aig_vw_group_student_accident_travel_policy_wording_2014-2015

Combined Product Disclosure Statement and Policy Wording

Independent Schools Insurance Package

AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Contents Page Number Product Disclosure Statement .............................................................................................................................. 2 1. How This Insurance Is Arranged .............................................................................................................. 2 2. Key Benefits of Your Policy ...................................................................................................................... 3 3. Important Information ................................................................................................................................ 7 4. Costs ......................................................................................................................................................... 7 5. Cooling Off Period .................................................................................................................................... 8 6. How to Make a Claim ................................................................................................................................ 8 7. Code of Practice ....................................................................................................................................... 8 8. Dispute Resolution .................................................................................................................................... 9 9. Privacy Consent and Disclosure ............................................................................................................. 10 Policy Wordings .................................................................................................................................................. 11 Important Policy Matters ................................................................................................................................. 11 Your Duty of Disclosure .................................................................................................................................. 11 Definitions that apply to Covers 1,2,3 and 4. .................................................................................................. 11 General Exclusions that apply to Covers 1,2,3 and 4. .................................................................................... 12 General Conditions that apply to Covers 1,2,3 and 4. .................................................................................... 12 Types of Cover – ................................................................................................................................................ 14 Cover 1 - Personal Accident Insurance – School Students and Staff Cover ..................................................... 14 Cover 2 - Personal Accident Insurance – Voluntary Workers Cover ................................................................. 32 Cover 3 - Personal Accident Insurance – Key Persons Cover ........................................................................... 41 Cover 4 - Travel Insurance – School Students and Staff Cover ........................................................................ 50

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Product Disclosure Statement Independent Schools Insurance Package The Product Disclosure Statement (‘PDS’) contains information about key benefits and significant features of this Independent Schools of Victoria Insurance Package.

The purpose of the PDS is to assist your purchasing decision and ability to compare this product with other similar insurance products. This document also contains important information about your rights and obligations including the Cooling Off Period. Please retain this document in a safe place.

The terms and conditions of your insurance are contained in the Policy Wording.

1.

How This Insurance Is Arranged

This insurance is issued/insured by: AIG Australia Limited (AIG) ABN 93 004 727 753 AFSL 381686 Level 12 717 Bourke Street Docklands Vic 3008 Mailing Address: GPO Box 9933, Melbourne, VIC 3001 AIG issues / insures this product pursuant to an Australian Financial Services Licence (‘AFSL’) granted to us by the Australian Securities and Investments Commission.

AIG prepares this Product Disclosure Statement.

Cover is arranged and distributed by: Willis Australia Limited ABN: 90 000 321 237 AFSL: 240600 Level 5 / 570 Bourke Street Melbourne Vic 3000 Phone: (03) 8681 9800 Fax: (03) 8681 9888 Retail Clients ‘Retail clients’ are required to be provided with a product disclosure statement prepared by the product issuer/ Insurer.

A ‘retail client’ means an individual or small business.

‘Small business’ means: 1 a manufacturing entity with 100 employees or fewer, or 2. non manufacturing entity employing 20 individuals or less.

Date Prepared: 01 February 2013 PDS SO JM 08/01807.4

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

2.

Key Benefits of Your Policy

The Independent Schools Insurance Package provides you with a selection of types of cover to cater for your school’s insurance needs. There are four main types of cover available under this policy: Cover 1 - Personal accident insurance – school students and staff cover; Cover 2 - Personal accident insurance - voluntary workers cover; Cover 3 - Personal accident and sickness insurance - key persons cover; Cover 4 - Travel insurance - school students and staff cover.

Each type of cover can be selected individually or in combination and is subject to acceptance of the risk by AIG. Cover is limited to the benefits and maximum sums insured listed in the Policy Schedule and is subject to the terms, conditions and exclusions in the Policy Wording.

A summary of some of the key benefits of these types of cover can be found below. You should be aware that this is a summary of cover only and the policy is subject to the terms and conditions, limits and exclusions in the policy. You should read the policy carefully to ensure it meets your requirements.

All benefits and benefit amounts shown in this policy are per insured person limits payable in Australian Dollars. In some cases sub-limits apply or the benefits may not be available to you.

Types of cover Cover 1 - Personal accident insurance cover – school students and staff cover Section and Title Section 1 – Capital Benefits

Cover Description Covers the accidental death, permanent disability and specified permanent total loss to an insured person as a result of injury

Section 2 – Additional Benefits Bed Care Patient Benefit

Injury Assistance Benefit

Broken and/or Fractured Bones Benefit Dislocation Benefit

Dental Expenses Benefit

Student Tutoring Expenses Benefit Fee Relief Benefit

Overseas Medical Expenses Benefit

Emergency Transport Benefit

Provides a set daily benefit if an insured person becomes a bed care patient as a result of an injury Provides a limited weekly reimbursement for the costs of hiring domestic help and child minding services or extra transportation expenses as a result of injury of an insured person Provides a lump sum payment for specific broken and/or fractured bones of an insured person as a result of injury Provides a lump sum payment for specific dislocations suffered by an insured person as a result of injury Provides reimbursement for the loss of or damaged to a natural tooth/teeth of an insured person as a result of injury (except where such reimbursement is prohibited by law)* Provides a weekly payment for tutoring of an insured person as a result of injury Provides a limited payment for school term tuition fees in the event of the death of an insured person’s guardian or benefactor as a result of injury Provides limited reimbursement of overseas medical expenses incurred by an insured person whilst travelling outside Australia Provides limited costs for an insured person to travel in emergency transportation as a result of an injury or illness.

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Non-Medicare Medical Expenses Benefit

Clothing (including spectacles) and/or Sport Equipment Benefit Section 3 – Kidnap, Ransom and Extortion

Provides reimbursement of non-medicare medical expenses incurred by an insured person as a result of injury (except where such reimbursement is prohibited by law)* Cover for the lost or damaged clothing (including spectacles) worn and/or sporting equipment being used by the insured person in the course of an injury or during treatment for such injury.

Cover for the kidnapping or alleged kidnapping of an insured person, or extortion threats to an insured person during the policy period.

* Cover will be provided for: (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured.

Additional Benefits for Option 1 and 2 For Option 1 and 2, there is an optional extension for reimbursement of school/boarding fees due to injury or illness for up to two (2) School terms in any one year.

This additional benefit is available upon request - Premium to be agreed by insurer.

Cover 2 - Personal accident insurance - voluntary workers cover Section and Title

Cover Description

Section A – Capital Benefits

Cover for Injury resulting in Events such as death, specified permanent disability and permanent total loss, fractured leg and disfigurement due to burns.

Section B – Weekly Injury Benefit

Cover for weekly injury Benefit for injury resulting in temporary total disablement.

Section C - Non-Medicare Medical Expenses

Provides compensation for specified non-medicare medical expenses incurred as a result of injury.

Section D - Broken bones benefits

Provide compensation for injury resulting in specified broken bones

Cover 3 - Personal accident and sickness insurance - key persons cover Section And Title

Cover Description

Section A – Capital Benefits

Cover for Injury resulting in death, permanent total disablement and specified permanent total loss.

Section B – Weekly Injury Benefit

Provides weekly Injury benefit for Injury resulting in temporary partial disablement or temporary total disablement.

Section C – Weekly Sickness Benefit

Provides weekly sickness benefit, for sickness causing temporary partial disablement or temporary total disablement.

Additional benefits are available under Cover 3 of this policy and include: Independent School Scheme PDS JM 08/01807.4 AH 09/005

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

Rehabilitation Expenses (applicable to Sections B and C of cover 3);



Escalation of Claim Benefit (applicable to Section B and C of cover 3);



Spouse and Dependant Children Benefit (applicable to Section A of cover 3);



Home Renovation Benefit (applicable to Section A of cover 3);



Accidental H.I.V Infection Benefit (applicable to all Sections of cover 3)

Refer to the Special Provisions – Additional Benefits on pages 42 – 43 of the Policy Wording.

Cover 4 - Travel insurance - school students and staff cover Section and Title Section 1 – Medical and Medical Evacuation Expenses

Cover Description Provides varying levels of cover for overseas medical expenses, ongoing medical expenses in Australia and emergency transportation expenses incurred whilst travelling.

Section 3 – Loss of Deposits and Additional Expenses

Cover for cancellation charges and additional extra expenses arising from unforeseen events such as natural disaster, injury or sickness, false arrest or wrongful detention or being hijacked.

Section 4 – Luggage, Personal Effects, Travel Documents, Money and Credit Cards

Covers accidental loss of or damage to your accompanied luggage, personal belongings including travel documents, portable business equipment /business property, unauthorised use of credit cards and replacement of keys and locks where identification and keys are lost. Limits apply to any one item.

Section 5 – Personal Injury and Surgical Benefits

Benefits are payable as a percentage of the Capital Sum Insured for an injury that results in death or another Event included in the Table of Events in Section 5 of Cover 4. Please note Event 20 benefits are payable as lump sum as specified in the Table of Events.

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Section 6 – Alternative Employee or Resumption of Assignment Expenses

Reimbursement of costs incurred for the resumption of an assignment by the insured person who has been repatriated following a specified event, or for the need to send a substitute employee to complete the original business commitments of an insured person who is unable to do so due to death, injury or sickness.

Section 7 – Political Risk and Natural Disaster Evacuation Expenses

Cover for the cost of returning an insured person to their country of residence or the nearest place of safety following the need to leave the country they are in due to a natural disaster, being expelled or officials recommending that certain categories of persons leave the country.

Cover for reasonable extra expenses incurred to enable an insured person to use alternative public transport services to arrive at a business meeting or conference on time if they miss their transport connection due to unforeseeable circumstances outside their control.

Section 8 – Missed Transport Connection

Section 9 – Rental Vehicle Excess Cover

We will reimburse you or the insured person for any excess or deductible which you or the insured person become legally liable to pay in respect of loss or damage to a rental vehicle.

Please note rental vehicle means a passenger class hatchback, sedan, station wagon, or four-wheel drive rented or hired from a licensed motor vehicle rental company for the sole purpose of carrying the insured person and their travelling companions on public roadways. It shall not include any other type of vehicle or vehicle use.

Section 10 – Kidnap and Ransom and Extortion

Cover for the kidnapping or alleged kidnapping of an insured person, or extortion threats to an insured person during the travel.

Section 11 – Personal Liability

Cover for legal liability for bodily injury or damage to property of others as a result of the insured person’s negligence during the travel.

Section 12 – Extra Territorial Workers Compensation

Indemnity against liability arising during the travel to pay compensation payable under any Workers Compensation Legislation and damages at Common Law for death, personal injury or occupational disease suffered by an insured person as a result of an accident or occurrence during the travel.

Section 13 – Corporate Travellers Family Care

An accidental death benefit in the event that the spouse of an insured person dies as a result of an injury whilst the insured person is travelling and an Education Fund Supplement for each dependant child in the event that the insured person dies when travelling.

Section 14 – Identity Theft

Cover for legal expenses, lost wages, loss due to unauthorised use of identity and miscellaneous expenses resulting from an insured person’s identity being taken and used by a third party.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

3.

Important Information

Please read the Policy Wording carefully for full details about lodging a claim, when benefits are payable, the terms, conditions, provisos and exclusions that apply to this policy and each individual type of cover. Take special note of the following: 

The Policy Wording contains Definitions, General Conditions and General Exclusions sections that apply to all types of cover of this policy.



You should also note the additional Definitions, Conditions and Exclusions that apply to each type of cover.



It is important that you read the sections that apply to each type of cover in this Policy Wording carefully. Each type of cover have specific ‘Special Provisions’ that may impact upon the compensation payable. Specific definitions, conditions and exclusions may also apply to specific sections within each type of cover.



Aggregate Limit of Liability, Aggregate Period, Elimination Period or Excess may apply to one or more of the sections of the types of cover selected. Details are provided in the Policy Wording.

An Aggregate Limit of Liability is the maximum amount we will pay for all claims arising during one policy period. Limits will be shown in the Policy Schedule for the relevant type of cover selected.

An Aggregate Period is the maximum amount of time for which benefits will be payable (generally up to a maximum of fifty-two (52) weeks). Different Aggregate Periods may apply based on application details and acceptance. Where applicable, such periods will be shown in the Table of Events and Compensation under each type of cover in the Policy Wording.

An Elimination Period is a period under the type of cover selected for which no Compensation is payable. Different Elimination Periods apply to particular events insured under the cover selected. Details are shown in the Table of Events and Compensation under each section of cover in the Policy Wording.

Excess is the amount shown in the Table of Events and Compensation that you will have to pay for each and every loss you have under the applicable section of the type of cover selected.



Age limits apply to this insurance. These may vary based on application details and the type educational institution to be insured. Please note, different age limits may apply to each type of cover. The applicable age limit for each type of cover selected will be shown in the relevant sections of the Policy Schedule.



This PDS and Policy Wording booklet also contains important information about the rights and obligations of insured persons including information about Privacy, Duty of Disclosure, Dispute resolution and Code of Practice.



The attached Policy Wording may be varied by way of endorsement. Where applicable any such endorsement will be provided to you with the quotation.

4.

Costs

Premiums are calculated on an individual application basis. Some of the factors taken into account in calculating the premium include:    

types of cover selected; applicable endorsements; elimination/ aggregate periods; the number of insured persons;

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      

the type of voluntary activity; age and class of occupation; the number of days that voluntary activity is undertaken during the period of insurance; the estimated number of journeys per annum to both overseas and domestic locations; the average duration per trip (total travel days); the activities undertaken whilst traveling; and your prior claims experience.

Premiums may vary during a policy period if there is an alteration in the above circumstances.

The premium amount will be shown on your Policy Schedule. Government charges such as Stamp Duty and GST will be shown separately on the Policy Schedule.

You may be entitled to claim a tax deduction for the premium paid under this policy. Please check with your tax accountant or the Australian Taxation Office for further information.

5.

Cooling Off Period

If you are a Retail Client you have 14 days after you receive this policy to check that the policy and benefits meet your needs. This is known as the Cooling Off Period. Within the Cooling Off Period you may cancel the policy and receive a full refund of all premiums paid.

To cancel the policy during the Cooling Off Period, please send us:  

your written request to cancel the policy; and the policy document.

The Cooling Off Period ceases if a claim is made before the 14 day Cooling Off Period has expired.

6.

How to Make a Claim

Information on claims can be found under the section titled ‘General Conditions – 4. Claims Procedure’ in the Policy Wording. Please read this carefully.

Claims need to be submitted with original supporting documentation such as doctor's reports, receipts, and where requested, additional requirements will be detailed under the heading - “Additional conditions” each type of cover selected.

Claims should be delivered to the address shown on the outside cover of this document. In the event of claims under some sections of the types of cover selected, an Elimination and/or Aggregate Period or an Excess may apply.

Please refer to the Policy Wording and Policy Schedule for further details about the above.

7.

Code of Practice

AIG is a signatory to the General Insurance Code of Practice. This aims to raise the standards of practice and service in the insurance industry, improve the way that claims and complaints are handled and help people better understand how general insurance works. Information brochures on the Code are available upon request.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

8.

Dispute Resolution

We are committed to handling any complaints about our products or services efficiently and fairly.

If you have a complaint: 1. Contact your broker and they may raise it with us.

2. If your complaint is not satisfactorily resolved you may request that your matter be reviewed by management by writing to: The Compliance Manager AIG Level 12, 717 Bourke Street Docklands VIC 3008 3. If you are still unhappy, you may request that the matter be reviewed by our Internal Dispute Resolution Committee (“Committee”). We will respond to you with the Committee’s findings within 15 working days.

4. If you are not satisfied with the finding of the Committee, you may be able to take your matter to an independent dispute resolution body, Financial Ombudsman Services (FOS). This external dispute resolution body can make decisions with which AIG are obliged to comply.

Contact details are: Financial Ombudsman Service Telephone: 1300 78 08 08 Postal Address: GPO Box 3, Melbourne, Victoria 3001 Website: www.fos.org.au Email: info@fos.org.au

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

9.

Privacy Consent and Disclosure

AIG is bound by the National Privacy Principles that apply to any personal information collected by AIG. Purpose of Collection AIG collects information necessary to underwrite and administer your insurance cover, to maintain and to improve customer service and to advise you of our products. You have a duty under the Insurance Contracts Act to disclose certain information. Failure to comply with your duty of disclosure or to provide certain information may result in AIG either declining cover, cancelling your insurance cover or reducing the level of cover.

In the course of administering your policy we may disclose your information to: i. ii. iii. iv. v.

the entity to which AIG is related (whether is Australia or overseas), contractors or third party providers providing services related to the administration of your policy. banks and financial institutions for the purpose of processing your application and obtaining policy payments. assessors, third party administrators, emergency providers, retailers, medical providers, travel carriers, in the event of a claim. our assistance provider who will record all calls to the assistance service provided under your policy for quality assurance training and verification purposes. other third parties, including mailing houses and marketing companies, to enable us to advise you of our insurance products and services.

In some circumstances AIG is entitled to disclose your personal information to third parties without your authorisation such as law enforcement agencies or government authorities.

Access to your information You may gain access to your personal information by submitting a written request to AIG. In some circumstances, AIG may not permit access to your personal information. Circumstances where access may be denied include where it would compromise the privacy of other individuals, or where it would be unlawful.

Complaints AIG has also established an internal dispute resolution process for handling customer complaints.

If you feel you have a complaint about AIG’s compliance with the National Privacy Principles, require assistance in lodging a privacy complaint or you wish to gain access to the information, you may write to The Privacy Manager, AIG, Level 12, 717 Bourke Street, Docklands VIC 3008 or e-mail australia.privacy.manager@aig.com. Your complaint will be reviewed and you will be provided with a written response. If it cannot be resolved, your complaint will be referred to AIG’s Internal Disputes Resolution Committee who will respond within 15 working days. In either case the matter will be reviewed by a person or persons with appropriate authority to deal with the complaint.

Should your complaint not be resolved by AIG’s internal dispute resolution process, you may apply to the Privacy Commissioner for review of the determination.

Consent Acknowledgment By providing your personal information to enable completion of the application of insurance (including any associated form) and paying the premium, you consent to the use and disclosure of your personal information stated in the privacy statement. If you do not wish us to use your personal information to keep you informed of our insurance products and services please contact us and let us know.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Policy Wordings Important Policy Matters This Policy provides the insured person with insurance cover under those Sections shown in the Policy Schedule.

All cover is subject to you paying or agreeing to pay the required premium, and is subject to all the Terms, Provisos, Conditions and Exclusions of the Policy including the Policy Schedule.

This Policy shall only apply to events that occur during the policy period as set out in the Policy Schedule or Renewal Notice.

You or the insured person must follow our advice or instruction otherwise we may decline to pay part or all of your claim.

Your Duty of Disclosure What you must tell us When answering our questions, you must be honest and you have a duty under law to tell us anything known to you, and which a reasonable person in the circumstances, would include in answer to the question. We will use the answers in deciding whether to insure you and anyone else to be insured under the Policy, and on what terms.

Who needs to tell us It is important that you understand you are answering our questions in this way for yourself and anyone else whom you want to be covered by the Policy.

If you do not tell us If you do not answer our questions in this way, we may reduce or refuse to pay a claim, or cancel a Policy. If you answer our questions fraudulently, we may refuse to pay a claim and treat the Policy as never having worked.

Definitions that apply to Covers 1,2,3 and 4.

Words with a special meaning are shown in this policy wording in bold italic font.

Excess means the first amount of each and every loss payable by you or the insured person. This amount, if applicable, will be shown in the Table of Events and Compensation for each type of cover and it will also be shown in the Schedule of Compensation in the Policy Schedule.

You/your/Insured means the educational institution specified in the Policy Schedule and is the policyholder.

Insured person means any person(s) who come within the description of the insured persons appearing in the Policy Schedule, who are nominated by you from time to time for insurance under this Policy and with respect to whom premium has been paid or agreed to be paid.

Policy period means the period shown in the Policy Schedule or subsequent Renewal Notice issued by us.

Professional sport means any sport for which an insured person receives any fee or monetary rewards as a result of his or her participation.

Terrorist act means any actual or threatened use of force or violence directed at or causing damage, injury, harm or disruption, or committing of an act dangerous to human life or property, against any individual, property or government, with the stated or unstated objective of pursuing economic, ethnic, nationalistic, political, racial or religious interests, whether such interests are declared or not. Robberies or other criminal acts, primarily committed for personal gain and acts arising primarily from prior personal relationships between perpetrator(s) and victim(s) shall not be considered terrorist acts.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Terrorism shall also include any act, which is verified or recognized by the (relevant) Government as an act of terrorism.

Type(s) of cover means  Cover 1 - Personal accident insurance – school students and staff cover;  Cover 2 - Personal accident insurance - voluntary workers cover;  Cover 3 - Personal accident and sickness insurance - key persons cover;  Cover 4 - Travel insurance - school students and staff cover. offered in this Independent Schools Insurance Package.

War means war, whether declared or not, or any warlike activities including use of military force by any sovereign nation to achieve economic, geographic, nationalistic, political, racial, religious or other ends.

We/our/us/insurer means AIG Australia Limited (AIG), ABN 93 004 727 753, AFSL 381686 General Exclusions that apply to Covers 1,2,3 and 4.

We will not pay under any Section of all types of cover of this Policy for claims arising directly or indirectly out of: 1. An insured person’s intentional self-injury or suicide.

2. Any criminal or intentional illegal act of you or the insured person(s).

3. Training for or participating in professional sports of any kind.

4. Air travel except as a passenger in a properly licensed aircraft.

5. An insured person’s deliberate exposure to exceptional danger unless in an attempt to preserve life, his/her own or others.

