The updated Liability Products
Summary of key benefits
August 2015
Broadform Liability Insurance
S U M M A RY OF K EY B EN EF I T S
Broadform Liability insures businesses for their legal liability, for accidental injury to a third party or damage to their property. This policy covers the costs of meeting court
judgments or out-of-court settlements, and any legal defence and investigation.
AUTOMATIC POLICY EXTENSIONS – KEY BENEFITS
Benefit
Benefit explained
Extension limit
Advertising Liability
Covers the Insured for sums they become legally liable to pay in connection with the advertising of the Insured’s
$1,000,000
products, goods or services. It also includes liability for libel or slander, infringement of copyright, unfair competition and
invasion of privacy.
Business Travel to a Non-Territorial Country
Covers the Insured for their legal liability if the Insured is temporarily out of New Zealand for business purposes. Provided Cover is up to the policy limit.
they are not a resident of those countries, and are not doing any physical work such as manufacturing.
The Insured can attend meetings, conferences, and tradeshows outside of New Zealand knowing they are covered for
their legal liability should an event occur in connection with the business.
Cover is worldwide including North America.
Goods Lifted or Carried by Crane
Covers the Insured for sums they become legally liable to pay for damage to third party property that is lifted, lowered
or conveyed by any crane operated by the Insured.
$250,000
Covers damage to client’s property whilst the Insured is lifting, lowering, or conveying it by crane, up to $250,000.
Resultant damage is covered up to the policy limit, either under the insuring clause or under the automatic extension
‘Vehicles / Mobile Mechanical Plant Liability’.
Lost or Stolen Keys
Covers costs reasonably and necessarily incurred by the Insured in altering or replacing locks and their keys or
combinations, if these are lost, stolen or duplicated without proper authority.
Cover is up to the policy limit. (note: many
Insurers have sub-limits for this cover).
Service/Repair - Machinery
Provides service and repair cover for damage to any machinery that the Insured works on, with no exclusion for faulty
workmanship. This means the part that the Insured worked on is covered, as well as the cost to repair or rectify the
work.
$250,000
Care, Custody or Control
Covers the Insured for sums they become legally liable to pay for damage to third party property, while it is in the
Insured’s control or possession.
$500,000
Cover is available anywhere in the territorial limits and extends to include property rented, hired, or leased by the
Insured, as well as employees property.
The extension limit has increased from $250,000 to $500,000.
Forest and Rural Fires Act
Covers the Insured for sums they become legally liable to pay under the Forest and Rural Fires Act 1977.
$1,000,000
The extension limit has increased from $250,000 to $1,000,000.
This is only a summary document. Limitations, exclusions and conditions may apply, please refer to the policy documents.
Liability Insurance – Summary of key benefits NZ6212 08/15
Broadform Liability Insurance / S UM M A RY O F KEY B EN EFI T S
Benefit
Benefit explained
Extension limit
Innkeepers Liability
Covers the Insured for sums they become legally liable to pay for damage to property under the Innkeepers Act 1962.
Cover is up to the policy limit.
The extension limit has increased from $250,000 up to the policy limit.
Service/Repair - Vehicle and Watercraft
Covers the Insured for sums they become legally liable to pay in relation to their service and repair of a vehicle or
The vehicle or watercraft that is repaired or
watercraft (up to 10 metres). Faulty workmanship exclusion does not apply to this automatic extension, the part that the serviced is covered up to $500,000. This limit is
Insured worked on is covered as well as the cost to repair or rectify the work. Sea trials following the servicing or repair
not aggregated.
of a watercraft are also covered.
Resultant damage however is covered up to the
policy limit.
Vibration and Removal of Support
Covers the Insured for sums they become legally liable to pay for injury and/or damage occurring in New Zealand
in connection with the vibration, removal or weakening of the support, or interference with the support, of land or
buildings, provided the land or buildings are not owned or occupied by the Insured.
$500,000
The extension limit has been increased from $250,000 to $500,000.
