> _Markdown transcription of Dual New Zealand DUAL New Zealand Commercial Motor Vehicle (08.23 v2) policy wording, effective 2026-05-27. Source: https://nz.dualinsurance.com/hubfs/DUAL%20ANZ/DUAL%20New%20Zealand/NZ%20policy%20wording/DUAL-NZ-Commercial-Motor-Policy-Wording.pdf_ --- DUAL Motor Insurance Commercial Motor 1 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 DUAL New Zealand Commercial Motor Policy Wording Contents Introduction 4 Insurance Agreement 4 Definitions 4 Policy Cover Options 7 When Cover Applies 8 Section 1: Cover for the Insured Vehicle 8 Section 1: Exclusions 8 Section 1: Basis of Settlement 10 Section 1: Automatic Extensions 11 Section 1: Optional Extensions 15 Section 2: Liability Cover 16 2 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Section 2: Exclusions 17 Section 2: Basis of Settlement 18 Section 2: Automatic Extensions 19 Automatic Policy Extensions Applicable to both Sections 1 and 2 21 Optional Policy Extensions Applicable to both Sections 1 and 2 23 General Exclusions 24 How to Claim 27 General Conditions 29 Laws And Acts That Govern This Policy 31 Limits and Excesses 31 3 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Introduction About This Policy Your Commercial Motor Vehicle Policy consists of: 1. This policy document, and 2. The schedule, and 3. Any endorsements or warranties that we apply, and 4. The information you have provided in the application. Your Duty Of Disclosure When you apply for insurance, you have a legal duty of disclosure. This means you or anyone acting on your behalf must tell us everything you know (or could be reasonably expected to know) that a prudent insurer would want to take into account in deciding: 1 To accept or decline your insurance, and/or 2. The cost or terms of the insurance, including the excess. You also have this duty every time your insurance renews and when you make any changes to it. If you or anyone acting on your behalf breaches this duty, we may treat this policy as being of no effect and to have never existed. Please ask us if you are not sure whether you need to tell us about something. Examples We have used examples and comments to make parts of this policy document easier to understand. These examples and comments are printed in italics and do not affect or limit the meaning of the section they refer to. Headings The headings in this policy document are for reference only and do not form part of it. They must not be used when interpreting the policy document. Defined Words If a word is shown in bold, it has a specific meaning. There is a list of these words and what they mean in the ‘DEFINITIONS’ section. Insurance Agreement Our Agreement You agree to pay us the premium and comply with this policy. In exchange, we agree to insure you as set out in this policy. Definitions The definitions apply to the plural and any derivatives of the bolded words. For example, the definition of ‘accident’ also applies to the words ‘accidental’, ‘accidentally’, and ‘accidents’. 4 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Accessory A minor fitting or attachment that alters the performance, characteristics of, or is designed for use in, a vehicle to which it is attached but without which the vehicle would still operate, spare parts, and emergency aids, each used exclusively for the insured vehicle (including when temporarily removed from the insured vehicle) (e.g. on board computers, telephone installations, load securing or protection equipment in, on or in connection with the insured vehicle, and racking installed in tradesmen’s vehicles). Accident a sudden, fortuitous or unforeseen occurrence, happening or mishap, which is not expected nor intended by the insured. Act of terrorism Includes any unlawful act, or preparation in respect of action, or threat of action designed to influence or coerce the government de jure or de facto of any nation or any political division thereof, or in pursuit of political, religious, ideological, or similar purposes to intimidate the public or a section of the public of any nation by any person or group(s) of persons whether acting alone or on behalf of or in connection with any organisation(s) or government(s) de jure or de facto, and that: 1. Involves violence against one or more persons, or 2. Involves damage to property, or 3. Endangers life other than that of the person committing the action, or 4. Creates a risk to health or safety of the public or a section of the public, or 5. Is designed to interfere with or disrupt an electronic system. Annual period The period of insurance. However, if: 1. You pay the premium monthly or quarterly, or 2. The period of insurance is for more than 12 months, The annual period is the current 12 month period calculated consecutively from the date this policy first started. Application The information provided by the insured to us when they purchased this insurance or requested a quotation for this insurance from us. It also includes any subsequent information the insured provides us with. Bodily injury The death of, or the bodily injury to any person during the period of insurance, including sickness, disease, disability, shock, fright, mental injury. Driver The person driving or operating any component of the insured vehicle (for example, a crane). Excess The first amount of any claim that the insured must pay for an event, specified in the schedule or in this policy. Event An event, or series of events, arising from one source or original cause. 5 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Insured / You The insured named on the schedule, including any: 1. Subsidiary company, 2. Associated managed company, 3. Associated social or sporting club, 4. New company or organisation formed or acquired by the insured during the period of insurance. We may also use the term ‘you’ to describe ‘insured’. Insured vehicle 1. All vehicles listed in the vehicle declaration, and 2. Any other vehicle, hired, rented, or borrowed without financial or other consideration, by the insured during the period of insurance. Note: Additional vehicles purchased or leased during the period of insurance are covered under Automatic Extensions Applicable to Both Sections 1 and 2 ‘A – Additions and Deletions’. Loss Physical loss or physical damage. Market value The reasonable sale price of the same or a comparable vehicle of similar pre-loss age, condition and specification, but disregarding the presence of any signwriting, vehicle wraps or artwork on the vehicle. Note: Total Loss Signwriting Optional Extension is available to cover the replacement of signwriting. Mechanical plant A vehicle, that has either plant or machinery attached to it, or is primarily designed as mobile plant or mobile machinery. Period of insurance The period of time stated in the schedule that specifies the start and end dates of this insurance contract or if this policy is renewed, the period of time stated in the most recent renewal schedule, unless your policy has ended earlier. Reparation An amount ordered by a New Zealand Court to be paid to the victim of an offence under section 32 of the Sentencing Act 2002 and any subsequent amendments. Residual value The residual value of an insured vehicle under a lease, hire purchase or similar agreement, calculated in accordance with that agreement but excluding: 1. Penalties for early termination, or 2. Penalties for any additional distance travelled, or 3. Unpaid obligations under the lease at the time of the loss, or 4. Penalties resulting from lack of servicing or poor maintenance, or 5. ‘balloon’ payments, or 6. The amount by which the residual value of the insured vehicle exceeds 120% of its market value. 6 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Schedule The relevant schedule issued by us to the insured. Subsidiary A company with more than half the nominal value of its equity share capital owned by a parent company, either directly or through other subsidiaries. Total loss Actual total loss, or if we determine the insured vehicle is uneconomic to repair. Use Includes driving, operating, parking, garaging or storing of the insured vehicle. Vehicle Any type of machine on wheels, tracks or rollers (but not rails) that is propelled by its own power, and anything designed to be towed by such a machine, including any accessories. Vehicle declaration The list of insured vehicles stating their values provided to us by the insured at the inception of this policy, and at any subsequent endorsement or renewal. We/Us/Our HDI Global Specialty SE, a company registered in Germany acting through its New Zealand branch, HDI Global Specialty SE - New Zealand (FSP 774050), acting through its agent DUAL New Zealand Ltd Policy Cover Options The insured vehicles will be covered under one of the following Policy Cover Options. The option that applies will be shown on the schedule. Type of Cover: Provides: 1. Cover under ‘Section 1: Cover for the Insured Vehicle’, and 2. Cover under ‘Section 1: Automatic Extensions’, and Full Cover 3. Cover under ‘Section 2: Liability Cover’, and 4. Cover under ‘Section 2: Automatic Extensions’, and 5. Cover under ‘Automatic Extensions applicable to both Sections 1 and 2’. 