Strata Insurance — Cuttleflow Commons

About This Policy

This policy insures a strata scheme. It is bought by the body corporate (in some states called the owners corporation, strata company or community corporation) that the strata legislation requires to insure the building and common property, and to hold public liability insurance.

It has seven sections. The sections that apply are shown in the schedule.

Section	What it covers	Basis
Buildings and Common Contents	Damage to the building and common contents, with loss of rent and temporary accommodation	Damage during the policy period
Public Liability	Your legal liability for injury or property damage connected with the scheme	Occurrence during the policy period
Voluntary Workers	Fixed benefits for people who work for the scheme without pay	Injury during the policy period
Fidelity Guarantee	Loss of the scheme's funds through dishonesty, and social engineering fraud	Loss discovered during the policy period
Office Bearers' Liability	Claims against office bearers for their decisions	Claims first made during the policy period
Machinery Breakdown	Breakdown of lifts, pumps and other machinery on common property	Breakdown during the policy period
Government Audit, Appeal and Legal Expenses	Government audit costs, safety appeal costs and legal defence costs	Matters first notified during the policy period

The Catastrophe Cover cover, the flood cover in the E01 Flood Cover endorsement and the Machinery Breakdown section apply only if the schedule shows them.

This policy, together with your schedule, your proposal and any endorsements shown in the schedule, forms your contract of insurance with us. Please read them together and tell us if anything is incorrect. Where the schedule and this wording differ, the schedule applies. Words with special meanings are listed in the Definitions section.

The strata legislation of the state or territory where the building is located sets what this policy must cover. Where it requires more than this wording gives, the Strata Legislation condition applies.

Version and Document History

This document is version-controlled. The version and date shown on the cover page and in the footer of each page govern this text. The version stated in your schedule as current at the start of the policy period applies for the whole policy period, unless your schedule or an endorsement states otherwise.

Important Information

Who issues this policy. The insurer, its Australian Financial Services Licence and its contact details are shown in the schedule. Where the insurer subscribes to the General Insurance Code of Practice, the schedule says so.

Who this policy is for. This wording is written for businesses and professionals. Some buyers, such as small businesses, may be retail clients under the Corporations Act 2001 (Cth). Where a buyer is a retail client, the issuer must give a Product Disclosure Statement and make a Target Market Determination available. This wording is not itself a Product Disclosure Statement.

Who is insured. You are the body corporate named in the schedule. Lot owners, office bearers, voluntary workers and others are insured only where a section says so.

Your duty when you apply. What you must tell us depends on the kind of contract this is.

If this policy is a consumer insurance contract under the Insurance Contracts Act 1984 (Cth), you have a duty to take reasonable care not to make a misrepresentation to us before the policy is entered into, renewed, extended, varied or reinstated. Answer every question in the proposal honestly and completely. If you do not take reasonable care, we may reduce or refuse a claim, or cancel the policy, as that Act allows.
Otherwise, you have the duty of disclosure in s.21 of that Act. Before the policy is entered into, renewed, extended, varied or reinstated, you must tell us every matter you know, or that a reasonable person in your circumstances could be expected to know, that is relevant to our decision whether to insure you and on what terms. You do not need to tell us anything that reduces the risk, that is common knowledge, that we know or should know as an insurer, or that we waive. If you do not comply, we may reduce or refuse a claim, or cancel the policy, as that Act allows.

A body corporate acts through its committee and its strata manager. What a member of the committee or the strata manager knows in that capacity is treated as known to you. What a lot owner knows only as a lot owner is not.

[WP REVIEW: confirm whether a residential strata scheme's building policy is a consumer insurance contract under s.11AB of the Insurance Contracts Act 1984 (Cth), given that the body corporate buys it for the lot owners' household purposes, and so which duty applies.]

Defects and building works. Tell us about any defect you know of in the building, any order or notice about the building from a council, a building regulator or a fire authority, any combustible cladding, and any building works under way or planned. We consider these matters individually; telling us does not by itself mean we will refuse cover.

Terms that differ from standard cover. Where the Insurance Contracts Act 1984 (Cth) sets standard cover for a home building contract, this policy differs from it. In particular:

it does not cover flood unless the schedule shows flood cover (see the Flood exclusion);
it does not cover damage by erosion, subsidence or landslip except as the Earth Movement exclusion allows;
it does not cover the cost of fixing a defect, or damage from gradual causes (see the Defects and Gradual Causes exclusion);
it limits cover while the building is unoccupied (see the Unoccupied Building exclusion) and during major works (see the Major Works exclusion);
it does not cover damage by actions of the sea (see the Action of the Sea exclusion).

[WP REVIEW: confirm this summary, given before the policy is entered into, clearly informs the insured under s.35 of the Insurance Contracts Act 1984 (Cth) and the Insurance Contracts Regulations 2017, and whether a residential strata building policy is a prescribed home building contract.]

Cooling-off period. You may cancel this policy within 21 days of the date it starts, and within 21 days of each renewal, by telling us in writing. If you have not made a claim, we will refund the full premium paid for that period, less any non-refundable government charges we cannot recover. After that, you may still cancel under the Cancellation condition.

Commission and fees. The schedule or the quote shows any commission or fee paid to your broker and to your strata manager in connection with this policy, as the law of your state or territory requires.

Financial Claims Scheme. If the schedule shows the insurer is an APRA-authorised general insurer, you may be entitled to a payment under the Financial Claims Scheme if the insurer becomes insolvent. Information is available at www.fcs.gov.au.

Schedule

(Completed separately for each policy. It contains your specific details.)

The schedule shows:

The body corporate's name, the strata plan or scheme number and the address of the building
The scheme type: residential, or commercial and mixed use
The policy period, with its start and end dates
The sections that apply, with the sum insured or limit and the excess for each
The building sum insured and the date of the latest valuation, and the common contents sum insured
Whether the catastrophe cover and the flood cover apply
The limits of the extensions, where they differ from the defaults stated in them
The retroactive date and the fidelity continuity date, if any
The number of lots
Any interested party, such as a financier
The premium, including stamp duty, any emergency services or fire services levy, and GST
Any commission or fee paid to your broker or strata manager
The insurer and its licence, and the state or territory whose law governs this policy (see the Governing Law condition)
The endorsements that apply, by code, with their variables

Definitions

In this policy, the words below have these meanings wherever they appear, whatever their capitalisation. The singular includes the plural.