General Conditions that apply to Covers 1,2,3 and 4.

1. Assignment The Policy and any rights there under cannot be assigned without our agreement and prior written consent.

2. Australian Law This Policy is governed by the laws of the Australian State or Territory in which it was issued in and any dispute or action in connection therewith shall be conducted and determined in Australia.

3. Cancellation (a) The insured may cancel this Policy at any time by giving us written notice of cancellation, in which case we will retain our usual short-term rate for the time the Policy was in force. (b) We may cancel the Policy at any time in accordance with Section 59 & 60 of the Insurance Contracts Act 1984, in which case, we will refund the proportion of the premium for the unexpired policy period.

4. Claims Procedure (a) Written notice of claim must be given to us at any of our offices in Australia within thirty (30) days after the occurrence of any Event in respect of which a claim has arisen or may arise. (b) All certificates and evidence required by us shall be furnished at the expense of the insured person or insured for any claimant hereunder and shall be in such form and of such nature as we shall prescribe.

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(c) We may have the insured person medically examined at our expense when and as often as we may reasonably require after a claim has been made. In the Event of the insured person’s death, we may arrange an autopsy unless this is illegal in the country in which the autopsy is to be performed.

5. Currency All amounts shown in this Policy are in Australian currency (AUD). If expense or losses are incurred in a foreign currency, then the rate of currency exchange used to calculated the amount payable in Australian currency (AUD) will be the rate at the time of incurring the expense or suffering the loss.

6. Fraud Any fraud, mis-statement or concealment by the insured and/or you either in the Application on which this Insurance is based or in relation to any other matter affecting this Insurance or in connection with the making of any claim there under may give us the rights provided for in the Insurance Contracts Act, including the right to refuse payment of any claim or to avoid the Contract.

7. Policy renewal This Policy may be renewed with our consent from term to term, by payment of the premium in advance at our premium rate in force at the time of renewal.

8. Tax or Imposts Where the company is, or believes it will become, liable for any tax or other imposts levied by any Commonwealth or State government, authority or body in connection with this Policy, the Company may reduce, vary or otherwise adjust any amounts (including but not limited to premiums, charges and benefits), under this Policy in the manner and to the extent the Company determines to be appropriate to take account of the tax or impost.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Types of Cover – Cover 1 - Personal Accident Insurance – School Students and Staff Cover Age Limits that apply to all sections of Cover 1: This Personal accident insurance – school students and staff cover does not cover any event which happens to an insured person unless at the date of such event, he or she is between the ages set out in the Policy Schedule Section 1 and 2 – Capital Benefits and Additional Benefits Specific Definitions That apply to Sections 1 And 2 of Cover 1: In addition to the definitions listed on pages 11-12, words with a special meaning in Section 1 and 2 of Cover 1 are listed below and are shown in bold italic font.

1.

Activities of daily living: (a)

Transferring means the ability of the insured person to move in and out of a chair or bed without the assistance of another person. The insured person will be considered to be able to transfer themselves even if equipment such as canes, quad canes, walkers, crutches or grab bars or other support devices including mechanical or motorised devices are used.

(b)

Dressing means the ability of the insured person to put on and take off all garments and medical braces or artificial Limbs usually worn and to fasten and unfasten them, without the assistance of another person. The insured person will be considered to be able to dress themselves even if the above tasks can be performed only by using modified clothing or adaptive devices such as tape fasteners or zipper pulls.

(c)

Toileting means the ability of the insured person to get to and from and on and off the toilet, to maintain a reasonable level of personal hygiene and to care for clothing without the assistance of another person. The insured person will be considered able to toilet themselves even if they have an ostomy and are able to empty it themselves, or if the insured person uses a commode, bedpan or urinal, and are able to empty and clean it without the assistance of another person.

(d)

Bathing/Washing means the ability of the insured person to wash themselves either in the bath or shower or by sponge bath without the assistance of another person. The insured person will be considered to be able to bathe themselves even if the above tasks can only be performed in the bath or shower by using equipment or adaptive devices.

(e)

Eating means the ability of the insured person to get nourishment into the body by any means once it has been prepared and made available to the insured person without the assistance of another person.

2.

Bed care patient means an insured person who is confined in a bed under the regular daily attendance and care of a professional carer (not a family member) directly resulting from a covered injury and certified as necessary by a legally qualified medical practitioner. This does not include confinement in any of the following institutions in which an insured person resides at the time of the injury giving rise to the claim – nursing or convalescent home, a geriatric ward, a mental institution, a rehabilitation or extended care facility for the elderly.

3.

Benefactor means the person, not being a parent or guardian, who paid the insured person’s school tuition fees for the previous school term.

Domestic help and child minding services means the actual costs incurred for reasonable and necessary professional services carried out by persons other than members of the insured person’s

4.

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family or other relatives or persons permanently residing with the insured person, to help the parent(s) or guardian of the injured insured person with household duties or to look after and attend the needs of the injured insured person that are normally carried out by the insured person’s parent(s) or guardian but which due to the insured person’s injury, the parent(s) or guardian are unable to do so, provided such services are certified by the insured person’s legally qualified and registered medical practitioner as being necessary for the insured person‘s recovery.

5.

Established non-union means the failure of a fracture to unite despite appropriate medical treatment and within a time frame based on the nature and location of the fracture.

6.

Elimination period means the period commencing with the first day of temporary total disablement for which medical treatment was sought in respect of such injury and during which no Compensation is payable.

7.

Emergency transport means the actual costs incurred by the insured person, as a result of an injury or illness, to travel in a vehicle, vessel or aircraft licensed to transport sick or injured persons for the purpose of obtaining urgent medical treatment at a registered medical facility.

8.

Extra public transport expenses means the additional public transport costs incurred by the insured person to travel to and/or from the medical practitioner’s surgery to have treatment for the injury or travel to and/or from school as a result of injury.

9.

Fingers, thumbs or toes means the digits of a hand and foot.

10.

Foot means the entire foot below the ankle.

11.

Hand means the entire hand below the wrist.

12.

Hospital (in respect of overseas medical expenses) means any institution (located outside Australia) lawfully operated for the care and treatment of sick or injured persons with organised facilities for diagnosis and surgery and having twenty-four (24) hours a day nursing service and medical supervision, but does not include any institution used primarily as a nursing or convalescent home, a place of rest, a mental institution, a rehabilitation or extended care facility or a place for the care or treatment of alcoholics or drug addicts.

13.

Injury means a physical injury caused by violent, external and visible means which occurs fortuitously whilst this insurance is in force and which results solely and directly and independently of any preexisting conditions or other cause in any of the Events specified in the Table of Events and Compensation for Cover 1 within twelve (12) calendar months from the date of its occurrence.

14.

Limb means any part of the arm between the shoulder and the wrist or any part of the leg between the hip and the ankle.

15.

Loss of independent existence means when as a result of an injury an insured person is unable to perform two (2) or more of the activities of daily living.

16.

Non medicare medical expenses means expenses that are not subject to any full or partial Medicare rebate nor recoverable by you or by an insured person from any other source and incurred within twenty four (24) calendar months of an insured person sustaining injury and paid by you or an insured person on his or her behalf for treatment certified necessary by a legally qualified medical practitioner to a registered private hospital, physiotherapist, nurse or similar provider of medical services including the cost of medical supplies or ambulance hire but excluding the cost of dental treatment.

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However, non medicare medical expenses do not include any or part of any expenses for which a Medicare benefit is paid or is payable including the balance of monies due or payable by an insured person after deduction of any Medicare benefit or rebate from the actual expense incurred (commonly known as the "Medicare Gap").

Non-medicare medical expenses also do not cover rehabilitation expenses which are not direct treatment, such as equipment or sporting membership.

Provided that we shall not be liable to make any refund in respect of: (a) any expenses recoverable by you or by an insured person from any other insurance scheme or any plan providing medical/physiotherapy or similar coverage or from any other source except for the excess of the amount recoverable from such other insurance/plan or source; (b) any expense to which Section 118.1 of the Private Health Insurance Act 2007 (as amended) or any of the regulations made there under apply; (c) more than the percentage specified in the Events Schedule of the amount of each claim made under this Section after deduction of the amount applicable in Item (a) above and deduction of the amount of excess specified in the Schedule of Compensation; (d) any expense which we are prohibited by Law from paying.

Provided that our total liability shall not exceed in the aggregate the amount specified in the Policy Schedule.

17.

Overseas medical expenses means expenses incurred outside the territorial limits of Australia within twenty four (24) calendar months of an insured person sustaining injury and paid by the insured person, their parent or guardian or the insured on that insured person’s behalf for treatment certified necessary by a legally qualified and registered medical practitioner to a physician, surgeon, nurse, Hospital and/or ambulance service for medical, surgical, x-ray, Hospital or nursing treatment but excluding the cost of dental treatment unless such treatment is necessarily incurred to sound and natural teeth (excluding first teeth and dentures) and is caused by injury.

We shall not be liable to make any refund in respect of: 1.

2.

3.

4.

5.

any expenses recoverable by the insured person or the insured from any other insurance scheme or any plan providing medical/physiotherapy or similar coverage or from any other source except for the excess of the amount recoverable from such other insurance/plan or source; any expense to which Section 118.1 of the Private Health Insurance Act 2007 (as amended) or any other regulations made there under that apply; for the excess amount specified in the Table of Events and Compensation for overseas medical expenses for Cover 1. any expense, which we are prohibited by law from paying. any expenses incurred for overseas trips which exceed one hundred and eighty (180) days in duration.

Our total liability shall not exceed the amount specified in the Table of Events and Compensation for Cover 1.

18.

Paraplegia means permanent and entire paralysis of both legs and part or whole of the lower half of the body.

19.

Permanent means lasting twelve (12) calendar months from the date of occurrence and at the end of that period being beyond hope of improvement.

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20.

Quadriplegia means permanent and entire paralysis of both legs and both arms.

21.

Student tutoring expenses means the actual expenses necessarily incurred for professional tutorial services of a suitably qualified teacher holding a current teaching certificate equal to the level of education currently undertaken by an insured person, who as a result of injury is wholly and continuously prevented from attending their normal studies at an educational institution in Australia.

Provided such absence is certified by that insured person’s legally qualified and registered medical practitioner, who is not the insured person or a member of the insured person’s family, as being necessary for that insured person’s recovery.

22.

Total loss means, in relation to: an insured person’s body part or limb, hand, foot, finger or toe, the physical severance or entire loss of the use thereof; an eye, the entire and irrecoverable loss of all sight in the eye; hearing, the entire and irrecoverable loss of hearing speech the irrecoverable loss of the ability to speak.

23.

Traumatic events means: (a) accidental death of an insured person’s relative (b) serious accident involving the insured person and/or the insured person’s relative that necessitated a period of hospitalization exceeding 10 consecutive days. (c) unexpected and sudden serious sickness (as defined) of the insured person’s relative.

24.

Serious sickness means a terminal condition diagnosed during the policy period and after the Effective Date of Individual Insurance by a legally qualified medical practitioner not being the insured person or any of his/her family member, and does not include any condition for which the person on whom the claim depends has received daily medical treatment, medication, has required hospitalization or surgery (or was on a waiting list for hospitalization or surgery) or received a diagnosis for, in the 12 months immediately prior to the insured person’s Effective Date of Individual Insurance.

25.

Temporary total disablement: (a)

(b)

in respect of students of the insured means as a result of injury an insured person is wholly and continuously prevented from attending all of that insured person’s usual school classes and school activities and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than an insured person or immediate family member of an insured person.

In respect of employees of the Insured means that as a result of injury the insured person is wholly and continuously prevented from engaging in his/her usual occupation and not engaged in any other occupation and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than the insured person.

Exposure If any of the Events listed in the Table of Events and Compensation for Cover 1, Section 1 or 2 occurs as the result of unexpected exposure to the elements following an injury, we will assume that an insured person has sustained injury as defined and will pay the Compensation specified for such Event.

Disappearance If an insured person’s body has not been found within twelve (12) calendar months after the date of the disappearance, sinking or wrecking of the conveyance in which that insured person was travelling at such date, we will assume that the insured person died as the result of injury and will pay the Compensation specified under the Table of Events and Compensation for Cover 1 – Section 1, Capital Benefits, Event 3 (Death) of this Policy, subject to receipt of a signed undertaking by the insured or the person to whom the Independent School Scheme PDS JM 08/01807.4 AH 09/005

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Compensation has been paid that any such Compensation shall be refunded if it is later demonstrated that the insured person did not die as a result of an injury.

Specific Exclusions that apply to Sections 1 and 2 of Cover 1: In addition to General Exclusions listed on page 12, we will not pay under Sections 1 and 2 of Cover 1 of this Policy for claims arising directly or indirectly out of: 1.

Driving or riding in any kind of race in or on any motor powered conveyance.

2.

Anything arising directly or indirectly as a consequence of sickness, disease or any kind of infection however contracted, even if through injury. This exclusion however, does not apply to sickness or disease directly resulting from medical or surgical treatment rendered necessary by an injury or to infection directly resulting from an injury, provided that in each case the injury itself is covered. This exclusion also does not apply in relation to emergency transport expenses.

3.

An insured person’s pregnancy, childbirth or miscarriage.

4.

Sexually transmitted disease, or Acquired Immune Deficiency Syndrome (A.I.D.S.) disease or Human Immunodeficiency Virus (H.I.V.) Infection.

5.

Radioactive contamination or radioactivity in any form whatsoever whether occurring naturally or otherwise.

6.

Any events excluded under General Exclusions listed on page 12 of this policy wording.

Special Provisions that apply to Sections 1 and 2 of Cover 1: 1.

The Compensation payable under Section 1, Capital Benefits of the Table of Events and Compensation for Cover 1 –Event 3 (Death) shall be payable to the insured; any other Compensation payable under Cover 1 shall be payable to an insured person or the insured person’s parent(s) or guardian if they have incurred the expense on behalf of the insured person.

2.

Compensation shall not be payable for more than one of the Events 1-20 listed in the Table of Events and Compensation for Cover 1 Section 1 in respect of the same injury, in which case the Event with the highest Compensation amount will be paid.

3.

Should an insured person sustain injury, which results in any one of the Events 1 to 9 (inclusive) and Event 20 as described in the Table of Events and Compensation for Cover 1 Section 1 – Capital Benefits there shall be no further liability for that insured person under the Policy for any injury sustained thereafter.

4.

Compensation shall not be payable: (a) In excess of the Aggregate Period shown against such Events in respect of any one injury. (b) Unless the insured person shall as soon as possible after the happening of any injury likely to give rise to a claim under the Policy procure and follow proper medical advice from a legally qualified and registered medical practitioner.

5.

If, as a result of injury Compensation is payable under Section 2, Additional Benefits of the Table of Events and Compensation for Cover 1 hereunder and if during the policy period, an insured person suffers recurrence of temporary total disablement from the same or related cause or causes, the subsequent period of temporary total disablement will be deemed a continuation of the prior period unless in between such periods an insured person has been certified fit for at least six (6) consecutive months, in which case such temporary total disablement shall be deemed the result of a new injury and subject to a new elimination period and Aggregate Period.

6.

In relation to Section 2, Additional Benefits of the Table of Events and Compensation for Cover 1, Event 30 - overseas medical expenses of this Policy, an insured person will not be covered for any

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expenses incurred for overseas trips which exceed one hundred and eighty (180) days in duration.

Where a claim is made in relation to a benefit available under this Event of this Policy, the insured person must follow Travel Guard’s advice or instruction otherwise we may decline to pay part or all of that insured person’s claim. In the event of an emergency overseas, Travel Guard can be contacted (reverse charge) on 61 (2) 9251 4298.

7.

Aggregate Limit Of Liability (a) (b)

Except as provided under 7(b), our total liability for all claims arising under this Policy during any policy period shall not exceed the amount set out in Policy Schedule.

Our total liability for claims arising under Cover 1 during any policy period relating directly to air travel in aircraft whose flights are not conducted in accordance with fixed schedules to and from fixed terminals over established routes shall not exceed the amount set out in the Policy Schedule.

Specific Conditions that apply to Sections 1 and 2 of Cover 1 in addition to the General Conditions listed on pages 12-13: 1.

Effective Date of Individual Insurance The insurance of any insured person (as specified in the Policy Schedule) shall become effective on the latest of the following dates: (1) (2) (3)

2.

On the commencing date of the policy period set out in the Policy Schedule; On the date the insured person becomes eligible for Insurance hereunder; Where required in terms described in the Policy Schedule, the date of our acceptance of the Insured’s Application Form.

Effective Date of Individual Terminations The insurance of any insured persons shall immediately terminate on the earliest of the following dates: (a) (b) (c) (d) (e)

3.

On the date this Policy is terminated; On the date that an insured person leaves or ceases to be a registered student of the insured; On the premium due date if the insured fails to pay the required premium except as a result of inadvertent error; or On the date an insured person attains an age that is outside the age limit specified in the Policy Schedule.

On the date an insured person ceases to be eligible for insurance hereunder.

Subrogation In the event of any payment under this Policy, we shall be subrogated to all the insured/ insured person’s rights of recovery thereof against any person or organisation and the insured/ insured person shall execute and deliver instructions and papers and do whatever else is necessary to secure such and enable enforcement of such rights. The insured / insured person shall take no action to prejudice such rights.

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Table of Events and Compensation for Section 1 and 2 of Cover 1 Personal Accident Insurance – School Student and Staff: Option 1 Section 1 - Capital Benefits The Events

The Compensation (Each insured person)

Injury as defined, resulting in:1.

Permanent quadriplegia

$750,000

2.

Permanent paraplegia

$750,000

3.

Death

$ 50,000

4.

Permanent loss of independent existence

$750,000

5.

Permanent total loss of entire sight of both eyes

$350,000

6.

Permanent total loss of entire sight of one eye

$150,000

7.

Permanent total loss of use of two limbs

$300,000

8.

Permanent total loss of speech

$100,000

9.

Permanent total loss of use of one limb

$150,000

10.

Permanent total loss of hearing in both ears

$150,000

11.

Permanent total loss of hearing in one ear

$ 50,000

12.

Permanent total loss of use of four fingers and thumb of either hand

$ 80,000

13.

Permanent total loss of use of four fingers of either hand

$ 50,000

14. Permanent total loss of use of one thumb of either hand 14.1 Both joints 14.2 One joint

$ 30,000 $ 15,000

15.

15.1 15.2 15.3

Permanent total loss of use of fingers of either hand Three joints Two joints One joint

$ 50,000 $ 20,000 $ 10,000

16.

16.1 16.2 16.3 16.4

Permanent total loss of use of toes of either foot All – one foot Great – both joints Great – one joint Other than great, each toe

$ 20,000 $ 15,000 $ 10,000 $ 5,000

17.

Shortening of leg by at least 5cm

$ 10,000

18.

Fractured leg or knee cap with established non-union

$ 20,000

19.

Third degree burns and/or resultant disfigurement due to fire or chemical burns which extends to more than 40% of the entire body

$350,000

20.

Permanent partial disablement not otherwise provided for under Events 4 to 19 inclusive and 23-25 inclusive.

Such percentage of the maximum compensation which corresponds to the percentage reduction in whole bodily function as certified by not less than two (2) legally qualified medical practitioners one of whom shall be the insured person’s treating doctor and the other shall be nominated by us. In the event of a disagreement between them, a third legally qualified medical practitioner’s opinion shall be obtained and the percentage awarded shall be the average of the three (3) opinions.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section 2 - Additional Benefits The Events

The Compensation (Each insured person)

21.

Bed care patient benefit for a period of more than twenty-four (24) hours as a result of injury Aggregate Period for this Benefit is up to fifty-two (52) weeks

22.

Injury Assistance Benefit – in the event of an insured person suffering temporary total disablement, we will reimburse domestic help and child minding services and/or extra public transport expenses certified as necessary by the insured person’s legally qualified and registered medical practitioner.

Elimination period is seven (7) days per injury Aggregate Period for this Benefit is up to fifty-two (52) weeks

23.

(d) (e) (f) (g) (h) (i)

25.

finger or toe (each) hand or foot arm, elbow, wrist, leg, ankle or knee; (i) simple fractures (ii) compound or complicated fractures collarbone breastbone rib (each) shoulder, cheekbone or nose jaw skull, pelvis, hip, vertebrae of the neck or spine

$ $

200 200

$ 500 $ 1,000 $ 500 $ 500 $ 200 $ 500 $ 500 $ 3,000

The maximum amount payable any one injury is

$ 75,000

Internal Injuries Injury as defined resulting in: (a) Torn ligament or ruptured internal organ (b) Knee reconstruction

$ 2,000 $ 2,500

Injury as defined resulting in a dislocation of the

(a) (b) (c) (d) (e) 26.

Up to $350 per week

Injury as defined resulting in broken and/or fractured bones of the: (a) (b) (c)

24.

$550 per week and part thereof, pro rata

hip knee shoulder blade collarbone or Jaw ankle, elbow or wrist

$ $ $ $ $

500 250 250 250 150

Dental Expenses Benefit - Second Teeth (except where such payment is prohibited by law)* 100% of the actual cost incurred for loss of teeth or crowning of damaged teeth with cast metal or porcelain or similar restorations, provided that the expenses are incurred; (a) within twenty four (24) calendar months following the date of injury to permanent or second teeth, or (i) if at the completion of the twenty four (24) months following the injury a legally qualified medical or dental specialist certifies that the required treatment could not have been performed within the prescribed timeframe (24 months) for medical reasons but can be deferred and performed within the next twelve (12) months following the completion of the twenty four (24) months following the injury, or (ii) if at the completion of the twenty four (24) months following the injury a legally qualified medical or dental specialist certifies that the required treatment could not have been performed within the prescribed timeframe (24 months) for medical reasons and cannot be performed within the next twelve (12) months, we at our discretion will pay the expenses that are deemed reasonable and necessary by the legally qualified medical or dental specialist for completion of the required treatment.

