insurance cover

Concealed Water Leakage BenefitInsurance Product Disclosure Statement and Policy Wording

CONTENTS

2About this booklet

3Important Information

3Duty of disclosure

3The General Insurance Code of Practice

3Privacy

3Resolving complaints & disputes

4Contacting QBE Customer Care, FOS or the OAIC

5Policy Wording

5Our agreement

5Paying your premium

5Words with special meanings

6Water leakage cover

6What is covered

6General exclusions

7General conditions

8Claims

9Other terms

Date of preparation: 1st November 2015Date effective: 12th February 2016QM7067

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About this bookletThere are two parts to this booklet. The first part is Important Informationabout this Policy including information about how we’ll protect your privacyand how to make a complaint or access our dispute resolution service.

The second part is your Policy Wording which sets out the detailed terms,conditions and exclusions of the Policy.

Because we don’t know your own personal circumstances, you should treatany advice in this booklet as purely general in nature. It doesn’t consideryour objectives, financial situation or needs. You should carefully considerthe information provided with regard to your personal circumstances todecide if it’s right for you.

For more information or to make a claim

Please take the time to read through this booklet and if you have anyquestions, need more information or to confirm a transaction, please contact:

Willis Towers Watson Australia using the contact details below.

Level 4, 555 Bourke Street

Melbourne, VIC, 3000, Australia

Ph: (03) 8681 9800

The section titled 'Claims' at the end of this booklet tells you the full detailsabout what you need to do in the event of a claim. If you’d like to make aclaim or to enquire about an existing claim please contact:

Queensland Urban Utilities via e-mailinsurance@urbanutilities.com.au.

About QBE Australia

QBE Insurance (Australia) Limited ABN 78 003 191 035 AFSL 239545 is amember of the QBE Insurance Group Limited ABN 28 008 485 014 (ASX:QBE). QBE Insurance Group is Australia’s largest international generalinsurance and reinsurance group, and one of the top 25 insurers andreinsurers in the world.

About Willis Towers Watson Limited

Willis Towers Watson (NASDAQ: WLTW) is a leading global advisory, brokingand solutions company that helps clients around the world turn risk into apath for growth. With roots dating to 1828, Willis Towers Watson has 39,000employees in more than 120 countries.

We design and deliver solutions that manage risk, optimise benefits, cultivatetalent, and expand the power of capital to protect and strengthen institutionsand individuals. Our unique perspective allows us to see the criticalintersections between talent, assets and ideas — the dynamic formula thatdrives business performance.

In accordance with the provisions of the Corporations Act 2001, Willis TowersWatson Limited gives notice that the Policy has been effected under anauthority given to Willis Towers Watson by QBE. Willis Towers Watson hasentered into the contract as an agent of QBE and not as an agent of thepolicyholder.

Willis Australia Limited ABN 90 000 321 237 AFSL 240600 is an AuthorisedDistributor of QBE Insurance (Australia) Limited ABN 78 003 191 035 AFSL239545. Queensland Urban Utilities is an Authorised Representative of WillisAustralia Limited ABN 90 000 321 237 AFSL 240600

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Important InformationIn this first part of the booklet we explain important information about thisPolicy including how we’ll protect your privacy and how to make a complaintor access our dispute resolution service.

Duty of disclosure

Before you enter into an insurance contract, you have a duty to tell usanything that you know, or could reasonably be expected to know, mayaffect our decision to insure you and on what terms.

You have this duty until we agree to insure you.

You have the same duty before you renew, extend, vary or reinstate aninsurance contract.

You do not need to tell us anything that:

reduces the risk we insure you for; oris common knowledge; orwe know or should know as an insurer; orwe waive your duty to tell us about.

If you do not tell us something

If you do not tell us anything you are required to, we may cancel yourcontract or reduce the amount we will pay you if you make a claim, or both.

If your failure to tell us is fraudulent, we may refuse to pay a claim and treatthe contract as if it never existed.

The General Insurance Code of Practice

QBE Australia is a signatory to the General Insurance Code of Practice.