1. Cover under ‘Section 1: Cover for the Insured Vehicle’ only covering accidental loss to the insured vehicle caused by: fire, lightning, explosion, theft or illegal conversion, and 2. Cover under ‘Section 1: Automatic Extensions’, only in respect of a claim covered under Section 1: Cover for the Insured Vehicle’ and Third Party, Fire 3. Cover under ‘Section 1: Automatic Extensions D. Damage Caused by an Uninsured and Theft Third Party’, and 4. Cover under ‘Section 2: Liability Cover’, and 5. Cover under ‘Section 2: Automatic Extensions’, and 6. Cover under ‘Automatic Extensions applicable to both Sections 1 and 2’. 7 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  1. Cover under ‘Section 1: Automatic Extensions D. Damage Caused by an Uninsured Third Party’, and 2. Cover under ‘Section 2: Liability Cover’, and Third Party Only 3. Cover under ‘Section 2: Automatic Extensions’, and 4. Cover under ‘Automatic Extensions applicable to both Sections 1 and 2’. When Cover Applies There is only cover under this policy when any vehicle insured under this policy is being used: 1. For the insured’s business or occupation as agreed by us prior to inception of this policy or any renewal, or 2. For the insured’s private, social or domestic purposes, or 3. For a business or occupation comparable with the insured’s business or occupation as above, when hired, rented or lent out by the insured, with or without a driver, provided that: a. all policy terms and conditions are observed at the time that any loss to the insured vehicle occurs, and b. there is no other insurance which covers the loss. There is no cover under this policy when any vehicle insured under this policy is used on a race track, or for pace making, reliability trials, hill climbs or speed tests, or while being used in preparation for any of these activities. Section 1: Cover for the Insured Vehicle Accidental Loss to the Vehicle: We will indemnify the insured for accidental loss to an insured vehicle occurring anywhere in New Zealand during the period of insurance Section 1: Exclusions The following exclusions apply to Section 1: Cover For The Insured Vehicle, Section 1: Automatic Extensions, and Section 1: Optional Extensions. IMPORTANT: Please also read GENERAL EXCLUSIONS that apply to all parts of this policy. A. Types Of Loss Not Covered This policy does not insure loss connected with: 1. Wear and tear, or 2. Rust or corrosion, or 3. The failure of, or any fault or defect in, the insured vehicle’s design, specification or materials. However, this exclusion is limited to the part immediately affected and does not apply to any resultant accidental loss to any other part of the insured vehicle. B. Ingestion And Entanglement This policy does not insure loss connected with the entanglement, ingestion or entry of any foreign object into any mulching, chipping or agricultural implement or machine (e.g. tractor or hay baler). C. Consequential Loss 8 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  This policy does not insure: 1. Loss of use of any kind whatsoever, or any costs or expenses that result from that loss of use, unless expressly insured under Section 1: Automatic or Optional Extensions, or 2. Depreciation or loss in value. D. Vehicle Parts 1. This policy does not insure loss to the following parts of an insured vehicle: a. engine and all engine parts, b. cooling systems, including but not limited to radiators, heat exchangers, cooling fans, pressure caps, water pumps, thermostats and hoses, c. hydraulic system, including but not limited to shock absorbers and suspension systems, d. transmission system, including but not limited to gearbox, drive shafts, axles, differentials, clutches, and wheel hubs, e. fuel systems, f. braking systems, g. electrical/electronic systems, computer systems, and mechanical systems, h. pumping and vacuuming systems, i. any fixed plant machinery (including but not limited to food/drink preparation equipment), j. underground exploratory devices. 2. However, this exclusion does not apply to loss the direct result of: a. fire, b. the insured vehicle or a conveying vehicle overturning, c. the insured vehicle suffering an impact or collision with an external object, d. the insured vehicle being partly or fully immersed in a body of water, e. the insured vehicle being stolen or converted, f. the insured vehicle being maliciously damaged, g. the insured vehicle being accidentally operated with the incorrect fuel type (e.g. diesel in a petrol engine or petrol in a diesel engine). This does not include operating the insured vehicle with fuel of the correct type which is contaminated, h. hail, snow, storm or lightning, i. natural disaster, j. animals. E. Drilling Equipment This policy does not insure loss to any drill shaft or bit of any type of drilling rig or machinery whilst being used for the purpose of drilling below ground or surface level. F. Tyres 9 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  This policy does not insure damage to or destruction of tyres. However this exclusion will not apply if the damage or destruction results from a loss otherwise covered under Section 1 of this policy. G. Vehicles Hired, Rented Or Lent Out This policy does not insure loss resulting from theft or conversion of the insured vehicle by a person to whom the insured vehicle has been hired, rented or lent by the insured. Section 1: Basis of Settlement A. Method Of Indemnity Unless stated differently in this policy, we will indemnify the insured by whichever of the following options we choose, having regard to the insured’s interest. 1. If we consider the insured vehicle is economic to repair, we will at our option: a. Pay the reasonable cost of repairs to the insured vehicle, or b. Pay the cash equivalent of the reasonable cost of repairs to the insured vehicle. 2. If we consider the insured vehicle is a total loss, we will at our option: a. Replace the insured vehicle with a vehicle of similar condition, or b. Pay an amount equal to the market value of the insured vehicle or the amount stated in the vehicle declaration, whichever is the lesser, unless the insured vehicle is leased, in which case we will pay an amount equal to the market value or residual value of the insured vehicle, whichever is the greater. B. Maximum Amount Payable Unless stated differently in this policy, the maximum amount we will pay: 1. Is the market value of the insured vehicle, or the value of the insured vehicle stated in the vehicle declaration, whichever is lesser, unless the insured vehicle is leased, in which case we will pay an amount equal to the market value or residual value of the insured vehicle, whichever is the greater, or 2. Is the limit specified in the Limits and Excesses section for vehicles hired, rented, or borrowed without financial or other consideration, by the insured during the period of insurance. C. Improvements We will not pay, including pay by way of cash equivalent, for that portion of any repair or replacement that improves the condition of the insured vehicle beyond its condition before the loss. D. Obsolete Parts If any part or component of the insured vehicle is no longer manufactured, we will not pay for more than the supplier’s or manufacturer’s list price. Where no such list price applies, the most we will pay will be the lesser of: 1. The last known list price in New Zealand, or 2. The price of the part’s closest New Zealand equivalent, or 3. The cost of making a new part. E. Excess The excess shown in the schedule and any excess payable under any Section 1: Automatic Extension or 10 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  Section 1: Optional Extension will be deducted from the amount of the loss for each event. Where the cause of loss is theft or fire (fire not resulting from impact) to the insured vehicle, no excess will apply to the Section 1 claim unless stated in the schedule or payable under any Section 1: Automatic Extension or Section 1: Optional Extension. If more than one insured vehicle suffers loss from a single event, only one excess shown in the schedule will apply, being the highest excess, together with any excess payable under any Section 1: Automatic Extension or Section 1: Optional Extension. Section 1: Automatic Extensions In addition to the cover under ‘Section 1: Cover For The Insured Vehicle’ above, we also provide the following automatic extensions. Where a limit is specified in the extension, this is in addition to the maximum liability under ‘Section 1: Basis of Settlement”. Otherwise, any payment under an extension is subject to the maximum amount payable under ‘Section 1: Basis of Settlement’. A. Appreciation – Mechanical Plant Section 1 is extended to cover the insured for appreciation of the market value of the mechanical plant specified in the vehicle declaration as a result of loss covered under Section 1 provided: 1. The specified market value of the mechanical plant was correct at the time of inception or renewal of this policy, and 2. The appreciation shall be no greater than 25% of the value in the vehicle declaration. B. Claim Preparation Costs Section 1 is extended to cover reasonable costs incurred by the insured (other than the insured’s internal costs) in having a claim prepared for a loss covered under Section 1, or proving that a loss is a claim under Section 1 (but not costs incurred in disputing the claim if it is declined). The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. C. Completion Of Journey Costs When, as a result of a loss covered under Section 1, the insured’s journey cannot be continued, this policy covers the insured’s reasonable costs incurred in: 1. Hiring another vehicle of similar make and model to complete the journey, or to return the insured or driver to where the journey first commenced, and 2. Returning the insured vehicle to the premises where it is normally based following its repair, or the cost of recovering it in the event of theft or conversion. