Motor Fleet Insurance Policy (UK) Summary of Changes

Transcription

1 Motor Fleet Insurance Policy (UK) Summary of Changes We have updated our policy wording and branding, this notice tells you about the differences between the previous Amlin policy AML111 June 2014 and your new MS Amlin policy wording. The majority of changes are improvements to your cover but there are also some changes to limitations. Please refer to the policy document for full terms and conditions. Changes will take effect from your renewal date as shown in your policy schedule. Key: New wording provides clarity or enhanced cover over the previous wording New wording imposes a restriction of cover over the previous wording New wording differs from the previous wording but level of cover has not fundamentally changed Section Previous Amlin wording New MS Amlin wording Key General Regulatory Clauses and Customer Information Definitions Includes the following customer information: Contract of insurance (p1) If you need to make a claim Your right to complain The following definitions are provided: We/us/our You/your Insured vehicle(s) Existing clauses have been improved and a number of sections have been added providing information on various aspects of the policy: Contract of insurance Updated to include guidance regarding misrepresentation of facts and examples of information that needs to be disclosed If you need to make a claim - Updated for clarification, we have put into one place important information the policyholder should provide when making a claim How to cancel your policy Provides updated procedures for cancelling your policy. Micro-enterprises will receive a pro-rata return premium, other commercial businesses will receive a return premium based on our short period rates. Please refer to the wording for full details and General condition 16 for information on reasons why we may cancel the policy. Privacy notice Motor Insurance Database and other Databases Preventing and detecting fraud and claims history Premium Adjustments we will waive any additional or return premium below GBP50 + IPT resulting from a policy adjustment. Our Regulator How to make a complaint - updated for clarification Compensation (FSCS) Language Sanctions Taxes The definitions section has been greatly expanded to assist understanding of the cover. Two of note are: Accessories - includes spare parts and permanently fitted multimedia including satellite navigation equipment, communication equipment, telematics and trackers but excludes wagon sheets, ropes and tarpaulins Excess - where the Section carries an inner financial limit this will be over and above the excess Please refer to p4 of the new wording for the full list. AML111 to AOD136 UK Summary of Changes 0817 Page 1 of 11

2 Section 1 Liability to third parties Towing disabled vehicles Not included. Now provides TPO cover for caravans, trailers or broken-down vehicles whilst towed by an insured vehicle Injury, loss or damage from bringing to or taking away goods from the insured vehicle beyond the carriageway Spillage, pollution and contamination Spraying or spreading of any chemicals by an agricultural vehicle or trailer exclusion Exclusions to Cover 1 i. excludes cover for the driver and the attendant for loading and unloading beyond the limits of the carriageway, they are only insured whilst within the carriageway limits. Not included. Not included. Section 2 Accidental damage Cover is provided for loss or damage to the insured vehicle caused by accidental impact or wilful acts of persons not employed by policyholder. We now provide cover for the driver or attendant for injury, loss or damage to property arising from bringing to or taking away goods from the insured vehicle both within and beyond the limits of the carriageway - Exclusions to Section 1 i. Spillage, pollution and contamination is excluded other than when it is caused by a sudden, identifiable, unintended and unexpected event. In such circumstances cover is provided in line with compulsory motor insurance legislation - Exclusion to Section 1 iv. Added for clarification. Excludes injury, loss or damage to property arising from spraying or spreading of any chemicals by an agricultural vehicle or trailer other than where spillage is a result of collision, impact or overturning of the insured vehicle and in accordance with compulsory motor insurance legislation requirements - Exclusion to Section 1 v. Cover is provided for loss or damage to the insured vehicle and its accessories. Now includes malicious acts by any persons including employees. Incorrect fuelling Not included. Now included. Excludes cost of replacement of incorrect fuel, please see Exclusions to Sections 2, 3, 4, 5 and 6 ix. The policy excess will apply. Vehicles in the possession of a motor trader or valet parking service Section 3 Fire damage Section 4 Theft Not included. Cover provided for damage to insured vehicle caused by fire, lightning and explosion. Policy covers theft of the insured vehicle and damage caused by theft or attempted theft. Cover is provided for the insured vehicle while it is in the hands of a motor trader or parking attendant. Cover provided for damage to insured vehicle and its accessories caused by fire, lightning and explosion. Covers theft of the insured vehicle and its accessories, and damage caused by theft or attempted theft up to the market value. Clarification is provided as to how we will handle the claim. Summary of Changes AML111 to AOD Page 2 of 11