Action of the Sea	The action of the sea, high water, tidal wave or storm surge, and any rise in the level of the sea, including a tsunami. It does not include a tsunami caused by an earthquake to the extent the Earth Movement exclusion does not exclude it.
Body Corporate	The legal entity created under the strata legislation for the strata scheme shown in the schedule, whatever the legislation calls it: owners corporation, body corporate, strata company, community corporation or another name.
Breakdown	For the Machinery Breakdown section: the sudden and unforeseen breaking, distortion, burning out, or electrical or mechanical failure of a part of machinery while in use or being tested after repair, requiring repair or replacement before the machinery can work again.
Building	Each building in the strata scheme shown in the schedule that the strata legislation requires the body corporate to insure, including: the structure, walls, roofs, floors, ceilings, fixed glass and fixtures; common property, including fences, gates, driveways, paths, retaining walls, swimming pools, outdoor structures and landscaping; services and their fittings that serve the building, including lifts, pumps, fire services, security systems and solar installations; lot owners' fixtures and improvements, to the extent the Lot Owners' Fixtures and Improvements extension covers them; floating floors, as the Floating Floors extension provides. It does not include land, or the contents of a lot that belong to a lot owner or occupier.
Claim	For the Office Bearers' Liability section only: a written demand for compensation or other relief, or a proceeding in a court or tribunal, made against an office bearer for a wrongful act.
Common Contents	Goods owned by the body corporate or for which it is legally responsible, kept in or on the common property and used for the strata scheme, including furniture, floor coverings in common areas, tools, equipment, and records and documents. It does not include money, or vehicles requiring registration.
Common Property	The common property of the strata scheme as the strata legislation defines it, and any property the body corporate owns or is responsible for under that legislation.
Control Group	The members of the committee or council of the body corporate, including its chair, secretary and treasurer, or a person performing an equivalent role. It does not include the strata manager or a lot owner who is not a member of the committee.
Damage	Sudden and accidental physical loss of, or physical damage to, property. Damaged has a corresponding meaning.
Defect	A fault in the design, construction, workmanship or materials of the building, or a failure to comply with the building law or standard that applied when the work was done.
Discovered	For the Fidelity Guarantee section only: when a member of the committee, or the strata manager acting for you, first becomes aware of facts that would cause a reasonable person to assume that a loss covered by that section has happened or will happen, even if the amount or details are not yet known. If no such person becomes aware because the person responsible for the loss is the only one who knows, the loss is discovered when any lot owner first becomes so aware.
Endorsement	A written change to this policy that we issue and that is shown in the schedule. The available endorsements are listed in the Endorsement Library.
Event	One occurrence, or a series of occurrences arising from one original cause. All damage from storm, flood or earthquake within any 72 hour period is one event.
Excess	The amount you pay towards each claim, as shown in the schedule for the section that applies.
Fidelity Continuity Date	The date shown in the schedule as the fidelity continuity date. If none is shown, the date this insurance with us first started without a break.
Final Adjudication	A judgment, award or other finding by a court, tribunal or arbitrator against which no appeal is made within the time allowed, or from which no further appeal is possible, or a written admission by the person concerned.
Flood	The covering of normally dry land by water that has escaped or been released from the normal confines of 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 natural watercourse (whether or not it has been altered or modified), a reservoir, a canal or a dam.
Funds	Money and negotiable instruments belonging to the body corporate or held for it, including its administrative fund, its capital works or sinking fund and any trust account held for it by the strata manager.
Indemnity Period	The period starting on the date of the damage and ending when the building can again be lived in or used, but not longer than 12 months unless the schedule shows a longer period.
Lot	A lot in the strata scheme, as the strata legislation defines it.
Lot Owner	The registered owner of a lot, or a person entitled to be registered as its owner.
Lot Owners' Fixtures and Improvements	Fixtures and improvements in a lot that are owned by its lot owner and that the strata legislation does not already require the body corporate to insure, such as built-in cabinets, fixed floor and wall coverings, light fittings, fixed appliances and internal fit-out.
Machinery	Lifts, escalators, pumps, motors, gates and doors driven by motors, air conditioning, heating and ventilation plant, boilers, hot water systems, fire services equipment and other mechanical or electrical plant that forms part of the building and serves the common property.
Major Works	Building, renovation, alteration or repair work to the building where the total contract value is more than the lower of 20% of the building sum insured and $500,000.
Office Bearer	A person who is or was a member of the committee or council of the body corporate, or its chair, secretary or treasurer, and any lot owner acting on a resolution of the body corporate or its committee. It does not include the strata manager or a building manager.
Personal Injury	Bodily injury, death, sickness, disease, disability, shock, fright, mental anguish or mental injury, and false arrest, wrongful detention, malicious prosecution, defamation and invasion of privacy.
Policy Period	The period shown in the schedule, unless this policy is cancelled earlier.
Property Damage	Physical damage to or destruction of tangible property that you do not own, including the loss of its use, and the loss of use of tangible property that is not physically damaged.
Retroactive Date	For the Office Bearers' Liability section, the date shown in the schedule as the retroactive date for that section. If none is shown, it is the date the first policy we issued to the body corporate that included that section started, without a break in cover.
Social Engineering Fraud	The intentional deception of an office bearer, the strata manager or an employee of the body corporate, by a person pretending to be a supplier, a lot owner, an office bearer, the strata manager or another person the deceived person trusts, which causes the deceived person to transfer funds to an account the deceiver controls.
Storm	A violent wind, with or without rain, hail or snow, and including a cyclone or tornado.
Strata Legislation	The legislation under which the strata scheme is registered and managed in the state or territory where the building is located, including its regulations, as amended or replaced.
Strata Manager	The strata managing agent, body corporate manager or other licensed or registered agent appointed by the body corporate to manage the strata scheme, and its employees.
Sum Insured	The amount shown in the schedule for the property or section concerned.
Unoccupied	No lot in the building is lived in or used for its lawful purpose.
Voluntary Worker	A person who does work for the body corporate without being paid for it, other than reimbursement of expenses, including an office bearer or lot owner doing such work. It does not include a person who could claim workers compensation for the work.
We, Us, Our	The insurer named in the schedule.
Wrongful Act	An actual or alleged breach of duty, breach of trust, neglect, error, misstatement, misleading statement or omission by an office bearer acting in that capacity.
You, Your	The body corporate named in the schedule.

Buildings and Common Contents

This section applies if the schedule shows it. The schedule shows the building sum insured, the common contents sum insured and the excess.

Damage to the Building and Common Contents

If the building or the common contents suffer damage during the policy period, we will pay to repair, rebuild or replace the damaged property, as set out in the How We Settle Property Claims provision.

