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Policy Documents

AAMI Home Building Insurance Policy

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What we will pay - new for old

Repairing or rebuilding your building

If your home building is damaged during the period of cover by an insured event, we will decide if the damage:

can be properly repaired, or

is so severe that we reasonably believe your building will need to be rebuilt.

Repairing your building

When we establish that your home building can be properly repaired, we will decide to:

repair it, or

pay the cost of repairing it.

When we repair your building, we will use new materials.

We will make reasonable endeavours to match materials. Where this does not achieve an exact match, materials that in our opinion match the damaged or lost materials as near as reasonably practicable will be used. We will not pay to replace undamaged materials or any undamaged part of them to achieve a match.

Rebuilding your building

When we establish that your home building will need to be rebuilt, we will decide to:

rebuild it to the same size and standard as your current building, or

pay the cost of rebuilding it to the same size and standard as your current building.

When we rebuild your building, we will use new materials.

When we decide to rebuild your building and you are paying your premium in instalments, we will require you to pay the total unpaid balance of your premium before your claim can proceed.

Damage to fixed wall or floor coverings

When we repair or replace damage to fixed wall, ceiling or floor coverings:

we also repair or replace undamaged coverings if this is reasonably required to achieve a match with the repair or replacement of the damaged area,

the repair or replacement is limited to the room, passageway, stairwell or functional area where the damage occurred.

Fixed wall and floor coverings are items such as tiles, floating floors, fixed cupboards and shelving.

The AAMI Home Repair Guarantee

The quality of workmanship and the materials used in any repair or rebuilding of your home and contents that we arrange and authorise will be guaranteed for the life of the property.

If you are concerned about the quality of the repair or rebuilding of your home building, you must call us on 13 22 44. We will arrange with you to inspect the repair or rebuilding and we will arrange any necessary rectification work. You must not authorise any rectification work without our written authority.

Maintaining your building; compliance with statutory requirements

We insure your home on the condition that it has been and will continue to be properly maintained and repaired, and that it complies and will continue to comply with local government or other statutory requirements

When you claim for damage or loss to your building, and your building:

has not been properly maintained and repaired, or

does not comply with local government or other statutory requirements,

we may reduce our payment or refuse to pay your claim.

Other costs

We will also pay for the following where applicable.

Demolition and removal of debris

We will pay the reasonable cost of, and, at our option, arrange for the:

demolition of your destroyed building,

removal of debris from the site necessary for repairing or rebuilding,

removal from the site of fallen and unsafe parts of a tree when the tree or part of it has impacted with your building causing damage or loss.

Making safe

We will pay the reasonable cost of, and, at our option, arrange for any temporary work required to make safe your damaged or destroyed building.

Professional fees

We will pay the reasonable fees for the services, if necessary, of an architect or surveyor.

Compliance costs

In repairing or rebuilding your building, we will pay the extra costs necessary to satisfy the current requirements of any local council or government authority.

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