3 NEW SECTION - Sections 2, 3 and 4 Extensions for Comprehensive Cover Only Child car seat insurance Not included. Provides cover for child car seats up to GBP 500 limit even if there is no apparent physical damage to seat. No excess applies. Courtesy car Not referenced. Included to make clear the circumstances in which a courtesy car may be available. New vehicle replacement Not included. Includes private cars (excluding taxis) and commercial vehicles up to 7.5T from their first year of registration. To qualify damage must exceed 60% of the manufacturer s list price (including vehicle tax and VAT). The policy excess applies. We clarify our claims handling position in respect of total losses. Replacement Locks Not included. Covers replacement locks, transmitters, recoding and replacement keys and fobs up to GBP 1,250 limit per vehicle any one event. The policy excess applies. Emergency accommodation and travel expenses Not included. Provides one night s accommodation or onward travel up to a GBP 100 limit per person, or GBP 400 limit any one incident when the vehicle cannot be driven following an accident and when a courtesy car is not available. No excess applies. NEW SECTION - Sections 2, 3 or 4 Extensions for Comprehensive and Third Party Fire and Theft Cover Only Total loss Not referenced. Included to clarify how we will handle total loss claims. Section 5 Personal effects Covers theft of personal effects up to GBP 250 limit each claim. Personal effects are now defined. Cover is extended to include loss or damage to personal effects subject to GBP 500 limit per vehicle any one event. Theft of items is only covered when the insured vehicle is locked and broken into by force. For items stolen from a parked convertible vehicle the items must be taken from a locked boot or glove box or from the vehicle while the roof was secured in place, clarifying our current claims handling procedures. Section 6 Glass and windscreen replacement Exclusions to Sections 2, 3, 4, 5 and 6 Audio equipment over GBP 1,000 Excess Cover is provided for damaged or broken glass, replacement glass is to be fitted by company authorised by us. Loss or damage to audio equipment over GBP 1,000 is excluded - Exclusions to Covers 2, 3, 4, 5 and 6 iv. Cover excludes the excess noted in the schedule. Limits are reduced by the excess amount and the excess applies to each and every vehicle - Exclusions to Covers 2, 3, 4, 5 and 6 vii. Same cover, however the excess no longer applies when the glass is repaired by a company authorised by us rather than being replaced. Removed. Permanently fitted audio equipment is now included within the accessories definition and covered under Section 2, 3 and 4 up to the market value. Cover excludes the excess shown in the schedule. Excess is now defined and the limit now applies over the excess. The excess applies to each vehicle but is payable under one section only see Exclusions to Sections 2, 3, 4, 5 and 6 v. Summary of Changes AML111 to AOD Page 3 of 11

