this information verbally,or have completed, accessed or received versions of thesedocuments electronically or in printed form. outbuildings such as sheds, garages, carports, greenhouses,and pergolasIt is important you read your policy document and policyschedule carefully. If you have any questions or need moreinformation, please contact us. paths, paving, driveways, sports courts constructed ofa permanent material such as concrete or tarseal, or ofpermanently set stone, brick or paversIf you change your mindWe provide you with a 21 day cooling-off period. You can cancelyour policy within 21 days from the day cover began providedyou have not made a claim. We will then refund in full anypremium you have paid.Words with specific meaning in this policyThe words ‘we’, ‘us’ or ‘our’ mean AA Insurance Limited. Thewords ‘you’ or ‘your’ mean the person or persons listed as ‘Who’sinsured’ on the policy schedule. The words ‘your home’ meanthe residential building, including residential flat or holidayhome, which is owned by you, used for residential purposesand located within the residential boundaries at the insuredaddress. In addition there are other words in bold that have aspecific meaning and are explained in the ‘Definitions’ sectionat the end of this policy document. decks, verandahs, balconies, patios any private road, lane, right-of-way or access way,constructed of a permanent material (including associatedguttering, drains, piping, cables, and lighting) providingaccess to a driveway owned by you or shared by youwith other residential property owners, and for whichyou are responsible fences, gates and free-standing garden walls letter boxes, exterior blinds and awnings, fixed clotheslinesand built-in barbeques fixed water tanks, septic tanks and their systems fixed or built-in swimming pools, spa pools and saunas andtheir systems solar panelsHeadings internal or external appliances or fixtures that arepermanently built-in, permanently attached, permanentlyplumbed into or wired into the buildingWhere headings are used in this policy, the headings orreferences are purely descriptive in nature and are not to beused for interpretative purposes. carpets and fixed floor coverings drains, pipes, gas lines, cables and poles for which you arelegally responsibleGoods and services tax aerials and satellite dishes that are attached to your home.All amounts referred to in your policy are inclusive of Goods andServices Tax (GST).Governing lawThis policy is governed by New Zealand law, and the NewZealand courts have exclusive jurisdiction over any legalproceedings about it.45
Your home excludesCover for your legal liabilityYour home excludes all of the following:We will pay for your legal liability for loss to physical propertyin New Zealand arising from the ownership of your home,occurring during the period of insurance. We will pay up to 2million for any one event. This includes related legal costsand expenses incurred with our consent. land, earth or fill temporary structures retaining walls, except for the cover provided under thebenefit ‘Cover for retaining walls’ on page 17 lawns, trees, plants, hedges and shrubsLegal liability, costs or levies imposed under the Forest andRural Fires Act 1977 are included. boat ramps, wharves, jetties, landings, pontoons, piers,water based structures, breakwaters and sea walls, floodwalls, and leveesIf you have cover for your legal liability under any otherinsurance policy with us, you can only claim this benefit underone policy per event. culverts, dams, bridges wells and bore holes furniture and furnishings, rugs, blinds and curtains andother contents any neighbouring property owner's share in any privateroad, lane, right-of-way, access way, walls, retaining walls,fences, gates, pipes, cables or driveways where those thingsare jointly owned by you and other property owners.Cover for private or business usePrivate useIf the policy schedule shows private use then your home iscovered only when it is being used for private or domesticpurposes. There is no cover when your home is being used inconnection with a business, profession, or occupation.Business useIf the policy schedule shows business use then your home iscovered when used in connection with a business, profession,or occupation in addition to being covered for private ordomestic purposes.You must tell us if you change the use of your home or yourbusiness, profession or occupation changes.6What we don’t cover under legal liabilityWe don’t cover any of the following: exemplary or punitive damages legal costs incurred by any other party that you may beordered or agree to pay legal liability assumed by agreement unless you wouldhave been liable anyway.We don’t cover liability caused by, arising from, or involving anyof the following: loss to your own property, or property in your care, custodyor control intentional acts by you or any family members livingwith you the ownership or possession of any animals otherthan domestic pets illegal or unlawful activities or events pollution or contamination a business, profession or employment.We also don’t cover the exclusions found under ‘What we don’tcover’ on page 20.7
