Recruitment and Labour Hire Professional Indemnity Insurance — Endorsement

Application

This endorsement attaches to and forms part of the Meridian Professional Indemnity Insurance wording, version 1.5.0-DRAFT (document reference 2026/PI/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, Recruitment and Labour Hire 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

The following services provided to a third party for a fee:

(a) permanent, contract and temporary recruitment, including candidate search, screening, reference and background checking, and placement;

(b) executive search;

(c) the supply of workers to host businesses (labour hire), including selecting, inducting and placing those workers, but not the work the workers perform for the host;

(d) psychometric and skills testing;

(e) outplacement and career transition services;

(f) human resources consulting; and

(g) any other service shown in the schedule as a professional service.

Added: Wrongful Placement

The following extension is added to the base wording, after the Subcontractors and Outsourcers extension.

Wrongful Placement

We cover you for a claim by a client or host business that a candidate or worker you placed did not hold the qualifications, licences, experience, right to work or character that you represented, or that your checks should have revealed, where the claim arises from your negligence in selecting, checking or placing that person.

We will not apply the Employer's Liability exclusion to a claim under this extension.

The Employer's Liability exclusion applies to your obligations and conduct as the employer of your own workers. It does not apply to a claim by a candidate, or by a client of your human resources consulting services, who was not employed by you, for discrimination or breach of employment law in your recruitment or human resources consulting services.

Added: Wages, Superannuation and Employer Payments

The following exclusion is added to the base wording, after the Employer's Liability exclusion.

Wages, Superannuation and Employer Payments

For any amount that you owe as the employer of your own workers, including workers you supply to host businesses, such as wages, allowances, leave entitlements, superannuation guarantee contributions and charges, payroll tax and workers compensation premiums, or any amount ordered to be paid to a worker to meet a same job, same pay or equal remuneration order.

Added: Work Performed by On-hired Workers

The following exclusion is added to the base wording, after the Wages, Superannuation and Employer Payments exclusion.

Work Performed by On-hired Workers

Arising from the work performed by a worker you supply to a host business, while the worker is working under the direction or supervision of the host.

This exclusion does not apply to a claim arising from your negligence in selecting, checking, inducting or placing the worker, and is subject to the On-hired Workers endorsement if it is shown in the schedule.

Added: Migration Advice

The following exclusion is added to the base wording, after the Financial Services exclusion.

Migration Advice

Arising from immigration assistance or migration advice, including advice on visa eligibility or sponsorship.

Recruitment and Labour Hire 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 requiring you to hold this insurance does not permit the cover it removes to be excluded or limited.

On-hired Workers

We will not apply the Work Performed by On-hired Workers exclusion where the worker was supplied under a written agreement with the host that places the supervision and direction of the worker's day-to-day work with the host. For a claim arising from that work, we cover your liability to the host or a third party for the worker's acts, errors or omissions in performing professional or technical work, except to the extent the host's own supervision caused or contributed to the loss.

For all claims under this endorsement, the most we will pay in total, including defence costs, is the sub-limit shown in the schedule for this endorsement, or 25% of the limit of liability if no sub-limit is shown. The sub-limit is part of, and not in addition to, the limit of liability.

This endorsement does not affect the Bodily Injury and Property Damage exclusion or the Employer's Liability exclusion.

Payroll Administration

Payroll administration for clients, including calculating and paying wages, superannuation contributions and tax withholding on a client's behalf, is a professional service under this policy.

For all claims arising from payroll administration, the most we will pay in total, including defence costs, is the sub-limit shown in the schedule for this endorsement, which is part of the limit of liability. The Wages, Superannuation and Employer Payments exclusion continues to apply to amounts you owe as an employer of your own workers.

High-Risk Placements Exclusion

We do not cover any claim, loss or liability arising from the placement or supply of workers into roles in mining, construction, heavy industry, aviation, maritime, healthcare or security, or into any other role shown in the schedule for this endorsement.

This endorsement does not apply to a claim that a placed worker did not hold a licence or qualification that you represented they held.

Labour Hire Licence Condition

Labour hire services in a state or territory are professional services under this policy only if you held the labour hire licence that the law of that state or territory requires when you provided them. If the licence lapses or is cancelled, cover for services you provided while it was held is not affected. The licence numbers are shown in the schedule.

[WP REVIEW: confirm that this status condition is not a warranty within the Insurance Contracts Act 1984 (Cth).]

Migration Advice

We will not apply the Migration Advice exclusion to immigration assistance given by a registered migration agent named in the schedule, while that agent is registered.

Automated Screening Exclusion

We do not cover any claim, loss or liability arising from a decision about a candidate that was made by an automated system, including an artificial intelligence tool, without review by a person before the decision was communicated.