Page 31 - Policy Wording - Hollard Prestige Portfolio 1.4

How we settle your claim
How we settle your claim
○ Claims preparation costs
The insurance of each section of this policy is extended to include costs reasonably incurred by you in producing and certifying any particulars required by us to substantiate the amount of any claim, limited to the amount stated in the schedule. These costs can be incurred only with our written permission.
○ Claim settlement basis
– We may decide to compensate you by:
• repairing
• replacing
• paying cash, or
• any combination of these.
– Our maximum compensation is limited to the amount stated in the schedule, less any excess stated in the schedule. If we replace or repair, we will not be obliged to do so exactly but only as circumstances reasonably allow. If we repair or replace any loss or damage we may use any supplier or repairer of our choice.
– In the event of a jewellery or watch loss, we may use a manufacturing jeweller to replace the item; should you choose the cash settlement, our indemnity to you would not exceed the amount for which they are able to replace the item.
– Before we finalise or settle any claim we may require you to sign an agreement of loss.
– If any item claimed for is financed, our responsibility may be to pay the finance company first.
– If we have paid a claim all salvage and recoveries will become our property.
○ Dealing with defects
– We do not pay for loss or damage caused by defective workmanship or materials, structural faults or design
faults at your home that you knew about and did not fix before the loss or damage occurred.
– If an unknown defect is the cause of the damage:
• we do not pay for loss or damage caused by defective workmanship or materials, but
• if the loss or damage was caused due to a structural fault or design fault we will pay for the
resulting damage only.
– When we accept a claim we do not pay to rectify defective workmanship or materials, structural faults or design defaults that existed at your home before the damage occurred.
– Once you become aware of defective workmanship, a structural fault or design fault at the home, you must rectify it as soon as possible because there is no cover for loss or damage due to such defects. If you do not rectify the defect or fault to acceptable standards at your expense or cost, we will not cover you or might not offer to renew your policy.
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