Limits on what we will payThe most we will pay for any one event is the total of: the reinstatement cost to repair or replace your home for‘Replacement Cover’ or the Sum Insured for ‘Sum InsuredCover’ or ‘Indemnity Cover’ 2million for legal liability the maximum you are entitled to under the standardbenefit ‘Cover for temporary accommodation’ on page 14.We will reduce the amount we pay by the total applicable excessand any other deductions set out in this policy.How we reinstate your cover after a lossConditions of making a claimYou can make a claim by calling us at anytime on 0800 500 216.It is a condition of your policy that you must co-operate withus and give us any information or help we ask for in relation toyour claim.What you must doImmediately after an event occurs, you must: take all reasonable steps to prevent further lossWhere your home suffers loss covered by this policy, theamount of cover available for future claims will be reducedfrom the reinstatement cost for ‘Replacement Cover’ or theSum Insured for ‘Sum Insured Cover’, by the amount of loss. inform the police in the case of theft, burglary orvandalism, or the attempt at theseThe amount of cover will be restored as and to the extent thatthe loss is repaired or rebuilt. not, without our consent, incur any expense or negotiate,pay, settle, or make any agreement in relation to any claim.However, before any amount of your cover is restoredfollowing loss you must pay any additional premium that wemay charge.There will be no reinstatement of cover if there has been a totalloss under this policy. not admit liabilityAs soon as possible you must also: inform us of the event and give the full details andcircumstances of what has happened, including details ofeveryone involved obtain our permission before you incur any expense,other than the reasonable cost of urgent work to preventfurther loss send us all relevant communications which you receive assoon as possible keep damaged property for our inspection and allowus to inspect any building or other property where losshas occurred provide proof of ownership, information and other evidencethat we may require allow us at our expense and in your name to take anyaction necessary against any other party and to take overand conduct the defence and settlement of any claimagainst you provide all reasonable assistance and co-operate with usand our assessors, investigators, lawyers or anyone else weappoint to assist in the making of your claim, its settlementand any defence of a potential claim against you or anyaction against anyone else.If you do not comply with any of these conditions we can: decline your claim recover from you what we have already paid.89
Your excessAn excess is the amount you have to pay for each individualevent when you make a claim.The total excess is determined by the circumstances of yourclaim; you might have to pay more than one type of excesswhen you claim. The amount and types of excesses are shownon the policy schedule. You must pay your excess towardseach event, even if the claimable amount is subject to a limit.If you claim under more than one policy with us for loss causedby a single event at the same location you will only have to payone excess. This will be the highest total applicable excess.How we will settle your claimWe will choose to settle your claim in one of the following ways: Replacement Cover Sum Insured Cover Indemnity Cover.Where the loss is caused by any event other than naturaldisaster, we will settle your claim using ‘Replacement Cover’.Where the loss is caused by natural disaster, we will settle yourclaim using ‘Sum Insured Cover’.Replacement CoverWe will settle your claim in one of the following ways: repair, rebuild or replace the damaged portion of yourhome to the reinstatement condition pay the reinstatement cost to repair, rebuild orreplace the damaged portion of your home to thereinstatement condition.We will only choose to settle your claim using this optionwhere prior to the loss you have taken the steps a reasonableperson would take to provide us with the following: an accurate Sum Insured, and the accurate size of your home.If these conditions are not met, we will settle your claim under‘Sum Insured Cover’.If we have been unable to agree the reinstatement cost withyou within 12 months of the date of the loss or you will not berepairing, rebuilding or replacing the damaged portion of yourhome we will settle your claim under ‘Indemnity Cover’.Sum Insured CoverWe will settle your claim in one of the following ways: repair, rebuild or replace the damaged portion of yourhome to the reinstatement condition pay up to the reinstatement cost or the SumInsured whichever is the lesser, to repair, rebuild orreplace the damaged portion of your home to thereinstatement condition.Any settlement under this option, including the amounts thatwe will pay under ‘Demolition and debris’ and ‘Related costs’,will be limited to the reinstatement cost or the Sum Insured,whichever is the lesser.If we have been unable to agree the reinstatement cost withyou within 12 months of the date of the loss or you will not berepairing, rebuilding or replacing the damaged portion of yourhome we will settle your claim under ‘Indemnity Cover’.1011