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. D. Damage Caused By An Uninsured Third Party The insured is covered for any uninsured losses (including any excess) caused by an identifiable and uninsured driver of another vehicle occurring in New Zealand during the period of insurance, provided that: 1. Full liability is admitted by that third party, or the insured has provided us with evidence establishing full liability of that third party, and 2. The insured supplies us with enough information to identify the third party (such as the correct registration, their name and address). This extension is independent of cover provided under Section 1. The most we will pay under this extension for any one insured vehicle for any one event is the limit shown in the Limits and Excesses section. 11 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 E. Death By Accident If the insured or an employee of the insured, or any member of the immediate family (e.g. father, mother, brother) of the insured or the insured’s employee, dies as a direct result of an accident causing loss to an insured vehicle, whether or not death occurs at the time of the accident, we will pay to the insured the amount shown in the Limits and Excesses section, regardless of any other insurance. F. Disability Modifications If the insured or an employee of the insured become permanently disabled as a direct result of bodily injury sustained in an accident covered under Section 1 we will pay to the insured the reasonable costs of any necessary modifications in excess of any amount payable by the Accident Compensation Corporation, (e.g. hand controls) to any one vehicle. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. G. Employees’ Vehicles Section 1 is extended to cover vehicles owned by the insured’s employees, provided that: 1. The vehicle is used in the course of the insured’s business, 2. The employee has personal motor vehicle insurance insuring the vehicle, 3. That use results in the employee’s personal motor vehicle insurance no longer applying, and 4. The person using the vehicle meets all the same terms of this policy that the insured must meet. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. H. Expediting Expenses This policy is extended to cover the insured for the reasonable additional costs of express freight and overtime to expedite repairs to the insured vehicle as a result of accidental loss covered under Section 1. The most we will pay under this extension for any one event is an additional 50% of the normal repair costs. I. Funeral Expenses If the insured, an employee of the insured, member of the immediate family (e.g. father, mother, brother) of the insured or the insured’s employee, dies as the direct result of an accident causing loss to an insured vehicle, whether or not death occurs at the time of the loss, we will pay to the insured all funeral expenses associated with the burial or cremation of the deceased, in excess of any amount payable by the Accident Compensation Corporation or any other insurer. This policy extension also covers any travel costs within New Zealand of any immediate family member (e.g. father, mother, brother) of the deceased necessarily incurred as a result of attending the funeral. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. J. Goods In Transit If an insured vehicle suffers loss arising from: 1. Fire, or 2. Collision, or 3. Impact, or 4. Overturning, Which is covered under Section 1, this extension covers loss to goods owned by the insured carried on or in the insured vehicle at the time of the loss. 12 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. The additional excess shown in the Limits and Excesses section applies. K. Hoists Section 1 is extended to cover the insured for loss during the period of insurance to hydraulic rams and hoists permanently attached to the insured vehicle, caused by mechanical breakdown or mechanical failure. The cover provided by this extension does not apply if the mechanical breakdown or mechanical failure is caused by wear and tear. Section 1: Exclusions, ‘D – Vehicle Parts’, does not apply to this extension. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. The excess: 1. As shown in the Limits and Excesses section, or 2. The Section 1 insured vehicle excess, applies, whichever is the greater. L. Keys And Locks Where any key giving access to the insured vehicle is lost, stolen or believed on reasonable grounds to have been duplicated without the insured’s permission during the period of insurance, we will cover the costs reasonably incurred in replacing that key and altering or replacing the locking mechanism. The most we will pay under this extension are the limits shown in the Limits and Excesses section. The excess shown in the Limits and Excesses section applies. M. Load Recovery Section 1 of this policy is extended to cover the reasonable costs incurred in salvaging any load carried by an insured vehicle which has spilled onto a road, carriageway or parking area. This includes the reasonable costs of reloading or trans-shipping the load to the nearest place of safe storage. This extension does not cover any fines or penalties payable by the insured. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. N. Mutually Acceptable Assessors An assessor mutually agreed upon by us and the insured will assess any loss under this policy. O. New Replacement Vehicle If a car, station wagon, utility, van or four wheel drive vehicle under 3,500kgs owned or leased by the insured and is covered under Section 1 of this policy, suffers a total loss within 12 months of it being first registered as a new vehicle in New Zealand, we will either: 1. Provide a new replacement vehicle of the same make, model and specification, or 2. If a new replacement is not available, pay an amount equal to the price for which such a vehicle was last available in New Zealand. If the insured elects not to have the insured vehicle replaced in accordance with this extension, we will indemnify the insured in accordance with Section 1: Basis of Settlement clause above. 13 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 P. Repair Authorisation The insured may authorise any reasonable repairs for loss to an insured vehicle without prior notice to us. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. If the estimated repair costs exceed this limit, repairs must not be commenced without our consent or the assessor’s consent. Q. Rewards Section 1 of this policy is extended to cover a reward offered and paid by the insured to successfully secure the return of the insured vehicle following its theft, if the theft is covered under Section 1, and the offer is made with our prior approval. The most we will pay under this extension for all rewards offered for any one event is the limit shown in the Limits and Excesses section. R. Salvage And Safety Section 1 of this policy is extended to cover the reasonable costs incurred in salvaging or recovering the insured vehicle, including the costs of ensuring its safety and delivery to a place of suitable repair or inspection, following a loss covered under Section 1. S. Theft – Hire Of Alternative Vehicle Section 1 of this policy is extended to cover the reasonable costs incurred by the insured of hiring another vehicle of a similar make, model and specification, following a loss to the insured vehicle caused by theft or illegal conversion covered under Section 1, provided that: 1. Cover under this extension begins on the date the insured vehicle is stolen, 2. The cost of the first 7 days of hire is not covered by this extension, 3. Cover under this extension ends: a. If the insured vehicle is recovered and is not a total loss, and has been repaired and returned to the insured, or b. When we have settled the insured’s claim under Section 1 of this policy, whichever is the earlier date, 4. This extension does not cover the costs of insurance, petrol or normal running costs of the hire vehicle. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. T. Tyre Damage Section 1 of this policy is extended to cover loss during the period of insurance to any tyre (including its inner tube) fitted to an insured vehicle not principally used for driving on a road, regardless of whether there has been loss to any other part of the insured vehicle or not. We will at our option pay: 1. The cost to repair the damage, or 2. An amount equal to the reasonable cost of repair, or 3. The cost to replace the tyre, less a reasonable deduction for the damaged tyre’s wear and tear, or 4. An amount equal to the value of the tyre immediately prior to the loss. