FAQ

Click on the ‘Compare Insurance Quotes’ tab. You will then need to select your profession,
and then answer the questions on the following pages. Once the questions have been
answered, the quotations will be provided instantly.

We estimate that from whole process from the beginning to incepting the policy will
take 5 minutes.

Our friendly customer service team would be happy to assist you through the internet
quotation system. You can either obtain the quotation and pay online or our telephone staff
will record your declaration over the phone. BizCover provides an instant online quotation
as long as certain criteria are met. If you do not meet these criteria, your application
form will be sent to one of our insurance advisors who will contact you within 24
hours.

Quotations are valid for 30 days. If you do not wish to purchase the insurance policy
straight away, you will be provided with a username and password, and you can come
back later to retrieve your quotation. However, your quotation will be deleted after
30 days.

BizCover aims to provide quotations from a range of leading insurers, and we expect
our list of insurers to continue to grow over time. Currently, there are four insurers
that provide automatic quotes via the BizCover website, and these are:

• American Home Assurance Company (AIG) – Standard and Poor’s A+ rated and APRA approved.
• Wesfarmers General Insurance Limited trading as Lumley General – Standard and Poor’s A- Rated and APRA approved.
• Vero Insurance Limited – Standard and Poor’s A+ rated and APRA approved
• QBE Insurance (Australia) Limited – Standard and Poor’s A+ rated and APRA approved

You can start the policy immediately. However, if you are renewing a policy, the
policy will commence from the renewal date.

When you initially obtained a quotation, you would have been provided with a username
and password. On the homepage of the BizCover website, you can login by entering
this username and password. You can then view the quotes that were previously obtained.

You will receive an email with you policy documents and a certificate of currency
which will confirm that cover is in place. You can also view these documents on
the BizCover website.

You will receive an email with your policy documents immediately once payment has
been confirmed.

When you receive an email with your policy documents, this will also contain your
username and password. On the homepage of the BizCover website, you can login by
entering this username and password. You can then view your policy online.

BizCover receives a commission from the insurer when a policy is incepted. In addition,
there may be an administration charge on the policy.

The BizCover site uses SSL which means you can rest assured that communications
(e.g. credit card numbers) between your browser and this site’s web servers are
private and secure when the SSL session is activated. Read more.

Furthermore the online credit card system is provided by Westpac Banking Corporation
Ltd, a reputable and entirely secure system.

Yes. Westpac Banking Corporation Ltd charges 1% for Mastercard and Visa transactions.
These charges are added to your total payment that is due.

You have two payment options, namely credit card and premium funding.

Premium funding is a contract entered into by the policyholder and a premium funder
to enable the policyholder to make periodic payments e.g. monthly instead of 1 payment
upfront. The contract is between the policyholder and the premium funder and a flat
interest charge is levied by the funder.

In order to obtain a quotation, personal information is requested by BizCover. This
information is solely used to provide you with a quotation and to complete the policy
documentation. BizCover does not sell or trade customer information.

Yes, you have the ability to make policy amendments during the course of the policy
period. On the homepage of the BizCover website, you can login by entering this
username and password. You can then make policy amendments by clicking the ‘Amendments’
Tab.

The insured may cancel the policy at any time by notifying us in writing. On cancellation
of any insurance policy effected through BizCover, the commission and any fees paid
to BizCover are non refundable. The insurers will retain the proportion of the premium
calculated pro rata as at the date of the cancellation plus a percent of that amount.
Please refer to any applicable cancellation provisions in the relevant insurer policy
wording.

90 days prior to the renewal of your policy, you will be sent an email advising
that your policy is due for renewal. You will be provided with login details and
a link to enable you to renew your policy with ease.

Click on the ‘Make a Claim’ tab. You will be able to download a claim form which
you will need to complete and submit to BizCover. BizCover will provide this to
your insurer, who will handle the claim. Alternatively, you can contact our call
centre on 1300 BIZCOVER (1300 249 268).

If you are not fully satisfied with our services, you should contact our customer
relations officer on 1300 BIZCOVER (1300 249 268). BizCover is an Authorised Representative
of Mega Capital Pty Ltd who subscribe to the Insurance Brokers’ Dispute Facility,
a free consumer service, and the General Insurance Brokers’ Code of Practice. Please
click on the following link for further information.

PI insurance policies typically will cover the following:

• The entity, including any subsidiaries (held or acquired during the policy period);
• All past, present or future partners, directors and executives; and
• All past, present or future employees.

PI policies need to provide cover to all persons who provide professional services
including those that may not be authorised to provide professional services (e.g.
administration staff).

