1

Agreement

1.1

You have appointed Lornic Group Ltd (FSP719731), trading as Senator Risk Management NZ ("SRMNZ, we, us") as your broker in accordance with the terms of this agreement. By allowing us to continue to act as your broker you agree to be bound by the terms of this agreement. We agree to be bound by the terms of this agreement.

1.2

This agreement sets out the terms and conditions ("the terms") on which we will provide our services to you. These terms apply to all services we provide to you and are subject to any additional or alternative terms which we may advise you in writing. As your insurance broker we normally act as your representative regarding arranging insurance on your behalf. We will make all recommendations and suggestions to you regarding potential insurers based on your requirements however the final choice of insurer will remain your responsibility.

1.3

These terms apply until they are varied by agreement in writing between you and us, or until our appointment is cancelled. We may vary the services we offer you from time to time by written notice to you.

1.4

These terms are in addition to any other terms set out in any letter of authority, appointment, or authorisation signed by you, or any other terms we may provide you with from time to time to you. In the event of any inconsistency between these terms and such additional terms, the letter of authority, appointment, authorisation and additional terms will prevail over these terms.

1.5

We are members of:

PSC Connect NZ Ltd (PSCCNZ) (FSP331526) is the Full Licence Holder as approved by the Financial Markets Authority (FMA).

(c) Risk Insurance Management Society 

1.6

Our business is governed by the Insurance Intermediaries Act 1994, Financial Services Legislation Amendment Act 2019 (FSLAA) and the Financial Markets Conduct Act 2013 (FMC Act) 

(a) The Insurance Intermediaries Act governs our handling of premiums, claims and investment monies.

(b) The Financial Advisers Act governs many aspects of our relationship with you. For more information see www.fma.govt.nz                                                

1.7

Our role is limited to the provision of General Insurance Brokering and Risk Management related advice and services. Under no circumstances do we or will we act as an Insurer. Nor do we provide safety inspections, valuations or advice on every potential hazard or threat to your business. In particular

(a) we are not qualified valuers and you should always be sure to satisfy yourself that all sums insured are adequate.

(b) We cannot guarantee that all risks to your assets, person or business will be covered by any insurance we arrange. You should carefully read all policies and other documentation we issue so you understand what is or is not covered;

1.8

We may arrange insurance for you with insurers domiciled in New Zealand or overseas providers or a combination of both. We may engage the services and assistance of third party brokers, reinsurance brokers, consultants or others to assist us with the provision of the arranging and placement of such insurance for you. A list of providers and products can be found here.

1.9

We may provide you assistance with the placing and servicing of insurance for risks domiciled outside New Zealand, or the management of risks outside New Zealand. We may engage the services and assistance of third party brokers, consultants, insurance brokers, reinsurance brokers or others to assist us with the provision of such services to you.

1.10

We make no representation or warranty concerning the solvency or ability of any insurer to pay claims. In New Zealand, insurers are required to comply with the provisions of the New Zealand Insurance Companies (Ratings and Inspections) Act 1994, Schedule of Ratings and Notices of Election Not to be Rated as may apply from time to time. We will inform you of such ratings or non-rating in the terms of the above Act.

1.11

We will negotiate with insurers on your behalf and will do our best to ensure that policies and endorsements for insurance we place on your behalf are issued by your insurers promptly and correctly. These documents detail the precise terms and conditions relating to the insurance we have arranged for you and the information contained in them is important. You should carefully read and store these documents.

1.12

Upon our receipt of premiums and related statutory charges from you, we will deal with them in accordance the Insurance Intermediaries Act 1994.

2

Remuneration

2.1

Unless we tell you otherwise in accordance with normal market practice we will be remunerated by commission from the insurer when you enter into an insurance contract that we arrange (this includes renewal and some variations). We may also charge you a fee.