Payment will be based on the costs that would be incurred had the treatment been rendered at the

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conclusion of the twenty four (24) months immediately following the date the Injury occurred.

No cover is provided for milk or first teeth, dentures or fillings. The maximum amount payable for anyone injury is $5,000 or the remaining balance of the sum insured shown in the Schedule of Benefits, whichever is the lesser.

If we settle your claim under (i) or (ii) above all liability will cease under this section of this policy for this injury * Cover will be provided for : (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured. (iii) cover includes direct travel to and from such activities.

27.

28.

29.

Dental Cash Benefit – Milk Teeth Lump sum payment, provided the Event occurs within twenty four (24) calendar months from the date of injury to milk or first teeth

$100 per tooth

Student tutoring expenses Benefits Elimination Period is seven (7) days per injury Aggregate Period for this Benefit is up to fifty-two (52) weeks

Up to $350 per week

Fee Relief - Following the death by injury of the insured person’s parent, guardian or benefactor, we will pay the annual school tuition fees up to $3,500 per term for a maximum of four (4) school terms while the Insured Person remains enrolled with the Insured. (Student only)

$14,000 maximum in all

We will require proof of financial transactions to substantiate entitlement under this benefit 30.

Overseas Medical Expenses Benefit Excess each and every loss is $Nil

31.

Emergency transport Benefit (due to injury or illness)

32.

Non-medicare medical expenses, (except where such reimbursement is prohibited by law)* 100% of the actual cost incurred after deduction of the Policy excess to the maximum amount specified.

Excess each and every loss is $Nil Please refer to Event 26 for Dental Expenses Benefit

$7,500

$5,000 maximum per injury or illness

$7,500 maximum per injury

* Cover will be provided for: (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured.

33.

Clothing (including spectacles)and/or Sports Equipment Benefit

$500 per injury

We will pay for clothing (including spectacles) worn and/or sporting equipment being used by the insured person that has been lost or damaged in the course of an injury or in the course of treating the injury.

34.

Psychological trauma expense

$10,000 any one event

We will pay for psychological trauma expense incurred as a result of an insured person suffering a temporary total disablement caused by a traumatic event provided: (a) the temporary total disablement occurs as a result of a sudden traumatic event; and (b) such insured person is under the continuous care of a legally qualified registered psychiatrist or psychologist who is not the insured person or his/her family member; and Independent School Scheme PDS JM 08/01807.4 AH 09/005

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(c) such insured person have remained in Australia during the claim period. * Cover will be provided for: (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured.

35.

Parent / Guardian Visitation - Necessary and reasonable travel and accommodation expenses incurred by an Insured Person's parent(s) and/or guardian(s) as a result of travelling a distance greater than 100 kilometers from their normal place of residence to visit the Insured Person, provided always that the Insured Person is hospitalized for at least 72 hours due to an Injury covered by this Policy

36.

Accidental H.I.V. Infection Benefit

$2,500

We will pay to the insured person Compensation of $25,000 if the insured person accidentally contracts the Human Immunodeficiency Virus (H.I.V.) infection:

(a)

as a direct result of injury caused by a physical and violent bodily assault by another person on the insured person while he or she is covered under Cover 1; or

(b)

as a direct result of the administering of medical treatment provided by a registered and legally qualified medical practitioner or registered nurse of an insured person’s covered injury or sickness while he or she is insured under Cover 1.

Special Conditions (i)

Compensation will only be payable if the insured person is positively diagnosed within 180 days of the event giving rise to the H.I.V. infection.

(ii)

Compensation shall not be payable unless any event leading to or likely to lead to a positive diagnosis of H.I.V. is reported to us and medical tests are carried out by a registered and legally qualified medical practitioner no more than forty eight (48) hours from the time and date of the event giving rise to the H.I.V. infection.

(iii)

The medical tests (to be made by recognised laboratory and clinical tests) carried out in connection with this Benefit must prove conclusively that the insured person was not H.I.V. positive at the time and date of the event giving rise to the H.I.V. infection. No Compensation is payable if you or the insured person fail to comply with or to provide the required level of proof.

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Option 2 Section 1 - Capital Benefits The Events

The Compensation (Each insured person)

Injury as defined, resulting in:1.

Permanent quadriplegia

$1,250,000

2.

Permanent paraplegia

$1,250,000

3.

Death

$

4.

Permanent loss of independent existence

$1,250,000

5.

Permanent total loss of entire sight of both eyes

$1,000,000

6.

Permanent total loss of entire sight of one eye

$ 500,000

7.

Permanent total loss of use of two limbs

$1,000,000

8.

Permanent total loss of speech

$150,000

9.

Permanent total loss of use of one limb

$500,000

10.

Permanent total loss of hearing in both ears

$750,000

11.

Permanent total loss of hearing in one ear

$150,000

12.

Permanent total loss of use of four fingers and thumb of either hand

$250,000

13.

Permanent total loss of use of four fingers of either hand

$100,000

50,000

14. Permanent total loss of use of one thumb of either hand 14.1 Both joints 14.2 One joint

$100,000 $ 50,000

15.

15.1 15.2 15.3

Permanent total loss of use of fingers of either hand Three joints Two joints One joint

$ 50,000 $ 25,000 $ 15,000

16.

16.1 16.2 16.3 16.4

Permanent total loss of use of toes of either foot All – one foot Great – both joints Great – one joint Other than great, each toe

$ $ $ $

17.

Shortening of leg by at least 5cm

$ 15,000

18.

Fractured leg or knee cap with established non-union

$ 20,000

19.

Third degree burns and/or resultant disfigurement due to fire or chemical burns which extends to more than 40% of the entire body

$850,000

20.

75,000 25,000 15,000 10,000

Permanent partial disablement not otherwise provided for under Events 4 to 19 inclusive and 23 to 25 inclusive.

Such percentage of the maximum compensation which corresponds to the percentage reduction in whole bodily function as certified by not less than two (2) legally qualified medical practitioners one of whom shall be the insured person’s treating doctor and the other shall be nominated by us.

In the event of a disagreement between them, a third legally qualified medical practitioner’s opinion shall be obtained and the percentage awarded shall be the average of the three (3) opinions

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section 2 - Additional Benefits The Events

The Compensation (Each insured person)

21.

Bed care patient benefit for a period of more than twenty-four (24) hours as a result of injury.

Aggregate Period for this Benefit is up to fifty-two (52) weeks

22.

Injury Assistance Benefit – in the event of an insured person suffering temporary total disablement, we will reimburse domestic help and child minding services and/or extra public transport expenses certified as necessary by the insured person’s legally qualified and registered medical practitioner.

Elimination period is seven (7) days per injury Aggregate Period for this Benefit is up to fifty-two (52) weeks

23.

(d) (e) (f) (g) (h) (i)

finger or toe (each) hand or foot arm, elbow, wrist, leg, ankle or knee; (i) simple fractures (ii) compound or complicated fractures collarbone breastbone rib each) shoulder, cheekbone or nose jaw skull, pelvis, hip, vertebrae of the neck or spine

The maximum amount payable any one injury is

250 250

$ 550 $ 1,000 $ 550 $ 550 $ 250 $ 550 $ 550 $ 5,000 $100,000

$ 3,000 $ 3,000

Injury as defined resulting in a dislocation of the (a) (b) (c) (d) (e)

26.

$ $

Internal Injuries Injury as defined resulting in: (a) Torn ligament or ruptured internal organ (b) Knee reconstruction

25.

Up to $450 per week

Injury as defined resulting in broken and/or fractured bones of the (a) (b) (c)

24.

$1,000 per week and part thereof, pro rata

hip knee shoulder blade collarbone or Jaw ankle, elbow or wrist

$ $ $ $ $

500 250 250 250 250

Dental Expenses Benefit - Second Teeth (except where such payment is prohibited by law)* 100% of the actual cost incurred for loss of teeth or crowning of damaged teeth with cast metal or porcelain or similar restorations, provided that the expenses are incurred; (a) within twenty four (24) calendar months following the date of injury to permanent or second teeth, or (i) if at the completion of the twenty four (24) months following the injury a legally qualified medical or dental specialist certifies that the required treatment could not have been performed within the prescribed timeframe (24 months) for medical reasons but can be deferred and performed within the next twelve (12) months following the completion of the twenty four (24) months following the injury, or

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(ii) if at the completion of the twenty four (24) months following the injury a legally qualified medical or dental specialist certifies that the required treatment could not have been performed within the prescribed timeframe (24 months) for medical reasons and cannot be performed within the next twelve (12) months, we at our discretion will pay the expenses that are deemed reasonable and necessary by the legally qualified medical or dental specialist for completion of the required treatment.

Payment will be based on the costs that would be incurred had the treatment been rendered at the conclusion of the twenty four (24) months immediately following the date the Injury occurred.

No cover is provided for milk or first teeth, dentures or fillings. The maximum amount payable for anyone injury is $5,000 or the remaining balance of the sum insured shown in the Schedule of Benefits, whichever is the lesser.

If we settle your claim under (i) or (ii) above all liability will cease under this section of this policy for this injury * Cover will be provided for : (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured. (iii) cover includes direct travel to and from such activities.

27.

28.

29.

Dental Cash Benefit – Milk Teeth Lump sum payment, provided the Event occurs within twenty four (24) calendar months from the date of injury to milk or first teeth

Student tutoring expenses Benefits Elimination Period is seven (7) days per injury Aggregate Period for this Benefit is up to fifty-two (52) weeks Fee Relief - Following the death by injury of the insured person’s parent, guardian, or benefactor we will pay the annual school tuition fees up to $5,000 per term for a maximum of four (4) school terms while the Insured Person remains enrolled with the Insured. (Student only)

$100 per tooth

Up to $450 per week $20,000 maximum in all

We will require proof of financial transactions to substantiate entitlement under this benefit

30.

Overseas Medical Expenses Benefit Excess each and every loss is $Nil

31.

Emergency transport Benefit (due to injury or illness)

32.

Non-medicare medical expenses, (except where such reimbursement is prohibited by law)* 100% of the actual cost incurred after deduction of the Policy excess to the maximum amount specified.

Excess each and every loss is $Nil Please refer to Event 26 for Dental Expenses Benefit

$10,000

$7,500 maximum per injury or illness

$10,000 maximum per injury

* Cover will be provided for: (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured.

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33.

34.

Clothing (including spectacles) and/or Sports Equipment We will pay for clothing (including spectacles) worn and/or sporting equipment being used by the insured person that has been lost or damaged in the course of an injury or in the course of treating the injury.

Psychological trauma expense

$500 per injury

$20,000 any one event

We will pay for psychological trauma expense incurred as a result of an insured person suffering a temporary total disablement caused by a traumatic event provided: (a) the temporary total disablement occurs as a result of a sudden traumatic event; and (b) such insured person is under the continuous care of a legally qualified registered psychiatrist or psychologist who is not the insured person or his/her family member; and (c) such insured person have remained in Australia during the claim period.

35.

36.

Parent / Guardian Visitation - Necessary and reasonable travel and accommodation expenses incurred by an Insured Person's parent(s) and/or guardian(s) as a result of travelling a distance greater than 100 kilometers from their normal place of residence to visit the Insured Person, provided always that the Insured Person is hospitalized for at least 72 hours due to an Injury covered by this Policy.

$5,000

Accidental H.I.V. Infection Benefit We will pay to the insured person Compensation of $25,000 if the insured person accidentally contracts the Human Immunodeficiency Virus (H.I.V.) infection: (a) as a direct result of injury caused by a physical and violent bodily assault by another person on the insured person while he or she is covered under Cover 1; or (b) as a direct result of the administering of medical treatment provided by a registered and legally qualified medical practitioner or registered nurse of an insured person’s covered injury or sickness while he or she is insured under Cover 1.

Special Conditions (i)

Compensation will only be payable if the insured person is positively diagnosed within 180 days of the event giving rise to the H.I.V. infection.

(ii)

Compensation shall not be payable unless any event leading to or likely to lead to a positive diagnosis of H.I.V. is reported to us and medical tests are carried out by a registered and legally qualified medical practitioner no more than forty eight (48) hours from the time and date of the event giving rise to the H.I.V. infection.

(iii)

The medical tests (to be made by recognised laboratory and clinical tests) carried out in connection with this Benefit must prove conclusively that the insured person was not H.I.V. positive at the time and date of the event giving rise to the H.I.V. infection. No Compensation is payable if you or the insured person fail to comply with or to provide the required level of proof.

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Section 3 – Kidnap, Ransom and Extortion We will indemnify the insured or the insured person or his/her parent, benefactor or guardian (referred to as the relevant person below) for covered losses incurred by them specified below due to the following Insured Events, subject to the terms, conditions and exclusions of the Policy.

Specific Definitions that apply to Section 3 of Cover 1: In addition to the definitions listed on pages 11-12, words with a special meaning in Section 3 of Cover 1 are listed below and are shown in bold italic font.

Advisory means a formal recommendation of the appropriate authorities that an insured person or a class of persons including them, leave, or refrain from travelling to a particular country or locality.

Appropriate authorities means the United States Department of State; the Foreign Office of the United Kingdom; the Australian/New Zealand Foreign Office or similar authority of the country of the insured.

Extortion means personal extortion or property damage extortion as herein defined.

Hijacking means the illegal holding under duress, for a period in excess of six (6) hours, of an insured person whilst travelling on any aircraft, motor vehicle, waterborne vessel or similar conveyance.

Informant means any person, other than an insured person, providing information not otherwise obtainable, solely in return for a reward offered in relation to an insured person.

Kidnapping means any event or connected series of events of seizing, detaining or carrying away by force or fraud, of one or more insured persons (except a minor by his or her parent or guardian) for the purpose of demanding ransom monies.

Personal extortion means any threat or connected series of threats to kill, physically injure or kidnap an insured person, communicated for the purpose of demanding ransom monies, where the ransom monies are not in the possession of the insured person at the time of the threat Property damage extortion means any threat or connected series of threats to damage the property of an insured person, communicated for the purpose of demanding ransom monies, where the ransom monies are not in the possession of the insured person at the time of the threat.

Premises means that portion of any building occupied by the insured as a place to conduct business or a residence occupied by an insured person.

Ransom monies means any monies which the relevant person has paid (or lost in-transit/delivery) under circumstances described in Insured Events A or C. The term ‘Monies’ includes cash, monetary instruments, bullion, or the fair market value of any securities, property or services.

Victim means an insured person who is the subject of an insured event.

Wrongful Detention means the arbitrary or capricious involuntary confinement of an insured person (without demanding ransom monies) by person(s) acting as agents(s) of or with the tacit approval of any government or government entity, or acting or purporting to act on behalf of any insurgent party, organisation or group. A connected series of wrongful detentions will be considered one wrongful detention.

Insured Events that apply to Section 3 of Cover 1: A. Kidnap and Ransom/Extortion and Personal Assets 1. Kidnapping or alleged kidnapping of insured persons; and 2. Personal extortion threats to insured persons; and 3. Property damage extortion threats to insured persons.

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B.

Wrongful Detention The wrongful detention of Insured Persons.

C.

Hijacking The hijacking of any aircraft, motor vehicle or waterborne vessel or similar conveyance on which an insured person is travelling.

Covered Losses that apply to Section 3 of Cover 1: A. Ransom Monies Ransom monies paid by the relevant person with their approval resulting directly from a kidnapping or extortion occurring during the policy period.

B.

In-Transit/Delivery Loss of ransom monies due to destruction, disappearance, confiscation or wrongful appropriation while being delivered to person(s) demanding the ransom monies by anyone who is authorised by the relevant person paying them to have custody of them; provided, however, that the kidnapping or extortion which gave rise to the delivery is insured under this Section 3.

C.

Expenses Any reasonable and necessary expenses incurred and paid by the relevant person with their approval solely and directly as a result of an insured event covered under this Section, including but not limited to: 1.

the amount paid as reward to an informant for information relevant to any covered insured event; and

2.

interest costs for a loan from a financial institution made to the relevant person for the purpose of paying ransom monies; and

3.

reasonable costs of travel and accommodation as follows; (a) costs incurred by the relevant person while attempting to negotiate an incident covered under an insured event; (b) travel costs of a victim to join their immediate family upon their release; (c) travel costs to evacuate, or hotel costs of , an insured person and/or relatives living in the same household as the insured person who is the victim;

4.

reasonable and necessary medical and psychiatric services and hospitalisation costs, incurred by the relevant person as a result of a covered insured event within thirty-six (36) months of either the release of the victim or the last credible extortion threat made during the policy period. These include but are not limited to any costs for treatment by a neurologist or psychiatrist, cost of cosmetic surgery, and expense of confinement for such treatment. Cover under this paragraph is also extended to other persons involved in the handling or negotiation of a covered insured event.

5.

reasonable and necessary fees and expenses of independent forensic analysts engaged by the relevant person.

6.

rest and rehabilitation expenses, including travel, lodging, meals and recreation of the victim and relevant person. reasonable and necessary fees and expenses of a qualified interpreter assisting the relevant person in the event of a covered insured event.

7.

8.

increased costs of security due to a covered insured event including but not limited to hiring of security guards, armoured vehicles and overtime pay to existing security staff, for a period of up to ninety (90) days, provided however that the independent security consultant(s) approved by us have specifically recommended such security measures.

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9.

D.

any other reasonable expenses incurred by you or an insured person.

Consultants Reasonable fees and expenses of any independent security consultants or other public relations or recall consultants, where the consultant and their fees and expenses have been approved by us.

Maximum Sum Insured (per insured person) under Section 3 of Cover 3: Option 1 $300,000 Option 2 $400,000 Specific Exclusions that apply to Section 3 of Cover 1: In addition to General Exclusions listed on page 12, we will not be liable for loss caused by or resulting either directly or indirectly from or involving: A. the fraudulent, dishonest, or criminal acts of the insured, any insured person, the parent or guardian of the insured person or any other person authorised by them to have custody of any ransom monies.

This exclusion will not apply to the payment of ransom monies in a situation where local authorities have declared such payment illegal; or B. monies or property surrendered away from the premises in any face to face encounter involving the use or threat of force or violence unless surrendered by a person in possession of such monies or property at the time of such surrender for the sole purpose of conveying it to pay because of any extortion or demand for ransom monies previously communicated; or C. monies or property surrendered on the premises unless brought onto the premises because of any extortion or demand for ransom monies for the purpose of paying that demand; or D. For wrongful detention only: (i).

(ii).

any actual or alleged violation of the laws of the host country by the insured person or their failure to maintain and possess duly authorised and issued required documents and visas, unless we determine that the allegation was intentionally false, fraudulent, and malicious and made solely to achieve a political, propaganda, or coercive effect upon or at the expense of the insured person; failure of any person covered by Section 3 to comply with an advisory within ten (10) days after its issue by the appropriate authorities. Any person entitled to cover agrees to reimburse us for any payments made by us which are ultimately determined not to be covered because of the application of this exclusion.

E. actual loss or damage to property of any description, including intellectual property, as a result of an insured event or the carrying out of a personal extortion or property damage extortion threat.

This exclusion does not apply to covered loss B. “In-Transit Delivery".

F: Any events excluded under General Exclusions listed on page 12 of this policy wording Specific Conditions that apply to Section 3 of Cover 1 in addition to the General Conditions listed on pages 12-13: A. Prior to Payment In the event of an insured event occurring during the policy period, and in the case of a kidnapping or extortion, prior to the payment of ransom monies, the insured, insured person or his/her parents or guardian will make every reasonable effort to: (i). determine that an insured event has actually occurred; and

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(ii).

give immediate oral and written notice to us with periodic and timely updates concurrent with activity occurring during the incident.

B. Due Diligence Any person entitled to cover will use due diligence and do and concur in doing all things reasonably practicable to avoid or diminish any loss(es) insured under this Section.

C. Other Insurance To the extent permitted by law, the cover provided under this Section will be only be in excess of any other valid and collectable bond or insurance available in relation to the relevant loss or damage.

D. Assistance and Co-operation The insured and insured person or his/her parents or guardian or other persons entitled to claim will co-operate with us in all matters relating to this Section. This may include attending hearings and trials, securing and giving evidence, obtaining the attendance of witnesses, assisting in achieving settlements and in conducting litigation, arbitration, or other proceedings.

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Cover 2 - Personal Accident Insurance – Voluntary Workers Cover Age Limits that apply to all sections of Cover 2 This Personal accident insurance – voluntary workers cover does not cover any event which happens to an insured person unless at the date of such event, he or she is between the ages set out in the Policy Schedule Additional Definitions that apply to all sections of Cover 2: In addition to the Definitions listed on pages 11-12, words with a special meaning in Cover 2 are listed below and are shown in bold italic font.

1.

Domestic help and child minding services means the actual costs incurred for reasonable and necessary professional services carried out by persons other than members of the insured person’s family or other relatives or persons permanently residing with the insured person, to help the parent(s) or guardian of the Injured insured person with household duties or to look after and attend the needs of the Injured insured person that are normally carried out by the insured person’s parent(s) or guardian but which due to the insured persons injury the parent(s)or guardian are unable to do so, provided such services necessary for the insured person’s recovery.