Professional Indemnity insurance is a claims made policy. A claims made policy means
that the policy responds to:

• Claims first made against you during the policy period; and
• Events of which you become aware during the policy period, which could give rise
  to a future claim provided that you notify the Insurer during the policy period
  of the circumstances of such events.
• Both situations described above are subject to the advice that resulted in the claim
  circumstance, being provided after the retroactive date.

When the policy expires, no claims can be made on the policy even though the event
giving rise to the claim may have occurred during the policy period. It is therefore
essential that you always notify the insurer of any events of which you become aware
during the policy period, which could give rise to a future claim. Failure to notify
during the current policy period may result in the insurer declining to pay the
relevant claim.

PI insurance provides cover for losses sustained by third parties as a result of
a breach of your professional duty. This is commonly referred to as Professional
Liability. In addition, policies typically cover:

• Misleading and Deceptive conduct;
• Defamation;
• Breach of Intellectual Property Rights;
• Damages arising from Fraud/Dishonesty of employees;
• Defence Costs associated with covered claims.

Extension of cover can also be negotiated for the following:

• Findings and Awards by Dispute Resolution Bodies/ Investigations Costs;
• Lost Documents – for damaged or lost documents that are part of providing professional
  services;
• Previous Business – for when the entity or persons now providing professional services
  on behalf of the entity were with another organization;
• Continuous cover – provides cover in certain situations for known circumstances
  arising prior to the period of insurance, as long as the insured was continuously
  insured with the same insurer and was insured at the time they first became aware
  of the known circumstance.

PI insurance policies have a number of exclusions that restrict cover. Many exclusions
are common across a number of policies. Some of these include:

• Insured vs Insured Claims
• Claims arising out of Bodily Injury and Property Damage
• Claims arising out of any kind of Pollution
• Prior/Known Circumstances
• Claims arising out of Trade Debts of Insolvency
• Contractual Liability

There are often other exclusions in addition to these, therefore it is important
that you read the policy wording.

PI Insurance policies may have Limits of Liability from $500,000 up to $100,000,000
depending on the nature of the professional services being performed.

This means that should a claim arise a policy will pay up to the Limit of Liability.

Limits of Liabilities can either be Inclusive of Costs or Exclusive of Costs.

• Inclusive of Costs means that the Limit of Liability includes any costs that are
  associated with the claim such as defence costs.
• Exclusive of Costs means that the Limit of Liability does not include any costs
  that are associated with the claim and therefore defence costs would be paid in
  addition to the Limit of Liability.

A Limit of Liability that is Exclusive of Costs is typically seen as preferable
to a Limit of Liability that is Inclusive of Costs.

PI Insurance policies have traditionally offered reinstatements of the Limit of
Liability. When there is a claim under the policy a Reinstatement of the Limit of
Liability effectively tops up the policy equal to the amount of any claim. This
means that should you have a claim that reduces the policies Limit of Liability
it will be reinstated so as to keep the Limit of Liability available for future
claims. Reinstatements can be restricted to a certain number or be unlimited.

You should read the policy wording for the relevant insurer which is on our website
and is available at the time that a quotation is provided.

You’ve just completed your final project as a freelance consultant and will soon
be retiring to the beach. No more commuting, deadlines, or tedious management meetings.
You’ve had a great career, been fortunate enough to make some money along the way
and now after 25 years of freelancing are looking forward to living the good life.

Before you close shop, you’ll want to make sure that no-one can ruin your retirement.
In particular all those people you’ve worked for over the years. You may be surprised
to learn that when you retire liability for your past actions don’t cease. You can
still be stung by costly claims of negligence years after services are completed.

Fortunately there is a simple and cost effective professional indemnity insurance
solution that protects your business after it has ceased trading. Its called ‘Run
Off Cover’.

What Is Run Off Cover ?

Run off cover is a professional indemnity policy which provides cover after you
have closed your business. It provides useful protection when you no longer need
to be covered for new work, but still need professional indemnity to cover possible
future claims.

Why Is Run Off Cover Necessary?

Professional indemnity insurance is underwritten on a ‘claims made’ basis rather
than an ‘occurance’ basis’. Under a ‘claims made’ policy coverage is provided only
for claims reported to insurers during the policy period. It does not provide cover
for claims made after the period of cover expires. (even where the event giving
rise to the claim occured during the period of insurance).

So if for example you worked on an engineering project, retired and then one year
later a claim was made against you the professional indemnity policy you held at
the time would not protect you. Run off cover would. (providing the claim occured
during the period of run off insurance.)

Run Off Cover – How Long?

Its difficult to suggest the period of time that run off cover ought to be taken
out. Cover should be continued until you are comfortable that there is no longer
any likelihood of problems with your work.

Business insurance policies typically cover the entity listed as the insured, and
any subsidiary companies and those acquired or incorporated during the period of
insurance.