Indemnity CoverClassifying your home as a total lossWe will pay the indemnity value of the loss or the SumInsured whichever is the lesser, where:We will classify your home as a total loss if: we have been unable to agree the reinstatement cost withyou within 12 months of the date of the loss, or you will not be repairing, rebuilding or replacing thedamaged portion of your home.Where we choose to settle under this option, we will not pay for‘Demolition and debris’ and ‘Related costs’.Demolition and debrisIf we choose to settle your claim under ‘Replacement Cover’or ‘Sum Insured Cover’, the total amount we will pay willinclude the reasonable costs incurred with our prior consentfor the following: the demolition and removal of debris that once formed partof your home, and removing fallen branches or trees that have damagedyour home.Related costs for any event the cost of repairing your home will exceedthe cost of demolishing and rebuilding your home, or your claim is covered under ‘Sum Insured Cover’ and thereinstatement cost will exceed the Sum Insured.The total premium for the entire period of insurance must bepaid in full before the claim is settled. When we settle a claimfor a total loss your policy ends on the date of the event andyou are not entitled to any refund of premium.Having interested partiesIf you have a party who has a financial interest in propertycovered by this policy, such as a bank or finance company,we may partially or fully settle a claim by making paymentto them. This payment will either go towards meeting orcompletely fulfilling our obligations under this policy. However,this interested party is not covered by this policy and does nothave any right to make a claim under this policy. By noting aninterested party on the policy schedule, you are authorising usto disclose your personal information to the interested party.If we choose to settle your claim under ‘Replacement Cover’ or‘Sum Insured Cover’, the total amount we will pay will includethe reasonable costs of any of the following to enable the repair,rebuild or replacement of the damaged portion of your home: architects, design, surveyors, legal and council fees the cost of compliance with government or local authorityby-laws or regulations, provided that: your home complied with all requirements in placeat the time that it was built and at the time of anyalterations, or had subsequently been certified as beingcompliant, and you had not received notice of non-compliance prior tothe date of the loss.We do not pay: costs that are not directly and necessarily incurred inrepairing, rebuilding or replacing the damaged portion ofyour home, or any costs that are incurred in relation to undamagedportions of your home, or any costs incurred without our prior consent.1213
Standard benefitsCover for new building workThe following benefits are automaticallyincluded in your cover.New building work includes all of the following:Cover for temporary accommodationIf your home becomes uninhabitable due to loss which iscovered by this policy or covered entirely by the EarthquakeCommission, we will pay the reasonable cost of temporaryaccommodation for you, any family members living with youand your domestic pets.We will also pay the reasonable costs of temporaryaccommodation where your home is otherwise safe andsanitary, but you are prevented from accessing it by order ordirection of government or local authorities due to possibleor impending loss which would be covered by this policyor covered entirely by the Earthquake Commission duringthe period of insurance.We will stop paying temporary accommodation as soon as anyof the following occur: your home has been repaired or rebuilt your home is no longer uninhabitable you move into another home you own we settle your claim under this policy we have provided temporary accommodation for12 months, or we have paid 20,000 for temporary accommodation.In the event of an earthquake or tsunami covered by this policy,or covered entirely by the Earthquake Commission we may atour sole discretion extend the 12 month limit and pay up to 40,000 for temporary accommodation.We will cover up to 50,000 during the period of insurancefor loss to new building work. any work being undertaken to alter existing fittings orfeatures in your home any decks or patios except where there are any alterationsto an external wall of a residential building any building materials at the insured address that areintended for use as part of the alterations to your home andwhich are owned by you.We don’t cover any of the following under this benefit: alterations where the expected value of the completedwork, or the cost that an independent professionalwould charge, including materials, is more than 50,000including GST any new separate structure being built alterations that involve excavation more than 1 metre deep alterations that involve any work on load bearing walls re-piling or any work involving piles or foundations removal of roofing or external cladding structural alterations or alterations that involve anextension, such as an additional room, being added to anexisting home structures or alterations that you are building forcommercial purposes alterations that have not been granted a Building Consentor similar, where one is required alterations that are subject to a separate contract worksinsurance policy.If you, or a member of your household, have a ‘temporaryaccommodation' benefit with us under any other policy,you are only entitled to payment of this benefit under onepolicy per event. If you are receiving cover for temporaryaccommodation and you claim for another event for which youcould receive temporary accommodation cover, the most we willpay is 20,000 for all claims or events combined.We will not pay this benefit where: your home is insured as a holiday home, or where the loss is to land only.1415
