Page 22 - Hollard Private Portfolio - Version 3.3

Paying out after a claim
How much we pay
We pay out based on the reasonable repair cost of the part of your building that is damaged. If the damage to the building is uneconomical to repair the pay-out will be based on the replacement cost of the damaged part of the building.
Bank may be paid out before you
The financial institution financing your premises always has first claim on any pay-out to you, if this is the only way to settle any outstanding debt you still owe them.
This means that if you are financing your premises with a bank or authorised credit provider, be aware of the fact that they are entitled to use your insurance pay-out to settle any money that you still owe them.
In the event of your claim being rejected for breach of the terms and conditions of the policy, we will still pay the financial institution up to the amount owing to them in order to protect their interests.
This is subject to the following conditions:
Buildings
Uninhabitable Standard construction
Non-standard construction
Paying guest
Tenant
Subsidence, landslip or ground heave
A building is uninhabitable when we agree that it is not safe or suitable to be lived in while being repaired because of a valid claim under this policy
Means that all buildings have been built with:
○ walls of brick, stone or concrete
○ roofs of slate, tile, concrete, asbestos or metal
Means that a building has been built with material other than those defined in the above
definition of 'Standard Construction', such as a thatch roof or walls of wood
A guest who stays in the building for a short period, without a contract, in exchange for a fee
A person who signed a rental agreement to live in the building for a set period. This includes sub-tenants
Refers to the movement of the land that supports the building.
Subsidence means sinking, i.e. the vertical, downward movement of the soil.
Landslip means the sliding down of a mass of land. It is in effect a small landslide and it typically occurs on a slope.
Ground heave means the upward movement of soil supporting the building.
Active soil means soil that changes in volume in response to changes in moisture content i.e. increase in volume (heave or swell) upon wetting and decrease in volume (shrink) upon drying out, such as clay.
Example
If your claim is for an old shower door which accidentally broke, we will replace it with a new door, even if the old door is worth a lot less.
○ ○
the financial institution was not aware of the fact that you were in breach of the policy the claim was not fraudulent in any respect or you caused the loss or damage yourself.
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Hollard Private Portfolio – Version 3.3 – 9 Feb 2023