Have you just moved premises, be it a new home or office, or are you about to commence a new tenancy? Does your insurance provide you with adequate cover as both a property owner and/or a tenant?
Some policies contain provisions which either exclude the Insurer from liability, or reduce its liability, if you have entered into any agreements, (Contracts) which exclude or limit your rights to recover damages from another party in relation to any loss, damage or destruction, the subject of a claim under the policy.
Have You Heard The Terms - Subrogation And/Or Hold Harmless Agreements
You may prejudice your rights with regard to a claim if, without prior agreement from your Insurers, you make any agreement with a third party which would prevent the Insurer from recovering the loss from that third party, or any party which would be otherwise liable.
Examples of such agreements are the “hold harmless” clauses which are often found in leases, in maintenance or supply contracts from burglar alarm or fire protection installers and in repair contracts. If you are in doubt, please consult your Insurance Broker.
Below is an excerpt you will find under the Exclusions contained in the Liability section within your Product Disclosure Statements:
Contractual Liability – this policy excludes liability assumed under any contract, warranty or agreement; this exclusion does not apply to:
a) Liability that would have been implied by Law in the absence of such contract or agreement;
b) Liability assumed by you under warranty of fitness or quality regarding your products;
c) Those written contracts shown in the schedule;
d) Liability assumed under incidental contracts.
Should you have any concerns with respect to contractual liability and the associated insurance implications then please contact me for advice.
I recommend that before entering into a contract, you should contact me to review the clauses that relate to insurance, this way I can ensure that your policy is extended to include the terms and conditions required.
Please call 0403 895 019
Tina Tippett, Tier 1
Authorised Representative of Insurance Advisernet Australia
Authorised Representative Number: 262234