AAMI Landlord Insurance with Tenant Protection
AAMI Landlord Insurance with Tenant Protection provides all the protection and
benefits of AAMI Landlord Insurance plus cover for:
rent default,
theft of your insured property by your tenant,
malicious damage to your insured property by your tenant.
What we pay under tenant protection
Our payment for damage or loss to your landlord buildings caused:
maliciously by your tenant, or
during theft by your tenant,
will be up to the cost of repairing or rebuilding them:
with new materials,
to the same size and standard of your current buildings.
When your landlord contents are insured, any payment we make will be within
the landlord contents amount covered.
Any payments we make will include GST and will be subject to the same terms,
conditions and exclusions as apply to AAMI Landlord Insurance, other than as
set out below in this AAMI Landlord Insurance with Tenant Protection section.
When we will not pay
Once we have paid a claim arising during the period of cover against any of these benefits and:
you make a further claim for a separate event, and
your tenant is the same tenant whose actions resulted in the first claim,
we will not pay the further claim regardless of which benefit is claimed against.
Our payment is reduced by the equivalent of the tenant’s bond.
Our payment for rent default claims does not cover the first four weeks your
tenant is in default. Claims for theft or malicious damage by your tenant are
reduced by the equivalent of four weeks rent.
Four weeks rent ordinarily is the amount of the security bond paid by tenants
and retained by landlords when the rental agreement is sufficiently breached by the tenant.
Rent default
We will reimburse you for your loss of rent when your tenant stops paying and
you stop receiving rent due under the current rental agreement and your tenant:
remains in default after you have issued any required notices, or
vacates your lot or unit permanently without providing the notice required under the current rental agreement.
We will pay the weekly equivalent of the rent provided by the rental agreement, commencing from
the fifth consecutive week your tenant is in default,
and continuing:
for 13 weeks, or
until rental payment re-commences, or
until your building is re-tenanted,
whichever comes first.
We will not pay for the first four consecutive weeks your tenant is in default.
We will not pay at all, unless your tenant has actually paid rent due under the current rental agreement for at least four consecutive weeks from the later of:
the commencement of that agreement, or
the commencement of this policy.
Malicious damage by your tenant
We will pay to repair or replace damage or loss maliciously caused by your
tenant or your tenant’s visitors to your insured property at the site.
Our payment will be reduced by an amount equivalent to four weeks rent at the
rate payable under the current rental agreement.
We will not payfor damage or loss caused by carelessness, lack of
maintenance or poor housekeeping by you or your tenant or anyone living at the site.
Theft by your tenant
We will pay to repair or replace damage or loss caused by theft of your
insured property from the site by your tenant, or your tenant’s visitors.
Our payment will be reduced by an amount equivalent to four weeks rent at the
rate payable under the current rental agreement.