The most we will pay for any one event is the building sum insured for the building and the common contents sum insured for the common contents, plus the amounts the extensions to this section say are payable in addition.

How We Settle Property Claims

Reinstatement and replacement. We pay the cost of repairing or rebuilding damaged property to a condition substantially the same as, but not better or more extensive than, its condition when new, using current materials and methods. Where a lost item of common contents cannot be repaired, we pay the cost of replacing it with a new item of the same kind and quality. We do not deduct for wear, tear or depreciation.

Costs included. The cost of repairing or rebuilding includes the reasonable cost of demolishing and removing debris, and the fees of architects, engineers, surveyors and other professionals needed to repair or rebuild, within the sum insured.

Building law. The cost of repairing or rebuilding includes the extra cost of complying with the building laws in force at the time of repair, for the damaged part of the building. It does not include the cost of bringing any part of the building that is not damaged into compliance, or of complying with an order or notice served on you before the damage happened.

When you repair. We pay the reasonable cost as it is incurred. You may rebuild on another site, or in a different way, if the cost to us is no greater.

When you do not repair. If you decide under the strata legislation not to repair or rebuild, or the law does not allow it, we pay what it would have cost to repair or rebuild at the date of the damage, up to the sum insured.

No under-insurance penalty. We do not reduce a claim because the sum insured is less than the full value of the building.

Sum insured not reduced. The sum insured is not reduced by a claim we pay under this section.

Loss of Rent and Temporary Accommodation

If damage covered by this section makes a lot unfit to live in or use, we will pay, for the indemnity period:

the rent the lot owner loses for a lot that was let at the time of the damage; or
the reasonable cost of temporary accommodation of a similar standard for the occupants of a lot the lot owner was living in, and the reasonable cost of moving and storing their contents.

We also pay the reasonable cost of temporary accommodation for a lot that is not damaged but cannot lawfully be lived in or reached because of the damage.

The most we pay under this extension for any one event is 15% of the building sum insured, or the higher percentage shown in the schedule. This amount is in addition to the building sum insured. We pay the lot owner, or the body corporate on the lot owner's behalf.

Lot Owners' Fixtures and Improvements

We cover damage to lot owners' fixtures and improvements as if they were part of the building, up to $250,000 for each lot, or the amount shown in the schedule, for any one event. This amount is within the building sum insured.

Where a lot owner has their own insurance for the same fixtures and improvements, this policy pays first, subject to the Other Insurance provision.

Floating Floors

Floating floors, whether laid by the developer or by a lot owner, are part of the building. Where a floating floor is damaged, we pay to repair or replace the damaged area, and the reasonable cost of replacing undamaged flooring in the same room or connected area so that the flooring matches, as far as is reasonable.

Emergency Repairs and Temporary Protection

We pay the reasonable cost of emergency repairs, shoring, temporary fencing and other temporary protection needed to prevent further damage or injury after damage covered by this section, within the building sum insured.

Finding the Source of a Leak

Where liquid has escaped and caused damage covered by this section, we pay the reasonable cost of finding the source of the escape and of making good the property damaged in finding it, up to $10,000 for any one event, or the amount shown in the schedule. This amount is in addition to the building sum insured. We do not pay to repair the pipe, fitting or appliance from which the liquid escaped unless it was itself damaged by an insured cause.

Fire Brigade and Emergency Services Charges

We pay the charges a fire brigade or other emergency service lawfully makes for attending damage covered by this section, in addition to the building sum insured.

Keys, Locks and Access Devices

If a key, card or access device for the common property is stolen, we pay the reasonable cost of replacing it and of changing or recoding the locks or access system it opens, up to $5,000 for any one event, or the amount shown in the schedule. This amount is in addition to the building sum insured.

Interests of Lot Owners and Financiers

The interest of each lot owner, and of any financier of a lot owner, in the building is covered. An act or omission of a lot owner or occupier, without your knowledge or consent, does not reduce your cover or the cover for any other lot owner. The Acts of Lot Owners and Occupiers condition applies.

Catastrophe Cover

This cover applies only if the schedule shows it.

If an event that causes damage covered by the Buildings and Common Contents section is declared a catastrophe or disaster by the Insurance Council of Australia or a government, or causes widespread damage in the area of the building, and as a result the cost of repairing or rebuilding increases because of demand for labour and materials, we pay:

the extra cost of repairing or rebuilding above the building sum insured;
the extra cost of temporary accommodation and loss of rent above the limit in the Loss of Rent and Temporary Accommodation extension, and for up to a further 12 months;
the extra cost of storing lot owners' contents while repairs are made.

The most we pay under this cover for any one event is 15% of the building sum insured, or the percentage shown in the schedule, in addition to the building sum insured.

Defects and Gradual Causes

We do not pay for:

the cost of fixing a defect, including the cost of removing, replacing or making good any cladding, waterproofing or other part of the building that is defective;
wear and tear, rust, corrosion, rot, mould, mildew or gradual deterioration;
damage that happens gradually over time, including from water or moisture seeping, leaking or condensing over a period, unless you did not know of it and could not reasonably have known of it;
damage caused by insects, vermin or tree roots.

We do pay for damage to other parts of the building that results suddenly and accidentally from a defect, or from one of these causes, for example a fire caused by faulty wiring, or a ceiling that collapses because a pipe bursts. Where we have agreed to cover a known defect, the E02 Known Defect endorsement sets out what applies to it.

Flood

We do not pay for damage caused by flood, unless the schedule shows that the E01 Flood Cover endorsement applies.

Action of the Sea

We do not pay for damage caused by action of the sea.

Earth Movement

We do not pay for damage caused by erosion, subsidence, settling, shrinkage, expansion, landslide, landslip, mudslide or other movement of the earth. We do pay for such damage if it happens within 72 hours of, and as a direct result of, an earthquake, a storm, the escape of liquid from a pipe or tank, or an explosion.

Unoccupied Building

We do not pay for damage caused by theft, malicious damage or the escape of liquid if, when the damage happened, the building had been unoccupied for more than 90 consecutive days, unless we agreed in writing to continue cover.

Major Works

We do not pay for damage to any part of the building on which major works are being done, or caused by major works, unless we have agreed in writing to cover the works. The E03 Major Works endorsement sets out the terms on which we cover them. Damage to the rest of the building by an insured cause is still covered.