Underground Services Liability
Covers the Insured for sums they become legally liable to pay arising from damage to underground cables, pipes and
Cover is to up the policy limit.
other underground facilities. There is no depth or activity limitation and provided that the Insured has complied with the
conditions of the policy, they are insured up to the policy limit.
The new policy also covers the following automatic policy extensions:
• Business Advice or Service
• Hot works Away from Your Premises
• Landlords Liability
• Product Withdrawal Costs
• Punitive or Exemplary Damages
• Tenant’s Liability
• Vehicles/Mobile Mechanical Plant
This is only a summary document. Limitations, exclusions and conditions may apply, please refer to the policy documents.
Liability Insurance – Summary of key benefits NZ6212 08/15
Broadform Liability Insurance / S UM M A RY O F KEY B EN EFI T S
OPTIONAL POLICY EXTENSION – KEY BENEFIT
Benefit
Benefit explained
Extension Limit
Property Being Worked On
This optional policy extension provides cover for damage to third party property whilst the Insured is working on it. If the $100,000
Insured adds this extension to their policy, it covers them if they accidently damage their client’s property whilst working
on it. Faulty workmanship exclusion does not apply to this extension.
OTHER - KEY BENEFITS
Benefit
Benefit explained
Product Exposure Outside of Territorial Limits
If the Insured is held legally liable for injury or damage arising from the products being sent outside the ‘territorial limits’
(i.e New Zealand or any other country specified in the schedule), then the policy will respond in the event of a claim, so
long as the products were sent without the Insured’s knowledge.
The Definition of ‘you’ has been extended
The Definition of ‘you’ has been extended to include contractors or sub-contractors who are not otherwise insured,
whilst they are engaged and working for the Insured in New Zealand on behalf of the business.
If the Insured hires uninsured contractors or subcontractors to work on behalf of the business they are included under
the Insured’s policy. It also means that if the Insured hires contractors who are effectively ‘employees’ they will also be
included under the policy.
This is only a summary document. Limitations, exclusions and conditions may apply, please refer to the policy documents.
Liability Insurance – Summary of key benefits NZ6212 08/15
Statutory Liability Insurance
S U M M A RY OF K EY B EN EF I T S
Statutory Liability Insurance protects businesses from fines, penalties or reparations for unintentional breaches of many Acts of parliament.
KEY BENEFITS
Benefit
Benefit explained
Defence Costs are in Addition
Defence Costs are in addition to the sum Insured for fines, statutory damages and reparations. The sum Insured
available for defence costs is the same amount as the limit for the fine, statutory damages and reparations. For example,
where a sum Insured is $500,000, cover is also available in addition to that limit for Defence Costs up to $500,000.
Statutory Damages and Reparations
This extension provides cover for damages payable under the Privacy Act or Human Rights Act. It also extends to cover
reparation ordered under Section 32 of the Sentencing Act 2002. These are civil payments rather than fines.
The new policy also covers the following automatic policy extensions:
• Defence Costs if Acquitted
• Extended Reporting Period
• Mergers and Consolidations
• New Subsidiary Companies
• Official Investigations
• Previous Subsidiary Companies
This is only a summary document. Limitations, exclusions and conditions may apply, please refer to the policy documents.
Liability Insurance – Summary of key benefits NZ6212 08/15
Employers Liability Insurance
S U M M A RY OF K EY B EN EF I T S
Employer Liability Insurance protects businesses from the potentially damaging costs of employee initiated civil claims for personal injury that are not covered by ACC.
KEY BENEFITS
Benefit
Benefit Explained
Defence Costs are in Addition
Defence Costs are in addition to the sum Insured for damages/compensation for injury. The sum Insured available for
defence costs is the same amount as the sum Insured for the damages/compensation. For example, where a sum Insured
is $500,000, cover is also available in addition to that limit for Defence Costs up to $500,000.
The new policy also covers the following automatic policy extensions:
• Continuous Cover
• Extended Reporting Period
• Mergers and Consolidations
• New Subsidiary Companies
• Pervious Subsidiary Companies
This is only a summary document. Limitations, exclusions and conditions may apply, please refer to the policy documents.
Liability Insurance – Summary of key benefits NZ6212 08/15