Page 77 - Hollard Private Portfolio - Version 3.4

Personal liability
Key terms to understand
You
Liability
Paying guest Tenant
Domestic employee
Includes yourself, your spouse and any members of your immediate family who normally reside with you and are financially dependent on you.
Refers to when you can be held legally liable to pay damages arising out of any event, not otherwise excluded under this section.
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.
People employed by you at your home, such as cleaning staff, nannies, au pairs, drivers and gardeners.
The increasing cost of negligence
In today’s world, people are more and more aware of their "rights". They will often not hesitate to sue you for loss or damage which they believe is due to your negligence.
Typical examples include your dog biting a passer-by, or a braai in your backyard starting a fire that burns your neighbour’s house down.
Paying out after a claim
Territorial limits
You are covered for liability claims which are made against you anywhere in the world, except if the liability claim is made in the United States of America (USA), Canada or any other country which operates under the laws of the USA or Canada.
Pay-outs are always limited
When you claim for personal liability, your pay-out will always be limited to a specific amount in any 12-month period. These amounts are chosen by you when you take out the policy, and are stated in your policy schedule.
In some cases, the pay-out may be less than the maximum stated in your policy schedule if we decide that it represents a fair settlement. We may pay the full limit or any lesser amount for which the claim may be settled to finalise a claim.
All pay-outs are made in South Africa, in local currency.
How we deal with your liability claim
○ We will take over your rights to defend yourself.
○ We will consider whether you are responsible for causing the damage, loss, bodily injury, illness or death.
○ If we do not consider you responsible, we will refute liability on your behalf and send a letter to this effect to you, as well as to the person claiming liability against you. We will continue with your defence until the matter is finalised.
○ If you are responsible, we will negotiate with the other person on your behalf. We will attempt to reach a settlement for the damage, loss, injury, illness or death. If we cannot reach a settlement, or if we receive a summons from the court, we will go to court on your behalf.
Example
Your dog runs out into the street and bites a passer-by. He has to go to hospital, and incurs medical expenses of R95 000. If the sum insured in your policy schedule for this kind of event is stated as R1 000 000, we will pay out the full R95 000.
Hollard Private Portfolio – Version 3.4 – 17 Aug 2023 75