The Code aims to:

Commit us to high standards of servicePromote better, more informed relations between us and youMaintain and promote trust and confidence in the general insuranceindustryProvide fair and effective mechanisms for the resolution of complaintsand disputes between us and youPromote continuous improvement of the general insurance industrythrough education and training.

Privacy

We’ll collect personal information when you deal with us, our agents, othercompanies in the QBE group or suppliers acting on our behalf. We use yourpersonal information so we can do business with you, which includes issuingand administering our products and services and processingclaims. Sometimes we might send your personal information overseas. Thelocations we send it to can vary but include the Philippines, India, Ireland,the UK, the US, China and countries within the European Union.

Our Privacy Policy describes in detail where and from whom we collectpersonal information, as well as where we store it and the full list of wayswe could use it. To get a free copy of it please visit qbe.com.au/privacy orcontact QBE Customer Care.

It’s up to you to decide whether to give us your personal information, butwithout it we might not be able to do business with you, including not payingyour claim.

Resolving complaints & disputes

At QBE we’re committed to providing you with quality products anddelivering the highest level of service.

We also do everything we can to safeguard your privacy and theconfidentiality of your personal information.

Something not right?

We know sometimes there might be something you’re not totally happyabout, whether it be about our staff, representatives, products, services orhow we’ve handled your personal information.

Step 1 – Talk to us

If there’s something you’d like to talk to us about, or if you’d like to make acomplaint, speak to one of our staff. When you make your complaint pleaseprovide as much information as possible. They’re ready to help resolve yourissue.

You can also contact our Customer Care Unit directly to make yourcomplaint. Our aim is to resolve all complaints within 15 business days.

Step 2 – Escalate your complaint

If we haven't responded to your complaint within 15 days, or if you’re nothappy with how we’ve tried to resolve it, you can ask for your complaint tobe escalated for an Internal Dispute Resolution (IDR) review by a DisputeResolution Specialist.

The Dispute Resolution Specialist will provide QBE’s final decision within 15business days of your complaint being escalated, unless they’ve requestedand you’ve agreed to give us more time.

Step 3 – Still not resolved?

If you’re not happy with the final decision, or if we’ve taken more than 45days to respond to you from the date you first made your complaint, youcan contact the Financial Ombudsman Service Australia (FOS Australia).FOS Australia is an ASIC approved external dispute resolution body.

FOS Australia resolves insurance disputes between consumers and insurers,at no cost to you. QBE is bound by FOS Australia's decisions - but you’renot. You can contact FOS Australia directly and they’ll advise you if yourdispute falls within their Terms of Reference.

Disputes not covered by the FOS Australia Terms of Reference

If your dispute doesn’t fall within the FOS Australia Terms of Reference, andyou’re not satisfied with our decision then you may wish to seek independentlegal advice.

Privacy complaints

If you're not satisfied with our final decision and it relates to your privacy orhow we’ve handled your personal information, you can contact the Officeof the Australian Information Commissioner (OAIC).

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Contacting QBE Customer Care, FOS or the OAIC

How to contact QBE Customer Care

1300 650 503 (Monday to Friday from 9am to 5pm, Sydneytime, except on public holidays).

Phone

Calls from mobiles, public telephones or hotel rooms mayattract additional charges.

Email complaints@qbe.com, to make a complaint.privacy@qbe.com, to contact us about privacy or yourpersonal information.customercare@qbe.com, to give feedback or pay acompliment.

Customer Care, GPO Box 219, PARRAMATTA NSW 2124Post

How to contact FOS Australia

1800 367 287 (Monday to Friday from 9am to 5pm, Melbournetime, except on public holidays)

Phone

info@fos.org.auEmail

www.fos.org.auOnline

How to contact the OAIC

1300 363 992 (Monday to Friday from 9am to 5pm, Sydneytime, except on public holidays).

Phone

Calls from mobiles, public telephones or hotel rooms mayattract additional charges.

enquiries@oaic.gov.auEmail

www.oaic.gov.auOnline

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Policy WordingThis Policy is underwritten by QBE Insurance (Australia) Limited ABN 78003 191 035 AFSL 239545.