Business insurance is a claims occurrence policy. A claims occurrence policy obligates
the insurance company to pay for claims arising out of occurrences during the policy
period regardless of when the claim is reported, subject to the terms and conditions
of the policy. In other words, the policyholder is covered for any incident that
occurs during the term of the policy regardless of when the claim arising from the
incident is reported to the company.

A business insurance policy can provide the following cover:

• Material Damage Contents

  This covers contents owned by the insured or for which the insured is legally responsible.
  This cover does not include money and items which are removed from the office e.g.
  laptops, mobile phones, personal organisers. This policy section typically provides
  cover for Fire, Storm Damage, Water Damage, Earthquake, Malicious Damage, Impact,
  Explosion etc.

• Accidental Damage

  This covers Accidental Damage or Loss to Contents owned by the insured or for which
  the insured is legally responsible at insured’s premises. Cover does not include
  money.

• Burglary

  This provides cover in respect of physical loss or damage to property whilst within
  the Premises caused by a Burglary.

• Money

  This provides cover in respect of loss of Money whilst the Money is in Transit,
  in Residence (You or Your Authorised Employee), at the office premises in and out
  of a Safe.

• Fidelity

  This provides cover for Loss of Money or Negotiables due to dishonest acts of employees.

• Tax Audit

  This provides cover for the fees for an accountant to be engaged by the insured
  in connection with an audit by the ATO.

• Glass

  This provides cover for the cost of repairs or replacement of Glass which belongs
  to the insured or for which the insured is legally responsible.

• Additional Increase Cost of Working (AICOW)

  This provides cover for the additional expenditure the insured incurs to minimise
  the effects of a loss or damage following an insurable event e.g. cost to relocate
  offices as a result of a fire.

• Public/Product Liability

  This provides cover for personal injury or property damage caused to a third party
  arising out of the business operations of the Insured.

• Other Cover Available

  Additional cover can be purchased for general property items (e.g. laptops, mobile
  phones, PDAs, etc.) whilst away from the business premises,

You should read the policy wording for the relevant insurer which is on our website
and is available at the time that a quotation is provided.

Management Liability insurance policies typically will cover the following:

The entity, including any subsidiaries (held or acquired during the policy period);
and All past, present or future directors and officers of the insured entity.

Management Liability insurance is a claims made policy. A claims made policy means
that the policy responds to:

• Claims first made against you during the policy period; and
• Events of which you become aware during the policy period, which could give rise
  to a future claim provided that you notify the Insurer during the policy period
  of the circumstances of such events.
• Both situations described above are subject to the advice that resulted in the claim
  circumstance, being provided after the retroactive date.

When the policy expires, no claims can be made on the policy even though the event
giving rise to the claim may have occurred during the policy period. It is therefore
essential that you always notify the insurer of any events of which you become aware
during the policy period, which could give rise to a future claim. Failure to notify
during the current policy period may result in the insurer declining to pay the
relevant claim.

Management Liability insurance protects the individuals and the company in relation
to the exposures associated with managing a company. The key elements to the cover
are as follows:

• Directors and Officers Liability

  This provides cover for the Directors and Officers (including where the company
  can reimburse the directors) for any claim alleging a Wrongful Act (negligence,
  breach of duty, misrepresentations) by a Director or Officer.

• Company Cover

  This provides cover for the Company where there is a claim against the entity alleging
  wrongful acts

• Employment Practices liability

  This provides cover for the Company for claims alleging an employment breach including
  wrongful dismissal, discrimination, harassment, deprivation of career opportunity,
  beach of employment contract, etc.

• Trustee Liability

  This provides cover for where the insured or one of its officers acts as trustee
  of the insured entity’s own staff superannuation fund.

• Crime Cover

  This provides cover for the insured for theft by its employees

You should read the policy wording for the relevant insurer which is on our website
and is available at the time that a quotation is provided.

Public Liability insurance policies typically cover the entity listed as the insured,
and any subsidiary companies and those acquired or incorporated during the period
of insurance.

Public Liability insurance is a claims occurrence policy. A claims occurrence policy
obligates the insurance company to pay for claims arising out of occurrences during
the policy period regardless of when the claim is reported, subject to the terms
and conditions of the policy. In other words, the policyholder is covered for any
incident that occurs during the term of the policy regardless of when the claim
arising from the incident is reported to the company.

Public Liability Insurance provides cover for legal liability to pay compensation
(including legal expenses) to third parties in the event of the Insured causing
injury, death or loss of or damage to property arising out of the business operations
of the Insured.

The amount of public liability cover is usually driven by either an office tenancy
lease or a contract with a client. You should review your lease agreement, and any
client contracts. Typically, the level of cover is either $10 million or $20 million.

You should read the policy wording for the relevant insurer which is on our website
and is available at the time that a quotation is provided.