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. No excess will apply to this extension 14 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  Section 1: Exclusions, ‘F – Tyres’ does not apply to this extension. U. Windscreens And Window Glass If the insured’s claim under Section 1 is solely for loss to windscreens, sunroof, headlights, tail lights, indicator light glass, mirror glass or window glass (including scratching or damage to bodywork resulting solely from broken glass): 1. No excess applies to the claim, unless otherwise specified on the schedule, and 2. If there was tinting or signwriting affixed to the windscreens or window glass, we will pay to have that portion of the tinting or signwriting reinstated. We will not pay for any costs associated with joining or associated tinting or signwriting on other parts of the insured vehicle under this extension. Section 1: Optional Extensions These extensions are optional and only apply where specified in the schedule. A. Agreed Value In the event of a total loss covered under Section 1, we will pay the agreed value as specified in the schedule. B. Ingestion Or Entanglement Of Foreign Objects We will indemnify the insured for loss resulting from entanglement, ingestion, or entry of any foreign object into any mulching, chipping or agricultural implement or machine, provided this occurs whilst the insured vehicle is operated for the purpose for which it has been designed, and is being used in conjunction with the agricultural implement or machine. Section 1: Exclusions, ‘B – Ingestion and Entanglement’ does not apply to this Optional Extension. C. Loss Of Use Section 1 of this policy is extended to cover the reasonable costs incurred by the insured of hiring another vehicle of a similar make, model and specification, following a total loss or pending repair of loss covered under Section 1, while the insured vehicle is unfit to be driven, provided that: 1. This extension applies only to an insured vehicle stated in the schedule as being subject to this extension, and 2. In the case of repair, the insured must have the repair carried out as soon as reasonably practicable after suffering the loss, and 3. This extension does not apply if the insured has available a free substitute vehicle or purchases an additional vehicle, and 4. Cover under this extension begins: a. When the insured vehicle is delivered to the repairer agreed to by us to start the repair, or b. The date of the loss, if the insured vehicle is unfit to be driven, or is deemed a total loss at that date, and 5. Cover under this extension ends: a. In the case of a total loss, when we have agreed to the insured’s claim under Section 1 of this policy, b. In the case of repair, when the repairs are completed and the insured vehicle is available to be collected or delivered, c. When the insured has returned the substitute hire vehicle, Whichever is the earlier date, and 15 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  6. The cost of the first 7 days of hire is not covered by this extension, and 7. This extension does not cover the costs of insurance, petrol or normal running costs of the hire vehicle, and 8. This extension does not apply if the insured has made a claim under Section 1: Automatic Extensions, ‘S – Theft – Hire of Alternative Vehicle’. If no vehicle of a similar make, model and specification is available for hire (the insured having consulted with us as to availability of such a vehicle), following a total loss or pending repair of loss covered under Section 1, while the insured vehicle is unfit to be driven, subject to the application of and compliance with all other terms of this extension, we will pay to the insured the daily rate shown in the schedule from the date cover under this extension begins to the date cover under this extension ends. The most we will pay under this extension for any one event is the limit shown in the schedule. D. Portable Electronic Devices We will pay the reasonable replacement cost of other property of the insured specified in the schedule. The most we will pay under this extension for any one event is the limit shown in the Limits and Excesses section. The excess as shown on the schedule will apply to each claim, including theft. E. Taxi Coverage Section 1 of this policy is extended to cover an insured vehicle used as a taxi by the lawful holder of a licence to do so as follows: 1. De – installation / Re – installation: If the insured vehicle is a total loss, we will contribute to the de-installation / re-installation costs associated with loss to LPG, CNG units, in-vehicle cameras, meters and the like. The most we will pay under this clause of this extension for any one event is the limit shown in the Limits and Excesses section. 2. Employee and passenger effects: We will cover loss to passenger’s baggage and employees’ personal effects if the loss occurs during the taxi driver’s paid shift period and the items are not covered under any other insurance policy. This extension applies only to an insured vehicle stated in the schedule as being subject to this extension. The most we will pay under this clause of this extension for any one event is the limit shown in the Limits and Excesses section. F. Total Loss Signwriting Section 1 of this policy is extended to cover the reasonable cost incurred by the insured to replicate on any replacement vehicle, any signwriting, vehicle wraps and artwork that were affixed to the insured vehicle at the time of the loss, in the event of a total loss covered under Section 1. This extension applies only to an insured vehicle stated in the schedule as being subject to this extension. The most we will pay under this extension for each insured vehicle is the ‘Total Loss Signwriting’ amount stated on the schedule. Section 2: Liability Cover A. Legal Liability Cover We will indemnify the insured for legal liability arising from: 1. Accidental bodily injury, or 16 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  2. Accidental loss to any property, occurring during the period of insurance, caused by or through or in connection with their use of an insured vehicle in New Zealand. B. Litigation Defence Costs We will indemnify the insured for legal defence costs and expenses necessarily and reasonably incurred to defend any civil proceeding (or threat of civil proceeding) brought against the insured, in relation to an alleged liability that, if proven, would be covered under ‘Section 2: Legal Liability Cover’. We will meet these costs and expenses even if the civil proceeding seems groundless. C. Legal Liability Of Other Users Of An Insured Vehicle We will cover the legal liability and litigation defence costs of any other person caused by or through or in connection with their use of an insured vehicle or a vehicle covered under Section 1: Automatic Extensions, ‘G – Employee’s Vehicles’, in the same manner as we cover the insured, provided: 1. Such use has the permission of the insured, and 2. Their liability is not covered by any other insurance, and 3. The person using the insured vehicle meets all the same terms of this policy that the insured must meet. Section 2: Exclusions The following exclusions apply to Section 2: Liability Cover, and Section 2: Automatic Extensions. IMPORTANT: Please also read GENERAL EXCLUSIONS that apply to all parts of this policy A. Airside Liability This policy does not insure liability arising out of the ownership, operation or maintenance of any vehicle within the restricted area of any airport used for scheduled commercial flights. B. Contractual Liability This policy does not insure liability arising out of a contract or agreement unless the insured would have been liable even without such contract or agreement. C. Criminal Offences This policy does not insure any legal defence costs, fines or court costs arising from the prosecution of any offence under any Act of Parliament including any Regulations, Rules or By-Laws made under any Act of Parliament. Note: Please see Section 2: Automatic Extensions, ‘B. – Criminal Court Action/Inquiries/Inquests’. D. Drivers This policy does not insure any liability of any driver, including the insured, for or arising from: 1. Bodily injury to, or 2. loss to any property owned by, that driver, and/or insured who claims under Section 2 of this policy. E. Exemplary Damages 17 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  This policy does not insure liability for punitive or exemplary damages. Note: Please see Section 2: Automatic Extensions, ‘C – Exemplary Damages’. F. Liability Determined By Foreign Court This policy does not insure liability determined by any court outside New Zealand. G. Operation Of Plant Or Machinery This policy does not insure liability arising out of the operation of any mechanical plant component while it is being used for the purpose for which it was designed (e.g. the operation of a crane or back hoe). This exclusion does not apply to the operation of any vehicle mounted crane whilst being used to load or unload to or from that vehicle, or of any fork hoist. H. Property Owned, In Care, Custody Or Control This policy does not insure liability for loss to