4 Exclusions to Sections 2, 3, 4, 5 and 6 continued Declared vehicle value Cover excludes any amount in excess of the value disclosed by the policyholder or the current market value, whichever is lower - Exclusions to Sections 2, 3, 4, 5 and 6 viii. Removed from this section and now included under the definition of market value. Solidification of load Not included. Loss or damage as a result of solidification of the load is now expressly excluded, clarifying our claims handling position. Loss of fuel Not included. Loss of fuel including theft is now expressly excluded, clarifying our claims handling position. Section 7 Trailers Section 8 Medical expenses Section 9 Prosecution defence costs Cover is as per the insured vehicle for specified trailers while attached or temporarily detached during the course of a journey or while they are in close proximity to policyholder s premises. TPO cover applies to trailers that have not been declared while attached. Cover is given up to a limit of GBP 500 per person, employees are excluded. Previously covered across Section 9 Legal fees and Section 10 Legal Expenses including Corporate Manslaughter. Cover is provided under Section 9 for legal fees incurred in defending a policyholder or their driver as a result of proceedings being taken against them for causing death by manslaughter or reckless/dangerous driving up to a limit of GBP 10,000. Section 10 provides a separate limit of GBP 2 million in respect of costs and expenses incurred in representing the policyholder in proceedings concerning Corporate Manslaughter or Health and Safety legislation. Section 10 Vehicles loaned or hired Previously Section 11. We will cover the owner of a vehicle loaned or hired to the policyholder under Section 1 provided that: The contract between the policyholder and the owner requires it; The owner is not insured under any other insurance policy; and The vehicle is declared to us and the premium paid. Cover is the same as the previous wording, but we have now clarified that no cover other than as required by compulsory motor insurance legislation applies to unspecified trailers while detached, or specified trailers kept elsewhere than on or in close proximity to the policyholder s premises. Any extensions to cover must be requested. The policy covers anyone travelling in the insured vehicle up to a limit of GBP 500. Sections 9 and 10 of the previous wording have been consolidated into Section 9. A limit of GBP 2 million applies. Terms, conditions and procedures have been clarified. Additional conditions have been added for clarification: The cover must be requested prior to the loan or hire contract; The vehicle is not being driven by the owner or an employee of the owner; and The owner complies with the terms and conditions of this policy as far as they can. Summary of Changes AML111 to AOD Page 4 of 11

5 Section 11 Cross liabilities Section 12 Unauthorised use Previously Section 12. We will insure the policyholder and their associated and/or subsidiary companies for claims under Section 1 as though each was a third party. Previously Section 13. We will insure the policyholder under Sections 1 and 2 (where applicable) while the insured vehicle is being driven without their knowledge or consent. We will not insure the person driving or using the insured vehicle. Section 13 Principal s clause Section 14 Movement of third party vehicles Section 15 Contingent liability Previously Section 14. Cover is given under Section 1 to any Principal of the policyholder for liability arising from the use of an insured vehicle provided that: We will not be liable for death, injury, loss or damage arising out of the negligence of the principal or their employees/agents; The principal is not insured under any other policy; and We have sole conduct of any claim arising under this cover. Previously Section 15. Cover under Section 1 is extended to any accident caused by the policyholder s employees: Driving/moving any vehicle not belonging to the policyholder if it is interfering with the policyholder s business; and Parking/moving customer/visitor vehicles while on the policyholder s premises. Previously Section 16. We will insure the policyholder under Section 1 for liability arising from an accident involving a hire vehicle not belonging to them provided that: We will not cover loss or damage to the vehicle; and We will not be liable if another insurance policy is in force covering the same loss. Section 16 Sale or replacement of vehicle(s) insured Previously Section 17. If an insured vehicle is replaced or sold we will transfer the insurance to a new vehicle subject to our agreement and payment of any applicable premium adjustment. If the number of vehicles reduces below that declared at inception/renewal any return premium will be provided at our discretion. No refund will be provided if vehicles are subject to a SORN. Clarified that third party policy limits will apply, there is no change in cover. No change in cover. Cover is provided on the same terms, however the requirement that the principal is not insured by any other policy is removed. Instead the principal is required to comply with the terms and conditions of the policy as far as possible. No change in cover. Cover now applies to any motor vehicle not owned or provided by the policyholder being used for their business. The point regarding return premiums being given at our discretion following the reduction of vehicle numbers falling below that declared at inception or renewal has been removed. Summary of Changes AML111 to AOD Page 5 of 11

