What we cover
What we exclude
2. Retroactive cover If this section of the policy replaces any previous policy of Employee Dishonesty insurance carried by you that is terminated, cancelled or allowed to expire at the time of the replacement, we will cover any loss that is within the time limitations provided that:
We will not be liable for any loss arising from any act of dishonesty committed more than 12 months before the inception of this section of the policy.
• the loss would have been recoverable by you under the previous policy except for the fact that the time within which to discover any loss had expired; • the cover we provide is limited to the insured amount shown in the schedule; • the loss would have been covered under this section if this section had been in force when the acts or defaults causing the loss were committed; and, • recovery under this section for the loss will not exceed the amount that would: (a) be recoverable under this section had those acts or defaults been committed immediately before discovery; or, (b) have been recoverable under the previous policy had it continued in force until the discovery of the loss; whichever is the lesser. 3. Superannuation and pension fund cover For this policy section only, the definition for ‘Money’ is amended to include any superannuation fund or pension fund formed by you and exclusively for the benefit of employees but does not include any scheme that is administered by a professional funds manager. 4. Welfare, social or sporting club cover For this policy section only, the term ‘You’ shall be extended to any welfare, social or sporting club formed with your knowledge and consent exclusively for the benefit of employees and their families.
What we pay If we agree to pay a claim you must agree to withhold (to the extent you are allowed to by law) and to retain salary, commission, money or assets that are the property of an employee whose dishonesty has caused a claim under Section 4 – Employee Dishonesty. If you do not we may reduce the claim by the amount you did not retain. If we agree to pay a claim we will: •
Pay the sum of money lost, and,
•
At our option, replace or pay the cost to replace the lost property.
If money is recovered by you from your employees after we have paid the claim, we agree that the money will be first applied to your excess and any other uninsured loss you have incurred and then the balance will be paid to us up to the amount we have paid including any recovery costs paid for by us.
Limits to what we pay The most we will pay for any act or series of related acts of employee dishonesty is the insured amount shown in the schedule at the time the act was first committed. The most we will pay for all claims for employee dishonesty during the period of insurance is the insured amount shown in the schedule.
Excess You must pay the amount of any excess shown in the schedule for each claim you make. 48