property that belongs to, or is, or was in the care, custody or control of the insured, other than: 1. personal baggage and wearing apparel of any passenger, or 2. a building leased or rented by the insured, or 3. a vehicle (which is not insured under Section 1 of this policy or owned by the insured), which is being towed by an insured vehicle. However, this does not apply to vehicles which are towed or recovered for reward where the insured’s business includes a vehicle recovery service. I. Transporting Of A Load This policy does not insure liability arising from the transporting of a load to, or away from, the insured vehicle. However, this exclusion does not apply to the actual loading or unloading of the insured vehicle. J. Vehicles This section does not insure liability for loss to any vehicle that is insured under this policy. K. Vibration Or Weight This policy does not insure liability for loss to any property (including roads) arising from: 1. vibration caused by the insured vehicle, or 2. the weight of the load carried by the insured vehicle, or 3. the weight of the insured vehicle, or 4. the combined weight of the load and the insured vehicle. Note: Please see Section 2: Automatic Extensions, ‘K – Vibration or Weight Damage Section 2: Basis of Settlement A. Maximum Amount Payable The most we will pay in total for any event: 1. for legal liability is the sum insured for Section 2 ‘Legal Liability Cover’ stated in the Limits and Excesses section. 2. for legal defence costs and expenses is the sum insured for Section 2 ‘Litigation Defence Costs’ stated in the Limits and Excesses section. 18 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  If our maximum amount payable is insufficient to cover both the insured and any other party entitled to cover under Section 2, it will apply first to the insured named in the schedule. B. Excess The excess shown in the schedule applies to any claim under Section 2. C. Sub Limits The most we will pay under any automatic or optional extension is: 1. the limit shown in the Limits and Excesses section, or 2. the amount specified in the schedule, whichever is the higher. Section 2: Automatic Extensions In addition to the cover under ‘Section 2: Legal Liability Cover’, we also provide the following automatic extensions. A. Clean Up Costs Section 2 is extended to cover all costs lawfully charged by any local government body or authority, the New Zealand Fire Service, or any other entity for cleaning or restoring the site of an accident covered under ‘Section 1: Cover For The Insured Vehicle’. There is no cover under this extension for costs arising from a Hazardous Substance Emergency. Note: Please see Section 2: Automatic Extensions, ‘E. – Hazardous Substance Emergency’. The most we will pay under this extension for any one event is the amount shown in the Limits and Excesses section. An additional excess as shown in the Limits and Excesses section for each event applies. B. Criminal Court Action / Inquiries / Inquests Section 2 is extended to cover legal costs and expenses necessarily and reasonably incurred to: 1. defend a charge of manslaughter, or dangerous driving causing death or careless driving causing death, and 2. for legal representation at any inquiry or coroner’s inquest related thereto, resulting from any person covered under Section 2 of this policy using a vehicle insured under this policy. The most we will pay under this automatic extension for any event is the amount stated in the Limits and Excesses section. Section 2: Exclusions ‘C. – Criminal Offences’ does not apply to this extension. C. Exemplary Damages Section 2 is extended to indemnify the insured against liability for punitive or exemplary damages arising from: 1. accidental bodily injury, or 2. accidental loss to any property, occurring during the period of insurance, caused by or through or in connection with their use of the insured vehicle in New Zealand, provided that there is no indemnity under this extension: a. arising from any dishonest, fraudulent or malicious act or omission by the insured or anyone acting on 19 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  behalf of the insured, or b. arising from any claim first notified to the insured but not notified to us within six months of that date. The most we will pay under this extension: i. for any one event is the amount shown in the Limits and Excesses section, and ii. in total for all claims during an annual period is the amount shown in the Limits and Excesses section. Section 2: Exclusions, ‘C – Exemplary Damages’ does not apply to this extension. In addition to any other policy excess, each claim will be subject to an excess of 10% of any sum for which the insured is found legally liable. However, a minimum excess as shown in the Limits and Excesses section applies to each claim. D. Financial Charge Section 2 is extended to cover the balance of any outstanding charge on an insured vehicle where: 1. the insured vehicle is purchased during the period of insurance, and 2. the insured vehicle suffers loss which is covered under Section 1 of the policy, and 3. the insured has made proper enquiries in relation to the existence of any charge before making the purchase, and 4. the insured is liable to pay the outstanding charge. The most we will pay under this extension for any one insured vehicle is the amount shown in the Limits and Excesses section. E. Hazardous Substance Emergency Section 2 is extended to cover any charge the New Zealand Fire Service is authorised to impose on the insured, for their attendance at a hazardous substance emergency arising from the use of a vehicle. The most we will pay under this extension for any event is the amount shown in the Limits and Excesses section. F. Hired And Rented Vehicles If the insured hires or rents a vehicle during the period of insurance and accepts the rental vehicle owner’s statutory offer of insurance, this extension covers: 1. liability to third parties as provided under ‘Section 2: Liability Cover’ and ‘Section 2: Automatic Extensions’, but only for the difference between the amount payable for liability under the statutory offer of insurance, and the maximum amount payable under ‘Section 2: Legal Liability Cover’, and 2. the difference between the Section 1 excess under this policy and any deductible applicable under the rental vehicle owner’s insurance, for any event. Section 2: Exclusions, ‘H – Property Owned, In Care, Custody or Control’, General Exclusions, ‘H – Rented Vehicles’, and General Conditions, How We Administer This Policy, ‘Other Insurance’, do not apply to this extension. G. Hired And Rented Vehicles – Consequential Loss If the insured hires or rents a vehicle during the period of insurance and rejects the rental vehicle owner’s statutory offer of insurance, this extension covers the insured’s liability to the owner of that vehicle for consequential losses caused by loss covered under Section 1. The most we will pay under this extension for any event is the limit shown in the Limits and Excesses Section. H. Marine Liability 20 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  Section 2 is extended to cover general average and salvage charges that the insured is liable to meet as a result of the insured vehicle being carried by ship between places in New Zealand during the period of insurance. I. Movement Of Other Vehicles Section 2 is extended to cover the insured’s liability for: 1. accidental bodily injury to any person, or 2. accidental loss to any property, occurring in New Zealand during the period of insurance and arising from the movement by the insured of any vehicle which: a. is parked in a position which prevents or impedes the loading or unloading of the insured vehicle, or b. prevents or impedes the legitimate passage of the insured vehicle. Section 2: Exclusions, ‘H. – Property Owned, In Care, Custody or Control’ does not apply to the vehicle being moved. J. Principal’s Indemnity Section 2 is extended to indemnify the principal of any construction or works project for their vicarious liability: 1. where the liability arises in connection with the use by the insured of an insured vehicle on that project, for which the insured is legally liable; and 2. the liability is for accidental loss to property or accidental bodily injury occurring in New Zealand during the period of insurance. K. Vibration Or Weight Damage Section 2 is extended to indemnify the insured against liability for loss to any property (including roads) during the period of insurance caused by: 1. the weight of the load carried by the insured vehicle, or 2. the weight of the insured vehicle, or 3. the combined weight of the load and the insured vehicle. The most we will pay under this extension for any one event is the amount shown in the Limits and Excesses section. An excess as shown in the Limits and Excesses section will apply to each event. Section 2: Exclusions, ‘K. – Vibration or Weight’ clauses 2, 3 and 4 do not apply to this extension. Automatic Policy Extensions Applicable to both Sections 1 and 2 These extensions automatically apply. A. Additions And Deletions 1. Additions Any vehicle purchased or leased by the insured during the period of insurance is an insured vehicle under this policy from the date of purchase or commencement of the lease. The maximum amount we will pay under ‘Section 1: Basis of Settlement’ for each purchased or leased vehicle covered under this extension is the amount shown in the Limits and Excesses section. Note: Cover in excess of the applicable limit may be available on request. 