Property and Losses Not Covered

We do not pay for:

land, or the cost of stabilising or improving land;
the contents of a lot owned by a lot owner or occupier;
money, other than as the Fidelity Guarantee section provides;
vehicles requiring registration, aircraft and watercraft;
electronic data, or its loss, corruption or reconstruction;
loss of market value, or any loss of rent or extra expense except as the Loss of Rent and Temporary Accommodation extension and the Catastrophe Cover clause provide;
damage caused by the deliberate act of the body corporate, or of a person acting with its authority;
damage caused by a lawful order or action of a government or public authority, other than to prevent the spread of fire or other damage.

Public Liability

This section applies if the schedule shows it. The schedule shows the limit of liability for any one occurrence and the excess. Because the strata legislation requires public liability insurance, this section is always shown.

Legal Liability to Others

We will pay the amount you become legally liable to pay as compensation for personal injury or property damage that happens during the policy period in Australia, caused by an occurrence in connection with:

the ownership, use, management or maintenance of the common property and the building; or
the activities of the body corporate.

Who is insured under this section. You, each lot owner for their liability as a lot owner in the common property, each office bearer, and each voluntary worker and employee of the body corporate while acting for it, are insured as if each were named in the schedule.

Claims against office bearers. A claim for bodily injury, death, sickness, disease, disability, shock, fright, mental anguish, mental injury or property damage is covered under this section, even if it alleges that an office bearer was negligent or made an error, for example by not repairing the common property. A claim for false arrest, wrongful detention, malicious prosecution, defamation or invasion of privacy that results from a wrongful act is not covered under this section. The Office Bearers' Liability section covers it where that section is shown in the schedule.

Limit. The most we pay for all compensation arising from one occurrence is the limit of liability shown in the schedule. All personal injury and property damage arising from one source or original cause is one occurrence.

Defence costs. In addition to the limit, we pay the reasonable legal costs we incur or approve in defending or settling a claim covered by this section, and interest on a judgment up to the date we pay or offer to pay it.

Settlement. We may take over and conduct the defence or settlement of any claim in your name. We may at any time pay you the limit, less any amount already paid, and then we have no further obligation for that occurrence except for defence costs already incurred.

Injury to Workers

We do not pay for personal injury to a person employed by you that arises out of their employment, where you are required by law to insure that liability under a workers compensation scheme, or would be but for an exemption.

Liability Under Contract

We do not pay for liability you have taken on under a contract or agreement, unless you would have had it without the contract or agreement.

Property You Own or Insure

We do not pay for property damage to property owned by the body corporate, or to the building, which the Buildings and Common Contents section covers.

Vehicles, Aircraft and Watercraft

We do not pay for liability arising from the use of a vehicle that is registered or required to be registered, or of an aircraft or a watercraft longer than 8 metres. This exclusion does not apply to injury for which no compulsory third party insurance responds, or to the use of a vehicle as a tool of trade on the common property.

Pollution

We do not pay for liability arising from the discharge, dispersal or escape of pollutants, unless it is sudden, identifiable, unintended and unexpected, and happens at a specific time and place during the policy period.

Asbestos

We do not pay for liability arising from asbestos, or from any material containing asbestos.

Business in a Lot

We do not pay for liability arising from a business, trade or profession carried on in a lot, or from a lot owner's or occupier's activities in their lot, other than as owner of an interest in the common property.

Fines and Penalties

We do not pay fines, penalties, or punitive, aggravated or exemplary damages.

Voluntary Workers

This section applies if the schedule shows it.

Injury to Voluntary Workers

If a voluntary worker suffers an injury, caused solely and directly by an accident while doing voluntary work for the body corporate during the policy period, we will pay the benefits in this table.

Event	Benefit
Death within 12 months of the accident	$200,000
Permanent total disablement, or permanent total loss of sight in one eye or of use of one limb, within 12 months of the accident	$200,000
Temporary total disablement that stops the voluntary worker from doing their usual work or occupation, after the first 7 days	85% of the voluntary worker's usual weekly income, up to $2,000 a week, for up to 104 weeks
Domestic help needed because of the injury	Up to $500 a week, for up to 10 weeks

The schedule may show different benefits. We pay the benefits to the voluntary worker or their legal personal representative. The most we pay for all voluntary workers injured in one event is $1,000,000.

We do not pay for an injury caused by a pre-existing condition or a sickness, an injury to a person aged 85 or over, or any medical expense for which a Medicare benefit is payable.

Fidelity Guarantee

This section applies if the schedule shows it. It is discovery-based: it responds to loss discovered during the policy period. The schedule shows the limit and the excess.

Loss of Funds Through Dishonesty

We will pay you for the loss of funds that you suffer through the fraudulent or dishonest act of an office bearer, the strata manager or an employee of the body corporate, committed with the intention of causing you a loss or obtaining a gain for themselves or someone else, where the loss is first discovered during the policy period.

Limit. The most we pay for all losses discovered during the policy period is the limit shown in the schedule. All loss caused by one person, or by people acting together, is one single loss, whenever the acts happened, and one excess applies to it.

Cross-period rule. A single loss is treated as discovered when the first part of it is discovered. Only the policy in force at that time, with us or another insurer, responds to it.

Strata manager. We pay a loss caused by the strata manager only for the amount not recovered from the strata manager, its own insurance or a statutory fidelity fund. We will pay first and recover those amounts ourselves if you ask us to.

We will pay you for the loss of funds that you suffer through social engineering fraud, first discovered during the policy period, up to $10,000 for any one loss and in total during the policy period, or the amount shown in the schedule. This amount is within the limit of the Fidelity Guarantee section.

You do not need to have followed any particular verification procedure for this extension to respond. If a reasonable verification step was available and was not taken, we may take that into account only under the Insurance Contracts Act 1984 (Cth) condition, and never to refuse the claim outright.

Fidelity Losses Not Covered

Under the Fidelity Guarantee section we do not pay for:

loss caused by an act committed before the fidelity continuity date;
loss caused by a person after any member of the committee or the strata manager, other than a person involved in the act, knew that person had committed a fraudulent or dishonest act, unless it was reported to us;
loss of profit, interest or income, or any other indirect loss;
the cost of establishing or proving the amount of a loss, except reasonable accountants' fees up to $10,000.

Office Bearers' Liability

This section applies if the schedule shows it. It is a claims-made section: it covers only claims first made against an office bearer during the policy period and notified to us as the Notice of Claims and Circumstances obligation requires. The schedule shows the limit and the excess.

Claims Against Office Bearers

We will pay on behalf of each office bearer the loss they become legally liable to pay because of a claim first made against them during the policy period for a wrongful act committed after the retroactive date.

