Application
This endorsement attaches to and forms part of the Meridian Financial Services Professional Indemnity Insurance wording, version 1.1.0-DRAFT (document reference 2026/FS/0001), referred to here as the base wording. It changes the base wording only as set out below. All other terms, conditions, exclusions and limits of the base wording continue to apply.
Words defined in the base wording have the same meaning in this endorsement. Where this endorsement and the base wording conflict, this endorsement applies to the extent of the conflict.
The same terms are published as a single integrated wording, Credit Intermediaries Professional Indemnity Insurance, version 1.1.0-DRAFT. Both documents are generated from the same source and have the same effect.
Replaced: Professional services
The definition of Professional services in the base wording is deleted and replaced with the following.
Professional services
Credit assistance and other credit activities, to the extent that you are authorised to engage in them under the Australian credit licence shown in the schedule, or as a credit representative of the licensee shown in the schedule, including for residential, investment, commercial and asset finance; and any other service shown in the schedule as a professional service.
Added: Lender Claims and Commission Clawback
The following exclusion is added to the base wording, after the Investment Performance exclusion.
Lender Claims and Commission Clawback
(a) Brought by a credit provider, lender, mortgage manager or aggregator against you, except a claim for contribution or indemnity in respect of a claim by your client; or
(b) for the repayment or clawback of commission or fees paid to you.
Credit Intermediaries Endorsements
The following endorsements apply to this policy only when the schedule shows that they apply.
An endorsement does not apply to the extent that a law, or a requirement of ASIC, requiring you to hold this insurance does not permit the cover it removes to be excluded or limited.
Lender Claims Buy-back
Paragraph (a) of the Lender Claims and Commission Clawback exclusion does not apply. Paragraph (b), for commission clawback, continues to apply.
For claims by a credit provider, lender, mortgage manager or aggregator, the most we will pay in total, including defence costs, is the sub-limit shown in the schedule for this endorsement or, if the schedule shows none, $250,000 in the aggregate for the policy period. The sub-limit is part of the limit of liability.
Questions
- Which aggregator or licensee do you operate through?
qs.fs.ci.aggregator - In the last five years, has a lender, mortgage manager or aggregator made a claim against you or clawed back commission because of an error or alleged fraud in a loan application?
qs.fs.ci.lender_claims
Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)
- When
qs.fs.ci.lender_claims = yes: Refer to the underwriter, with the endorsement pre-selected - When
qs.fs.ci.lender_claims = no: Offer as a priced option
Underwriter responses (on a referral or suggestion): Attach; Attach with amended sub-limit; Attach with premium loading; Do not attach
Reason shown on the quote and schedule: Offered because lenders and aggregators may claim against you for errors in loan applications.
Motor Dealer Finance
Credit assistance that you provide as a motor vehicle dealer, or as a credit representative of a lender or broker in connection with the sale of vehicles, is a professional service under this policy.
We do not cover any claim, loss or liability arising from the sale, condition or repair of a vehicle, or from add-on insurance or warranty products sold with it, unless you are authorised to provide those products under a licence shown in the schedule.
Questions
- Do you arrange finance in connection with the sale of motor vehicles?
qs.fs.ci.dealer_finance
Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)
- When
qs.fs.ci.dealer_finance = yes: Refer to the underwriter, with the endorsement pre-selected
Reason shown on the quote and schedule: Applies because you arrange finance in connection with vehicle sales.
Unregulated Commercial Finance
Arranging finance that is not regulated by the National Consumer Credit Protection Act 2009 (Cth), for borrowers who use it wholly or mainly for business or investment purposes, is a professional service under this policy.
Questions
- What percentage of your settlements in the last 12 months were for finance not regulated by the National Consumer Credit Protection Act?
qs.fs.ci.commercial_pct
Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)
- When
qs.fs.ci.commercial_pct > 0: Offer as a priced option
Reason shown on the quote and schedule: Offered because {qs.fs.ci.commercial_pct}% of your settlements are for unregulated commercial finance.
12-Month Automatic Run-off
If you cease to hold your Australian credit licence, or cease to be a credit representative, during the policy period, this policy continues, without additional premium, for claims first made against you and notified to us within 12 months after the end of the policy period, arising from professional services provided before you ceased.
All other terms of this policy, including the limit of liability, continue to apply to those claims.
This endorsement works with the Run-Off Cover extension as follows:
- ceasing to hold your Australian credit licence, or ceasing to be a credit representative, is ceasing to practise for the purposes of the Run-Off Cover extension;
- the 12-month period in this endorsement applies despite the statement in the Run-Off Cover extension that automatic cover ends at the end of the policy period; and
- if an extension under the Run-Off Cover extension also applies, the longer period applies, and the limit of liability is not increased.
Questions
- Do you intend to cease holding your credit licence, or cease to be a credit representative, in the next 12 months?
qs.fs.ci.ceasing
Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)
- When
qs.fs.ci.ceasing = yes: Apply automatically
Restrictions (always apply)
- When
qs.fs.ci.ceasing = yes and this endorsement is not attached: Refer to the underwriter, with the endorsement pre-selected. ASIC RG 210 requires reasonable efforts to obtain 12 months automatic run-off. The platform records that it was offered and why it was not attached.
Reason shown on the quote and schedule: Applies because you intend to cease credit activities, and ASIC expects you to have 12 months of run-off cover.
Comments on this wording