6 Section 17 Territorial limits and foreign travel Section 18 Foreign use declaration Previously Section 18. States the territorial limits of the policy and reimbursement of custom duties and charges. Previously Section 19. All foreign use is to be declared to and approved by us. NEW SECTION - Section 19 Personal accident cover We now state we will cover the insured vehicle in any country we have agreed in advance under point d). Customs duties, general average and sue and labour are included for comprehensively insured vehicles only. Clarification on compulsory insurance stance provided. Private cars are now given free and unlimited foreign use in line with the territorial limits stated in Section 17. Foreign use for other insured vehicles is still to be declared to and approved by us. Not included. GBP 10,000 cover now provided following death or total or permanent loss of sight in one/both eyes or loss of one or more limbs if occurring within 12 months of the accident in respect of the driver. Age, seatbelt, drug and alcohol and suicide exclusions apply. General exclusions General exclusion 1 General exclusion 2 Lists circumstances involving the insured vehicle in which the policy will not operate. Point a) has moved to point e) of new wording; Point b) has moved to point f) of the new wording; Point c) has moved to point g) of the new wording. Excludes injury, loss, damage or liability arising from the unsafe carriage of a load. This has been moved to General exclusion 1.h) of the new wording. Six new points have been included within this section. Point a) excludes liability, loss or damage occurring where the insured vehicle is being used otherwise than as permitted by the certificate of motor insurance previously Exclusion 10 of previous wording; Points b) and c) regarding drivers authorised to drive under the policy have been included to clarify claims position. The policy now includes driving by an unlicensed driver where a licence is not required by law across the policy under point c). Point d) was previously General exclusion 11 under the previous policy. Point h) was previously General exclusion 2 under the previous policy. The policy now excludes use of the insured vehicles on a race track or circuit including the Nurburgring under point i). New General exclusion, the policy will not cover injury or damage arising from deliberate act of the policyholder, clarifying our claims position. Summary of Changes AML111 to AOD Page 6 of 11

7 General exclusions continued General exclusion 3 Excludes liability attaching to the policyholder by reason of an agreement only. No change in cover. General exclusion 4 Lists specific events in which the policy will not operate. Also lists specific events in which the policy will not operate, the following changes apply: Earthquake, volcanic eruption and meteorite shower now covered in UK, Channel Islands and the Isle of Man under point a); Riot and civil commotion cover outside England, Scotland, Wales, Isle of Man and Channel Islands excluded under point g). A 7 day reporting requirement for damage occurring within England, Scotland, Wales, Isle of Man and Channel Islands applies as per General condition 2 a) v.; Point h) excludes pressure waves by aircraft and other flying objects. This was previously General Exclusion 6 of the previous wording. General exclusion 5 Excludes nuclear risks and seepage, pollution and contamination. Seepage has been included in General exclusion 6 of the new wording. Pollution and contamination are now only excluded under Section 1 Exclusions to Section 1 iv. Excludes nuclear risks. General exclusion 6 General exclusion 7 General exclusion 8 General exclusion 9 General exclusion 10 Excludes loss or damage as a result of pressure waves caused by aircraft and other flying objects. This has moved to General exclusion 4.h) of the new wording. Removed. Airside cover is now excluded under Section 1 of the new policy wording by point xi. only. We now provide cover under Section 2 for insured vehicles while airside. Excludes damages, liabilities, costs and expenses for judgments delivered in any other country than those approved or agreed. This has been moved to General exclusion 7 of new wording Removed. Excludes liability and costs arising from the policyholder failing to provide information and documentation required for the defence of a claim. Instead under General condition 2 of the new wording we require the policyholder to provide us with all the assistance and information we require under 2 c) and to act reasonably to mitigate the loss under 2 g). Excludes liability, loss or damage occurring where the insured vehicle is being used otherwise than as permitted by the certificate of motor insurance. This has been moved to General exclusion 1.a) of the new wording. Excludes loss, damage and liability arising from misdelivery and seepage. Seepage remains a policy wide exclusion whereas misdelivery now becomes a policy wide exclusion, having been excluded under Exclusions to Cover 1 x) of the previous policy only. Excludes damages, liabilities, costs and expenses for judgments delivered in any other country than those approved or agreed. This was previously General exclusion 8 of previous wording. N/A N/A N/A Summary of Changes AML111 to AOD Page 7 of 11