Loss means compensation, damages, judgments, settlements we agree to and costs awarded against the office bearer, and the reasonable defence costs we approve. It does not include fines or penalties.

Limit. The most we pay for all claims first made during the policy period, including defence costs, is the limit shown in the schedule. All claims arising from the same wrongful act, or from wrongful acts that are similar or related, are one claim, made when the first of them was made, and one excess applies.

Advancing defence costs. We pay defence costs as they are incurred, before the claim is finally resolved. If it is later established that we were not liable for the claim, or a final adjudication, or a court's finding, establishes conduct that this policy or the law does not allow to be covered, the office bearer must repay them.

Severability. Each office bearer is covered separately. What one office bearer knew or did is not imputed to any other office bearer.

Office Bearers' Claims Not Covered

Under the Office Bearers' Liability section we do not pay for a claim:

arising from a dishonest or fraudulent act, or a deliberate breach of the law, by the office bearer, or from the office bearer gaining a profit or advantage they were not entitled to, but only if this is established by final adjudication. Until then we pay defence costs as the Claims Against Office Bearers clause provides;
for bodily injury, death, sickness, disease, disability, shock, fright, mental anguish, mental injury or property damage, which the Public Liability section covers, even if the claim alleges a wrongful act;
arising from facts or circumstances the office bearer knew of before the policy period, and that a reasonable person in their position would have known could lead to a claim;
for a wrongful act committed before the retroactive date;
arising from a claim, proceeding or investigation that was pending or had started, or that was notified under an earlier policy, before the retroactive date;
for a fine, penalty or other amount that the law does not allow to be insured;
arising from the office bearer's acts as the strata manager or as a professional adviser to the body corporate.

The severability paragraph of the Claims Against Office Bearers clause applies to every exclusion above that turns on what an office bearer knew or did.

A claim by the body corporate or a lot owner against an office bearer is covered.

Machinery Breakdown

This section applies only if the schedule shows it. The schedule shows the limit and the excess.

Breakdown of Machinery

If machinery suffers a sudden and unforeseen breakdown during the policy period, needing repair or replacement before it can work again, we will pay the reasonable cost of repairing it, or of replacing it if repair is not economical, up to the limit shown in the schedule for any one event.

We also pay, within that limit, the reasonable cost of hiring temporary machinery, and of spoilage of food or medicine in a common refrigeration unit, up to $2,500.

Machinery Losses Not Covered

Under the Machinery Breakdown section we do not pay for:

wear and tear, or gradual deterioration, but we do pay for a resulting breakdown;
routine maintenance, adjustment or servicing;
a breakdown covered by a manufacturer's warranty or a maintenance contract;
consumable parts such as belts, filters, lamps, fuses and refrigerant, unless replaced because of a covered breakdown;
damage covered by the Buildings and Common Contents section.

Government Audit, Appeal and Legal Expenses

This section applies if the schedule shows it. It covers matters first notified to the body corporate during the policy period and notified to us as the Notice of Claims and Circumstances obligation requires.

Audit, Appeal and Legal Defence Costs

We will pay the reasonable professional fees and costs the body corporate incurs, with our agreement, for:

Government audit: an audit or inspection of the body corporate's books and records by a government or statutory authority, up to $25,000 in total during the policy period;
Safety appeals: an appeal against a notice or order under work health and safety law relating to the common property, up to $100,000 in total during the policy period;
Legal defence: defending a prosecution of the body corporate or an office bearer under the strata legislation, or under work health and safety, fire safety or building law relating to the common property, up to $50,000 in total during the policy period.

The schedule may show different limits. You contribute 10% of each amount we pay under the legal defence part, in addition to the excess.

Legal Expenses Not Covered

Under the Government Audit, Appeal and Legal Expenses section we do not pay:

a fine, penalty, tax, levy, or amount ordered to be paid, other than costs of the defence;
for a matter that a member of the control group knew of before the policy period;
for a dispute between lot owners, or between lot owners and the body corporate, that is not a prosecution;
for a matter arising from a deliberate breach of the law by the body corporate.

How Claims Are Paid

Excess

You pay the excess shown in the schedule for each claim. If one event gives rise to claims under more than one section, or under more than one part of the Buildings and Common Contents section, only the highest excess that applies is deducted.

The schedule may show a separate, higher excess for damage caused by escape of liquid, or by earthquake. That excess replaces the basic excess for that damage.

Where the strata legislation allows the body corporate to recover an excess from a lot owner, nothing in this policy affects that right.

GST on Claims

Where you are entitled to an input tax credit for the GST on the cost of a repair or replacement, we pay the claim net of that credit. Each sum insured and limit in this policy includes GST to the extent you are not entitled to an input tax credit for it.

Other Insurance

If a loss covered by this policy is also covered by another insurance policy, we will not refuse or reduce our payment because of that other insurance. We may seek contribution from the other insurer as the law allows. This does not apply where the schedule or an endorsement states that this policy is excess of a specified underlying policy, in which case this policy pays only after the limit of that specified policy is exhausted.

If a lot owner has their own insurance that also covers the building or lot owners' fixtures and improvements, this policy pays first, and we do not seek contribution from the lot owner's insurer for property this policy is required by the strata legislation to cover.

Who We Pay

We pay the body corporate, or as it directs. Where an interested party is shown in the schedule, we pay as the schedule and the strata legislation require. Benefits under the Voluntary Workers section are paid to the voluntary worker, and payments under the Office Bearers' Liability section on behalf of the office bearer.

General Exclusions

These exclusions apply to every section.

War

We do not pay for any loss, damage, liability or cost arising from war, invasion, act of foreign enemy, hostilities or warlike operations (whether war is declared or not), civil war, rebellion, revolution, insurrection, military or usurped power, or confiscation by a government or public authority.

Nuclear

We do not pay for any loss, damage, liability or cost arising from ionising radiation, contamination by radioactivity from nuclear fuel or waste, or nuclear weapons material.

Terrorism

We do not pay for any loss, damage, liability or cost arising from an act of terrorism, meaning an act, including the use of force or violence or the threat of it, by any person or group, committed for political, religious, ideological or similar purposes, including the intention to influence a government or to put the public in fear. This exclusion does not apply to the extent the Terrorism Insurance Act 2003 (Cth) requires cover to be provided. [WP REVIEW: confirm whether the building in a residential strata scheme is eligible property under the Terrorism Insurance Act 2003 (Cth), and the wording needed where it is.]

