Householders Section – now commonly referred to as “Contents” Section.
This is just a summary of the cover – please refer to the policy wording for full details.
The cover under this section is on an All Risks Basis – this means the cause of the loss is covered UNLESS it’s excluded. The policy covers Loss or Damage which means accidental sudden and unforeseen or unexpected physical loss of or damage to the Contents. NOTE, It is NOT a SPECIFIED PERILS policy, so it doesn’t say Fire, storm wind, water, earthquake, theft etc. – it covers ALL damage as defined above IF it is not excluded. The CONTENTS are household goods and personal effects and business goods and equipment of every description normally kept at the private residence which belongs to the client or is rented by him.
The client’s Contents used for Business at the private residence are covered up to R 100 000 and includes stock & samples, business equipment and data, provided that the items are not insured elsewhere and cover for data is limited to its reinstatement.
Private residence means a building situated at the risk address stated in the schedule and in which a person resides and excludes the grounds upon which the building is situated.
Outbuilding means a separate building situated at the risk address stated in the schedule and which is not inter-leading to the private residence, even if attached, and excludes the grounds upon which the building is situated.
You need to consider and apply your minds to what Damage the policy covers and the definition of Contents.
The Contents Section EXCLUDES:
Loss or damage caused by, or consisting of:
- Mechanical breakdown, wear and tear, gradual deterioration, the use of unsuitable or defective materials or parts other than as provided for in the extensions; See Deterioration of Foodstuffs, Mechanical Breakdown & swimming pool machinery extensions.
- Inherent defect, defective design, defective workmanship.
- Misuse or deliberate acts by you.
- Alteration, cleaning, renovation, repair, restoration, re-framing or similar process.
- Rust or oxidation, corrosion, moth, vermin or insects, normal settlement, warping or shrinkage, rot, fungus, mould, rising damp or infestation.
- Weeds or roots.
- Dryness or humidity, being exposed to light or extreme temperatures (unless the loss is caused by fire damage).
- Chipping, scratches, disfiguration or discoloration.
- Pollution or contamination.
- Anything which happens gradually, including smoke and rising damp.
- Coastal or river erosion.
- Loss or damage which, but for the existence of this insurance, would have been compensated for under any contract, legislation, guarantee or insurance.
- Failure of items within their manufacturer’s warranty period.
- Damage resulting from any building works.
- Loss of or damage to:
- Any motorized wheelchair, golf cart, golf trolley or golf buggy by whatever name known, motorized scooter or sit-in toy or miniature vehicle being used in circumstances where any road traffic legislation applies; So, if the road traffic legislation doesn’t apply to them, they are covered. EG a toy car being driven in the garden, or theft or fire damage to a golf cart whilst on the property.
- Any quad bike.
- Loss or damage by theft or misappropriation by your tenant or subtenant or by family or servants of such tenant or subtenant.
- Loss of or damage to firearms or guns unless stored in a gun safe when not being carried on the person.
- Loss or damage caused by bursting of incorrect or overcharged ammunition in firearms or guns.
- Loss or damage to property insured elsewhere.
- Loss or damage to stamps, coins or collectables caused by:
- Fading, creasing, denting, scratching, tearing, thinning, colour transfer, dampness or temperature extremes.
- Handling or being worked on.
- The process of repair, restoration or whilst being retouched.
- Unexplained disappearance of any stamp, coin or other collectable item.
- Loss of or damage to any watch or article of jewelry in excess of R20 000 unless a professional valuation dated prior to the loss or damage has been filed with us or is available for submission.
The Section covers the client against loss of or damage to his property whilst in the private residence or outbuilding or whilst temporarily in a building anywhere in the Republic of South Africa,(Which would mean hotels, schools, B&B’s, hospitals, dry cleaners etc.) provided theft cover is subject to violent and forcible entry into or exit from any building where the property is temporarily situated.
Students, Scholars and Parents Property is covered up to 10% of the Contents sum insured whilst your children are at boarding school, university or other student accommodation, or whilst parents are in a nursing home, including transit there and back.
The Contents are also covered whilst in Storage and during Removal to or from a storage depot, or whilst in transit during a permanent change of address, in RSA – Maximum storage 45 days.
When settling a claim, the Insurers will exercise the option, at their expense, to restore, repair, replace or pay in cash an amount based on the current replacement cost subject always to a maximum of the Sum Insured.
Valuable Items – Collectables can be insured on an agreed value basis, but they must be specified in the schedule. If the loss is partial, the insurers will pay the cost of repairing or restoring them plus an amount for diminution in value.
New Possessions new possessions will be covered up to 10% of the sum insured provided the insurer is notified within 30 days of their purchase and the client pays the additional premium due.
The Pairs & Sets Clause applies to this policy.
The cost of hiring Security Guards following a loss is covered up to R 10 000.
