cgu padlock an innovative insurance solution for the commercial property owner

CGU Padlock An innovative insurance solution for the Commercial Property Owner

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Overview: CGU Padlock

A product with a unique value proposition

Comprehensive product plus value addedbenefits

A tailored product specifically designed for small, medium and large commercial property owners

($200K up to $200 million asset value)

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What is CGU Padlock?

• Padlock is designed to cater for the Commercial Property Owner/Landlord market, which is non-strata title.

• The product provides an ISR based wording for the property section with Theft, Money, Glass, Liability, Machinery & other sections.

• Unique covers include Environmental Upgrade cover & Rent Default.

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What value does ‘Padlock’ provide

• Property

• Loss of rent

• Theft, Money & Rent Default

• Glass

• Tax Audit

• OHS Fines & Penalties

• Liability

• Machinery/ Electrical Break down

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Section 1 - Material Damage

• ISR type wording • Accidental damage (no sub limit)

• Provision for SI to reflect actual replacement values, via CGU Right Cover

• Environmental Upgrade 10%

• Home, office contents: $25k

• Catastrophe cover

• Additional Extra Cost of Reinstatement – Even if damage is less than 50%

Theft, glass, moneyexcluded & covered under

separate policy sections

Main Features

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• Covers rent & forms basis of Rent Default Cover available.

• Looking to insure for minimum 12 months – preferably 24 months.

• Additional Benefits– Accountants fees $5k * – Loss of Documents

Section 2 – Loss of Income

* These additional benefits can be varied

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Section 3 - Theft, Money, Rent Default• Section 3 A – Theft

• Cover provided up to full section 1 sum insured – policy schedule to update automatically

• Additional BenefitsEnvironmental Upgrade 10%Rewriting of Records $50KHome office contents $25k Theft in open air $5kTemporary protection $25kClothing & effects $5k / $10k Injury due to theft $10k / $200 pw

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Section 3 B - Money• Blanket Coverage of $50k – automatic with Sect 1 cover but limited to $5k at private residence and

on premises O/S business hours

• Available to;• Property that is professionally managed • Tenants that have been in business for more than 12 months.• Extent of cover – maximum 26 weeks (Sum Insured must be at least 6

months rent)

• We will pay a contribution to legal expenses (50% up to $3,000)

Section 3 C – Rent Default

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Section 4 - Glass

• Providing cover for glass up to $5K or the amount shown in the schedule

Section 5 – Tax Audit

• Covering professional fees undertaken in the event of an audit or investigation up to $5k by a federal or state commissioner of taxation.

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Section 6 – OH&S Breaches

• Covers the legal costs & expenses the insured occurs in defending, appealing a OH&S fine/ penalty.

• Cover is provided for $100k

Section 7 – Liability

• Tailored to property owner(s) – Maintaining covers required by a property owner

• Additional Benefits - GPLC (CCC) $100K, Legal Costs & Cover for others- Cross liability & Car parks

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Section 8 – Machinery / Engineering

• Covering standard plant, security systems & electronic card access systems etc.

• Blanket cover option based on building SI or can cover specified machinery only.

• Chillers need to be insured separately as they are excluded from blanket cover.

• Additional costs associated with repair - $25k or 50% of SI, whichever is the lesser

• Consulting Engineers’ Fees - $5k.

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What are the Unique Value Added Benefits?

Sum insured Desk Top review • CGU are partnering with Reed Construction to provide a commercial SI

calculator

• We will review the sum insured after binding cover & provide a recommendation to the broker of what we believe the sum insured should be.

• If current sum insured is correct we will delete average clause, If it is not we will recommend an increase.

Right Cover surveyIt is expected that the majority of properties insured will require a survey to be completed, the Right Cover survey will provide a risk assessment plus a sum insured review.

Sum Insured Health Check

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Sum Insured Review Model

Sum Insured Desk Top Review Right Cover

Desktop review of sums insured for Property risks

Up to $5m in value.

Onsite inspection – Survey & sum Insured review for Property & BI risks

$1m up to $15m.

Building Sum Insured ReviewOnly

Building, Stock, Plant, BI Sum Insured Review

Information supplied by broker, Customer. Reliant on

information supplied

Generally Building & Fittings only Review

Onsite inspection & review of Property for values

$5m to $200m plus

Site inspection & Information supplied by Customer plus

access to Floor Plan records, Accounts

Site Inspection, floor plan& other records

(working on a potentialSolution)

Valuation

$0 $5m $15m $200m Majority of CGU Portfolio

Desk Top Review

Right Cover

Valuation

A Sum Insured Health Check will be available for ‘qualifying business’ via a Desk TopReview or a Right Cover survey. A solution for higher value properties is also being evaluated

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Advertising

• Comprehensive Cover

• Rent Default Cover

• Environmental Upgrade Cover

• Sum Insured Health Check

The product will be promoted with 4 main themes

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Insurance news. com electronic newsletter insurancenews.com

.au

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Electronic flyer: CGU to broker

Marketing collateral

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Electronic flyer:Broker to customer

Marketing collateral