The Property, Stock and Business Agents Amendment (Professional Indemnity Insurance) Regulation 2012 was published on 14th December 2012.
This long anticipated legislation requires that all licensees must be insured under a policy of Professional Indemnity Insurance in force in respect to the licensee or the licensee’s employer.
All policies must be for a minimum cover of $1M for any one claim and not less than $3M in the aggregate for all claims during the period of insurance and provide cover for specified types of liabilities.
This new regulation commences on 1 January 2013 but will not take effect until 1 July 2013 in order to provide sufficient time for licensees to obtain suitable coverage. Licensees who hold an existing policy, issued before 1 January 2013, will have until 1 January 2014, or to the expiry date of that policy to ensure their existing policy complies with the regulation.
For enquiries as to how this applies to your business operations please call Geoff Hunter, EAC Industry Liaison Officer on 1300 137 161 or Bruce McCluskey, OAMPS Insurance Brokers on (02) 42268700.