Care and Maintenance - your responsibility
Maintenance versus loss
The requirement to take reasonable care to protect and maintain your property is contained in all household and commercial policies and extends also to your duty to protect against accident or injury to people. As such, your insurance company may not pay for loss, damage, liability or injury if poor maintenance or lack of reasonable care by you the insured is deemed the cause.
Water Damage
A common area for disputes between claimants and insurers for damage to property is that of water damage. If, on assessment of the damage, it is noticed that the extent of the water damage could not have been caused by one single event and that gradual seepage has been occurring for some time due to loose of missing roof tiles or a knowingly leaking apparatus, then your insurer can reduce the amount of your claim.
Storm Damage
Insurers will pay for the removal of those parts of a fallen tree that have damaged your property, but not those remaining parts or others that following a storm might now pose a threat. If you are worried about old overhanging trees and precarious branches affecting your property then you should contact a tree specialist to have them attended to.
Machinery Breakdown
This is another area of regular contention. Again, for the simple reason that any loss must be sudden and unforseen and result in the failure of the item to perform its normal function. Expendable items such as belts, fuses, heating elements, wear plates and cutting tools are not covered by your breakdown policy. Every breakdown policy is slightly different and may contain optional extensions for food spoilage and other types of consequential loss so be sure to discuss your policy with your broker to be clear on what you can expect from it.
A policy for machinery breakdown should not be considered as a replacement for a machinery maintenance program but should complement it and cover your expenses from unforseen breakdowns that occur outside of normal scheduled maintenance.
Information in this article provided by Queensland Council of Insurance Brokers - CQIB.
This article is provided as information only. It is not general or insurance broking or legal advice. It is important you seek advice relevant to your particular circumstance.