2.

Established non-union means the failure of a fracture to unite despite appropriate medical treatment and within a time frame based on the nature and location of the fracture.

3.

Injury means a physical injury, caused by a violent, external and visible means, which occurs fortuitously whilst this insurance is in force and which results, solely, directly and independently of any pre-existing condition or other cause, in any of the Events specified in the Table of Events for Cover 2, within twelve (12) calendar months of the date of its occurrence.

4.

Temporary Total Disablement: (a)

in respect of students of the insured means as a result of injury an insured person is wholly and continuously prevented from attending all of that insured person’s usual school classes and school activities and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than an insured person or immediate family member of an insured person.

(b)

In respect of voluntary workers/employees of the insured means that as a result of injury the insured person is wholly and continuously prevented from engaging in his/her usual occupation and not engaged in any other occupation and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than the insured person.

5.

Permanent means lasting twelve calendar months and at the expiry of that period being beyond hope of improvement.

6.

Limb means a hand at or above the wrist or a foot at or above the ankle.

7.

Fingers Or Toes means the digits of a hand or foot.

8.

Income means (a)

as regards to a salaried insured person, the average gross weekly income earned from personal exertion before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or

(b)

as regards to a T.E.C. (i.e. Total Employee Cost) or salary package insured person, the average gross weekly value of the income package earned from personal exertion (including, but not limited to wages, and/or salary, motor vehicle and/or travelling allowances, club subscriptions and

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fees, housing loan or rental subsidy, clothing or meal allowances), before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or (c)

as regards to a self-employed insured person, the average gross weekly Income earned from personal exertion after the deduction of all business expenses necessarily incurred in earning that income;

all derived during the 12 calendar months period immediately preceding the injury giving rise to the claim under this Policy 9.

Elimination Period means the period commencing with the first day of temporary total disablement for which medical treatment was sought in respect of injury and for which no Compensation is payable.

10.

Paraplegia means total and permanent paralysis of both legs and part or whole of the lower half of the body.

11.

Quadriplegia means total and permanent paralysis of both legs and both arms.

12.

Non-Medicare Medical Expenses means: 

Expenses that are not subject to any full or partial Medicare rebate nor are they recoverable by you or the insured person from any other source and are incurred within twenty four (24) calendar months of an insured person sustaining injury;



They must be paid by the insured person or by you on behalf of an insured person and be for treatment certified necessary by a legally qualified medical practitioner, to a registered Private Hospital, physiotherapist, chiropractor, osteopath, nurse or similar provider of medical services;



They include the cost of medical supplies or ambulance hire;



They do not include the cost of dental treatment unless it is necessarily incurred to sound and natural teeth, other than first teeth or dentures, and is caused by injury.

Note: 

Non-medicare medical expenses does not include any or part of any expenses for which a Medicare benefit is paid or is payable, nor does it include the balance of monies due or payable by the insured person after deduction of any Medicare benefit or rebate. (Commonly known as the "Medicare Gap").

Refund Not Available: We shall not be liable to make any refund in respect of: 

Any expense recoverable by you or by the insured person from any other insurance scheme or any plan providing medical/physiotherapy or similar coverage or from any other source except for the excess of the amount recoverable from such other insurance plan or source;



Any expense to which Section 118.1 of the Private Health Insurance Act 2007 (as amended) or any of the regulations made under it apply;



More than the specified percentage of each claim less all deductions and the excess;



Any expense which we are prohibited by Law from paying.

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our Total Liability shall not exceed in the aggregate the amount specified in the Policy Schedule, in respect of any one injury.

The amount of our Total Liability which represents physiotherapy, chiropractic or osteopathic expenses shall not exceed $ 5,000 in respect of any one injury.

13.

Total disablement means (a)

in respect of students of the insured means as a result of injury an insured person is wholly and continuously prevented from attending all of that insured person’s usual school classes and school activities for 12 consecutive months and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than an insured person or immediate family member of an insured person.

(b)

In respect of voluntary workers/employees of the insured means that as a result of injury the insured person is wholly and continuously prevented from engaging in his/her usual occupation and not engaged in any other occupation for 12 consecutive months and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than the insured person.

14.

Temporary partial disablement means in respect of voluntary workers/employees of the insured means that as a result of injury the insured person is wholly and continuously prevented from engaging in more than 50% of his/her usual occupation and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than the insured person.

15.

Hand means the entire hand below the wrist.

16.

Foot means the entire foot below the ankle.

17.

Fingers, thumbs or toes means the digits of a hand or foot.

Exposure If any of the Events listed in Sections A, B or C of Cover 2 occurs as the result of unexpected exposure to the elements following an injury, we will assume that the insured person have sustained injury and will pay the Compensation specified for such Event in the Table of Events for Cover 2.

Disappearance If the body of the insured person has not been found within one year after the date of the disappearance, sinking or wrecking of the conveyance in which the insured person was traveling at such date, we will assume that such insured person died as the result of injury and will pay the Compensation specified under Event 1 Section A of Cover 2.

Additional Exclusions that apply to all sections of Cover 2: In addition to General Exclusions listed on page 12, we will not pay under any Section of Cover 2 for claims arising directly or indirectly out of: 1.

2.

3.

War, civil war, invasion, insurrection, revolution, use of military power or usurpation of government or military power.

Pregnancy, childbirth or miscarriage; Sickness, disease or any kind of infection however contracted, even if through injury. This exclusion however, does not apply to sickness or disease directly resulting from medical treatment rendered

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necessary by an injury or to infection directly resulting from an injury, provided that in each case the injury itself is covered by Cover 2, or to accidental food poisoning; 4.

Driving or riding in any kind or race in or on any motor powered conveyance;

5.

Any psychological or psychosomatic or mental or nervous condition.

6.

Any event excluded under General Exclusions listed on page 12 of this policy wording.

Special Provisions that apply to all sections of Cover 2: 1.

The Compensation payable under Event 1 Section A listed in the Table of Events for Cover 2, shall be payable to the insured. All other Compensation will be payable to the insured person.

2.

(a)

Compensation shall not be payable for more than one of the Events listed in Section A in the Table of Events for Cover 2 in respect of the same injury;

(b)

Any Compensation payable for Events 2-19 listed in Section A in the Table of Events for Cover 2 shall be in addition to any Compensation already paid under any Events in Section B listed in the Table of Events for Cover 2 in respect of the same injury;

(c)

Should an insured person sustain injury which results in any one of Events 2, 3, 4, 6 or 8 described in Section A of Cover 2, there shall be no further liability under the Policy for injury sustained thereafter;

(d)

Compensation shall not be payable for more than one of the Events listed in Section B in the Table of Events for Cover 2 in respect of the same injury.

3.

4.

Compensation shall not be payable: (a)

Under Events described in Section B under the Table of Events for Cover 2 in excess of the Aggregate Period shown against such Events in respect of any one injury.

(b)

Unless the insured person will as soon as possible after the happening of any injury giving rise to a claim under the Policy, procure and follow proper medical advice from a legally qualified medical practitioner.

The Compensation payable under Event 21 of Cover 2 is limited to the amount stated in the Policy Schedule, or the insured person’s weekly income, whichever is the lesser.

If the insured person is entitled to receive: (a) weekly or periodical disability benefits under any other policy of insurance; and/or (b) weekly or periodical disability benefits under any Workcover or Workers Compensation Act or other Statutory body having a similar effect, or under the Wrongs Act, or under any Compulsory Third Party or Motor Vehicle Act, or Transcover or Transport Accident Act or other Statutory body having similar effect; and/or (c) earned income from any other occupation; then Compensation payable under Event 21 of Cover 2 will be reduced by the amount necessary to limit the total of all payments and/or Compensation to the insured person’s income or the limit stated in the Policy Schedule, whichever is the lesser.

5.

If, as a result of injury, Compensation is payable under Section B of Cover 2 and if, while the Policy is in force, the insured person suffers recurrence of temporary total disablement from the same or related cause or causes, the subsequent period of temporary total disablement will be deemed a continuation of the prior period unless between these periods the insured person has performed the duties of his/her occupation on a full-time basis for at least six consecutive months, in which event the temporary total disablement will be deemed the result of a new injury and subject to a new elimination period and Aggregate Period.

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6.

Aggregate Limit of Liability (a) Except as provided under 7(b), our total liability for all claims arising under Cover 2 during any policy period shall not exceed the amount set out in the Policy Schedule. (b) Our total liability for claims arising under this policy period relating directly to air travel in aircraft whose flights are not conducted in accordance with fixed schedules to and from fixed terminals over established routes shall not exceed the amount set out in the Policy Schedule.

7.

Age Limitations that apply to all sections of Cover 2: We will not be liable for any Event under Cover 2 which happens to the insured person unless at the date of such Event such insured person is between the ages set out in the Policy Schedule.

8.

If the insured person is aged under 18 years, compensation payable for Event 1 - Accidental Death under Cover 2 will be limited to $50,000

Special Provisions - Additional Benefits that apply to all sections of Cover 2: 1.

Escalation Of Claim Benefit After payment of The Compensation under Section B of Cover 2 continuously for 12 months, and again after each subsequent period of 12 months during which Compensation is paid, The Compensation will be increased by 5 percent compound.

2.

Accidental H.I.V. Infection Benefit We will pay to the insured person Compensation of $25,000 if the insured person accidentally contracts the Human Immunodeficiency Virus (H.I.V.) infection: (a) as a direct result of injury caused by a physical and violent bodily assault by another person on the insured person while he or she is covered under Cover 2; or (b) as a direct result of the administering of medical treatment provided by a registered and legally qualified medical practitioner or registered nurse of an insured person’s covered injury or sickness while he or she is insured under Cover 2.

Special Conditions (i) (ii)

(iii)

Compensation will only be payable if the insured person is positively diagnosed within 180 days of the event giving rise to the H.I.V. infection.

Compensation shall not be payable unless any event leading to or likely to lead to a positive diagnosis of H.I.V. is reported to us and medical tests are carried out by a registered and legally qualified medical practitioner no more than forty eight (48) hours from the time and date of the event giving rise to the H.I.V. infection.

The medical tests (to be made by recognised laboratory and clinical tests) carried out in connection with this Benefit must prove conclusively that the insured person was not H.I.V. positive at the time and date of the event giving rise to the H.I.V. infection. No Compensation is payable if you or the insured person fail to comply with or to provide the required level of proof.

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Scope of Cover that apply to all sections of Cover 2: The Compensation provided will only be payable if an Event listed in Cover 2 happens to an insured person whilst (a) He/she is actually engaged in official unpaid voluntary activities authorized and under the control of the insured; or (b) He/she is engaged in necessary direct travel between his/her normal place of residence or employment and the place of his/her voluntary activities.

Additional Conditions that apply to all sections of Cover 2 in addition to General Conditions listed on pages 12-13: 1.

Complying With The Policy Conditions The due observance and fulfilment of the terms of Cover 2 insofar as they relate to anything to be done or complied with by the insured person and/or by you and the truth of the statements and answers in the said Application if any, and in any Applications and medical evidence required from the insured person in connection with this Insurance shall be conditions precedent to our liability to make any payment under Cover 2.

2.

Time of The Payment of Claim Compensation payable under Cover 2 for any loss other than loss for which Cover 2 provides periodic payment will be paid immediately upon receipt of due written proof of such loss. Subject to due written Proof of Loss, all accrued Compensation for loss for which this Policy provides periodic payment will be paid monthly, and any balance remaining unpaid upon the termination of Liability will be paid immediately upon receipt of due written proof.

3.

Legal Actions No action shall be brought to recover on Cover 2 before the expiration of sixty days after written Proof of Loss has been furnished in accordance with the requirements of Cover 2. No such action shall be brought more than three years after the time written Proof of Loss is required to be furnished.

Table of Events for Personal Accident Insurance – Voluntary Workers Cover: Section A - Capital Benefits The coverage under this Section is included only for the Events specified for Personal accident insurance – voluntary workers cover in the Policy Schedule. The Compensation for these Events shall be payable as a percentage of the Capital Sum Insured specified in Policy Schedule.

The Events

The Compensation

Injury as defined, resulting in: 1.

Death (Refer to Special Provisions –Note 9.)

100%

2.

Permanent total disablement

100%

3.

Permanent total paraplegia or quadriplegia

100%

4.

Permanent total loss of sight of both eyes

100%

5.

Permanent total loss of sight of one eye

100%

6.

Permanent total loss of use of two limbs

100%

7.

Permanent total loss of use of one limb

100%

8.

Permanent total loss of the lens of both eyes

100%

9.

Permanent total loss of the lens of one eye

50%

10.

Permanent total loss of hearing in (a) both ears (b) one ear

75% 15%

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11.

Third degree burns and/or resultant disfigurement received from fire or chemical reaction which extend to cover more than 40% of the entire external body

50%

12.

Permanent total loss of use of four fingers and thumb of either hand

70%

13.

Permanent total loss of use of four fingers of either hand

40%

14.

Permanent total loss of use of one thumb of either hand (a) both joints (b) one joint

15.

16.

(b)

Permanent total loss of use of fingers of either hand (a) three joints (b) two joints (c) one joint

(a)

30% 15% 10% 7% 5%

Permanent total loss of use of toes of either foot (a) all – one foot (b) great – both joints (c) great – one joint (d) other than great, each toe

15% 5% 3% 1%

17.

Fractured leg or knee cap with established non-union

10%

18.

Shortening of leg by at least 5cm

19.

Loss of at least 50% of all sound and natural teeth, including capped or crowned teeth, but excluding first teeth and dentures.

20.

Permanent partial disablement not otherwise provided for under Events 2 to 18 inclusive

7%

Per tooth

1%

Such percentage of the Capital Sum Insured which corresponds to the percentage. In the event of a disagreement between them, a third legally qualified medical practitioner’s opinion shall be obtained and the percentage awarded shall be the average of the three (3) opinions.

Section B – Weekly Injury Benefit (See Special Provisions that apply to all sections of Cover 2, Note 2(d)) Cover under this Section is included only if specified in the Policy Schedule.

The Events

The Compensation

Injury as defined, resulting in: 21.

Temporary total disablement, and the insured person is an Income earner.

The Compensation shall be payable for no longer than the Aggregate Period specified in the Policy Schedule, and shall be subject to an elimination period of: (a) The period of time equal to the total of the insured person’s accrued sick leave at the time of injury or any similar entitlements.

PLUS (a) The period specified in the Policy Schedule.

The actual loss of or reduction in Income OR the maximum amount specified in the Policy Schedule, whichever is the lesser.

22.

Temporary total disablement, and the insured person is not an income earner.

The actual cost of domestic help and child minding services

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The Compensation shall be payable for no longer than the Aggregate Period specified in the Policy Schedule, and shall be subject to an elimination period as specified in the Policy Schedule.

23.

Temporary total disablement, and the insured person is a full-time student.

The Compensation shall be payable for no longer than the Aggregate Period specified in the Policy Schedule, and shall be subject to an elimination period as specified in the Policy Schedule.

24.

Temporary partial disablement and the insured person is an Income earner

certified as necessary for the duration of temporary total disablement by a legally qualified medical practitioner OR the maximum amount specified in the Policy Schedule whichever is the lesser.

The actual cost of home tutorial by a qualified tutor which has been certified as necessary for the duration of temporary total disablement by a legally qualified medical practitioner OR the maximum amount specified in the Policy Schedule whichever is the lesser.

(a)

(b)

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During such disablement: if the insured person returns to work in a reduced capacity, the Compensation payable shall be the difference between the Compensation for Events 21 to 23 per week and the weekly income earned from personal exertion per week; or if the insured person does not return to work, the Compensation shall be 25% of the Compensation for Event 21 to 23 per week.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section C – Non-Medicare Medical Expenses Cover under this Section is included only if specified in the Policy Schedule.

The Events

The Compensation

Injury as defined, resulting in: 25.

the insured person incurring non-medicare medical expenses.

The actual non-medicare medical expenses after deduction of recoveries from any other source and deduction of the excess OR the maximum amount specified in the Policy Schedule, whichever is the lesser.

Section D – Broken Bones Benefit Injury resulting in: (a) (b) (c) (d) (e) (f) (g) (h)

Vertebrae of the neck or spine or Skull (other than jaw and cheek) Hip, pelvis Shoulder blade Collar bone, upper leg Upper arm, kneecap, forearm, elbow Lower leg, jaw, wrist, cheek, ankle, hand, foot Ribs (per rib) Thumb, finger, toes (per thumb, finger, toes)

Maximum Compensation to any one injury

Independent School Scheme PDS JM 08/01807.4 AH 09/005

$3,000 $2,000 $ 600 $ 500 $ 500 $ 200 $ 200 $ 150

$3,000

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Cover 3 - Personal Accident Insurance – Key Persons Cover Age Limits That Apply To All Sections Of Cover 3: This Personal accident insurance – key persons cover does not cover any event which happens to an insured person unless at the date of such event, he or she is between the ages set out in the Policy Schedule Additional Definitions that apply to all sections of Cover 3: In addition to the definitions listed on page 11-12, words with a special meaning in Cover 3 are listed below and are shown in bold italic font.

1.

Injury means a bodily injury to an insured person resulting from an accident caused by violent, external and visible means and occurring solely and directly and independently of any other cause including any pre-existing physical or congenital condition (except sickness directly resulting from medical or surgical treatment rendered necessary by such injury), provided the injury: (a)

occurs on or after the insured person’s Effective Date of Individual Insurance as set out in Additional Conditions on p.42; and

(b)

results in any of the Events specified in the Table of Events for Cover 3 within 12 calendar months from the date of such injury.

2.

Sickness means sickness or disease first contracted by an insured person, on or after the insured person’s Effective Date of Individual Insurance, which results solely and directly and independently of any other cause in temporary total disablement, provided that the temporary total disablement occurs during the policy period and continues for a period of not less than seven consecutive days from the date of commencement of treatment by a registered and legally qualified medical practitioner who is not the insured person or a family member.

3.

Temporary total disablement means that as a result of injury or sickness the insured person is wholly and continuously prevented from engaging in his or her usual occupation in Australia, and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner who is not the insured person or a family member.

4.

Temporary partial disablement means that as a result of injury or sickness the insured person is wholly and continuously prevented from engaging in more than 50% of the duties of his or her usual occupation in Australia, and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner who is not the insured person or a family member.

5.

Permanent means lasting 12 consecutive months and at the end of that period being beyond hope of improvement.

6.

Permanent total disablement means total disablement which continues for 12 consecutive months and at that time is certified by a registered and legally qualified medical practitioner (who is not the insured person or a family member) as being beyond hope of improvement and entirely preventing the insured person forever from engaging in any business, profession, occupation or employment for which he or she is reasonably qualified by training, education or experience.

7.

Paraplegia means permanent and entire paralysis of both legs and part or whole of the lower half of the body.

8.

Quadriplegia means permanent and entire paralysis of both legs and both arms.

9.

Total loss means the permanent and total physical loss of the body part referenced in the Table of Events for Cover 3. Where that body part is a limb, hand, foot, finger or toe. Total loss means the permanent and total physical loss or loss of use of that body part referenced in the Table of Events for

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Cover 3, or for an eye entire and irrecoverable loss of sight in that eye or for an ear entire and irrecoverable loss of hearing in that ear or speech entire and irrecoverable loss of speech.

10.

Limb means the entire limb between the shoulder and the wrist or between the hip and the ankle.

11.

Hand means the entire hand below the wrist.

12.

Foot means the entire foot below the ankle.

13.

Independent existence means the ability to dress, bathe, toilet and feed without assistance.

14.

Fingers, thumbs Or toes means the digits of a hand or foot.

15.

Income means (a) as regards to a salaried insured person, the average gross weekly income earned from personal exertion before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or (b) as regards to a T.E.C. (i.e. Total Employee Cost) or salary package insured person, the average gross weekly value of the income package earned from personal exertion (including, but not limited to wages, and/or salary, motor vehicle and/or travelling allowances, club subscriptions and fees, housing loan or rental subsidy, clothing or meal allowances) before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or (c) as regards to a self-employed insured person, the average gross weekly income earned from personal exertion after the deduction of all business expenses necessarily incurred in earning that income; all derived during the 12 calendar month period immediately preceding the injury or sickness giving rise to the claim under this Policy.

16.

Elimination period means the period, commencing with the first day of temporary total disablement or temporary partial disablement for which medical treatment was sought, during which no Compensation is payable.

17.

Spouse means the husband or wife or any de-facto partner of the insured person who has continuously lived with the insured person for at least 3 calendar months prior to an Event giving rise to a claim under Special Provisions – Additional Benefits 3 of for Cover 3. Spouse And Dependant Children Benefit of this Policy.

18.

Dependant children means the unmarried dependant children of the insured person who are: (a)

over 6 months of age and under 19 years of age; or

(b)

under 25 years of age while they are full-time students at an accredited institution of higher learning; or

(c)

physically or mentally incapable of self support upon attaining age 25

and at the time of an Event giving rise to a claim under Special Provisions – Additional Benefits 3 Spouse and Dependant Children Benefit of Cover 3, are primarily dependent on the insured person for maintenance and support.

Dependant children includes step or legally adopted children.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Additional Exclusions that apply to all sections of Cover 3: In addition to the General Exclusions listed on page 12, Cover 3 does not apply to any Event arising directly or indirectly out of: 1.

War, civil war, invasion, insurrection, revolution, use of military power or usurpation of government or military power.

2.

Pregnancy, childbirth or miscarriage.

3.