Cyber Events

We do not pay for loss of, damage to or corruption of electronic data, or for loss arising from unauthorised use of a computer system, other than physical damage to the building by a resulting fire or explosion, and other than as the Social Engineering Fraud extension provides. Unauthorised use means use of a computer system by a person not permitted by its owner to use it.

Your Obligations

Tell Us About Claims

Tell us as soon as reasonably practicable after damage, an occurrence, a breakdown or a loss that may lead to a claim, and tell the police promptly about any theft, malicious damage or dishonest act.

Give us the information and documents we reasonably ask for to assess the claim, at your own cost, and allow us to inspect the damaged property before it is repaired, unless emergency repairs are needed under the Emergency Repairs and Temporary Protection extension.

Notice of Claims and Circumstances

For the Office Bearers' Liability section and the Government Audit, Appeal and Legal Expenses section, tell us in writing about each claim or matter as soon as reasonably practicable, and in any case before the end of the policy period or within 30 days after it.

If, during the policy period, an office bearer or the body corporate becomes aware of facts that might give rise to a claim or matter, and tells us in writing as soon as reasonably practicable and before the policy period ends, any claim or matter later arising from those facts is treated as made during the policy period, as s.40(3) of the Insurance Contracts Act 1984 (Cth) provides.

Prevent Further Loss

Take reasonable steps to prevent further damage or loss, and keep damaged property and evidence until we have had a reasonable opportunity to inspect it.

Admissions and Settlements

Do not admit liability for, or agree to settle, a claim under the Public Liability section or the Office Bearers' Liability section without our written agreement, which we will not unreasonably withhold. Co-operate with us in the defence of the claim.

Tell Us About Changes

Tell us during the policy period, as soon as reasonably practicable, if:

major works are planned or start;
the building becomes unoccupied for more than 90 consecutive days;
the use of the building or of any lot changes in a way that increases the risk, such as a lot being used for a restaurant, a hazardous trade, or short-term letting of a large share of the lots;
you receive an order or notice about the building from a council, a building regulator or a fire authority, or you become aware of a defect that could cause damage or injury.

We will tell you whether the change affects your cover or premium. The Insurance Contracts Act 1984 (Cth) condition applies.

Our Rights of Recovery

After we pay a claim, we may take over your rights to recover the amount from anyone else, and act in your name. Help us do so, at our cost.

We will not exercise any right of recovery against a lot owner, an occupier, an office bearer or a voluntary worker, unless the loss was caused by their fraudulent, dishonest, malicious or criminal act.

General Conditions

Insurance Contracts Act 1984 (Cth)

Nothing in this policy excludes, restricts or modifies the operation of the Insurance Contracts Act 1984 (Cth). Where this policy is inconsistent with the Act, the Act prevails.

If this policy would otherwise let us refuse to pay a claim, in whole or in part, because of something you did or did not do after this policy was entered into, section 54 of the Act applies. We may not refuse to pay the claim only because of that act or omission. Our liability is reduced by the amount that fairly represents the extent to which our interests were prejudiced. Where the act or omission could reasonably be regarded as capable of causing or contributing to the loss, we may refuse to pay only the part of the claim that the act or omission caused or contributed to. We may not refuse any part that you prove the act or omission did not cause. This applies to every condition, exclusion, limit and obligation in this policy, not only to the claims conditions.

Corporations Act 2001 (Cth), sections 199A and 199B

Where the body corporate is a company within the meaning of the Corporations Act 2001 (Cth), section 199A of that Act limits the liabilities and legal costs for which a company may indemnify its officers. Section 199B prevents a company from paying a premium for insurance that covers an officer against a liability, other than one for legal costs, arising out of conduct involving a wilful breach of duty in relation to the company, or a contravention of section 182 or 183 of that Act.

To the extent the body corporate is such a company and pays the premium, this policy does not cover an office bearer for a liability, other than legal costs, that section 199B prevents the company from insuring. This does not reduce cover for any other liability, or for legal costs.

[WP REVIEW: confirm this statement of ss 199A and 199B, whether it applies to a body corporate that is not a company, whether the strata legislation restricts a body corporate from insuring or indemnifying office bearers, and whether cover for a liability within s 199B can be provided where the insured person pays the relevant part of the premium.]

Strata Legislation

This policy is intended to provide the insurance the strata legislation requires the body corporate to hold. If the strata legislation requires cover, a limit or a term that this policy does not give, this policy is read as giving it, to the extent the legislation requires.

In particular, if the strata legislation requires a public liability limit higher than the limit shown in the schedule, the higher limit applies. If the strata legislation of South Australia applies, the limit of the Fidelity Guarantee section is at least the amount that legislation requires.

[WP REVIEW: confirm a general conformity clause of this kind is effective in each state and territory, and whether it must be paired with specific requirements stated in the schedule.]

Acts of Lot Owners and Occupiers

An act or omission by a lot owner or an occupier of a lot, done without the knowledge or consent of the body corporate, does not prejudice the cover of the body corporate or of any other lot owner under this policy. Where the act or omission is in breach of a duty this policy imposes, s.54 of the Insurance Contracts Act 1984 (Cth) applies only to the lot owner who did it.

Cancellation

You may cancel this policy at any time by telling us. We refund the premium for the unexpired policy period on a pro-rata basis, less any non-refundable government charges. If we have paid a total loss of the insured property, no refund applies to that item. If you cancel within the cooling-off period, the Important Information section says what we refund. The strata legislation requires the body corporate to keep the building insured, so arrange replacement cover before you cancel.

We may cancel this policy only as the Insurance Contracts Act 1984 (Cth) allows, by giving you written notice as that Act requires. We refund the premium for the unexpired period on a pro-rata basis.

Cancellation does not affect a claim for damage, an occurrence or a loss that happened, or a claim that was first made, before cancellation.

Renewal

Each renewal is a new contract. Before this policy ends, we will tell you whether we offer to renew it and on what terms, as s.58 of the Insurance Contracts Act 1984 (Cth) requires. We are not obliged to offer renewal.

At each renewal, give us the building's latest valuation and its date. The strata legislation of some states requires a valuation at least every five years.

Fraudulent Claims

If a claim is made fraudulently, we may refuse to pay it, as s.56 of the Insurance Contracts Act 1984 (Cth) allows. A fraudulent claim by one lot owner or occupier does not affect the cover of the body corporate or any other lot owner.

Sanctions

We do not provide cover, pay any claim or provide any benefit under this policy to the extent that doing so would expose us to any sanction, prohibition or restriction under:

the Autonomous Sanctions Act 2011 (Cth), the Charter of the United Nations Act 1945 (Cth), or regulations made under either Act; or
the trade or economic sanctions laws of the United Kingdom, the United States of America or the European Union, to the extent they apply to us.