Our agreementYour Policy is an agreement between you and us, made up of:

This Policy WordingYour Policy Schedule, which sets out the cover you’ve chosen and anyterms specific to you.

The cover under this Policy is provided during the period of insurance, onceyou’ve paid us your premium. There are also:

Conditions and exclusions which apply to specific covers or sections;General exclusions, which apply to any claim you make under thisPolicy;General conditions, which set out your responsibilities under this Policy;Claims conditions, which set out our rights and your responsibilitieswhen you make a claim; andOther terms, which set out how this Policy operates.

Excesses

You must pay any excesses which apply to your claim. The excesses whichyou have to pay are set out in this Policy Wording or on your PolicySchedule.

How much we'll pay

The most we'll pay for a claim is the sum insured which applies to the coveror section you're claiming under, less any excess.

Paying your premiumYou can pay the full annual premium by credit card via the onlineQueensland Urban Utilities website.

You must pay your premium by the due date. If we don't receive yourpremium by the date, or if your payment is dishonoured, this Policy won'toperate and there will be no cover.

Words with special meaningsThe words and terms used throughout this Policy have special meaningsset out below.

Where other words and terms are only used in one section of the Policy,we’ll describe their special meaning in that section.

We meanWhen we say

The actual water usage, in average kilolitres per day atyour Property, during the Excess Water Usage period.

Actual WaterUsage

Water escaping on your side of the water meter, whichis hidden from view, be it underground or withinconcrete, or underneath a building, and where you couldnot reasonably be expected to know of its existence.

ConcealedWater Leak

The benefits made available to you under this Policy.Cover

The amount in Australian Dollars (AUD$) that we willpay to credit your water account as a rebate for ExcessWater Usage, in accordance with the "What is covered"section of this Policy.

Excess WaterRebate

The difference between the Actual Water Used at theProperty, and the Uncontested Daily Use, where suchadditional water usage cannot reasonably be explained

Excess WaterUsage

We meanWhen we say

(for example by way of seasonal variations or the fillingof a swimming pool) and which results from a ConcealedWater Leak at the Property.

The maximum amount that we will pay for each claimor in any one Period of insurance as set out in the ‘Whatis covered" section of this Policy.

Limit(s) ofCover

Major disasters means earthquakes, tornadoes,hurricane or cyclones, explosions, fire, storm, lightning,flood, political or industrial disturbances, riots, civil

MajorDisasters

commotion, riot or uprising, tsunami, tidal waves, stormsurge, landslide, acts of terrorism, war or hostilities(whether war is declared or not) and use, existence orescape of any nuclear or radioactive material or anybiological, chemical or nuclear pollution orcontamination.

The period this Policy operates for as shown on yourPolicy Schedule.

Period ofinsurance

The date this Policy starts on, as set out in the PolicySchedule.

Policy StartDate

What you pay us to insure you. It’s the cost of this Policy.Premium

One of the following:PolicySchedule Policy Schedule

Renewal ScheduleAlteration Schedule.

The private home, garage and domestic outbuildings(excluding sheds, greenhouses and non-permanentstructures) within the property boundary at the address

Property

shown in the Policy Schedule. The extent of the Propertywill be that which is wholly within your control and youare wholly responsible for.

The renewal date, which is shown in the renewal letterwe send you or which we tell you about at any othertime.

Renewal Date

The normal daily water usage in kilolitres per day,averaged over the number of days in the meter readingperiod, at a Property, in the period prior to the ExcessWater Usage period, which will be either:

UncontestedDaily Use

- where you have owned the Property for more than 1year, the water usage for the equivalent period of theprevious year (therefore if the Excess Water UsagePeriod is 1st April 2015 to 30th June 2015, the sameperiod of the previous year will be 1st April 2014 to 30thJune 2014) or;

- where you have owned the Property for less than 1year, the water usage for the quarter immediately priorto the Excess Water Usage period (therefore if theExcess Water Usage period is 1st April 2015 to 30th June2015, the prior quarter will be 1st January 2015 to 30thMarch 2015).

The freshwater pipe that provides a supply of waterfrom the water meter to all parts of the insurableProperty. Where this includes a section of the pipe that

Water SupplyPipe

is outside the boundary of the Property (i.e. on privateor publicly owned land), then this section of the pipe isonly included if you, have legal right of access to thissection of the pipe on such land.