Sexually transmitted disease, or Acquired Immune Deficiency Syndrome (A.I.D.S.) disease or Human Immunodeficiency Virus (H.I.V.) infection. This Exclusion does not apply to Accidental H.I.V. Infection as described under Special Provisions – Additional Benefits 5. Accidental H.I.V. Infection Benefit.

4.

Driving or riding in any kind of race in or on any motor powered conveyance.

5.

Radioactive contamination or radioactivity in any form whatsoever whether occurring naturally or otherwise.

6.

Any events excluded under General Exclusions listed on page 12 of this policy wording

Exposure If an insured person suffers an Event under Cover 3 as a direct result of exposure to the elements, we will pay the Compensation shown for that Event.

Disappearance If an insured person disappears and after twelve calendar months it is reasonable for us to believe they have died due to an insured injury, we will pay the Compensation shown for Event 1. (Death) Cover 3 subject to receipt of a signed undertaking by you that any such Compensation shall be refunded if it is later demonstrated that the insured person did not die as a result of an injury.

Special Provisions that apply to all sections of Cover 3: 1.

Compensation payable under Cover 3 is payable to the insured.

2.

In respect to Section A – Capital Benefits listed under the Table of Compensation for Cover 3:

3.

(a)

In the event of multiple Injuries sustained in the same accident and more than one Event can be claimed, only one Event will be compensated.

(b)

If an insured person suffers an injury resulting in any one of the Events 2 to 8 we will not be liable under this Policy for any subsequent injury to that insured person.

Compensation is not payable: (a)

For more than one of the Events under Section B and Section C – (Weekly Benefits) listed under the Table of Compensation for Cover 3 in respect of the same period of time.

(b)

For longer than the Aggregate Period shown in the Policy Schedule in respect of the Events in Section B or Section C – (Weekly Benefits) listed under the Table of Compensation for Cover 3 as regards any one injury or sickness.

(c)

Unless as soon as possible after the happening of any injury or Sickness giving or likely to give rise to a claim, the insured person obtains and follows proper medical advice from a registered and legally qualified medical practitioner who is not the insured person or a family member.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

4.

Weekly Benefits Limitation For each insured person the Compensation payable under Section B or Section C – (Weekly Benefits) listed under the Table of Compensation for Cover 3 is limited to the amount stated in the Policy Schedule or the insured person’s weekly income, whichever is the lesser.

If the insured person is entitled to receive: (a)

weekly or periodical disability benefits under any other policy of insurance; and/or

(b)

weekly or periodical disability benefits under any Workcover or Workers Compensation Act or other Statutory body having a similar effect, or under the Wrongs Act, or under any Compulsory Third Party or Motor Vehicle Act, or Transcover or Transport Accident Act or other Statutory body having similar effect; and/or

(c)

earned income from any other occupation;

then Compensation payable under Section B or Section C – (Weekly Benefits) listed under the Table of Compensation for Cover 3 will be reduced by the amount necessary to limit the total of all payments and/or Compensation to his or her weekly income or the limit stated in the Policy Schedule, whichever is the lesser.

5.

Recurrence Of temporary total disablement Or temporary partial disablement (Weekly Benefits) If an insured person receives Compensation under Section B or Section C – (Weekly Benefits) listed under the Table of Compensation for Cover 3 and while this Policy is in force suffers a recurrence of temporary total disablement or temporary partial disablement from the same or related causes within 6 consecutive months of his or her return to his or her occupation on a full time basis, we will consider such disablement to be a continuation of the prior claim period.

The period of recurring of such disablement will be aggregated with the prior claim period and will not be subject to a new elimination period.

6.

7.

Aggregate Limit Of Liability (a)

Except as provided under 6.(b), our total liability for all claims arising from Cover 3 during any one policy period will not exceed the amount shown in the Policy Schedule.

(b)

our total liability for all claims arising under Cover 3 during any one policy period relating directly to air travel in aircraft whose flights are not conducted in accordance with fixed schedules to and from fixed terminals over established routes will not exceed the amount shown in the Policy Schedule.

Age Limits that apply to all sections of this Personal Accident Insurance – Key Persons: We will not be liable for any Event listed under Cover 3 which happens to an insured person unless at the date of the Event they are between the ages set out in the Policy Schedule.

Independent School Scheme PDS JM 08/01807.4 AH 09/005

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Special Provisions - Additional Benefits that apply to all sections of Cover 3: 1.

Rehabilitation Expenses We will pay after the happening of an Event listed under Section B or Section C – (Weekly Benefits) of Cover 3 expenses incurred for tuition or advice from a licensed vocational school, provided such tuition or advice is undertaken with our prior written agreement and the agreement of the insured person’s attending physician.

Compensation under this provision will be limited to the actual costs incurred not exceeding $500 per month and will be payable for a maximum of six months.

2.

Escalation Of Claim Benefit After payment of the Compensation under Section B or Section C – (Weekly Benefits) listed under Cover 3 continuously for 12 months, and again after each subsequent period of 12 months during which Compensation is paid, we will increase the Compensation by 5 percent compound per annum.

3.

Spouse And Dependant Children Benefit If the insured person suffers a work related injury which results in Section A. Event 1. (Death) listed under Cover 3, we will pay the following amounts in addition to the Sum Insured payable on the life of the insured person: (a) (b)

4.

Surviving spouse Benefit - $5,000.

Dependant children Benefit - $5,000 for each dependant child to a maximum of $15,000.

Home Renovation Benefit If as a direct result of injury resulting in any one Event 2 to 9 listed under Cover 3, the insured person is required to renovate his or her existing residence (including but not limited to the installation of ramps for external or internal wheel chair access, internal guide rails, emergency alert system and similar disability aids) necessary for the insured person to perform daily lifestyle activities (i.e. washing, cooking, bathing and dressing) and to remain in and move around his or her existing residence, we will pay 80% of the cost incurred for such renovations to a maximum of $10,000.

This benefit is only payable: (a) (b)

5.

where such renovations are undertaken with our prior written agreement and the agreement of the insured person’s attending physician; and in respect of one residence only.

Accidental H.I.V. Infection Benefit We will pay to the insured person Compensation of $25,000 if the insured person accidentally contracts the Human Immunodeficiency Virus (H.I.V.) infection: (c) as a direct result of injury caused by a physical and violent bodily assault by another person on the insured person while he or she is covered under Cover 3; or (d) as a direct result of the administering of medical treatment provided by a registered and legally qualified medical practitioner or registered nurse of an insured person’s covered injury or sickness while he or she is insured under Cover 3.

Special Conditions (iv) (v)

(vi)

Compensation will only be payable if the insured person is positively diagnosed within 180 days of the event giving rise to the H.I.V. infection.

Compensation shall not be payable unless any event leading to or likely to lead to a positive diagnosis of H.I.V. is reported to us and medical tests are carried out by a registered and legally qualified medical practitioner no more than forty eight (48) hours from the time and date of the event giving rise to the H.I.V. infection.

The medical tests (to be made by recognised laboratory and clinical tests) carried out in connection with this Benefit must prove conclusively that the insured person was not H.I.V. positive at the time and date of the event giving rise to the H.I.V. infection. No Compensation is payable if you or the insured person fail to comply with or to provide the required level of proof.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Additional Conditions that apply to all sections of Cover 3 in addition to General Conditions listed on pages 12-13: 1.

Effective Date Of Individual Insurance The Insurance of any insured person (as specified in the Policy Schedule) will become effective on the latest of the following dates: (a) on the commencing date of the first policy period set out in the Policy Schedule; (b) on the date such insured person becomes eligible for Insurance hereunder; (c) where a Proposal is required by us, on the date of our acceptance of the insured person’s written Proposal; provided always that if such insured person is not regularly performing all the usual duties of his or her occupation or is not fit to do so on the date his or her proposal for Insurance would otherwise become effective, then this Insurance will only take effect on the date of return to the regular performance of all of his or her usual duties or when he or she is certified fit to do so.

2.

Individual Terminations The Insurance of any insured person will immediately terminate on the earliest of the following dates: (a) (b) (c) (d) (e)

3.

on the date this Policy is terminated; on the date the insured requests that such insured person be deleted as an insured person; on the date that such insured person leaves or is dismissed from your employment or is retired or on a pension; on the premium due date if you fail to pay the required premium except as the result of inadvertent error; or on the date such insured person ceases to be eligible for Insurance hereunder.

Change of Occupation You will give immediate written notice to us of any change in the occupation of an insured person and agree to pay an additional premium if applicable.

No claim will be payable in respect of: (a)

(b)

any injury or sickness arising out of or in the course of an occupation of greater risk than the occupation disclosed in your application to us, unless we have agreed to the change in occupation; or any injury or sickness where we have been prejudiced by such non-disclosure of change in occupation, to the extent that we have been prejudiced by such non-disclosure of change in occupation.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Table of Events for Personal Accident Insurance – Key Persons Cover: Section A – Capital Benefits Cover under this Section is included only for the Events for Cover 3 in the Policy Schedule. The Compensation for each Event is payable as a percentage of the Capital Sum Insured shown in the Policy Schedule.

The Events

The Compensation

injury as defined, resulting in: 1.

Death

100%

2.

Permanent total disablement

100%

3.

Permanent paraplegia or quadriplegia

100%

4.

Permanent total loss of sight of both eyes

100%

5.

Permanent total loss of sight of one eye

100%

6.

Permanent total loss of use of two limbs

100%

7.

Permanent total loss of use of one limb

100%

8.

Permanent total loss of the lens of both eyes

100%

9.

Permanent total loss of the lens of one eye

100%

10.

Permanent total loss of hearing in (a) both ears (b) one ear

75% 15%

11.

Third degree burns and/or resultant disfigurement received from fire or chemical reaction which extend to cover more than 40% of the entire external body

50%

12.

Permanent total loss of use of four fingers and thumb of either hand

70%

13.

Permanent total loss of use of four fingers of either hand

40%

14.

Permanent total loss of use of one thumb of either hand (a) both joints (b) one joint

30% 15%

15.

16.

Permanent total loss of use of fingers of either hand (a) three joints (b) two joints (c) one joint

(b) (a)

10% 7% 5%

Permanent total loss of use of toes of either foot (a) all – one foot (b) great – both joints (c) great – one joint (d) other than great, each toe

15% 5% 3% 1%

17.

Fractured leg or knee cap with established non-union

10%

18.

Shortening of leg by at least 5cm

19.

Loss of at least 50% of all sound and natural teeth, including capped or crowned teeth, but excluding first teeth and dentures.

Independent School Scheme PDS JM 08/01807.4 AH 09/005

7% 1% Per Tooth

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

20.

Permanent partial disablement not otherwise provided for under Events 2 to 18 inclusive

Such percentage of the Capital Sum Insured which corresponds to the percentage reduction in whole bodily function as certified by not less than two (2) legally qualified medical practitioners one of whom shall be the insured person’s treating doctor and the other shall be nominated by us.

In the event of a disagreement between them, a third legally qualified medical practitioner’s opinion shall be obtained and the percentage awarded shall be the average of the three (3) opinions.

The maximum amount payable under Event 20 is 75% of the Capital Sum Insured shown in the Policy Schedule.

Section B – Weekly Injury Benefit Cover under this Section of Cover 3 is included only if specified in the Policy Schedule The Events

The Compensation

injury as defined, resulting in: 20.

Temporary total disablement

20.

21.

Temporary partial disablement

21. (a)

(b)

Independent School Scheme PDS JM 08/01807.4 AH 09/005

During such disablement the amount per week specified in the Policy Schedule or income, whichever is the lesser.

During such disablement: if the insured person returns to work in a reduced capacity, the Compensation payable shall be the difference between the Compensation for Event 20 per week and the weekly income earned from personal exertion per week; or if the insured person does not return to work, the Compensation shall be 25% of the Compensation for Event 20 per week.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section C – Weekly Sickness Benefit Cover under this Section of Cover 3 is included only if specified in the Policy Schedule.

The Events

The Compensation

Sickness as defined, causing: 22.

Temporary total disablement

22.

During such disablement the amount per week specified in the Policy Schedule or income as defined, whichever is the lesser.

23.

Temporary partial disablement

23. (a)

During such disablement: if the insured person returns to work in a reduced capacity, the Compensation payable shall be the difference between the Compensation for Event 22 per week and the weekly income earned from personal exertion per week; or

(b)

If the insured person does not return to work, the Compensation shall be 25% of the Compensation for Event 22 per week.

Section D – Broken Bones Benefit If you suffered an injury covered by Cover 3, resulting in: (i) (j) (k) (l) (m) (n) (o) (p)

Vertebrae of the neck, spine or Skull (other than jaw and cheek) Hip, pelvis Shoulder blade Collar bone, upper leg Upper arm, kneecap, forearm, elbow Lower leg, jaw, wrist, cheek, ankle, hand, foot Ribs (per rib) Thumb, finger, toes (per thumb, finger, toes)

Maximum Compensation to any one injury

Independent School Scheme PDS JM 08/01807.4 AH 09/005

$3,000 $2,000 $ 600 $ 500 $ 500 $ 200 $ 200 $ 200 $3,000

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Cover 4 - Travel Insurance – School Students and Staff Cover Age Limits that apply to all sections of Cover 4 This Travel insurance – school students and staff cover does not cover any event which happens to an insured person unless he or she at the date of such event is under 90 years of age.

Additional Definitions that apply to all sections of Cover 4: In addition to the definitions listed on pages 11-12, words with a special meaning in Cover 4 are listed below and are shown in bold italic font.

Country of Residence means: (a)

the country of which the insured person is a citizen or permanent resident (i.e. holder of a multiple entry visa or permit which gives the insured person resident rights in such country); or

(b)

the country in which the insured person is residing on an overseas expatriate assignment.

(c)

It also means the country you, the insured person or the insured person’s representative would like us to return the insured person to when repatriation is necessary.

Dependant children means the unmarried dependant children of the insured person who are: (a) under 19 years of age and living with the insured person; or (b) under 25 years of age while they are full-time students at an accredited institution of higher learning; or (c) physically or mentally incapable of self support upon attaining age 25 and primarily dependent on the insured person for maintenance and support.

Dependant children includes step or legally adopted children.

Established non-union means the failure of a fracture to unite despite appropriate medical treatment and within a time frame based on the nature and location of the fracture.

Injury/injured means a bodily injury to an insured person resulting from an accident caused by violent, external and visible means and occurring solely and directly and independently of any other cause provided the injury occurs on or after the insured person’s cover commencement date as described under the Period of Individual Cover in the Policy Schedule.

Public Place means but is not limited to shops, airports, train stations, bus stations, streets, hotel foyers and grounds, restaurants, beaches, public toilets and any place to which the public has access.

Relative means the spouse, parent, parent-in-law, grandparent, step-parent, child, step-child, grandchild, brother, brother-in-law, sister, sister-in-law, daughter-in-law, son-in-law, fiancée, fiancé, half-brother, halfsister, aunt, uncle, niece or nephew of the insured person.

Serious Injury or Serious Sickness means a serious injury or sickness for which the attending medical practitioner certifies that the attendance of the insured person is necessary given the immediate threat to the injured or sick person’s life. It does not mean a terminal condition diagnosed prior to the commencement of travel or any chronic or other medical condition (other than mild and controlled asthma or hypertension) for which the person on whom the claim depends: (a)

has received daily medical treatment or medication in the 30 days immediately prior to the commencement of travel; or

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

(b)

required hospitalisation or surgery (or was on a waiting list for hospitalisation or surgery) in the 6 months immediately prior to the commencement of travel.

Sickness/sick means sickness or disease of the insured person occurring during the travel, but does not include a terminal condition of the insured person diagnosed prior to the commencement date of the travel.

Spouse means the husband or wife or any de facto partner with whom the insured person has continuously lived during the 3 months immediately prior to the commencement date of the travel.

Travel/travelling means the Period of Individual Cover as described in the Policy Schedule.

Financial default means insolvency, bankruptcy, provisional liquidation, liquidation, financial collapse, appointment of a receiver, manager or administrator, entry into any official or unofficial scheme of arrangement, statutory protection, restructuring or composition with creditors, or the happening of anything of a similar nature under the laws of any jurisdiction.

Unattended means, but is not limited to, when an item is not on the insured person at the time of loss, left with a person other than the insured person’s travelling companion, left in a position where it can be taken without the knowledge of the insured person including on the beach or beside the pool whilst the insured person is swimming, or leaving it at a distance where the insured person is unable to prevent it from being unlawfully taken.

Traumatic events means: (a) accidental death of an insured person’s relative (b) serious accident involving the insured person and/or the insured person’s relative that necessitated a period of hospitalization exceeding 10 consecutive days. (c) unexpected and sudden serious sickness (as defined) of the insured person’s relative.

Words in the singular include the plural and vice versa.

Additional Exclusions that apply to all sections of Cover 4: In addition to General Exclusions listed on page 12, we will not pay under any Section of Cover 4 for claims arising directly or indirectly out of: 1.

War, civil war, invasion, insurrection, revolution, use of military power or usurpation of government or military power in Australia or an insured person’s country of residence.

2.

The refusal, failure or inability of any person, company or organisation, including but not limited to any airline, other transportation provider, hotel, car rental agency, tour or cruise operator, travel wholesaler, booking agent or other provider of travel or tourism related services, facilities or accommodation, to provide services, facilities or accommodation, by reason of their own financial default or the financial default of any person, company or organisation with whom or with which they deal.

3.

Any event excluded under General Exclusions listed on page 12 of this policy wording.

Additional Conditions that apply to all sections of Cover 4 in addition to General Conditions listed on pages 12-13: 1.

Subrogation We have the right to commence or take over legal proceedings in your and/or the insured person’s name for the defence or settlement of any claim, or to sue or prosecute any other party to recover any monies payable by them at law. You and the insured person must co-operate with us and do nothing to hinder our rights.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

In the event of any payment under Cover 4, we shall be subrogated to all the insured / insured person’s rights of recovery thereof against any person or organisation and the insured / insured person shall execute and deliver instructions and papers and do whatever else is necessary to secure such and enable enforcement of such rights. The insured / insured person shall take no action to prejudice such rights.

2.

Aggregate Limits of Liability (Applicable to Sections 3, 4, 5, 6, 7, 8, and 9 of Cover 4) (a) Except as provided in 2.(b), 2.(c) and 2.(d), our total liability for all claims under one or more of the above Sections which arise out of any one event or series of related events, shall not exceed the amount specified in the Policy Schedule. (b) our total liability for all claims directly arising out of air travel in aircraft whose flights are not conducted in accordance with fixed schedules to and from fixed terminals over specific routes, shall not exceed the amount specified for Cover 4 in the Policy Schedule.

(Applicable to Section 10 of Cover 4) (c) our total liability for all claims arising under Section 10 (Kidnap and Ransom and Extortion) which arise out of any one event or series of related events, shall not exceed the amount specified for Cover 4 in the Policy Schedule.

(Applicable to Section 11 of Cover 4) (d) our total liability for all claims arising under Section 11 (Personal Liability) which arise out of any one event or series of related events, shall not exceed the amount specified for Cover 4 in the Policy Schedule.

(Applicable to All Sections of Cover 4) (e) our total liability for all claims directly or indirectly out of war, civil war, invasion, insurrection, revolution, use of military power or usurpation of government or military power in the following countries: Iraq, Afghanistan, Somalia or Chechnya will not exceed $100,000 in any one event and $500,000 in the aggregate. This amount will also be specified for Cover 4 in the Policy Schedule.

Please note: If Iraq, Afghanistan, Somalia or Chechnya is the country of residence of the insured person, additional exclusion 1 still applies.

3.

Automatic Extensions We will automatically extend the insured person’s cover for up to 3 calendar months from the date of the insured person’s expected return to his or her country of residence if such return is deferred due to delay of transport or the insured person’s inability to travel due to an injury or sickness for which a claim is payable under Cover 4.

4.

Claim Offset Except for Section 5. Personal injury, Events 1-19 inclusive and Sections C and D of Cover 4, there is no cover under Cover 4 for any loss or event or liability which is covered under any other insurance policy, health or medical scheme or Act of Parliament or is payable by any other source.

We will however pay the difference between what is payable under the other insurance policy, health or medical scheme or Act of Parliament or such other source and what you or the insured would be otherwise entitled to recover under Cover 4, where permissible under Law.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section 1 - Medical and Medical Evacuation Expenses Section 1a - Overseas Medical Expenses Description of Cover If an insured person whilst travelling incurs medical expenses, we will pay you or the insured person for those expenses provided that they are incurred outside of the insured person‘s country of residence.

Specific Definitions that apply to Section 1A of Cover 4: In addition to Definitions listed on pages 11-12 and Additional Definitions that apply to Cover 4 listed on pages 49-50, words with a special meaning in Section 1A of Cover 4 are listed below and are shown in bold italic font.

1.

Medical expenses means all reasonable costs necessarily incurred outside the insured person’s country of residence for:

2.

Injury or Sickness resulting in hospital, surgical or other diagnostic or remedial treatment given or prescribed by a registered and legally qualified medical practitioner.

3.

Emergency optical treatment provided by a registered and legally qualified medical practitioner or optician. No cover is provided for routine optical treatments.

4.

Emergency dental treatment provided by a registered and legally qualified dentist for the relief or management of dental pain. No cover is provided for normal maintenance of dental health, or lack thereof.

Section 1b - Ongoing Medical Expenses In Australia Description of Cover If an insured person during a policy period incurs ongoing medical expenses in Australia for an: 1.

injury or sickness; or

2.

Dental or optical condition arising out of an injury;

which was first treated outside the insured person’s country of residence during a period of travel, we will pay you or the insured person for those expenses.