[WP REVIEW: confirm that naming the UK, US and EU regimes is appropriate for Australian capacity; this is a deliberate library-wide scope choice.]

GST

The premium includes GST where it applies, under A New Tax System (Goods and Services Tax) Act 1999 (Cth). Claims are paid as the GST on Claims provision sets out. Tell us your entitlement to input tax credits when you make a claim.

Privacy

We collect, use and disclose personal information about the body corporate's office bearers, lot owners, occupiers and voluntary workers to assess the proposal, administer this policy and manage claims, in accordance with the Privacy Act 1988 (Cth) and our privacy policy. Our privacy policy explains how a person can access and correct their information and how to complain about a privacy matter.

Complaints and Disputes

If you, a lot owner or an office bearer are unhappy with our service or a decision, contact us at the details in the schedule. We will acknowledge the complaint within one business day and give our decision within 30 calendar days.

If you are not satisfied with our response, or we have not responded within 30 calendar days, the complaint may be taken to the Australian Financial Complaints Authority (AFCA), a free and independent dispute resolution service: www.afca.org.au, 1800 931 678, info@afca.org.au.

Governing Law

This policy is governed by the law of the Australian state or territory in which the building is located.

Jurisdiction

You and we submit to the jurisdiction of the courts of the state or territory whose law governs this policy, and of any court that may hear appeals from them.

Headings and References

Headings are for convenience only. A reference to legislation includes any legislation that amends or replaces it. A reference to a clause by its heading is a reference to that clause as it appears in this wording.

How to Make a Claim

Make the property safe and arrange emergency repairs if needed (see the Emergency Repairs and Temporary Protection extension).
Contact your strata manager or broker, or contact us directly at the details shown in the schedule.
Tell the police about any theft, malicious damage or dishonest act.
Tell us what happened and when, and give us photographs, quotes and invoices.
For a claim against the body corporate or an office bearer, send us the demand or court documents as soon as you receive them, and do not admit liability.
We will acknowledge your claim, keep you informed, and tell you our decision as the General Insurance Code of Practice requires where the insurer subscribes to it.

Endorsement Library

An endorsement applies only if its code is shown in the schedule. Each endorsement changes this policy only as it states, and is read together with the variables shown for it in the schedule. Where an endorsement and the rest of this policy conflict, the endorsement applies to the extent of the conflict. If a variable an endorsement needs is not shown in the schedule, the default stated in the endorsement applies; if it has no default, the endorsement does not apply until we show the variable in the schedule.

Code	Endorsement	Effect
E01	Flood Cover	Adds cover for flood
E02	Known Defect	Records a known defect and how it is covered
E03	Major Works	Covers named major works on agreed terms
E04	Combustible Cladding	Records combustible cladding and the terms that apply
E05	Water Damage Excess	Applies a separate excess for escape of liquid
E06	Short-Term Letting	Confirms cover where lots are let for short stays
E07	Heritage-Listed Building	Sets the basis for repairing heritage features
E08	Interested Party	Notes a financier or other party's interest
E09	Lloyd's Underwriters	Adds Lloyd's several liability, service of suit and complaints terms
E10	Unoccupied Building	Continues cover while the building is unoccupied
E11	Commercial Occupancy	Records a higher-hazard commercial occupancy

E01 Flood Cover

The Flood exclusion does not apply. We cover damage to the building and common contents caused by flood under the Buildings and Common Contents section, subject to the flood excess shown in the schedule for this endorsement.

All damage by flood within any 72 hour period is one event. We do not pay for damage by flood in the first 72 hours after this endorsement starts, unless it starts at the same time as a policy that replaces one with flood cover without a break.

Schedule variables: flood excess (default $5,000).

Wording note — platform rule (not part of the policy)

Questions

Do you want flood cover? qs.str.cover.flood_requested

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.cover.flood_requested == yes: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach

Reason shown on the quote and schedule: Referred because flood cover was requested; the underwriter prices it from the flood risk at the address.

E02 Known Defect

The schedule names a known defect in the building and the part of the building it affects.

The cost of fixing the named defect is not covered, as the Defects and Gradual Causes exclusion provides.
Damage to other parts of the building that results suddenly and accidentally from the named defect is covered, subject to the special excess shown in the schedule for this endorsement.
If the schedule says so, damage to the affected part of the building caused by the named defect is not covered until the defect is fixed. Tell us when it is fixed, and we will remove that restriction.

Liability arising from the named defect is covered under the Public Liability section as usual.

Schedule variables: description of the defect and the affected part; special excess (default: the basic excess); whether damage to the affected part is excluded until rectification.

Wording note — platform rule (not part of the policy)

Questions

Does the body corporate know of any defect in the building, including waterproofing, structural, fire safety or cladding defects? qs.str.risk.known_defects
Has a council, building regulator or fire authority issued any order or notice about the building that has not been complied with? qs.str.risk.defect_orders

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.risk.defect_orders == yes: Refer to the underwriter, with the endorsement pre-selected
When qs.str.risk.known_defects == yes: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach; Decline risk

Reason shown on the quote and schedule: Referred because the body corporate has told us about a known defect or a defect order. Known defects are common; the underwriter decides the terms.

E03 Major Works

The Major Works exclusion does not apply to the works named in the schedule for this endorsement, for the period shown.

The works themselves, and materials on site for them, are not covered: they must be insured by the contractor under a contract works policy, and you must keep evidence of that policy. Damage to the rest of the building caused by the works is covered, subject to the special excess shown in the schedule for this endorsement, less any amount recovered from the contractor's insurance.

Schedule variables: description and contract value of the works; works period; special excess.

Wording note — platform rule (not part of the policy)

Questions

Are building works worth more than the lower of 20% of the building sum insured and $500,000 under way or planned in the next 12 months? qs.str.risk.major_works

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.risk.major_works == yes: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach

Reason shown on the quote and schedule: Referred because major works are under way or planned at the building.

E04 Combustible Cladding

The schedule records that external cladding of the type named is on the building, the share of the facade it covers, and any remediation order and its status.

Cover for damage by fire to the building is subject to the special fire excess shown in the schedule for this endorsement. The cost of removing or replacing the cladding is not covered, except where fire or another insured cause damages it, and then only to replace it with non-combustible cladding of the same function.

Schedule variables: cladding type and share of facade; remediation order and status; special fire excess.