21 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  2. Deletions If an insured vehicle is sold or the lease ends during the period of insurance, it ceases to be an insured vehicle under this policy from the date of sale or the date the lease ends. 3. Premium adjustment a. The premium payable by the insured under this policy will be adjusted at the end of the period of insurance to reflect insured vehicles added or deleted under this extension during the period of insurance. b. We will apply the additions and deletions premium rate as agreed, to 50% of the difference in value between all additions and deletions, to calculate any additional premium to be paid to us by the insured, or any refund of premium we are to pay to the insured for that period of insurance, and the insured will pay any additional premium, or we will refund such sum. B. Breach Of Condition Where there is a breach of any condition of this policy, the insured will be covered, provided that: 1. The breach occurs without knowledge of any insured, and not reasonably expected to have known about it, and 2. We are advised as soon as any insured is aware of the breach of condition, and 3. The insured pays us any additional premium we require, and 4. We may apply reasonable terms and conditions to this policy. C. Invalidation This policy covers the insured for loss or liability that arises when an insured vehicle is used in any of the circumstances excluded in: 1. ‘General Exclusions, B – Alcohol, Drugs, and Other Intoxicating Substances’, 2. ‘General Exclusions, E – Excessive Loads’, 3. ‘General Exclusions, F – Intentional or Reckless Acts’, 4. ‘General Exclusions, K – Unlicensed Drivers’, 5. ‘General Exclusions, L – Unsafe Vehicles’, 6. ‘General Exclusions, N – Work Time Rules’, provided that: a. the driving in those excluded circumstances was without the knowledge of the insured, and were not reasonably expected to have known, and b. the insured has not waived any right of recovery against the driver, and c. the insured cooperates fully with us and the police in pursuit of reparation from the driver. The liability of the driver or the person responsible for the loss or liability is not insured under this extension. For the purposes of this extension only, the knowledge of the insured is deemed to include the knowledge of: i. any person employed by the insured with the authority of the insured to control the conduct of the driver of the vehicle concerned, or ii. the driver, if the driver is of such senior position within the business of the insured that his/her knowledge is by law deemed to be the knowledge of the insured. 22 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Optional Policy Extensions Applicable to both Sections 1 and 2 These extensions are optional and only apply when stated in the schedule. A. Burning Cost The premium payable under this policy shall be adjusted on claim costs incurred (claim costs paid plus outstanding estimates) during the period of insurance. This will be calculated as follows: 1. 30 days after the end of the period of insurance the total premium shall be adjusted by dividing the claims cost incurred by the multiplier as agreed in the schedule. 2. If the premium produced is greater than the total premium paid the insured shall pay the difference but not exceeding the percentage of the deposit premium as agreed in the schedule. 3. If the premium produced is less than the total premium paid we shall refund the difference to a minimum retained premium of the agreed percentage in the schedule of the deposit premium. For the purposes of this extension, total premium shall mean deposit premium plus any additional or return premium adjustments processed during the period of insurance. B. Profit Share If, at the end of the period of insurance, the insured agrees to renew the insurance with us, we will adjust the premium paid for that period of insurance as follows: 1. 30 days after the end of the period of insurance the Net Premium will be totalled together with incurred claims costs as a result of accidents during the period of insurance, and 2. a loss ratio will be calculated by comparing the Net Premium to the total of Incurred claims costs, and 3. if this incurred claim loss ratio is more than 60%, no profit share is payable. If the Incurred Claim cost loss ratio is 60% or less, the amount of profit share will be calculated by using one of the following profit share percentages: Profit Share Percentage a. If the Incurred Claim costs ratio is 40% or less – 20% b. If the Incurred Claim costs ratio is between 40% and 50% - 15% c. If the Incurred Claim costs ratio is 50% or more but not greater than 60% - 10% If a profit share is payable, then it will be calculated by multiplying the profit share percentage against the sum of Net Premium less incurred claim costs. This adjustment is processed net of commission. For the purposes of this extension: ‘Net Premium’ will mean gross premium and any additional or return premium adjustment, less commission if applicable ‘Incurred Claim costs’ will mean the total amount of claims paid and reasonable estimates of claims yet to be paid, including fees, net of actual and estimated recoveries. 23 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 General Exclusions These exclusions apply to all parts of this policy. A. Accident Compensation Act This policy does not insure: 1. liability for bodily injury which is covered by the Accident Compensation Act 2001 (‘Act’), and 2. in particular, liability for bodily injury payable as reparation for any amounts which are covered by the Act, or would be covered but for: a. a failure by the victim of offending to correctly notify a claim to the Accident Compensation Corporation within the time required under the Act, b. the victim’s decision, for whatever reason, not to claim any amount he or she would be entitled to claim under the Act, c. a decision by the Accident Compensation Corporation to decline a claim or limit its liability in whole or in part and for any reason whatsoever. B. Alcohol, Drugs, And Other Intoxicating Substances This policy does not insure loss or liability when the insured vehicle is being used by any person, including the insured, who: 1. has a proportion of alcohol in their breath or blood that exceeds the legal limit, or 2. is under the influence of any other intoxicating substance or drug, or 3. fails or refuses to supply a breath or blood sample as required by law, or 4. fails or refuses to stop, or remain at the scene, following an accident (as required by law). This exclusion does not apply to any claim for loss arising from theft or illegal conversion of the insured vehicle. C. Confiscation This policy does not insure loss or liability in connection with confiscation, nationalisation, requisition or destruction of, or damage to property by order of government, public or local authority (unless the order is given to control any immediate and imminent threat of loss provided that the loss would be covered by this policy if it did occur). D. Electronic Data This policy does not insure loss or liability of any type in connection with: 1. loss of, alteration of, or damage to, or 2. a reduction in the functionality, availability or operation of, a computer system, hardware, programme, software, data, information repository, microchip, integrated circuit or similar device in computer equipment or non-computer equipment, whether the insured’s property or not, that do not in and of themselves constitute an event unless arising out of one or more of the following events: a. fire, lighting, explosion, or b. aircraft, or vehicle impact, falling objects, or c. windstorm, hail, tornado, cyclone, hurricane, earthquake, volcano, tsunami, flood, freeze, weight of snow. 24 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 E. Excessive Loads This policy does not insure loss or liability while any insured vehicle is: 1. loaded or operated contrary to the manufacturer’s recommended specifications, or 2. loaded or operated contrary to the law, or its ancillary plant or machinery being operated contrary to the law. This exclusion does not apply to any claim for loss arising from theft or illegal conversion of any insured vehicle. F. Intentional Or Reckless Acts This policy does not insure loss or liability arising from any intentional or reckless act or omission. G. Nuclear This policy does not insure any loss or liability in connection with: 1. ionising radiation or contamination by radioactivity from: a. any nuclear fuel, or b. any nuclear waste from the combustion or fission of nuclear fuel. 2. nuclear weapons material. H. Rented Vehicles This policy does not insure any vehicle hired or rented by the insured when the insured has purchased insurance offered by the rental vehicle hirer. Note: Please see Section 2: Automatic Extensions, ‘F – Hired and Rented Vehicles’. I. Seepage, Pollution And Contamination This policy does not insure loss or liability of any type in connection with seepage, pollution or contamination, unless sudden, unintended and unexpected, occurring during the period of insurance. The coverage under this policy is limited to costs and expenses reasonably and necessarily incurred to: 1. remove, store and/or dispose of debris or the decontamination, demolish, dismantle, dewater, shore up, prop, underpin or carry out other temporary repairs consequent upon damage which is covered by the policy and caused by an insured event. 