Specific Definitions that apply to Section 1B of Cover 4: In addition to Definitions listed on pages 11-12 and Additional Definitions that apply to Cover 4 listed on pages 49-50, words with a special meaning in Section 1B of Cover 4 are listed below and are shown in bold italic font.

Ongoing medical expenses in Australia means all reasonable costs necessarily incurred for injury or sickness, or injury related dental or optical condition, resulting in hospital, surgical or other diagnostic or remedial treatment given or prescribed by a qualified medical practitioner, dentist or optician. Ongoing medical expenses in Australia does not include those expenses we are prohibited by law from paying.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section 1c - Medical Evacuation Expenses Description of Cover 1.

(a)

Overseas Emergency Transportation Services

If during an overseas travel an insured person suffers injury or sickness covered under Section 1A (overseas medical expenses) that necessitates emergency air, land or water transportation: (i) (ii)

to another location to obtain necessary medical treatment; or repatriation to country of residence; then

We will pay for the cost of the required service including any necessary accompanying medical staff.

We will also pay for the cost of returning the insured person to the location from where they were evacuated unless we had returned them to country of residence (refer Section 6. - Resumption of Assignment).

Conditions a If you or the insured person want us to pay for the emergency transportation service then Travel Guard must be contacted and their prior written agreement obtained. (This requirement does not include in-country emergency ambulance transfers from place of injury or sickness to a hospital, which will be paid by us providing such service was medically necessary or was authorised by a local authority (eg police or medical officer)). b we will decide where and how to move the injured or sick insured person depending on the medical advice received. c we will use the insured person’s return ticket towards our costs if the insured person is returned to his or her country of residence. d This benefit does not apply in your or the insured person’s country of residence. (b)

Emergency Transportation Services whilst on school activities in Australia (except where such payment is prohibited by law)*

If during a domestic Travel an insured person suffers injury or sickness whilst (i) (ii)

taking part in a school activity organized and supervised by the insured; or travelling to or from school activities organized and supervised by the insured,

that necessitates emergency air, land or water transportation to another location to obtain necessary medical treatment, we will pay for the cost of the required service including any necessary accompanying medical staff. * Cover will be provided for: (i) volunteers, staff, students and parents/guardians of the students taking part in sporting and youth activities; (ii) students participating in activities organized and supervised by the insured.

2.

Repatriation of Mortal Remains/Burial Expenses from Overseas In the event of the death of the insured person during overseas travel, we will pay the reasonable cost of returning his or her remains to his or her country of residence or the reasonable funeral and related costs if the body is buried or cremated at the place of death, up to a maximum of $50,000.

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3.

Accompanying Family Member (Overseas Travel) If the insured person suffers injury, sickness or dies during the overseas travel we will pay the reasonable extra travel and accommodation expenses, incurred upon medical advice and with our prior written agreement, for one person to travel to, remain with or accompany the insured person back to his or her country of residence.

The maximum amount we will pay is limited by the specified Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

Specific Exclusions that apply to Section 1C of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for: 1.

Any expenses recoverable by you or the insured person from any other source.

2.

Medical expenses incurred within country of residence except if such country is Australia and then only in accordance with Section 1B (ongoing medical expenses in Australia).

3.

Any expenses we are prohibited by law from paying (including those outlined under the Private Health Insurance Act 2007 and the Australian Health Insurance Act 1973, amendments thereto and any other similar subsequent legislation which is enacted).

4.

Expenses incurred when the insured person is travelling against medical advice or to seek medical attention or advice or with a terminal condition which was diagnosed prior to travel or when he or she is unfit to do so.

5.

Expenses incurred for continuing treatment, including any medication commenced prior to the commencement date of the travel, which the insured person has been advised to continue whilst travelling.

6.

Any expenses incurred more than 24 calendar months after the date of injury, or in the case of sickness, after the date on which the medical expenses were first incurred.

7.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Section 2 - Travel Guard Description of Cover An insured person is entitled to the worldwide services of Travel Guard.

In the event of a medical or other emergency overseas, the insured person should simply call - reverse charge - the Travel Guard telephone number shown on the Emergency Travel card which has been supplied to you and which should be carried by all insured persons travelling outside their country of residence.

Travel Guard is a worldwide team of doctors, medical professionals and insurance specialists who are available 24 hours a day for advice and assistance for medical emergencies and any associated problems for insured persons outside his or her country of residence.

If the insured person needs advice while overseas regarding the terms and conditions of Cover 4, or advice regarding the replacement of lost or stolen luggage, credit cards or any similar problems - Travel Guard is a free telephone call away.

Travel Guard arranges access to the following services free of charge, but subject to the Terms and Conditions of your Policy and applicable law(s):  Pre-departure health information.  Access to a registered medical practitioner for emergency assistance and advice.

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            

Emergency transportation to the nearest suitable hospital.

Payment guarantees to hospitals and insurance verification.

Second opinions on surgery.

Hospital case management.

Emergency evacuation to the insured person’s home if necessary.

Advice to the family at home of the insured person’s medical condition and progress. you will be kept informed of insured person’s condition and progress.

Location of Australian Embassies and Consulates.

Legal referral service.

Assistance in replacing travel documents and passports.

Assistance in cancelling and replacing lost or stolen credit cards and insured person’s cheques.

Assistance and advice regarding the replacement of lost or stolen luggage.

Urgent message service and emergency travel planning.

Section 3 - Loss of Deposits and Additional Expenses Description of Cover 1.

Loss of Deposits We will reimburse you or the insured person: The non-refundable unused portion of travel or accommodation arrangements paid for in advance by you or the insured person following necessary cancellation, alteration or incompletion of the insured person’s travel due to:

2.

3.

(a)

the insured person’s unexpected death, injury or sickness; or

(b)

the unexpected death or Serious injury or Serious Sickness happening after the commencement date of the travel of an insured person’s relative, close business associate or travelling companion, or

(c)

any other unforeseen circumstances occurring during travel and outside the control of you or the insured person, other than those circumstances described in (a) or (b) above or specifically described elsewhere in Cover 4.

Additional Cancellation / Curtailment / Interruption Expenses We may choose to reimburse you or the insured person or pay direct to the provider, the expenses reasonably and necessarily incurred in addition to those already budgeted for or likely to be incurred but less any refund on unused prepaid travel and accommodation arrangements, as a result of: (a)

the insured person suffering an injury or sickness during the travel; or

(b)

the insured person having to return to his or her country of residence or place of departure within his or her country of residence during the travel due to the unexpected death or serious injury or serious sickness of a relative, close business associate or travelling companion, or

(c)

any other unforeseen circumstances occurring during travel and outside the control of you or of the insured person, other than those circumstances described in (a) or (b) above or specifically described elsewhere in Cover 4.

Note: If the insured person needs to return home early for any reason Travel Guard must be contacted beforehand to confirm cover. Travel Guard will also help with the travel arrangements.

Frequent Flyer Points Where an airline ticket was purchased using frequent flyer or similar air points, we will pay the insured person for the frequent flyer or similar air points lost following cancellation of the insured

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person’s airline ticket. The amount payable will be calculated as follows: If the airline will not refund your or the insured person’s points, we will refund to you or the insured person the cost of the equivalent class air ticket on the quoted retail price at the time the ticket was issued.

If the airline will only refund a portion of the value of your or the insured person’s points, we will refund to you or the insured person the cost of the equivalent class air ticket based on the quoted retail price at the time the ticket was issued, less the value of the portion of your or the insured person’s points refunded back to you or the insured person.

For this benefit to become payable:

4.

(a)

the reason for cancellation must be an insured event under this Section of cover 4, and

(b)

the loss of such points cannot be recovered from any other source.

Other Expenses We will pay: (a)

In Hospital Cash Benefit $200 for each completed 24 hour period an insured person is hospitalised overseas as an inpatient due to injury or sickness, up to a maximum of 25 days (i.e. $5,000).

(b)

Legal Expenses The reasonable legal costs actually and necessarily incurred as a result of the false arrest or wrongful detention of the insured person during travel by any internationally recognised foreign Government, up to a maximum of $50,000.

(c)

Hijack $1,000 for each 24 hour period that an insured person is illegally detained during travel as a result of the public transport on which he or she is travelling being hijacked, up to a maximum of 20 days (i.e. $20,000). The maximum amount we will pay is limited by the specified Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

Specific Exclusions that apply to all of Section 3 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any expenses arising directly or indirectly out of: 1.

Claims arising from cancellation, curtailment or diversion of scheduled public transport services, including by reason of strikes or other industrial action, if there had been media warning before the date the particular travel was booked that such events were likely to occur.

2.

Claims arising from cancellation, delays or rescheduling where the expense has been recovered from the carrier.

3.

Any business or employment commitment or financial or contractual obligation of you, the insured person or any other person on whom the travel depends.

4.

Any change of plans, or disinclination on the part of the insured person or of any other person to travel.

5.

The inability of any tour operator or wholesaler to complete arrangements for any tour due to a deficiency in the required number of persons to commence any tour or travel.

6.

A terminal condition of the insured person diagnosed prior to commencement of the travel, or the insured person travelling against medical advice or to seek medical attention or advice or when he

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or she is unfit do so.

7.

The unexpected death or serious injury or serious sickness of a relative, close business associate or travelling companion.

8.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Section 4 - Luggage, Personal Effects, Travel Documents Description of Cover 1.

Property We will pay for accidental loss of or damage to the insured person’s accompanied luggage, personal effects, portable business equipment (including computers and mobile phones) and business property (including business papers, specifications, manuscripts, and stationery for the cost of reproducing such documents but excluding research and development costs), that occurred during travel.

2.

Mislaid Luggage We will pay the reasonable expenses incurred during travel for the emergency replacement of essential items if during the travel the insured person’s luggage is delayed, misdirected or temporarily misplaced by any carrier for more than 8 consecutive hours.

Claims must be supported by written confirmation from the carrier responsible and receipts for the replacement items the insured person needed to purchase.

3.

Travel Documents We will pay the non-recoverable cost of replacing the insured person’s travel documents, credit cards or traveller’s cheques should they be lost or damaged during travel.

4.

Credit Card Fraud We will pay your or the insured person’s legal liability for payment arising out of unauthorised use of your or the insured person’s travel documents, credit cards or traveller’s cheques following theft during travel by any person other than the insured person’s relative or travelling companion.

5.

Money We will pay for accidental loss of the insured person’s cash, bank or currency notes, cheques, postal or money orders or other negotiable instruments, that occurred during travel.

In respect of money secured for the purpose of travel, cover shall commence at the time of collection from the bank or 72 hours prior to the start of the travel whichever occurs last and shall continue for 72 hours after termination of the travel or until deposited at the bank, whichever occurs first. The maximum amount we will pay is $5,000.

6.

Keys and Locks We will reimburse up to $1,000 of the costs actually incurred for the replacement of keys and locks where an insured person loses identification and keys at the same time.

Sum Insured The maximum amount we will pay is limited by the specified Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

Basis of Settlement The basis of settlement under this Section will be the replacement value of items and at our discretion we may choose to replace, repair, or pay for the loss in cash.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Specific Conditions that apply to Section 4 of Cover 4 in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49-50: 1.

It is a condition of payment under this Section that all loss or damage attributable to theft, vandalism or loss or damage by carriers be reported to the local police or appropriate authority as soon as possible after the discovery of the loss, and a written acknowledgement of the report obtained.

2.

Any loss of credit cards, traveller’s cheques or travel documents must be reported as soon as possible to the issuing authority and the appropriate cancellation measures taken.

3.

The insured person shall take all reasonable precautions for the safety and supervision of any insured luggage, personal effects, travel documents, money and credit cards.

Specific Exclusions that apply to Section 4 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for: 1.

Damage or loss arising from electrical or mechanical breakdown of any item.

2.

Damage to or replacement of any electronic data or software.

3.

Scratching or breakage of fragile or brittle items. This Exclusion does not apply to photographic or video equipment, binoculars, spectacles or contact lenses.

4.

Damage or loss arising from wear and tear, deterioration, atmospheric or climatic conditions, mould or fungus, insects, rodents, vermin, or any process of cleaning, ironing, pressing, repairing, restoring or alteration.

5.

Luggage, personal effects, business property, travel documents or money shipped under any freight agreement, or items sent by postal or courier services or given to someone else other than a travelling companion.

6.

Losses due to depreciation or devaluation of currency.

7.

Loss or damage arising from confiscation or destruction by Customs or any other authorities.

8.

Losses recoverable from any other source, e.g. airlines, or other insurance including automatic credit card travel insurance.

9.

Personal computers, mobile phones or any electronic equipment; (a)

where theft or attempted theft occurs while such equipment is unattended other than when securely locked inside a building or securely locked out of sight inside a motor vehicle, however this Exclusion 9(a) shall not apply in circumstances where the insured person leaves such property temporarily unattended whilst on any conveyance and takes all reasonable precaution to safeguard the property and has no option other than to leave the property temporarily unattended; or

(b)

whilst carried in or on any conveyance unless they accompany an insured person as personal cabin luggage.

10.

Luggage, personal effects and/or travel documents left unattended in any public place however this Exclusion 10 shall not apply in circumstances where the insured person leaves such property temporarily unattended whilst on any conveyance and takes all reasonable precaution to safeguard the property and has no option other than to leave the property temporarily unattended.

11.

Contractual obligations in relation to a mobile phone purchase.

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12.

Any goods intended for sale or trade in excess of $1,000 in total.

13.

Household furniture and household appliances unless acquired during the travel for personal use in the insured person’s country of residence and non-portable business property, computer or electronic equipment.

14.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Section 5 - Personal Injury and Surgical Benefits Specific Definitions applying to all of Section 5 of Cover 4: In addition to Definitions listed on pages 11-12 and Additional Definitions that apply to Cover 4 listed on pages 49-50, words with a special meaning in Section 5 of Cover 4 are listed below and are shown in bold italic font.

1.

2.

3.

4.

5.

6.

7.

8.

Elimination period means the period, commencing with the first day of temporary total disablement or temporary partial disablement for which medical treatment was sought, during which no Compensation is payable.

Income means (a) as regards to a salaried insured person, the average gross weekly Income earned from personal exertion before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or (b)

as regards to a T.E.C. (i.e. Total Employee Cost) or salary package insured person, the average gross weekly value of the income package earned from personal exertion (including, but not limited to wages, and/or salary, motor vehicle and/or travelling allowances, club subscriptions and fees, housing loan or rental subsidy, clothing or meal allowances), before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or

(c)

as regards to a self-employed insured person, the average gross weekly income earned from personal exertion after the deduction of all business expenses necessarily incurred in earning that income;

all derived during the 12 calendar months period immediately preceding the injury giving rise to the claim under Cover 4.

Limb means any part of the arm between the shoulder and the wrist or any part of the leg between the hip and the ankle.

Paraplegia means permanent and entire paralysis of both legs and part or whole of the lower half of the body.

Permanent means lasting 12 consecutive months and at the end of that period being beyond hope of improvement.

Permanent total disablement means total disablement which continues for 12 consecutive months and at that time is certified by a registered and legally qualified medical practitioner (who is not the insured person or a family member) as being beyond hope of improvement and entirely preventing the insured person forever from engaging in any business, profession, occupation or employment for which he or she is reasonably qualified by training, education or experience.

Quadriplegia means permanent and entire paralysis of both legs and both arms.

Temporary partial disablement means that as a result of injury the insured person is wholly and continuously prevented from engaging in more than 50% of the duties of his or her usual occupation in his or her usual country of residence, and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner who is not the insured person or a family member.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

9.

Temporary total disablement: (a) in respect of students of the insured means as a result of injury an insured person is wholly and continuously prevented from attending all of that insured person’s usual school classes and school activities and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than an insured person or immediate family member of an insured person. (b) In respect of employees of the Insured means that as a result of injury the insured person is wholly and continuously prevented from engaging in his/her usual occupation and not engaged in any other occupation and is under the regular care of and acting in accordance with the instructions or professional advice of a registered and legally qualified medical practitioner other than the insured person.

10.

11.

12.

13.

14.

15.

Total loss means the permanent and total physical loss or loss of use of the body part referenced in the Table of Events for Cover 4. Where that body part is a limb, hand, foot, finger or toe, Total loss means the total permanent physical loss or loss of use of, or for an eye entire and irrecoverable loss of sight in that eye or for an ear entire and irrecoverable loss of hearing in that ear or speech entire and irrecoverable loss of speech.

Accompanying spouse means spouse who accompanies the insured person on his/her travel.

Domestic help and child minding services means the actual costs incurred for reasonable and necessary professional services carried out by persons other than members of the insured person’s family or other relatives or persons permanently residing with the insured person, to help the parent(s) or guardian of the injured accompanying spouse with household duties or to look after and attend the needs of the injured accompanying spouse that are normally carried out by him/her but which due to the accompanying spouse’s injury, he/she is unable to do so, provided such services are certified by the accompanying spouse’s legally qualified and registered medical practitioner or physician as being necessary for the accompanying spouse‘s recovery.

Employment training expense means the reasonable actual costs incurred by a spouse for tuition fees, room and board charged by an institution of higher learning for the purpose of obtaining or refereshing skills needed for employment.

Institution of higher learning means any accredited public or private college, university, tertiary institution, professional trade or vocational school beyond Year 12.

Loss of mental power means the permanent loss of mental powers resulting in the total inability to attend the insured person’s normal occupation or classes..

Section 5 A - Capital Benefits Description of Cover If an insured person during a Period of Individual Cover suffers an injury as defined which results within 12 consecutive months in any Event described in the Table of Events for Cover 4, we will pay you the Compensation stated in such Table.

Exposure If an insured person suffers an Event under this Section of the Cover 4 as a direct result of exposure to the elements, we will pay the Compensation shown for that Event.

Disappearance If an insured person disappears and after 12 calendar months it is reasonable for us to believe they have died due to an insured injury, we will pay the Compensation shown for Event 1. (Death) listed under Section 5A of Cover 4 subject to receipt of a signed undertaking by you that any such Compensation shall be refunded if it is later demonstrated that the insured person did not die as a result of an injury.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Table of Events for Section 5A: Cover 4 Cover under this Section is included only for the Events specified in the Policy Schedule. The Compensation for each Event is payable as a percentage of the Capital Sum Insured shown in the Policy Schedule.

The Events

The Compensation

injury as defined, resulting in: 1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

Death** Permanent total disablement Permanent paraplegia or quadriplegia or loss of mental power Permanent total loss of sight of both eyes Permanent total loss of sight of one eye Permanent total loss of use of two limbs Permanent total loss of use of one limb Permanent total loss of the lens of both eyes Permanent total loss of the lens of one eye Permanent total loss of hearing in (a) both ears (b) one ear Third degree burns and/or resultant disfigurement received from fire or chemical reaction which extend to cover more than 40% of the entire external body Permanent total loss of use of four fingers and thumb of either hand Permanent total loss of use of four fingers of either hand Permanent total loss of use of one thumb of either hand (a) both joints (b) one joint Permanent total loss of use of fingers of either hand (a) three joints (b) two joints (c) one joint Permanent total loss of use of toes of either foot (a) all – one foot (b) great – both joints (c) great – one joint (d) other than great each toe (e) fractured leg or kneecap with established non-union Loss of at least 50% of all sound and natural teeth, Per tooth including capped or crowned teeth, but excluding first teeth and dentures

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100% 100% 100% 100% 100% 100% 100% 100% 50% 80% 20% 50%

80% 50% 30% (b) 15% (a) 10% 7.5% 5% 15% 5% 3% 1% 10% 1% (to $10,000 in total for all teeth)

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

18.

19.

Shortening of leg by at least 5cm Permanent partial disablement not otherwise provided for under Events 2 to 18 inclusive

7.5% Such percentage of the Capital Sum Insured which corresponds to the percentage reduction in whole bodily function as certified by not less than two (2) legally qualified medical practitioners one of whom shall be the insured person’s treating doctor and the other shall be nominated by us.

In the event of a disagreement between them, a third legally qualified medical practitioner’s opinion shall be obtained and the percentage awarded shall be the average of the three (3) opinions.

The maximum amount payable under Event 19 is 75% of the Capital Sum Insured shown in the Policy Schedule. ** Benefits payable to dependant children and insured persons under 18 years of age for Event 1 (Death) will be limited to or $50,000.

Additional Benefits 20.

Broken Bone Benefits – injury resulting in: (a) Vertebrae of the neck or spine or skull (b) hip, pelvis (c) shoulder blade (d) collar bone, upper leg (e) upper arm, kneecap, forearm, elbow (f) lower leg, jaw, wrist, cheek, ankle, hand, foot (g) ribs (per rib) (h) finger, thumb, toe (per finger, thumb, toe)

$5,000 $2,500 $1,000 $1,000 $ 750 $ 500 $ 200 $ 200

Maximum Compensation any one accident

$5,000

Independent Financial Advice Description of Cover If an insured person sustains an injury which results in a valid claim under Section 5A – Capital Benefits Events 1 – 9, and if agreed by you, We will pay: (a)

For you or the insured person to receive professional financial, taxation and/or investment advice in respect of the benefit paid under Events 1-9, as applicable.

Conditions 1.

2.

The advice must be provided by a licensed independent financial advisor who is not your employee or a relative of the insured person .

The maximum amount we will pay is $5,000.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Specific Exclusions applying to Section 5A of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any claim which directly or indirectly arises from or is caused by: 1.

Any type of illness, disease, infection or contagion, even if contracted through an injury, except that this Exclusion shall not apply to medically acquired infections or blood poisoning.

2.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section 5B - Weekly Injury Benefit Cover under this Section is included only if specified in the Policy Schedule.