Wording note — platform rule (not part of the policy)

Questions

Does the building have aluminium composite panels, expanded polystyrene or other combustible external cladding? qs.str.building.combustible_cladding

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.building.combustible_cladding == yes: Refer to the underwriter, with the endorsement pre-selected
When qs.str.building.combustible_cladding == unknown: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach; Decline risk

Reason shown on the quote and schedule: Referred because the building has, or may have, combustible external cladding.

E05 Water Damage Excess

For damage caused by liquid escaping from a pipe, tank, appliance, shower, bath or other fixture, the excess shown in the schedule for this endorsement applies in place of the basic excess.

Schedule variables: water damage excess.

Wording note — platform rule (not part of the policy)

Questions

How many of those claims were for water damage? qs.str.claims.water_damage_count

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.claims.water_damage_count >= 2: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach with special excess; Attach with premium loading; Do not attach; Decline risk

Reason shown on the quote and schedule: Referred because the scheme has had {qs.str.claims.water_damage_count} water damage claims in the last three years.

E06 Short-Term Letting

Cover is not affected because lots are let for stays of less than three months. Malicious damage to the common property by a short-stay guest is covered, subject to the special excess shown in the schedule for this endorsement.

Schedule variables: share of lots let for short stays; special excess (default: the basic excess).

Wording note — platform rule (not part of the policy)

Questions

What percentage of the lots are let for stays of less than three months? qs.str.occupancy.short_term_pct

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.occupancy.short_term_pct > 25: Refer to the underwriter, with the endorsement pre-selected
When qs.str.occupancy.short_term_pct > 0: Apply automatically

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach

Reason shown on the quote and schedule: Applies because {qs.str.occupancy.short_term_pct}% of the lots are let for short stays.

E07 Heritage-Listed Building

Where the heritage listing requires damaged parts of the building to be repaired with original or matching materials or methods, the cost of repairing or rebuilding includes that extra cost, within the building sum insured. The building sum insured must allow for it.

Schedule variables: heritage register and listing number.

Wording note — platform rule (not part of the policy)

Questions

Is the building heritage-listed? qs.str.building.heritage

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.building.heritage == yes: Refer to the underwriter, with the endorsement pre-selected

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: Referred because the building is heritage-listed.

E08 Interested Party

The interest of the party named in the schedule for this endorsement is noted. Noting an interest does not make that party an insured and gives it no right to claim, but we will tell it if this policy is cancelled, if you agree that we may do so.

Schedule variables: interested party name and interest.

Wording note — platform rule (not part of the policy)

Questions

Do you want us to note the interest of a financier or other party? qs.str.interested_parties

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.interested_parties == yes: Apply automatically

Underwriter responses (on a referral or suggestion): Attach; Do not attach

Reason shown on the quote and schedule: Applied because the body corporate has asked us to note an interested party.

E09 Lloyd's Underwriters

This policy is underwritten by the Lloyd's underwriters named in the schedule. Each underwriter is liable only for its own share, and not for the share of any other underwriter.

The underwriters agree that any dispute about this policy may be heard by a court of competent jurisdiction in Australia, and that the Lloyd's General Representative in Australia named in the schedule may accept service of process for them. Complaints may also be made to Lloyd's Australia at the details shown in the schedule, as well as under the Complaints and Disputes condition.

Schedule variables: underwriters and their shares; Lloyd's General Representative; Lloyd's complaints contact.

Wording note — platform rule (not part of the policy)

Questions

Is the policy issued under a Lloyd's binding authority? qs.str.issuer.lloyds

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.issuer.lloyds == yes: Apply automatically

Underwriter responses (on a referral or suggestion): Attach

Reason shown on the quote and schedule: Applied because the policy is issued under a Lloyd's binding authority.

E10 Unoccupied Building

The Unoccupied Building exclusion does not apply for the period shown in the schedule for this endorsement, if you inspect the building at least every 14 days, keep it secured, and turn off the water supply where it is safe to do so. The Insurance Contracts Act 1984 (Cth) condition applies to these steps.

Schedule variables: unoccupied period; special excess.

Wording note — platform rule (not part of the policy)

Questions

Is the building, or are most of its lots, unoccupied? qs.str.occupancy.unoccupied

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.occupancy.unoccupied == yes: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach; Decline risk

Reason shown on the quote and schedule: Referred because the building is unoccupied.

E11 Commercial Occupancy

The schedule names the lots and the occupancy. Where the occupancy uses cooking equipment, the kitchen exhaust system serving it must be cleaned by a professional at least every six months; where it uses other hazardous processes, the precautions named in the schedule apply. The Insurance Contracts Act 1984 (Cth) condition applies to these steps.

Schedule variables: lots and occupancy; precautions; special excess.

Wording note — platform rule (not part of the policy)

Questions

Is any lot used for cooking with deep fryers, a workshop, a gym, a nightclub, or storing flammable goods? qs.str.occupancy.hazardous_tenancy

Default rules (the first rule that matches applies; agencies may set their own actions and thresholds)

When qs.str.occupancy.hazardous_tenancy == yes: Refer to the underwriter, with the endorsement pre-selected

Underwriter responses (on a referral or suggestion): Attach; Attach with special excess; Attach with premium loading; Do not attach; Decline risk

Reason shown on the quote and schedule: Referred because a lot is used for a higher-hazard commercial occupancy, such as cooking with deep fryers, a gym or a workshop.

Licence and Trademark Notice

This wording's text is licensed under Creative Commons Attribution 4.0 International (CC BY 4.0). The licence applies to the wording text only. It does not extend to, and no licence is granted in, the "Meridian" name, the Cuttleflow Systems name, logo, bearing mark, or any other trademark, trade dress, or brand asset, all of which remain the property of their respective owners and may not be used without separate permission.

An adopting insurer's own schedule, proposal, endorsements and other materials prepared for use with this wording are not required to be released under CC BY 4.0 merely because they are used together with this wording; CC BY 4.0 requires only that you attribute the wording text you use.

This wording is provided for general use and adaptation. Adopting insurers and their advisers are responsible for obtaining their own legal, regulatory, and reinsurance advice before use, including on whether a Product Disclosure Statement and Target Market Determination are required. Use of this wording requires the approval of the relevant capacity provider. Any Wording Partner review and sign-off letter issued in respect of this wording runs to Cuttleflow Pty Ltd t/a Cuttleflow Systems only and does not constitute legal advice to any adopting insurer or insured.

Designed for the Australian market. Assumes application of the Insurance Contracts Act 1984 (Cth). Users are responsible for their own legal review, regulatory compliance, and reinsurance alignment.