The Average Clause is applicable, but if you have properly completed the contents inventory form and underinsurance is less than 15%, average will not be applied.
IT IS THEREFORE VERY IMPORTANT THAT THIS FORM IS COMPLETED AT NEW BUSINESS STAGE AND AT RENEWAL.
Remember also, that although the sum insured is increased automatically by 10% in an effort counter the effects of inflation, at no additional cost during the year, you are responsible to ensure the sum insured represents full value at “New Replacement Cost”.
Because the cover is so wide and the definition of property is virtually all encompassing, certain limitations are put in place:
Alternative Accommodation and Loss of Rent is paid OVER AND ABOVE THE AMOUNT PAID FOR DAMAGE TO PROPERTY – the insurer will pay the reasonable and necessary costs of alternative accommodation which they have agreed to pay whilst the private residence cannot be lived in because of a loss covered by the policy. They will pay for:
- 2 years.
- Including accommodation domestic pets
- Cover for loss of rental the client would have earned but for the loss
- The policy limit is 25% of the sum insured on the affected building.
You can’t claim under both the Buildings and Contents section for the same expenses.
Mechanical and Electrical Breakdown is covered up to R 100 000 and applies to property at the risk address.
Breakdown of Swimming Pool and Borehole Machinery is covered up to R 10 000
The usual “Breakdown exclusions apply. Make sure you know what they are.
Bank Cards, Money and Kruger Coins – cover against loss or damage to money and Kruger coins, and loss resulting from the theft of bank cards BUT:
- The loss, damage or theft of Kruger coins and or money must be from a locked safe at the risk address and must be accompanied by forcible and violent entry into the safe or by violence or threat of violence.
- The cover is limited to R 25 000
- you must have complied with all the terms under which the bank cards were issued
Cover in respect of Data and Documents is limited to R 15 000 for the reasonable costs incurred
- To reconstitute your private data on your private computer which you are unable to recover which is lost or damaged as a direct result of an occurrence covered by this policy.
- To replace lost or damaged deeds, bonds, securities and private legal documents, but only for the value of materials and the cost of labour in reinstating the documents and data or obtaining duplicates and not for the value to you of the content.
Fridge and Freezer Contents – limited to R 20 000 to replace food and drink in your domestic fridge or freezer which has spoiled because of breakdown of the fridge/freezer or the failure of the public power supply to the buildings
Garden Furniture and Outdoor Items although not “in” the private residence are covered for loss or damage up to R 50 000. Washing on the line is covered up to R 25 000
Gifts are also covered up to R 20 000 against loss or damage whilst stored at the risk address for up to 30 days, following an anniversary, engagement, wedding, birthday or religious celebration
Loss or damage to the property of Guests and Domestic Staff at your risk address is covered up to R 50 000, provided their property is not otherwise insured. Money and bank cards are not covered.
Locks, Keys and Remote Controls for the buildings – covers costs reasonably and necessarily incurred for these items if they are lost or damaged.
Loss of Water – cover for additional metered water charges you becomes legally responsible to pay due to leakages, breakages or bursts in the water reticulation system up to R 25 000.
Marquee Hire if you hire a Marquee, including lighting, heating and furnishing for an occasion at the risk address, they are covered up to R 50 000 for loss or damage if the Marquee/equipment is not otherwise insured.
Identity Theft this is great cover – you are covered for legal costs and legal expenses incurred in connection with the unauthorized or illegal use of your personal information, identity documents, passports or driver’s license by a third party that leads to real or potential prejudice and results in legal liability or financial loss, up to R 25 000.
Please take note of the other restrictions and requirements for this cover to apply. Check the policy wording for full details.
Cyber Theft – covers any monetary loss suffered as a result of cyber theft, up to R 50 000, if you
- have not provided details of your passwords or pin numbers to the thief by your negligence, voluntarily or by trickery.
- is not covered by any other policy
- immediately notify your bank of any cyber theft and help them to identify and prosecute the thief and recover any stolen money.
Hole-in-One and Full House Note this cover is not subject to the Self Insured Threshold. R 5 000 is paid if a hole in one is scored at a recognized golf course or bowling club, in a recognized match. Written confirmation is required from the club Secretary.
Fatal Injury you are covered up to R 100 000 if you die within 90 calendar days of being injured by fire, theft, attempted theft, hijacking or burglary at the risk address.
Medical Expenses for Domestic Employees and Guests is provided up to R 10 000 if there is no cover under another policy.
Trauma Treatment is covered, for you, your guests and employees up to R 10 000 if provided by a registered professional counselor not recoverable from any other source, as the result of theft, burglary, hijacking or fire occurring at the risk address.
Vets Expenses are covered up to R 5 000 for the treatment of your dog or cat if it is injured in a road accident or by another animal.
Cover is also included for site clearance costs and debris removal following a loss as are the charges levied by the municipality for fighting a fire.