Table of Events for Section 5B: Cover 4 The Events

The Compensation

injury as defined, resulting in: 21.

Temporary total disablement

22.

Temporary partial disablement

During such disablement the amount per week specified in the Policy Schedule or income as defined, whichever is the lesser.

(a)

(b)

During such disablement: if the insured person returns to work in a reduced capacity, the Compensation payable shall be the difference between the Compensation for Event 21 per week and the weekly Income earned from personal exertion per week; or if the insured person does not return to work, the Compensation shall be 25% of the Compensation for Event 21 per week.

Specific Exclusions applying to Section 5B of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any claim which directly or indirectly arises from or is caused by: 1.

Any type of illness, disease, infection or contagion, even if contracted through an injury, except that this Exclusion shall not apply to medically acquired infections or blood poisoning..

2.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Section 5C – Surgical Benefits for Injury Cover under this Section is included only if specified in the Policy Schedule.

Table of Events for Section 5C: Cover 4 The Events

The Compensation

injury as defined, resulting directly in the following surgical procedure: 1.

2.

3.

4.

Brain surgery Amputation of a limb Fracture of a limb requiring open reduction Any other surgical procedure performed anaesthetic

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under

general

$20,000 $20,000 $5,000 $2,500

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Specific Conditions that apply to Section 5C of Cover 4: in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49- 50: 1.

Cover is only provided under Section 5C for surgical procedures undertaken outside of Australia.

Specific Exclusions applying to Section 5C of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any claim which directly or indirectly arises from or is caused by: 1.

Any type of illness, disease, infection or contagion, even if contracted through an injury, except that this Exclusion shall not apply to medically acquired infections or blood poisoning.

2.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

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AIG Australia Limited Independent Schools Insurance Package Combined Product Disclosure Statement and Policy Wording

Section 5D – Surgical Benefits for Sickness Cover under this Section is included only if specified in the Policy Schedule.

The Events

The Compensation

Sickness as defined, resulting directly in the following surgical procedure: 1.

2.

3.

4.

Open heart surgery Brain surgery Abdominal surgery performed under general anaesthetic Any other surgical procedure performed under general anaesthetic

$20,000 $20,000 $ 5,000 $ 2,500

Specific Conditions that apply to Section 5D of Cover 4: in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49-50: 1.

Cover is only provided under Section 5D for surgical procedures undertaken outside of Australia.

Special Provisions applying to all of Section 5 of Cover 4: 1.

The Compensation payable under Event 1 in Section 5 A of Cover 4 shall be payable to the insured, any other Compensation payable under the Policy shall be payable to an insured person.

2.

(a)

Compensation shall not be payable for more than one of the Events in Section 5 A listed in the Table of Benefit for Cover 4 in respect of the same injury;

(b)

Any Compensation payable for Events 2-19 in Section 5 A listed in the Table of Benefit for Cover 4 shall be in addition to any Compensation already paid under Events 21 and 22 in Section 5 B listed in the Table of Benefit for Cover 4 in respect of the same injury;

(c)

Should an insured person sustain injury which results in any one of Events 2 to 8 described in Section 5 A listed in the Table of Benefit for Cover 4 there shall be no further liability under the Policy for injury sustained by that insured person thereafter.

3.

4.

Compensation shall not be payable: (a)

Under Events described in Section 5 B listed in the Table of Benefit for Cover 4 in excess of the Aggregate Period shown against such Events therein in respect of any one injury.

(b)

Unless as soon as possible after the happening of any injury giving or likely to give rise to a claim, an insured person obtains and follows proper medical advice from a registered and legally qualified medical practitioner who is not the insured person or a member of the insured person’s immediate family.

Weekly Benefits Limitation For each insured person the Compensation payable under Event 21 or 22 ( Weekly Benefits) listed in the Table of Benefit for Cover 4 is limited to the amount stated in the Policy Schedule or an insured person’s weekly Income, whichever is the lesser.

If an insured person is entitled to receive: (a) weekly or periodical disability benefits under any other policy of insurance; and/or (b) weekly or periodical disability benefits under any Workcover or Workers Compensation Act or other Statutory body having a similar effect, or under the Wrongs Act, or under any Compulsory Third Party or Motor Vehicle Act, or Transcover or Transport Accident Act or other Statutory body having

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similar effect; and/or (c) earned income from any other occupation; then Compensation payable under Event 21 or 22 (Injury Weekly Benefits) listed in the Table of Benefit for Cover 4 will be reduced by the amount necessary to limit the total of all payments and/or Compensation to the insured person’s weekly income or the limit stated in the Policy Schedule, whichever is the lesser.

5.

6.

If as a result of injury, Compensation is payable under Section 5 B listed in the Table of Benefit for Cover 4 hereunder and if, while the Policy is in force, an insured person suffers recurrence of temporary total disablement from the same or related cause or causes, the subsequent period of temporary total disablement will be deemed a continuation of the prior period unless between such periods the insured person has performed the duties of his/her occupation on a full-time basis for at least six consecutive months, in which event such temporary total disablement shall be deemed the result of a new injury and subject to a new elimination period.

Dependant children and insured persons Under 18 Years Benefits payable to dependant children and insured persons under 18 years of age for Event 1 (Death) listed in the Table of Benefit for Cover 4 will be limited to or $50,000.

Special Provisions – Additional Benefits applying to all of Section 5 of Cover 4: 1.

Rehabilitation Expenses We will pay after the happening of an Event listed under Section 5 B (Weekly Benefits) of Cover 4, expenses incurred for tuition or advice from a licensed vocational school, provided such tuition or advice is undertaken with our prior written agreement and the agreement of the insured person’s attending physician.

Compensation under this provision will be limited to the actual costs incurred not exceeding $500 per month and will be payable for a maximum of six months.

2.

Escalation Of Claim Benefit After payment of the Compensation under Section 5 B (Weekly Benefits) listed in the Table of Benefit for Cover 4 continuously for 12 months, and again after each subsequent period of 12 months during which Compensation is paid, we will increase the Compensation by 5 percent compound per annum.

3.

Domestic Help Expenses for Accompanying Spouse/Partner Should the accompanying spouse be a non-income earner prior to sustaining an injury, compensation shall be payable under Event 21 and/or 22 up to 100% of the actual cost of the domestic help, and child minding services and Extra Transport Expenses subject to a maximum of $500 per week and not exceeding 52 weeks for any event.

4.

Spouse Employment Training Expense We will reimburse spouses employment training expense up to the Capital Sum Insured or $10,000 whichever is the lesser, if an insured person, whilst travelling, suffers an injury resulting within twelve (12) months in Death. This benefit is payable in addition to any other application benefit payable under cover 4 of this policy.

This benefit applies only if the surviving spouse incurs employment training expense within twenty-four (24) months following the date of the insured person’s death and the compensation payable under this benefit will be limited to the actual costs incurred not exceeding $10,000.

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5.

Psychological trauma expense We will pay for psychological trauma expense incurred as a result of an insured person suffering a temporary total disablement caused by a traumatic event provided: (a) the temporary total disablement occurs as a result of a sudden traumatic event; and (b) such insured person is under the continuous care of a legally qualified registered psychiatrist or psychologist who is not the insured person or his/her family member; and (c) such insured person have remained in Australia during the claim period. (d) $20,000 any one event

6.

Accidental H.I.V. Infection Benefit We will pay to the insured person Compensation of $25,000 if the insured person accidentally contracts the Human Immunodeficiency Virus (H.I.V.) infection: (a) as a direct result of injury caused by a physical and violent bodily assault by another person on the insured person while he or she is covered under Cover 4; or (b) as a direct result of the administering of medical treatment provided by a registered and legally qualified medical practitioner or registered nurse of an insured person’s covered injury or sickness while he or she is insured under Cover 4.

Special Conditions 1. Compensation will only be payable if the insured person is positively diagnosed within 180 days of the event giving rise to the H.I.V. infection.

2. Compensation shall not be payable unless any event leading to or likely to lead to a positive diagnosis of H.I.V. is reported to us and medical tests are carried out by a registered and legally qualified medical practitioner no more than forty eight (48) hours from the time and date of the event giving rise to the H.I.V. infection.

3. The medical tests (to be made by recognised laboratory and clinical tests) carried out in connection with this Benefit must prove conclusively that the insured person was not H.I.V. positive at the time and date of the event giving rise to the H.I.V. infection. No Compensation is payable if you or the insured person fail to comply with or to provide the required level of proof.

Section 6 - Alternative Employee or Resumption of Assignment Expenses Description of Cover We will reimburse you for reasonable and necessary expenses incurred during a policy period to either: (Alternative Employee) (a) send a substitute person to complete the original business commitments and objectives of an insured person who is unable to do so due to his or her unexpected death, injury or sickness, or who has to return early to his or her country of residence or place of departure following the unexpected death or serious injury or serious sickness of a relative during the travel; or (Resumption of Assignment) (b) return the original insured person whom we have repatriated back to country of residence following an event covered under Section 1 or Section 3, within 180 days of such repatriation, to complete his or her original business commitments and objectives.

The maximum amount we will pay is limited to the Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

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Specific Definitions that apply to Section 6 of Cover 4: In addition to Definitions listed on pages 11 -12 and Additional Definitions that apply to Cover 4 listed on pages 49- 50, words with a special meaning in Section 6 of Cover 4 are listed below and are shown in bold italic font.

Expenses mean: (a) an economy return air flight for Interstate and Intrastate air trips within Australia; (b) a business class return air flight for International air trips (or economy class if the original insured person travelled economy class at the insured’s instruction); and (c) other essential expenses reasonably and necessarily incurred in transportation of the substitute person or returning the insured person.

Specific Exclusions that apply to Section 6 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any expenses: 1.

Incurred when the insured person is travelling against medical advice or to seek medical attention or advice or with a terminal condition which was diagnosed prior to travel or when he or she is unfit to do so.

2.

Necessarily incurred as part of the original travel budget.

3.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

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Section 7 - Political Risk and Natural Disaster Evacuation Expenses Description of Cover If whilst an insured person is travelling outside his or her country of residence and: 1.

officials in the country the insured person is in recommend that certain categories of persons, which categories include the insured person, should leave that country; or

2.

the insured person is expelled from or declared persona non grata in the country he or she is in; or

3.

a major natural disaster has occurred in the country the insured person is in necessitating his or her immediate evacuation in order to avoid risk of personal injury or sickness to him or herself; or

4.

there is a wholesale seizure, confiscation or expropriation of your or the insured person’s property, plant or equipment.

We will pay: (a)

up to the cost of a business class air fare to return the insured person to his or her country of residence; or

(b)

up to the cost of a business class air fare to return the insured person to the nearest place of safety; and

(c)

where the insured person is unable to return to their country of residence, the reasonable costs of accommodation, up to a maximum of two hundred and fifty dollars ($250) per day for each insured person for a maximum period of 14 days. This benefit is not payable in the insured person’s country of residence.

Note: If an insured person needs to leave the country he or she is in, Travel Guard must be contacted beforehand to confirm cover. Where possible Travel Guard will make the travel arrangements and in all cases we will decide where to send the insured person.

The maximum amount we will pay is limited by the specified Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

Specific Exclusions that apply to Section 7 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, We will not pay for losses arising from or attributable to: 1.

The insured person violating the laws or regulations of the country from which he or she is to be evacuated.

2.

The insured person failing to produce or maintain immigration, work, residence or similar visas, permits or other similar documentation.

3.

Any debt, insolvency, commercial failure, the repossession of any property by a titleholder or any other financial cause.

4.

your or the insured person’s failure to honour any contractual obligations or bond or to obey any conditions in a licence.

The insured person being a national of the country from which he or she is to be evacuated.

5.

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6.

The political unrest or natural disaster that resulted in the insured person’s evacuation being in existence prior to the insured person entering the country or its occurrence being foreseeable to a reasonable person before the insured person entered the country.

We will not pay: 7.

In respect of the costs of accommodation for a period in excess of fourteen (14) days for any one event.

8.

Expenses necessarily incurred as part of the original travel budget.

9.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Section 8 - Missed Transport Connection Description of Cover Cover under this Section only applies where the insured person is officially scheduled to attend a business meeting or conference during travel which cannot be delayed because of his or her late arrival.

We will pay the reasonable extra expenses actually and necessarily incurred, net of any recoveries which you or the insured person may be entitled to receive from a carrier, to enable the insured person to use alternative scheduled public transport services to arrive at his or her destination on time, if due to any unforeseen circumstances outside your or the insured person’s control, he or she misses a scheduled transport connection and is unable to arrive at his or her destination at the original scheduled time.

The maximum amount we will pay is limited by the specified Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

Specific Exclusions that apply to Section 8 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for: 1.

Any missed transport connection arising from a personal, business or employment commitment, or a financial or contractual obligation of you or the insured person or of any other person on whom the travel depends.

2.

Claims arising from the inability of any tour operator or wholesaler to complete arrangements for any tour due to a deficiency in the number of people required to commence any tour or travel.

3.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

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Section 9 - Rental Vehicle Excess Cover Description of Cover We will reimburse you or the insured person for any excess or deductible payable under a comprehensive motor insurance against loss or damage to the rental vehicle in which you or the insured person become legally liable to pay in respect of loss or damage to a rental vehicle during the rental period.

Specific Definitions that apply to Section 9 of Cover 4: In addition to Definitions listed on pages 11-12 and Additional Definitions that apply to Cover 4 listed on pages 49- 50, words with a special meaning in Section 9 of Cover 4 are listed below and are shown in bold italic font.

Rental vehicle means a passenger class hatchback, sedan, station wagon, bus, mini-ban, van, or four-wheeldrive rented or hired from a licensed motor vehicle rental company for the sole purpose of carrying the insured person and their travelling companions on public roadways. It shall not include a truck, motorcycles, moped or trailer.

Specific Conditions that apply to Section 9 of Cover 4 in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49- 50: 1.

The rental vehicle must be rented from a licensed rental agency.

2.

The insured person must comply with all requirements of the rental organisation under the rental agreement and of the insurer under such rental insurance.

The maximum amount we will pay is limited by the specified Sum Insured listed in the Schedule of Compensation for Cover 4 in the Policy Schedule.

Specific Exclusions that apply to Section 9 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay: 1.

For loss or damage arising from operation of the rental vehicle in violation of the terms of the rental agreement.

2.

For wear and tear, gradual deterioration, damage from insects or vermin, inherent vice or damage.

3.

For loss or damage which occurs beyond the limits of any public roadway or on any roadway inaccessible to two-wheel-drive cars.

4.

For loss or damage arising from operation of campervan, caravan or any vehicle that requires a license other than a car license.

5.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

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Section 10 - Kidnap and Ransom and Extortion Descriptions of Cover We will indemnify you up to the specified sum insured listed in the Schedule of Compensation for Covered Losses should any of the following Insured Events happen to an insured person during the travel: Insured Events 1.

Kidnapping or alleged kidnapping of an insured person; or

2.

Personal extortion threats to an insured person

Covered Losses We will indemnify you for the following Covered Losses: 1.

Ransom Monies Ransom monies paid by you or an insured person resulting directly from a kidnapping or extortion occurring during the policy period.

2.

In-Transit/Delivery Loss due to destruction, disappearance, confiscation or wrongful appropriation of ransom monies while being delivered to person(s) demanding the ransom monies by anyone who is authorised by you or an insured person to have custody of them, provided, however, that the kidnapping or extortion which gave rise to the delivery is covered by this Section of Cover 4.

3.

Expenses Any reasonable and necessary expenses incurred and paid by you or an insured person solely and directly as a result of an Insured Event covered under this Section of Cover 4, including but not limited to: (a)

the amount paid by you or an insured person as reward to an Informant for information relevant to any Insured Event;

(b)

interest costs for a loan from a financial institution made to you or an insured person for the purpose of paying ransom monies;

(c)

costs of travel and accommodations as follows:

(d)

(i)

costs incurred by you or an insured person while attempting to negotiate an incident covered under an Insured Event;

(ii)

travel costs of a victim to join their immediate family upon their release, and the travel costs of an employee to replace the victim;

salary, which shall mean the following: (i)

the amount of remuneration previously paid by you at an annual rate including but not limited to average bonuses, commissions, cost of living adjustments or foreign tax reimbursements the insured person would normally receive, including contributions to pension and benefit programs (at the level in effect on the date of the kidnapping,) which you continue to pay to or on behalf of the insured person for the duration of the kidnapping. Salary will be paid until the earliest of the following: (1)

up to 30 days after the release of the insured person, if the insured person has not yet returned to work; or

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(ii)

discovery of the death of the insured person; or

(3)

120 days after we receive the last credible evidence that the insured person is still alive; or

(4)

60 months after the date of the kidnapping; and

the amount of remuneration, paid by you at an annual rate, of an individual newly hired to conduct the specific duties of the insured person while he/she is absent due to a kidnapping for so long as the insured person(s) own salary under (i) above is covered.

(e)

personal financial loss suffered by an insured person solely and directly as the result of their physical inability to attend to personal financial matters while a victim of a kidnapping (or while involved with the handling or the negotiation of the same). Coverage will include but not be limited to loss which results from the insured person(s) failure to renew insurance contracts, failure to exercise stock options, failure to respond to margin or loan calls by financial institutions and failure to pay off personal loans or a mortgage. Claims will be payable to you where you have indemnified the insured person for these Losses;

(f)

rest and rehabilitation expenses, including travel, lodging, meals and recreation of the victim and the victim's spouse and/or any dependant children, up to a maximum of $5,000 in aggregate;

(g)

fees and expenses of a qualified interpreter assisting you or the insured person following an Insured Event;

(h)

reasonable medical, psychiatric and legal expenses incurred by an insured person with our approval for a twelve (12) months period following the release of the victim.

(j) 4.

(2)

any other reasonable expenses incurred by you or an insured person with our approval.

Judgments & Settlements and Defense costs Judgments & Settlements and Defense costs (with our written consent) incurred as a result of any claim or suit brought by or on behalf of an insured person (or the heirs, estate, or legal representatives of an insured person) against you solely and directly as a result of a kidnapping or extortion, provided such suit or claim is made within 12 consecutive months of the release or death of the insured person or the last credible extortion threat made during the policy period, but in no Insured Event longer than 60 months after the commencement of the kidnapping or extortion. As additional conditions precedent to our liability, you will: (i)

immediately notify us of the claim or suit;

(ii) not admit liability; and (iii) co-operate with us in conducting the defense of the claim or suit.

We shall have the right to investigate, negotiate or settle the claim or suit or to take over the conduct of the defence, and you and the insured person must co-operate with us in this regard.

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5.

Consultants In the event of an incident, situation or occurrence which may give rise to an Insured Event, then as part of the Policy coverage and under a special arrangement with us, we will: (a)

make available on a priority basis, specialist consultants nominated by us or, if requested by you, consultants of your choice who we provide our prior written consent to use, to advise, inform and assist you; and

(b)

pay the reasonable and necessary fees and expenses of the said consultant/s.

As part of this special arrangement, we have dedicated a 24-hour crisis response contact telephone number which you may contact in the event of an incident, situation or occurrence which may give rise to an Insured Event, as follows: International Access Code

Country Code

From Australia - 0011

1

Area Code Local Number 713

260 5500

This number is a dedicated crisis response contact and should only be used for notification of an incident, situation or occurrence which may give rise to an Insured Event. Callers will speak directly to or receive an immediate call back from our experienced consultants who are available to nominate specialist consultants or consider any request (to be confirmed in writing) by you concerning the use your preferred consultants. Following notification of an incident, situation or occurrence which may give rise to an Insured Event, the consultants will be available to be with you as soon as travel time permits.

Notwithstanding anything to the contrary or endorsed thereon, in the event of an incident, situation or occurrence which may give rise to an Insured Event, you shall provide immediate notification to: The Claims Manager AIG Australia Limited Level 19, 2 Park Street Sydney, NSW, 2000, Australia Telephone: 1300 030 886 It is understood and agreed that: (a)

the consultant will be appointed to perform crisis management services;

(b)

the consultants are retained to advise, inform and assist you in the event of a crisis incident, situation or occurrence which may give rise to an Insured Event and to enable you to manage and respond to the said crisis;

(c)

the consultant's role is limited to providing immediate assistance and guidance to you to enable you to manage and minimise the effects of a crisis incident, situation or occurrence which may give rise to an Insured Event;

(d)

the consultants have no authority on behalf of us to make any admissions which may prejudice our rights or to deal with matters concerning policy coverage or the application of any facts and circumstances of any crisis incident, situation or occurrence which has been notified and which may give rise to an Insured Event to the policy terms, conditions and exclusions;

(e)

the consultants shall give such information and assistance to us as we may reasonably require to enable us to investigate and determine our liability to indemnify under Cover 4

(f)

the provision and/or the use of these services is not, is not intended to be and shall not be regarded as an admission of or an acceptance by us of any liability to indemnify you under

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Cover 4 and is without prejudice to all of our rights under the terms, conditions and exclusions of the Policy; (g)

notification to the dedicated crisis response contact number of an incident, situation or occurrence which may give rise to an Insured Event does not constitute a notification under the Policy. You must file a detailed, written and sworn statement of loss with us as soon as possible after the loss.

(h)

upon notification by us to you that liability to indemnify is not accepted, we will no longer have any liability under this Section and we will not pay any fees or expenses of the said consultant/s which are incurred after such notification is given.

Specific Definitions that apply to Section 10 of Cover 4: In addition to Definitions listed on pages 11 - 12 and Additional Definitions that apply to Cover 4 listed on pages 49 - 50, words with a special meaning in Section 10 of Cover 4 are listed below and are shown in bold italic font.