2. demolish and remove any property belonging to the insured which is no longer useful for the purpose it was intended for, provided such demolition and removal is necessary for the purpose of the reinstatement or replacement. 3. clean up and remove pollutants from land confined to insured premises if the discharge, dispersal, seepage, migration, release or escape of the pollutants is caused by an insured event. J. Terrorism This policy does not insure loss, liability, prosecution or expense of any type in connection with an act of terrorism, including in connection with controlling, preventing, suppressing, retaliating against, or responding to an act of terrorism. K. Unlicensed Drivers This policy does not insure loss or liability when any insured vehicle is being used by a person who: 1. does not hold a driver’s license appropriate for the class or operation of the insured vehicle (or the insured vehicle’s components), unless the: a. driver has held, (and is not disqualified from holding or obtaining) and actually obtains, such a license without a further driving test, or 25 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  b. insured vehicle is being used for the purpose of teaching a learner to drive, and all the requirements of the law are being complied with, or 2. breaches any license conditions that apply when driving the insured vehicle or the insured vehicle’s components.. This exclusion does not apply to any claim for loss arising from theft or illegal conversion of the insured vehicle. L. Unsafe Vehicles This policy does not insure loss or liability if the insured vehicle is being used in an unsafe condition. This includes any condition: 1. which is contrary to any recommendation by the manufacturer of the insured vehicle, or 2. as a result of which the insured vehicle is not fit to deal with any peril likely to be encountered during the course of its operation, when the insured, or any driver was (or should have been) aware of that condition. This exclusion does not apply to any claim for loss arising from theft or illegal conversion of the insured vehicle. M. War This policy does not insure any loss or liability in connection with any of the following, including controlling, preventing or suppressing any of the following: war, invasion, act of foreign enemy, hostilities or warlike operations (whether war is declared or not), civil war, mutiny, rebellion, revolution, civil commotion assuming the proportions of or amounting to an uprising, insurrection, military or usurped power. N. Work Time Rules This policy does not insure loss or liability when any insured vehicle is being used in breach of any enactment or regulations relating to work time or logbook rules. This exclusion does not apply to any claim for loss arising from theft or illegal conversion of the insured vehicle. O. Sanctions This policy does not any insure any loss to the extent that the provision of such cover, payment of such claim or provision of such benefit would expose that (re)insurer to any sanction, prohibition or restriction under United Nations resolution or the trade or economic sanctions, laws or regulation of New Zealand, Australia, the European Union, United Kingdom or United States of America. P. Cyber We will not pay for claims caused by, arising from, or in any way connected with any actual or suspected loss, damage, cost, expense or liability of whatsoever nature arising directly or indirectly caused by or contributed by, resulting from arising out of, or in connection with a Cyber Incident. Cyber Incident means any act, threat or hoax whether actual or perceived, authorised or unauthorised, or malicious, involving access to, use of or operation of any technological system, hardware, software, or communications system or electronic device installed or in any way connected to you, or your Insured vehicle or property. Q. Communicable Disease We will not pay for claims caused by, arising from, or in any way connected with any actual or suspected loss, damage, cost, expense, or liability of whatsoever nature arising directly or indirectly out of, caused by or contributed to by, resulting from, or in any way connected with an Infectious or Communicable Disease. For the purpose of this clause Infectious or Communicable Disease means any disease, sickness, or injury which can be transmitted whether airborne, by bodily fluid, or from any surface regardless of form. 26 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 R. Asbestos This policy does not apply to and does not cover any actual or alleged liability whatsoever for any claim or claims in respect of loss or losses directly or indirectly arising out of, resulting from, in consequence of, contributed to or aggravated by asbestos in whatever form or quantity. How to Claim A. What You Must Do If anything happens that may lead to a claim under this policy, the insured must: 1. do what they can to take care of the vehicle and to prevent any further loss, expense or liability, and 2. tell us as soon as possible by notifying our dedicated claims team below: P: 0800 785 400 E: Dual_Motor_Claims@hdi.global, and 3. notify the police as soon as possible if it is believed any loss was caused by an illegal act of a person other than a person covered by this policy, and 4. allow us to examine the vehicle before any permanent repairs are started, and 5. send to us as soon as possible anything received from anyone about a claim or possible claim against the insured or anyone else entitled to cover under this policy, and 6. give us any information or help that we ask for, and 7. consent to the insured’s personal information in connection with the claim being: a. disclosed to us, and 8. tell us immediately if the insured or anyone else entitled to cover under this policy are charged with any offence in connection with the use of an insured vehicle which resulted in loss of property or bodily injury to another person, and 9. Provide us with any reasonable assistance and information that we request in relation to the claim. This may mean giving written statements or documents to our representative or us. We may require you to go to Court to give evidence. B. What You Must Obtain Our Agreement To Do The insured and anyone else entitled to cover under this policy must obtain our agreement before they: 1. incur any expenses in connection with any claim under this policy, or 2. negotiate, pay, settle, admit or deny any claim made against the insured or anyone else entitled to cover under this policy, or 3. negotiate, make or agree any offer of amends to a victim of offending by any person covered by this policy, or 4. do anything that may prejudice our rights of recovery. C. Dishonesty If a claim is dishonest or fraudulent in any way, we may: 1. decline the claim, either in whole or in part, and/or 2. declare either this policy or all insurance the insured has with us to be of no effect and to no longer exist from the date of the dishonest or fraudulent act. 27 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  This is at our sole discretion. D. Things You Must Do After We Pay A Claim The insured and anyone else entitled to cover under this policy must: 1. tell us if any lost or stolen property which was part of the claim is found or recovered, and hand it over to us if we request it. 2. tell us if any person is ordered to make reparation to the insured for any loss or cost which is part of the claim, and reimburse us for that payment as soon as any reparation is received. E. Actions We May Take 1. Subrogation Once we have accepted any part of a claim under this policy, we may assume the insured’s or any other person entitled to cover under this policy’s legal right of recovery. If we initiate a recovery we will include any excess, and any other uninsured losses suffered. Where we do this, the insured (or other person entitled to cover) agree to pay their proportional share of the recovery costs, and subsequently the proceeds of the recovery will be shared on the same proportional basis, except that we will reimburse the excess first. The insured (or any other person entitled to cover) must fully co-operate with any recovery process. 2. Conduct of Defence We have the sole right to act in the name of the insured or any other person insured under this policy, and on their behalf to defend, negotiate, or settle any liability covered under ‘Section 2: Liability Cover’ as we see fit (this will be done at our expense). We may elect at any time to pay the maximum amount payable under this policy, or any lesser sum that the liability can be settled for. Once we have paid this (plus any defence costs and expenses covered by this policy and already incurred, but less any applicable excess) our responsibility to the insured or any other person covered under this policy is met in full. The lawyers we instruct to act on behalf of the insured or other person entitled to cover, are authorised by the insured or such other person, to disclose to us any information the lawyers receive in that capacity, including information they receive from the insured or other person. 