What we will pay - new for old
Repairing or replacing your insured property
When an insured event causes damage or loss to your insured property during the period of cover, we will pay up to the amount covered shown on the most recent of your policy schedule and your renewal notice.
We will decide either to repair or replace your insured property or to pay the cost of repairing or replacing it.
If we decide to repair or replace your insured property:
it will be with new materials or new items.
We will make reasonable endeavours to match materials. Where this does not achieve an exact match, materials and contents that in our opinion match the damaged or lost materials and contents as near as reasonably practicable will be used.
If we decide to pay the cost of repairing or replacing your insured property:
our payment will not exceed any limits detailed in this policy and it will not exceed the amount covered, except as provided for under ‘We also cover – additional benefits’ on page 5 of this policy,
our payment will be the current retail price or the discounted price we may obtain, whichever is lower.
When we decide to pay you the total amount covered for your insured property 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 Repair Guarantee
The quality of workmanship and the materials used in any repair or replacement of your landlord fixtures and fittings and landlord 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 replacement of your property, you must call us on 13 22 44. We will arrange with you to inspect the repair or replacement and we will arrange any necessary rectification work. You must not authorise any rectification work without our written authority.
We do not pay for
We do not pay for:
the repair or replacement of undamaged insured property or undamaged
part of it to match property we have repaired or replaced,
any decrease in the value of a pair, set or collection when the damaged or lost contents forms part of the pair, set or collection. We pay only for the repair or replacement of the item which was damaged or lost,
damage or loss on a ‘new for old’ basis for old contents which have passed their ‘use by’ date and are stored away. We pay the reasonable market value for these contents based on their age and condition at the time of the loss.
Maintaining your insured property; compliance with
statutory requirements
We insure your property 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 insured property, and your insured property:
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
Our payment will include, where applicable, the following costs and any payment we make will be included within the amount covered. Where we decide to reimburse a cost you have incurred, our payment will not be more than the actual cost you incur.
Removal of debris
If necessary, we will pay the reasonable cost of, and, at our option, arrange for the removal from your lot or unit of damaged or destroyed insured property.
When your insured property is removed by us for storage or repair
If your lot or unit is damaged or destroyed by an insured event, we will pay:
the reasonable cost of any necessary removal and storage of your insured property during the reasonable period up to 1 months required to repair or rebuild your lot or unit,
for any additional loss or damage to your insured property caused by an insured event while it is at the place of storage or repair, provided the amount covered is not exceeded.
Any payment we make under the following benefits will be additional to the
amount covered and will include GST.