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We meanWhen we say

QBE Insurance (Australia) Limited ABN 78 003 191 035AFSL 239545.

We, our, us

The person(s) named in your Policy Schedule as theinsured.

You, your

Water leakage cover

What is covered

The amount of excess water usage, determined by Queensland UrbanUtilities, incurred resulting from a Concealed Water Leak in the Water SupplyPipe.

Limit(s) of Cover:

Up to $10,000 any one water usage claim and in the aggregate forexcess water usage onlyUp to $200 any one claim for a registered plumber call out charge

Excess

A $50 Excess applies to each and every claim

Premium

The Premium must be paid annually in advance. No claims will be acceptedunless full payment has been received by us prior to the Policy Start Date.

Transfer, Cancellation and Refunds

This policy cannot be transferred or assigned to any other person and / orProperty, except in the event of a deceased estate.

You may cancel this policy at any time notifying us via mail or e-mail.

Should you cancel this policy, no premium will be refunded for anyunexpired period of Insurance.

General exclusionsThese general exclusions apply to all sections of this Policy.

This Policy excludes loss, damage, destruction, death, injury, illness, liability,cost or expense of any nature directly or indirectly caused by, contributedto by, resulting from, arising out of or in connection with any of the following,regardless of any other cause or event contributing concurrently or in anyother sequence to the loss:

1. war, invasion, acts of foreign enemies, hostilities or war-like operations(whether war be declared or not), civil war, rebellion, revolution,insurrection, civil commotion assuming the proportions of oramounting to an uprising, military or usurped power, or

2. any act(s) of Terrorism that is directly or indirectly caused by,contributed to by, or in any way involves or is connected withbiological, chemical, radioactive, or nuclear pollution or contaminationor explosion. For the purpose of this exclusion, an act of terrorismincludes any act, or preparation in respect of action, or threat of actiondesigned to influence the Government of the day or de facto of anynation or any political division thereof, or in pursuit of political,religious, ideological or similar purposes to intimidate the public ora section of the public of any nation by any person or group(s) ofpersons whether acting alone or on behalf of or in connection withany organisation(s) or Government(s) of the day or de facto, andwhich:

involves violence against one (1) or more persons; orinvolves damage to property; orendangers life other than that of the person committing theaction; orcreates a risk to health or safety of the public or a section of thepublic; oris designed to interfere with or to disrupt an electronic system.

3. radioactivity or the use, existence or escape of any nuclear fuel,nuclear material, or nuclear waste or action of nuclear fission or fusion.

This Policy also excludes any loss, destruction, damage, death, injury, illness,liability, cost or expense of any nature directly or indirectly caused by,contributed to by, resulting from or arising out of or in connection with anyaction taken in controlling, preventing, suppressing, retaliating against, orresponding to or in any way relating to 1, 2 or 3 above.

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Additional exclusions

We do not cover:

1. Any Water Supply Pipe or external stop tap connected to the mainswater supply that is not on your side of the water meter.

2. Where there is no evidence of a leak or damage. Evidence of a leakor damage includes information on water usage at the Property fromQueensland Urban Utilities that, in the reasonable opinion ofQueensland Urban Utilities is proof of a leak or damage to the WaterSupply Pipe and/or evidence of a leaking or seized external stop tap.

3. Excess water usage resulting from a dripping tap and/or waterescaping from a normal water outlet.

4. Blocked drains.5. Any leak or permanent damage caused due to a freeze or ice build-up

in the Water Supply Pipe.6. Any damage to Property or its contents caused by a leak(s) in or

damage to the internal/external plumbing system of the Property.That is, there is no cover for damage to Property after the join fromthe Water Supply Pipe to the internal pipework.

7. Loss or damage resulting from or any damage to swimming poolsor decorative features including spas, hot tubs, ponds, fountains andany associated motors, pipes, valves, plumbing, pumps or filtrationsystems.