Cover for natural disasterCover for keys and locksYour total premium for this policy includes an amount fornatural disaster insurance which is provided by the EarthquakeCommission and is called EQCover.We will pay to replace keys or locks, or change key codes if thesecurity of your home is at risk following a burglary, theft, lossor the unauthorised duplication of your keys.Where we accept a claim under this policy, we will pay thedifference between the amount the Earthquake Commissionpays you, before the deduction of the EQCover excess, and theamount we would have paid if the loss had been paid for under‘Sum Insured Cover’ on page 11.Cover for retaining wallsThis benefit will apply if all of the following occur: your home suffers loss caused by a natural disaster the Earthquake Commission accepts your claim for the lossWe will pay up to 50,000 for loss to retaining walls arising outof an event, including your share in retaining walls that arejointly owned by you and other property owners. This includesany costs related to the repair or rebuild of the retaining walls.We do not cover any incomplete retaining walls, and anyretaining wall which doesn't have the appropriate localauthority consent. the Earthquake Commission has paid its full liability inrelation to your claim for the loss the cost of repairing or rebuilding the portion of your homewhich has sustained loss as a result of the natural disasteris higher than your cover under EQCover.We will also pay for loss to your home caused by naturaldisaster that the Earthquake Commission does not coverbecause the damaged property is exempt property underEQCover. An additional excess as shown on the policy schedulewill apply to these claims.Cover for resulting gradual damageWe will pay up to 2,000 towards repairing resulting gradualdamage to your home, provided the resulting physical damageis caused by the leaking or overflowing of a: water pipe, or waste disposal pipe, or water storage tankwhich is hidden from view within the residential buildingand is permanently connected or contained within its walls,cupboards, floors, ceiling or roof.This benefit will apply only if you could not have discoveredthe damage immediately, and the damage was not visible,noticeable or obvious. We only cover the damage that occurredduring the period of insurance under this policy. We don’tcover any other gradually occurring damage.1617
Cover for unoccupied homesOptional benefitOwner OccupiedIf you have chosen to include thefollowing benefit, it will be shownon the policy schedule.If the policy schedule shows that your home is insured asOwner Occupied, and your home is unoccupied for more than60 days, the additional long-term unoccupied excess shown onthe policy schedule applies to loss occurring on or after day 61.Holiday HomeIf the policy schedule shows that your home is insured as aHoliday Home, we will continue to provide cover when yourHoliday Home is left unoccupied.Excess-Free Glass CoverNo excess applies to claims for loss to glass in any: windows, doors, or screens, or permanently fixed mirrors, splash backs or built-infurniture,which are part of your home, provided there is no loss to anyother part of your home.We don’t cover any of the following: any damage, wear, tear or deterioration to your home thatmust be repaired to enable the glass to be fitted the cost to repair or replace any framing necessary toenable the glass to be fitted the replacement of any undamaged glass or parts of yourhome in order to create a match.1819
What we don’t coverThis section explains what your policydoes not cover. These exclusions apply toall sections of this policy.If there is intentional damageThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from, or involving intentional,reckless, deliberate, malicious or criminal acts or omissions by: you or anyone living with you any guest in your home.This exclusion does not apply for theft by a guest in your home,provided that you take reasonable care in inviting the guest intoyour home.If your home is heritage registeredWhere your home is registered with the New Zealand HistoricPlaces Trust, we will not pay for any additional costs or feesrequired to comply with any heritage covenants that apply toyour home.If there is loss caused by the process of cleaningor restorationThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from or involving the process ofcleaning and restoration where inappropriate or unsuitablematerials or methods are used.If mechanical or electrical breakdown occursThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from or involving: failure of any mechanical, electronic or electrical parts, or any mechanical, electrical, or electronic failureor breakdown.This exclusion does not apply where the loss results from asudden, unforeseen and physical accidental external cause.If your home is confiscatedThere is no cover for any loss, costs or liability connected in anyway with your home being confiscated or seized by anyone witha financial interest