8 General exclusions continued General exclusion 11 General exclusion 12 General conditions Excludes liability, loss or damage where policyholder does not hold a full licence, or are not conforming with terms of a provisional licence unless a licence is not required by law. This has been moved to General exclusion 1 d) of new wording. Excludes loss arising from the policyholders failing to act reasonably to mitigate a loss. This has been moved to General condition 2.g) of new wording. Observance of terms Contains the basis of contract clause. Removed in line with the Insurance Act N/A N/A Right of Recovery Accidents and claims General condition 2. We have a right of recovery against the policyholder if we are required by compulsory motor insurance legislation to pay a claim we would otherwise not have covered. General condition 3. Outlines what the policyholder should do following an event likely to give rise to a claim. General condition 1. No change in terms. General condition 2. The condition is broadly similar to the previous wording with the following amendments: The policyholder must now advise us soon as practicable after an event likely to give rise to a claim rather than immediately; We now state that we accept particulars of claims by telephone under point i); Correspondence from third parties to be forwarded to us as soon as possible (but no later than 14 days) as per point a) ii), rather than immediately. The requirement to comply with deadlines specified by us and the courts has been removed. Instead under General condition 2 of the new wording we require the policyholder to provide us with all the assistance and information we require under 2 c) and to act reasonably to mitigate the loss under 2 g); The 7 day reporting requirement for riot and civil commotion under point 2 a) v) was previously included under General exclusion 4. g) and General condition 3. g) of the previous wording; Point 2 g) was previously included under General exclusion 12 of the previous wording Summary of Changes AML111 to AOD Page 8 of 11

9 General conditions continued Repairs to the insured vehicle Other Insurances Condition of the insured vehicle(s) Obsolete parts Fraudulent claims General condition 4. Outlines instances where the policyholder may authorise their own repairs in line with the repair authority, and transportation arrangements following disablement of the insured vehicle. General condition 5. The policy will not operate if there is any other insurance in place covering the same accident, injury, loss or damage. General condition 6. Requires policyholder to take reasonable precautions to safeguard and maintain the insured vehicle in a roadworthy condition, outlining instances where we will not be liable. States we and our representatives will have free access to examine the insured vehicles. General condition 7. If a part of the insured vehicle and/or its accessories becomes unavailable or obsolete the maximum we will pay is the value of the part at the time of the accident but no more than the manufacturers list price. General condition 8 - Supplied information. If any claim is in any respect fraudulent, or if the policyholder or anyone working on their behalf makes a statement or claim knowing it to be false/fraudulent the policy will be voidable. General condition 3. Clarification has been provided on a number of areas: Labour costs are to be included within the repair authority sum shown in the schedule; VAT payments; Delivery costs and arrangements if accident occurs outside UK, Isle of Man or Channel Islands; Repair work guarantee and parts used; and Payments in respect of hired, leased or loaned vehicles. Details of repairs authorised by the policyholder are now to be forwarded on to us as soon as practicable rather than immediately. General condition 4. We agree to pay our share of the loss if any other insurance is in force covering the same event, injury, loss or damage. General condition 5. No change in terms. General condition 6. No change in terms. General condition 7, the condition has been renamed as Fraudulent Claims. We have clarified how we will handle fraudulent claims including refusal of claim payments, opportunities for cancellation of the policy and retention of premium. The duty of fair presentation Not included. General condition 8. By entering into a contract we accept the policyholder has made a reasonably clear and accessible presentation of the risk in accordance with the Insurance Act If the policyholder deliberately or recklessly breaches their duty of fair presentation as imposed by the Insurance Act 2015 the policy will be avoided from the start date and no premium will be returned. The burden of proof will be on us to prove the breach was deliberate or reckless. If the policyholder breaches the duty of fair presentation but it was neither deliberate or reckless, additional premium will be applied from inception and any other terms will apply from the date of discovery. Summary of Changes AML111 to AOD Page 9 of 11