8. Loss, damage, or indirect costs arising from disconnection orinterruption of mains utility services.

9. Any loss or damage arising as a consequence of Major Disasters,impact, or other extraneous causes.

10. Any event, loss or damage arising from circumstances known to youbefore your Policy Start Date. This includes circumstances whereyou have been advised either in writing, in person or by an agent ofQueensland Urban Utilities that there may be an increased waterconsumption and/or a possible Concealed Water Leak at yourProperty and you have not taken any action to(a) confirm whether there is a Concealed Water Leak, or,(b) that if confirmed, you have not taken action to remedy the

Concealed Water Leak (by ensuring that a repair to the WaterSupply Pipe or the external stop tap has been carried out).

11. Where you have a potential Concealed Water Leak during the Policyperiod of Insurance, you will have 45 days to rectify and repair thesource of the Concealed Water Leak. The indemnity period is limitedto 45 days from first notification and/or identification of a ConcealedWater Leak. No payments will be made to indemnify you more than45 days from first notification of a Concealed Water Leak.

12. Systems or equipment that have not been installed, serviced ormaintained regularly according to manufacturer’s instructions and/orStandards Australia, or that are subject to a manufacturers recall.

13. Any defect, damage or breakdown caused by malicious or wilfulaction, negligence, vandalism, misuse or third party interference,including any attempted repair or modification to the elementscovered by this policy, which does not comply with recognisedindustry best practice or Standards Australia.

14. Any loss resulting from trees and/or tree roots.

Sanctions limitation and exclusion clause

You're not insured under any section of this Policy where a claim paymentbreaches any sanction, prohibition or restriction under United Nationsresolutions or the trade or economic sanctions, laws or regulations ofAustralia, the European Union, United Kingdom or United States of America.

General conditionsThere are conditions set out in this General conditions section, in the Claimssection and under each particular cover and section. If any of theseconditions aren't met, we may refuse a claim, reduce the amount we payor in some circumstances we may cancel your Policy. When making a claim,you must have met and then continue to comply with the conditions ofyour Policy. Any person covered by your Policy, or claiming under it, mustalso comply with these conditions.

If you, or someone covered under your Policy, don’t meet these conditionsor make a fraudulent claim we may:

Refuse to pay your claim or reduce what we pay for your claimCancel your Policy.

Assistance and co-operation

At all times when you deal with us you must:

Provide us with all reasonable assistance we may needBe truthful and frankNot behave in a way that's abusive, dangerous, hostile, improper orthreateningCo-operate fully with us, even after we've paid a claim.

Care and maintenance

You must take reasonable care to prevent damage, injury or loss. We won'tpay for damage, injury, loss or your liability to which your failure to takereasonable care is a contributing factor. At all times, you must:

Prevent damage to property insured, as well as to others and theirpropertyMinimise the cost of any claim under your PolicyComply with all laws.

Changes to your circumstances

You must tell us as soon as possible if circumstances occur, or if changesor alterations are intended or made which increase the risk of loss, damageor injury.

Examples include:

You change address.

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ClaimsThis section describes what you must do, as well as conditions that applywhen you make a claim and at the time loss or damage occurs which islikely to give rise to a claim.

To make a claim under this policy, you must make contact with QueenslandUrban Utilities via e-mail insurance@Urbanutilities.com.au and provide thefollowing information:

Policy Number, Contact Details and Property AddressPlumber Invoice – Confirming a Concealed Water Leak was discovered,it’s location and the current repair statusApproximate date of the alleged Concealed Water Leak

On approval of a claim by Queensland Urban Utilities, automatic adjustmentwill be made on your water and sewerage account directly via QueenslandUrban Utilities. The registered plumber call out charge reimbursementportion will also be adjusted on the water and and sewerage account.

Where you have a potential Concealed Water Leak during the Policy periodof Insurance, you will have 45 days to rectify and repair the source of theConcealed Water Leak. The indemnity period is limited to 45 days from firstnotification and/or identification of a Concealed Water Leak.

If in doubt at any time, ring Queensland Urban Utilities or Willis TowersWatson Australia for advice.