in your home.There is no cover for any loss, cost or liability connected in anyway with confiscation, destruction, acquisition, designation, ordecision by government or local authorities.20If there is damage by pests or petsThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from or involving: insects, pests, vermin, rodents or possums, or scratching, chewing, tearing, soiling, or vomiting byyour domestic pets.If there is a war or nuclear incidentThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from, or involving: war, invasion, act of foreign enemy, hostilities or warlikeoperations (whether war be declared or not), civilwar, mutiny, civil commotion assuming proportionsof or amounting to a popular uprising, militaryuprising, rebellion, revolution, insurrection, military orusurped power nuclear weapons, ionising radiations, or contamination byradioactivity from nuclear fuel or the combustion of wastefrom nuclear fuel.If there is a terrorism incidentThere is no cover for loss, cost or liability, directly or indirectlycaused by, arising from, or involving an act of terrorism.An act of terrorism means any act, including but not limited tothe use of force or violence, or the threat thereof, which from itsnature and context is done for, or in connection with, political,religious, ideological, ethnic, or similar purposes, including theintention to influence any government and/or to put the publicor any member of the public in fear.If there is consequential lossThere is no cover for consequential loss of any kind.If there is reduction in valueThere is no cover for the reduction in value of your home fromany cause.If there are structural alterationsThere is no cover for loss, cost or liability, directly or indirectlycaused by, arising from or involving: lifting or moving your home water entering your home due to the removal of roofingmaterial, exterior cladding, doors or windows structural additions or structural alterations to your homeexcept where cover is provided by the benefit ‘Cover for newbuilding work’ on page 15.21
If there is wear, tear, depreciation or gradual damageIf there is undamaged propertyThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from or involving wear and tear,rust, corrosion, action of micro-organisms, rot, mould, mildew,fungi, smoke, particles and action of light, atmospheric orclimatic conditions.There is no cover for any part of the loss, cost or liability:There is no cover for any loss, cost or liability, directly orindirectly caused by, arising from or involving gradualdeterioration or depreciation of your home, except wherecover is provided under the benefit ‘Cover for resulting gradualdamage’ on page 16.If there is faulty workmanshipThere is no cover for any loss, cost or liability, directlyor indirectly caused by, arising from or involving poor,sub-standard, defective or faulty workmanship, design ormanufacture, or involving any structural or inherent defect.If there is pollution or contaminationThere is no cover for any loss, cost or liability, directly orindirectly caused by, arising from, or involving, pollution orcontamination. This includes any contamination by the use,consumption, storage or manufacture of illegal drugs.If there is other insurance arising because paint, features, fabrics, or other parts ofyour home are not able to be matched, or that are not directly and necessarily incurred in repairing,rebuilding or replacing the damaged portions of yourhome, or that are incurred in relation to undamaged portions ofyour home.If your home is not compliantThere is no cover for loss, cost or liability, directly or indirectlycaused by, arising from or involving the non-compliance of yourhome with New Zealand laws, by-laws and regulations whichapply to it.If you incur costsThere is no cover for costs or expenses you may incur in order foryou to prove or assist us with your claim. This may include youor anyone else’s time or materials used.There is no cover for repairs that are not related to your claim.There is no cover under this policy where cover is providedby other insurance or by a warranty or guarantee. We will notcontribute towards any claim made under any other policy.If there is existing damageIf an excess appliesIf there is land damageThere is no cover for your excess on this or any other policy.There is no cover for the costs associated with the repair,preparation, stabilisation or other treatment of the landnecessary to comply with regulations to permit repair orrebuilding of your home.If there is hydrostatic pressureThere is no cover for loss, cost or liability, directly or indirectlycaused by, arising from or involving hydrostatic pressure or themoving, shifting or dislodging of the earth around any septictank, water tank, swimming pool, spa pool (including theircovers and liners), or other in-ground structure, unless causedby earthquake, storm or flood.If the Accident Compensation Act 2001 appliesThere is no cover for costs which are covered under theprovisions of the Accident Compensation Act 2001 (or anyreplacement Act) and any subsequent amendments.22 associated with painting, repairing or replacing an area, setor
insurance policy. to . the . your home. . , . 0800 500 213. BACK COVER FRONT COVER We're here to help you Call us anytime 0800 500 213 Visit us online aainsurance.co.nz