10 General conditions continued Arbitration Assignment Breach of licence condition General condition 10. If there is disagreement regarding payment under the policy it will be referred to an arbitrator to be appointed by the parties. General condition 11. The policy may not be assigned or transferred to any other person. No one shall have any rights under the policy, other than a legal representative in the event of the policyholder s death, unless endorsed and signed by us. General condition 13. The policyholder must hold the appropriate operator s licence and comply with its terms and conditions. General condition 9. The arbitration process is explained in greater detail. General condition 10. No change in terms. General condition 11. No change in terms. Loss of licence, bankruptcy, insolvency or liquidation General condition 14 Loss of licence. Cover will reduce to the minimum required by the Road Traffic Acts if the policyholder loses their operator s licence, or goes into liquidation, insolvency or bankruptcy. Choice of law and Jurisdiction General condition 15 Choice of law and General condition 16 Jurisdiction. English law applies to all stages of the contract and can only be amended by express written agreement of both parties. Policy is to be governed by the laws of England whose courts have jurisdiction. Rights of third parties General condition 18 Contract (Rights of Third Parties) Act Terms of the policy are only enforceable by a named policyholder. Anyone not named has no rights under the Contract (Rights of Third Parties) Act 1999 to enforce any term. Notification of vehicle details General condition 17. The policyholder must supply details of any vehicles that are to be covered by the policy for entry on the Motor Insurance Database. Any vehicle not notified will not be the subject of indemnity under this policy General condition 12, the condition has been renamed as Loss of licence, bankruptcy, insolvency or liquidation. No change in terms other than we state we may agree that clause will not apply. General condition 13. Laws of England and Wales to apply in the absence of any contrary agreement unless you are a resident or business with registered office/principal place of business in: Scotland; Northern Ireland; The Channel Islands; or Isle of Man in which case the law and court jurisdiction of that country, crown protectorate or dependency will apply. General condition 14, renamed as Rights of third parties. No change in terms. General condition 15. Clarification is provided regarding the declaration of temporary vehicles. We now state that if a vehicle is not recorded on the Motor Insurance Database cover may not operate, rather than will not operate, to better reflect our claims handling procedures. Summary of Changes AML111 to AOD Page 10 of 11

11 General conditions continued Cancellation of cover General condition 9. We may cancel the policy by giving 7 days written notice by special delivery to your last known address. If certificates are returned within 7 days we will issue a pro-rata premium refund. If premium is paid through finance house refund will be paid to the finance house. General condition 16. Outlines the reasons why we may have to cancel the policy including: Non-payment of premium we will provide 14 days written notice. If no premium is received the policy will be cancelled from inception. We may cancel policy where there is a valid reason by giving 30 days written notice. We will then issue a pro-rata premium refund. Return premium will be awarded subject to the length of time the policyholder has been on cover. Notices of cancellation will be sent by special delivery to the policyholders last known address. Policyholders in the Channel Islands and the Isle of Man are required to return certificates and insurance discs within 7 days of cancellation as per the endorsement attached to the policy. Details are also provided regarding the processing of return premiums for policies operating on a finance agreement. Car Sharing Not included. General condition 17. We will not regard payment from passengers as a result of car sharing as the carriage of passengers for hire and reward providing: Passengers are not carried in the course of a business of carrying passengers; There is no element of profit; and The insured vehicle is a car not constructed to carry more than 8 passengers. Policy terms, conditions and exclusions Taxes Due diligence Not included. General condition 19. Policyholder must pay premium taxes in accordance with current legislation. General condition 12. Policyholder must do all things as necessary to avoid or diminish a loss under the policy. Policy, certificates of motor insurance, the schedule and any endorsements are to be read as one document and words contained within shall have the same meaning throughout. Terms, conditions and exclusions apply overall unless specifically restricted or limited to specific sections of the policy. Removed. Now referenced within the policy wording where appropriate. Included within General condition 2 g). Amlin UK Limited is wholly owned by and an Appointed Representative of MS Amlin Underwriting Limited which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under reference number Amlin UK Limited is registered in England No Registered office: The Leadenhall Building, 122 Leadenhall Street, London, EC3V 4AG. Summary of Changes AML111 to AOD Page 11 of 11