Willis Towers Watson AustraliaLevel 4, 555 Bourke StreetMelbourne, VIC, 3000, AustraliaPh: (03) 8681 9800

Contribution & other insurance

You must notify us of any other insurance which will or may, whether inwhole or in part, cover any loss insured under your Policy.

If at the time of any loss, damage or liability there's any other insurance(whether effected by you or by any other person) which covers the sameloss, damage or liability you must provide us with any reasonable assistancewe require to make a claim for contribution from any other insurer(s).

GST

If you’re a business you must tell us if you’re registered, or are required tobe registered, for GST. When you do this, we need you to give us:

Your ABNThe percentage of any input tax credit you will claim, or will be entitledto claim, on your premium.

When we pay a claim, your GST status will determine the amount we payyou. Your claim settlement amount will be adjusted to allow for any ITCentitlement.

Unless we say otherwise, all amounts in your Policy are inclusive of GST.There may be other taxation implications affecting you, depending uponyour own circumstances. We recommend you seek professional advice.

Preventing our right of recovery

If you've agreed not to seek compensation from any person liable tocompensate you for loss, damage or liability covered by your Policy, wewon't cover you for that loss, damage or liability.

Providing proof

You must be able to prove to us you've suffered a loss covered by yourPolicy before we'll pay you for it. We may ask you for this proof if you makea claim under your Policy. So your claim can be assessed quickly, makesure you keep the following:

Plumber Invoice – Confirming a Concealed Water Leak was discovered,it’s location and the current repair statusApproximate date of the alleged Concealed Water Leak

Salvage

We're entitled to obtain and retain any items or materials salvaged orrecovered after you make, and we agree, to pay a claim by replacing orpaying to replace any items or materials. We may sell the items or materialsand keep the proceeds. We may choose to sell the items or materials toyou, provided you agree to pay market price .

Subrogation, recovery action & uninsured loss

We may at any time, at our expense and in your name, use all legal meansavailable to you of securing reimbursement for loss or damage arising underyour Policy. In the event we do so, you agree to give all reasonable assistancefor that purpose.

If you've suffered loss that wasn't covered by your Policy as a result of theincident, we may offer to attempt to recover this. You may also specificallyask us to recover this for you. You'll need to give us documents supportingyour loss. Before we include any uninsured loss in the recovery action we'llalso ask you to agree to the basis on which we'll handle your recoveryaction. You may need to contribute to legal costs in some circumstances.

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Other termsThese other terms apply to how your Policy operates.

Cancelling your Policy

You can cancel your Policy at any time by telling us. If there are other peoplenamed as insured on your Policy, we only need a request to cancel it fromone of you.

We may cancel your Policy in any of the circumstances permitted by law(eg failure to pay the premium by the due date) by informing you in writing.

We’ll give you notice in person or send it to your address (including anelectronic address) last known to us.

No premium will be refunded for any unexpired period of Insurance if youcancel this Policy.

Changing your Policy

Changes to this Policy only become effective when we agree to them andsend you a new Policy Schedule detailing the change.

Joint and co-insureds

If more than one person is insured under your Policy, we’ll treat a statement,act, omission, claim, request or direction by that person as having beenmade by all insured.

We only need a request from one person insured to cancel or change yourPolicy.

Notices

Any notice we give you will be in writing, and will be effective once it'sdelivered to you personally or to your last known address (including whenit’s an electronic one).

It's important for you to tell us of any change of address as soon as possible.

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insurance cover

Willis Australia Limited ABN 90 000 321 237 AFSL 240600 is an Authorised Distributor of QBE Insurance (Australia) Limited ABN 78 003 191 035 AFSL 239545. Queensland Urban Utilities

is an Authorised Representative of Willis Australia Limited ABN 90 000 321 237 AFSL 240600

When you purchase concealed leak insurance cover you will have access to other insurance policies containing a great range of features and benefits, including automatic flood cover, 30% discount on travel insurance and more!

The Concealed Leak insurance policy was developed in consultation with Queensland Urban Utilities to offer protection to Queensland Urban Utilities customers against unforeseen water charges arising from a concealed leak. The concealed leak insurance policy was made possible by Willis Towers Watson, the insurance broker, and QBE Australia the underwriting insurer.