1.

Extortion means personal extortion as herein defined.

2.

Employee means any person in your regular service whom you compensate by salary, wages and/or commissions and have the right to govern in the performance of such service.

3.

Informant means any person, other than an insured person, providing information not otherwise obtainable, solely in return for a reward offered by you.

4.

Insured Person(s) means the insured (if a natural or legal person, sole proprietorship, or partnership) listed in the Schedule, and any director, officer or employee of the insured who is listed in the Schedule.

5.

Kidnapping means any event or connected series of events of seizing, detaining or carrying away by force or fraud, of one or more insured person(s) (except a minor by his or her parent) for the purpose of demanding ransom monies.

6.

Personal extortion or extortion means any threat or connected series of threats communicated to you or to an insured person for the purpose of demanding ransom monies, to: (a)

kill, physically injure or kidnap an insured person; and/or

(b)

divulge any confidential, private or secret information unique to the you in relation to your business;

Provided that ransom monies are not in the possession of the insured person at the time of the threat.

7.

Ransom Monies means any monies which you or an insured person has paid (or lost intransit/delivery) under circumstances described in the Description of Cover. The term ‘Monies’ includes cash, monetary instruments, bullion, or the fair market value of any securities, property or services.

8.

Victim means an insured person who is the subject of an Insured Event.

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Territory This section under Cover 4 applies to incidents anywhere in the world except for: (a)

the insured person(s) country of residence;

(b)

Iraq;

(c)

Columbia for journeys of 60 days or more;

(d)

Mexico for journeys of 60 days or more.

Specific Exclusions that apply to Section 10 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not be liable for loss caused by or resulting either directly or indirectly from or involving: 1.

The fraudulent, dishonest, or criminal acts of you, any insured person, or any person authorised by you to have custody of ransom monies. This Exclusion will not apply to the payment of ransom monies by you or insured person in a situation where local authorities have declared such payment illegal.

2.

Monies or property surrendered away from your Premises in any face to face encounter involving the use or threat of force or violence unless surrendered by a person in possession of such monies at the time of such surrender for the sole purpose of conveying it to pay an extortion or demand for ransom monies previously communicated to you or an insured person.

3.

Monies or property surrendered on your Premises unless brought onto the Premises after receipt of an Extortion or demand for Ransom Monies for the purpose of paying that demand.

4.

Actual loss of or damage to property of any description, including intellectual property, as a result of an Insured Event or the carrying out of a personal extortion threat. This Exclusion does not apply to Intransit / Delivery loss of ransom and/or extortion monies as described under Covered Losses 2.

5.

Any loss if the insured person is permanently residing or is staying for more than 180 consecutive days in the country where the Insured Event occurs.

6.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Specific Conditions that apply to Section 10 of Cover 4 in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49- 50: 1.

As a condition precedent to our liability under the Insured Events, we must have approved the payment of the ransom monies.

2.

Prior to the payment of ransom monies, you must make every reasonable effort to: (a)

determine that an Insured Event has actually occurred;

(b)

give immediate oral and written notice to us with periodic and timely updates concurrent with activity occurring during the incident; and

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(c) 3.

if it appears to be in your and the insured person(s) best interests, notify the national or other appropriate law enforcement agency having jurisdiction over the matter.

Confidentiality You and the insured person(s) will use all reasonable efforts not to disclose the existence of this Section. This condition will also apply to any excess or other insurance.

4.

Limits Of Liability For each Covered Loss the maximum limit and aggregate limit of our liability will not exceed the sum insured(s) stated in the Schedule of Compensation for Cover 4 and Policy Schedule by reason of any one Insured Event, except where stated to the contrary. All Covered Losses will be deemed to have been incurred during the policy period in which the Insured Event occurred.

5.

Due Diligence You and the insured person(s) will use due diligence and do and concur in doing all things reasonably practicable to avoid or diminish any loss(es) insured under this Section.

7.

Statement Of Loss You will file a detailed, sworn statement of loss with us as soon as possible after the date of loss.

8.

Non-Employee Directors In the event that any one of the insured person(s) directors, who is not their employee, is an insured person under any other similar policy or policies issued by us (or by any other member or affiliated insurance company of the AIG.) and a loss involving that director is reported under this Policy and under one or more such other policies, then our aggregate liability (including that of any of our other member company(ies)) for each loss will not be cumulative and will not exceed the highest Limits of Liability applicable to each loss under any one of the policies. Before the inception of this Policy, you shall inform us of all such policies, which will be noted in the Schedule of Other Insurance Policies forming part of this Policy.

9.

Non-Assignment This Section may not be assigned or transferred.

10.

Inspection and Audit We may examine and audit your business documents, relating to the subject matter of this insurance, until 3 years after this Policy has expired or has been cancelled. Any premium due for exposures which exist but were not reported will be determined by our audit.

11.

Recoveries In the event of any payment under this Section, all recoveries, net of our actual recovery cost, will be distributed firstly to us for all amounts paid by us under this Section and any remainder will be paid to you.

12.

Action Against Insurer No suit, action or proceeding for recovery of any loss under this Section will be sustainable in any court of law, equity or other tribunal unless all the requirements of this Section are complied with and it is commenced within 12 consecutive months after you have filed a Statement of Loss with us.

13.

Non disclosure or misrepresentation In the event that you fail to comply with the duty of disclosure or makes any misrepresentation, whether such non-disclosure or misrepresentation is fraudulent or otherwise, or makes any false, fraudulent or exaggerated claim, our rights shall be as provided in the applicable provisions of the Insurance Contracts Act 1984 (Cth) and all such rights and entitlements will be rigorously proved.

14.

Changes Notice to any of our representatives or knowledge possessed by any representative or by any person will not create a waiver or a change in any part of this Section or stop us from asserting any right

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under the terms of this Section, nor will the terms of this Section be waived or changed unless agreed to in writing by us.

15.

Notices Except as indicated to the contrary, all notices, applications, demands and requests provided for in this Section will be in writing and will be given to or made upon either party at its address shown in the Policy.

16.

Non accumulation of Liability Regardless of the number of years this policy will continue in force, and of the number of premiums, which will be payable or paid or of any other circumstances whatsoever, our liability under this policy with respect to any loss(es) will not be cumulative from year to year or period to period. When there is more than one insured, the aggregate Limit of Liability for our loss(es) sustained by any or all of them will not exceed the amount for which we would be liable if all loss(es) were sustained by any one of them.

17.

Other Insurance Before the inception of this policy, the insured shall inform us of all policies of insurance under which any insured may be entitled to claim and which may provide primary coverage of a similar nature to that provided by this Policy. All such policies will be noted in the Schedule of Other Insurance Policies forming part of this policy. The insurance provided under this policy will be excess over any other valid and collectable bond or insurance.

18.

Consolidation – Merger if, through either (1) consolidation or merger with (2) acquisition of the majority stock ownership of, or (3) acquisition of the assets of, some other entity, exposures are created which are covered by this policy and were not originally part of the insured based on the original description of the insured at the time of policy issue, the insured will give us written notice within thirty (30) days of such consolidation, merger or acquisition and upon acceptance by us of the additional exposure, will pay us an additional premium computed from the date of the consolidation, merger or acquisition to the end of the current premium period.

Section 11 - Personal Liability Description of Cover We will pay all damages, compensation and legal expenses, up to the specified Sum Insured listed in the Schedule of Compensation in the Policy schedule for which you or the insured person become legally liable as a result of the insured person 's negligence during the travel causing: 1.

Bodily injury including death or illness of another person.

2.

Loss of or damage to property.

Specific Conditions that apply to Section 11 of Cover 4 in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49- 50: It is a condition of payment under this Section that neither you nor the insured person admit fault or liability to any other person without our prior written consent.

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Specific Exclusions that apply to Section 11 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay damages, compensation or legal expenses in respect of any liability directly or indirectly arising out of or in connection with: 1.

Bodily injury to the insured person or to any member of his or her family ordinarily residing with him or her.

2.

Bodily injury to any of your or the insured person’s employees arising out of or in the course of employment.

3.

Loss of or damage to property owned by or in the control of the insured person or any member of his or her family ordinarily residing with him or her.

4.

Loss of or damage to property or bodily injury, arising out of your or the insured person’s ownership, use or possession of any mechanically propelled vehicle (other than golf buggies and motorised wheelchairs), aircraft or waterborne craft.

5.

Loss of or damage to property or bodily injury, arising out of your or the insured person’s business or trade, or out of professional advice given by you or by the insured person.

6.

Any contract unless such liability would have arisen in the absence of that contract.

7.

Judgments which are not in the first instance either delivered by or obtained from a court of competent jurisdiction within Australia or the country in which the event occurred giving rise to your or the insured person’s liability.

8.

Any claim for exemplary, punitive or aggravated damages.

9.

Any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording.

Section 12 - Extra Territorial Workers Compensation Description of Cover This Section applies only: 1.

With respect to the insured person(s) who are employed by you and persons who are deemed by any applicable Workers’ Compensation Legislation to be workers employed by you, who are employed or engaged within Australia in a managerial, clerical, administrative or sales capacity and whose employment or engagement is to be performed substantially within Australia;

2.

If you maintain in force during the currency of this Policy within Australia, Workers’ Compensation Insurance as required by the law of any State or Territory which applies to the employment of employees by you or you are licensed under such laws as a self-insurer; and

3.

While an insured person is working on a temporary basis (but not exceeding in any event one hundred and eighty (180) days, unless otherwise agreed in writing by us), outside the State or Territory in which the insured person’s usual place of employment or employment base is located.

We will indemnify you against: 1.

your liability arising during the travel to pay compensation benefits payable under any Workers’ Compensation Legislation which provides compensation to injured workers or their dependants for death, personal injury or occupational disease arising out of or in the course of employment;

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2.

Damages at common law (but not where entitlement arises solely under any statute) arising out of the death, personal injury or occupational disease suffered by an insured person as a result of an accident or occurrence happening during the travel in the circumstances set out above.

Limit of Liability The indemnity provided under this Section shall be limited as follows: 1.

In the case of a claim for compensation benefits, to the difference between the amount specified in the Policy Schedule and the amount which the insured person(s) or their dependants are entitled to claim under any Workers’ Compensation Insurance which you were required to effect as described above, but not to exceed the Sum Insured specified in the Schedule of Compensation for all claims for compensation with respect to any one insured person and with respect to all insured person(s) during the policy period.

2.

In the case of a claim for damages at common law, the difference between the damages and law costs payable by you and the amount of indemnity to which you would have been entitled under any Workers’ Compensation Legislation which you were required to effect as described above, but not to exceed the Sum Insured specified in the Schedule of Compensation for this Section for all damages payable with respect to the death, personal injury or occupational disease of any one insured person or with respect to the death, personal injury or occupational disease of all insured person(s) occurring during the policy period.

3.

The Limit of Liability is the Compensation shown in the Schedule of Compensation for the following:

4.

(a)

the Limit per week for weekly compensation for each insured person;

(b)

the Limit in respect of all compensation, damages, costs and expenses arising out of any one accident whether involving one or more insured person(s);

(c)

the aggregate Limit of Liability for all compensation, damages, costs and expenses for all occurrences, events and accidents occurring during any one policy period, whether involving one or more insured person(s).

Any benefits otherwise payable under Sections 1 and 5 of this Policy with respect to any insured person shall be reduced by the amount of any Compensation payable under this Section with respect to that insured person.

Specific Conditions that apply to Section 8 of Cover 4 in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49- 50: 1.

In the event of any occurrence giving rise to indemnity under this Section, we shall be entitled to exercise any right of recovery against any third party in your name and for our own benefit and you shall give us all such assistance as we may reasonably require.

2.

You shall, if required by us, make available to us such information and documentation with respect to the claim brought by the insured person including medical reports, report of injury forms, claims forms and any other documentation which comes into your possession, and you shall, if required by us, authorise us to have access to the files and information held by any Workers’ Compensation Insurer with whom you have effected insurance.

Specific Exclusions that apply to Section 8 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50: 1.

There is no indemnity under this Section with respect to any claim for exemplary, punitive or aggravated damages.

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2.

We will not pay for any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording

Section 13 - Corporate Traveller’s Family Care Section 13A - Spouse Accidental Death Benefit Description of Cover We will pay to the insured person, the maximum amount listed in the Schedule of Compensation in the Policy Schedule should the insured person’s spouse die as a result of an injury whilst the insured person is travelling.

Specific Definition applicable To Section 13A In addition to Definitions listed on pages 11 -12 and Additional Definitions that apply to Cover 4 listed on pages 49- 50, words with a special meaning in Section 13A of Cover 4 are listed below and are shown in bold italic font.

For the purpose of this benefit only, injury means physical and bodily injury which happens to the insured person’s spouse in Australia, whilst the insured person is travelling, as a result of external violence and such results solely and directly and independently of any other cause including any pre-existing physical or congenital condition (except sickness directly resulting from medical or surgical treatment rendered necessary by such injury) in the death of the insured person’s spouse.

This benefit is not payable if the spouse is accompanying the insured person on the travel at the time the death by injury occurs.

Section 13B - Education Fund Supplement Description of Cover We will pay $5,000 for each dependant child should the insured person die when travelling as the result of an injury. The maximum amount we will pay is shown in the Schedule of Compensation in the Policy Schedule.

Specific Definition applicable To Section 13B In addition to Definitions listed on pages 11-12 and Additional Definitions that apply to Cover 4 listed on pages 49 - 50, words with a special meaning in Section 13B of Cover 4 are listed below and are shown in bold italic font.

For the purpose of this Benefit only, injury means physical and bodily injury which happens to the insured person when they are travelling as a result of external violence and which results solely and directly and independently of any other cause including any pre-existing physical or congenital condition (except sickness directly resulting from medical or surgical treatment rendered necessary by such injury) in the death of the insured person.

Specific Exclusions that apply to Section 13 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any claim which directly or indirectly arises from or is caused by: 1. any type of illness, disease, infection or contagion, even if contracted through an injury, except that this Exclusion shall not apply to medically acquired infections or blood poisoning.

2.

a criminal or illegal act committed by the insured person’s spouse.

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3.

we will not pay for any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording

Section 14 - Identity Guard Section 14A – Legal Expenses Description of Cover We will reimburse an insured person up to $5,000 for legal and court costs incurred in: a. b. c.

Defending any suit brought against an insured person by a creditor or collection agency or someone acting on their behalf as a result of the identity guard; Removing any civil or criminal judgment wrongfully entered against an insured person as a result of the identity guard; Challenging the accuracy or completeness of any information in an insured person’s consumer credit report provided this information is inaccurate and falsely provided to the credit agency or financial institution as a result of identity guard.

Section 14B – Lost Wages Description of Cover We will reimburse an insured person for their loss of Income attributed to the time taken from work solely as a result of an insured person’s efforts to correct their financial records that have been altered due to identity guard.

Payment of lost wages includes compensation for whole or partial unpaid workdays. An insured person must take these unpaid days within 12 months of making an identity guard claim and the maximum compensation for lost wages is $1,000.

Section 14C – Obligation to Pay Description of Cover If any credit accounts and or bank accounts were opened in an insured persons name without their authorization, we will pay an insured person up to $5,000 for their actual loss from the unauthorized account.

We will pay up to $5,000 for an insured person’s legal obligation to pay a creditor when the account was created as part of their identity guard.

Section 14D – Miscellaneous Expenses Description of Cover We will reimburse up to $5,000 for the following expenses: a. The cost of re-filing applications for credit accounts or banking accounts that are rejected solely because the lender received incorrect information as a result of identity guard; b. The cost of obtaining legal copies of documents related to an insured person’s identity guard, long distance telephone calls, and certified mail reasonably incurred as a result of an insured persons efforts to report an identity guard or to correct their financial and credit records that have been altered as a result of their identity guard; c. The cost of contesting the accuracy or completeness of any information contained in an insured person’s credit history as a result of their identity guard; d. The cost of a maximum of 4 (four) credit reports from an entity approved by us. The credit reports shall be requested when a claim is made.

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Specific Definitions that apply to all of Section 14 of Cover 4: In addition to Definitions listed on pages 11-12 and Additional Definitions that apply to Cover 4 listed on pages 49-50, words with a special meaning in Section 14 of Cover 4 are listed below and are shown in bold italic font.

Suit means a civil proceeding seeking monetary damages as a result of identity guard, or a criminal proceeding in which you or the insured person is charged with illegal acts committed by someone else while engaged in the theft of an insured person’s identity.

Identity guard means the unauthorized and/or illegal use of an insured person’s personal information such as their name or drivers licence to open Credit Accounts and/or bank accounts that they did not authorize.

Credit accounts means any credit arrangements from a financial institution for personal use, such as credit card account or a car/home/personal loan account.

Income means (a)

as regards to a salaried insured person, the average gross weekly Income earned from personal exertion before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or

(b)

as regards to a T.E.C. (i.e. total employee cost) or salary package insured person, the average gross weekly value of the income package earned from personal exertion (including, but not limited to wages, and/or salary, motor vehicle and/or travelling allowances, club subscriptions and fees, housing loan or rental subsidy, clothing or meal allowances), before personal deductions and income tax, but excluding bonuses, commissions, overtime payments and other allowances; or

(c)

as regards to a self-employed insured person, the average gross weekly Income earned from personal exertion after the deduction of all business expenses necessarily incurred in earning that income;

all derived during the 12 calendar months period immediately preceding the injury giving rise to the claim under this Policy.

Specific Conditions that apply to all of Section 14 of Cover 4 in addition to General Conditions listed on pages 12-13 and Additional Conditions listed on pages 49- 50: 1. The fraudulent account must have been opened in an insured person’s name without their authorization.

2. Any false charge or withdrawal from the unauthorized opened account must be verified by an insured person’s financial institution.

3. Coverage for false charges is limited to the amount an insured person is held liable for by the financial institution or the maximum sum insured whichever is the lesser.

4. We will be permitted to inspect an insured person’s financial records.

5. you and the insured person will cooperate with us and help us to enforce any legal rights an insured person or we may have in relation to their Identity Guard; this may include an insured persons attendance at depositions, hearings and trials, and giving evidence as necessary to resolve their identity guard.

Limits on Liability Our maximum liability per person under Section 14 of Cover 4 is $5,000 for any one event and cannot exceed an annual aggregate of $10,000.

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Our maximum liability under Section 14 of Cover 4 in any one policy period is $50,000 for all insured persons.

In the Event of a Claim under this section you or the insured person must: 1. Call us 1800 331 013 to make a claim within 2 days of discovering the identity guard to obtain proper forms and instructions; 2. File a police report within 48 hours of discovering the identity guard; 3. Notify the insured person’s bank(s) or credit account issuer(s) of the identity guard within 24 hours of discovering the identity guard; 4. Complete and return any claims forms including an authorization for us to obtain records and other information such as credit reports (if applicable) within 30 days of the original claim (see 1 above); 5. Provide proof that it was necessary to take time away from an insured person’s work if they make a claim for lost wages. We will ask an insured person to submit proof from their employer that they took unpaid days off, and they must have this information notarized; 6. Send us copies of any demands, notices, summonses, complaints, or legal papers received in connection with a covered loss; 7. Take all reasonable and prudent action to prevent additional damage to an insured person’s identity.

Specific Exclusions that apply to Section 14 of Cover 4: In addition to General Exclusions listed on page 12 and Additional Exclusions that apply to Cover 4 listed on page 50, we will not pay for any claim which arises directly or indirectly from, or is caused by: 1. Monetary losses other than the out-of-pocket expenses related to the resolution of an insured person’s Identity Guard outlined in this policy other than under Section 14C – Obligation to Pay; 2. Any physical injury, sickness, disease, disability, shock, mental anguish and mental injury including required care, loss of services or death; 3. Requesting credit reports before the discovery of an insured person’s identity guard; 4. Taking time from self-employment or workdays that will be paid by an insured person’s employer in order to correct their financial records that have been altered due to identity guard; 5. Any expenses submitted more than 12 months from the time the identity guard was reported.

6. We will not pay for any event excluded under General Exclusions listed on page 12 and Additional Exclusions that apply to all sections of Cover 4 listed on page 50 of this policy wording

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SECTION 15 – SEARCH AND RESCUE EXPENSES Description Of Cover

SECTION 15 – SEARCH AND RESCUE EXPENSES where: 1. it is known or believed that the insured person may have sustained a serious injury or sickness; or 2. weather or safety conditions make it necessary to so launch a search in order to prevent the insured person from sustaining a serious injury or sickness.

We will pay: (a) You up to $20,000 per insured person, up to a maximum of $100,000 per any one (1) policy period, in respect of the necessary and reasonable costs incurred by a recognised rescue provider or police authorities in searching for and retrieving the insured person.

Conditions 1. Insured person are required to comply, at all times, with local safety advice and adhere to recommendations in force during their travel.

2. An insured person must not knowingly endanger their own life or that of any other insured person. An insured person must not engage in any activity that requires a level of experience or skill that is beyond the ability of the insured person.

3. We must be informed immediately or as soon as reasonably possible of any emergency that may potentially give rise to a claim.

4. We will only pay for the portion of expenses that relate to an insured person.

5. Cover for costs incurred ceases at the time where the insured person is recovered by search and rescue or at the time where the search and rescue authorities advise that continuing the search is no longer viable.

There is no cover under this Section for you or any other person to continue the search and rescue operation after the rescue authorities have decided to cease the search.

6. In the event of a claim we will require a written statement from the applicable rescue authorities in order to assess the validity of the claim.

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