3. Waiver of Subrogation (Group of Related Companies) Where the insured is a parent or subsidiary in a group of related companies, we waive any right of recovery it may have against any other company in the same group. A ‘group of related companies’ means a group of companies related to one another by virtue of such ownership. 4. Recoveries If an insured vehicle or any property we have paid a claim for is later found or recovered, the insured must tell us immediately and hand it over to us if we request it. We have the right to keep the insured vehicle and any property that we have paid a claim for under this policy, including any proceeds if it is sold. 5. Reparation If any person is ordered to make reparation to the insured for loss to an insured vehicle that we have paid a claim for under this policy, then they must tell us. Any payments received must first reimburse our claims payment up to the amount of any reparation received. 28 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 General Conditions Your Obligations 1. Breach of any Condition If: 1. the insured, or 2. any other person we insure under this policy, or 3. anyone acting on the insured’s behalf, breaches any of the conditions of this policy, we may: a. decline the claim either in whole or in part, and/or b. declare either this policy or all insurance the insured has with us to be unenforceable. This is at our sole discretion. 2. True Statements and Answers The application is the basis of this policy. True statements and answers must be given (whether by the insured or any other person) when the insured: 1. applies for this insurance, and/or 2. notifies us regarding any change in circumstances, and/or 3. makes a claim under this policy. 3. Reasonable Care The insured, and anyone using an insured vehicle, must take reasonable care at all times to avoid circumstances that could result in a claim. There is no cover if the insured is reckless or grossly irresponsible. 4. Complying with this Policy We will not pay any claim unless the insured, or any person who acts on their behalf, complies with this policy. This also applies to any other person who can claim under the policy. 5. Changes in Circumstances The insured must tell us immediately if there are any: 1. modifications to an insured vehicle, or 2. change in the use of an insured vehicle, or 3. material changes that might alter the nature of the risk insured or increase the chance of a claim under this policy. Information is ‘material’ where we would have made different decisions about either: a. accepting your insurance, or b. setting the terms of your insurance, if we had known that information. If in any doubt, notify us anyway. The ‘risk insured’ refers to both: a. the actual property or liabilities covered (known as physical hazard), and b. you or other persons covered by this policy (known as moral hazard). 29 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 6. Vehicle values All values of insured vehicles stated in the vehicle declaration must represent, as nearly as possible, their market value. Values such as book value, depreciated cost, written down value and residual value are not sufficient to comply with this policy condition. We may require the insured to provide vehicle declarations showing their book value, depreciated cost, written down value or residual value in the insured’s business records. How We Administer This Policy Cancellation BY THE INSURED The insured may cancel this policy at any time. If they do, we will refund any premium that is due based on the unused portion of the period of insurance. BY US We may cancel this policy by giving the insured notice in writing or by electronic means at their last known address. The policy will be cancelled from 4pm on the 30th day after the date of the notice. We will refund the insured any premium that is due based on the unused portion of the period of insurance. Change of Terms We may change the terms of this policy (including the excess) by giving the insured notice in writing or by electronic means at the last known address we have for the insured. The policy will be changed from 4pm on the 30th day after the date of the notice. Other Insurance The insured must tell us as soon as they know about any other insurance which covers an insured vehicle. This policy does not cover loss or liability at all if it is insured to any extent under any other insurance policy. We will not contribute towards any claim under any other insurance policy. Joint Insurance If this policy insures more than one person, then all persons are jointly insured. This means that a breach of this policy by any one person affects everyone’s ability to claim under this policy. We may choose to pay any claim in full to the person who is named first in the schedule, and this will meet all our obligations under this policy for that claim. Interests of Other Parties If we know of anyone who has a financial interest over an insured vehicle, we can pay them part or all of any claim proceeds. This payment goes towards meeting our obligations under the policy. However, anyone recorded as having a financial interest under this policy is not covered by it and has no right to make a claim. We are also authorised by the insured to disclose personal information about the insured to anyone who holds a financial interest in an insured vehicle. Total Loss If we pay a claim for an insured vehicle that we determine is a total loss: 1. that insured vehicle will become our property, and 2. that vehicle is no longer an insured vehicle under this policy, and 3. we will not give any refund of premium, and 4. in the event premium for the period of insurance is to be paid in instalments, any unpaid premium for the period of insurance is due immediately and may be deducted from any payment made by us. 30 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 Laws And Acts That Govern This Policy 1. Governing Law and Jurisdiction The law of New Zealand applies to this policy and the New Zealand Courts have exclusive jurisdiction. 2. Legislation Changes Where this policy refers to any Act of Parliament, it also includes any sub-ordinate legislation made under it, and any subsequent or replacement Acts or Regulations. 3. Insurance Law Reform Acts The exclusions and conditions in this policy are subject to your rights under the Insurance Law Reform Acts 1977 and 1985. 4. Currency Any amount shown in this policy or the schedule is in New Zealand dollars. 5. Goods and Services Tax Where GST is recoverable by us under the Goods and Services Tax Act 1985: 1. all vehicle values specified in the vehicle declaration exclude GST, and 2. all limits and sub limits exclude GST, and 3. all excesses include GST, and 4. GST will be added, where applicable, to claim payments. Limits and Excesses The following limits and excesses apply, unless a different amount is shown in the schedule. Note: Please refer to the schedule for further applicable limits and excesses. Limit Excess Section 1: Basis Of Settlement B. Maximum Amount Payable 2. Hired, Rented, or Borrowed Vehicles $300,000 – Section 1: Automatic Extensions B. Claim Preparation Costs $5,000 $500 C. Completion of Journey Costs $10,000 – D. Damage Caused by an Uninsured Third Party $5,000 – E. Death by Accident $10,000 – F. Disability Modifications $5,000 – G. Employees’ Vehicles $100,000 – I. Funeral Expenses $5,000 – J. Goods in Transit $5,000 $100 31 DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2  Limit Excess K. Hoists $5,000 $500 L. Keys and Locks: Per vehicle per event $10,000 $250 In total for all vehicles per event $20,000 $250 M. Load Recovery $10,000 – P. Repair Authorisation $1,000 – Q. Rewards $5,000 S. Theft – Hire of Alternative Vehicle $2,500 7 Days T. Tyre Damage $5,000 Section 1: Optional Extensions Minimum $250, or as D. Portable Electronic Devices As per schedule per schedule E. Taxi Coverage De-Installation / Reinstallation $2,500 – Employee and Passenger Effects $2,500 Section 2: Liability Cover A. Legal Liability Cover $10,000,000 B. Litigation Defence Costs $1,000,000 Section 2: Automatic Extensions A. Clean Up Costs $20,000 $500 B. Criminal Court Action / Inquiries / Inquests $10,000 C. Exemplary Damages 10% of any sum Per event $500,000 awarded, subject to a minimum of $5,000 In total for all events during an annual period $1,000,000 D. Financial Charge $5,000 E. Hazardous Substances Emergency $20,000 G. Hired and Rented Vehicles – Consequential Loss $50,000 K. Vibration or Weight Damage $500,000 $2,000 Automatic Extensions Applicable To Both Sections 1 And 2 A. Additions and Deletions $300,000 Helping you do more New Zealand | +64 9 973 0190 dualinsurance.com DUAL New Zealand Limited | Registered in New Zealand under Company Number 3232892DUAL New Zealand Commercial Motor Vehicle Policy Wording 08.23 v2 32