2.2

The commission is a percentage of the premium (excluding government charges, levies and taxes). Some insurers may pay us more than others. The rate of commission can vary according to the type of insurance and cover provided and the way the transaction is arranged. PSCCNZ retain a percentage of this commission for the services they provide to SRMNZ. Typically the commissions range between 10-30% of the company premium for most insurance products, and commissions between 5-10% of natural disaster premium.

2.3

If we operate a binder on behalf of an insurer, we may receive a higher commission in respect of that business in accordance with normal market practice.

2.4

Where we arrange the placing and servicing of insurance overseas, our overseas representatives may also receive remuneration from insurers in accordance with normal market practice.

2.5

If you wish us to provide services in addition to those already agreed, we may charge you an additional fee. Such additional fees will be agreed with you prior to us undertaking those services.

2.6

We sometimes pay a fee to a party who has referred you to us and pay this fee out of the commission received from insurers and fees you pay to us. We may also earn a fee if we have referred you to another party that performs work for you.

2.7

If we arrange premium funding for you, we may earn a commission from the premium funder. This is usually calculated as a percentage of the amount funded. We may also charge you a fee.

2.8

We reserve the right to set off any outstanding sums that you owe us in connection to any contract of insurance, from any money we receive on your behalf in relation to that insurance.

2.9

We reserve the right to make an administration charge for issuing replacement policies, certificates, copy policies or certificates requested by other parties.

2.10

In the event of a policy being cancelled mid term, and not replaced by another policy, we will refund the returned premium we receive from the insurer subject to any cancellation or administrative fee imposed by the insurer. In these circumstances we do not refund any proportion of any commission, brokerage or fee we have received.

2.11

If you pay by credit card we may charge you a non-refundable credit card fee. This fee will be shown on your invoice and reimburses us for the bank interest, extra charges/costs and internal time generates for credit card use. Typically 2.5%.

2.12

If your insurances were arranged by another party prior to our appointment:

(a) We will not be responsible for any payments made in relation to those insurances prior to our appointment (including payment of premiums and claims);

(b) We will review the relevant insurance policies within 60 days of our appointment, or as soon as practicable following receipt of the document(s), whichever is the later, and discuss with you any relevant issues we identify with those insurance policies; and

(c) We will not be responsible for the adequacy or appropriateness of such insurances for your needs, prior to our review and the implementation of any changes we recommend.

3

Your Responsibilities

3.1

You should carefully read and understand the information we have provided to you in the Insurance Documents we have provided you. If you have not received or have misplaced this important document please ask for another one as it sets out your important obligations in relation to your insurance policies.

3.2

You must provide accurate, complete and timely information to us. You are responsible for all information you provide in any proposal, claim form or other material document. We are not responsible for checking the accuracy or completeness of any information you provide to us or any insurer. We will not be responsible for any consequences resulting from a failure by you to disclose all material facts to an insurer (including, without limitation, the possibility of your insurance policies being rendered void or limited).

3.3

If you want to vary any insurance e.g. By increasing the sum insured or adding other property, you must provide us with details of the changes you require and any other information you need to disclose to insurers Any adjustment to the premium will be advised to you.

3.4

You must advise us (or your insurers) in terms of the appropriate policy of an event or circumstance that may give rise to a claim or potential claim under your insurance policy(ies). If you do not inform us (or your insurers) of such a claim or potential claim you may prejudice your rights under your insurance contracts. You will be advised if you need to complete a claim form or produce documentation to support your claim.

3.5

After receiving your insurance documents from us, you must check them and advise us promptly of anything that does not meet your requirements. Any errors should be notified to us immediately.

3.6

You must pay the premium(s), any statutory charges, government levies, taxes, GST and fees when due as set out in our invoice(s), unless premium funding has been arranged. We will give full information about premium payment options when we provide quotations.

3.7

If you do not pay the premium on time, we are required to advise the insurer. The insurer has the right to cancel the insurance and you will not be insured. The insurer may also charge a short-term premium for the time they have insured the risk.

3.8

Please note that we have no obligation to fund any premium, taxes or fees (if applicable) on your behalf and we will have no responsibility for any loss you may suffer as a result of insurers cancelling the insurance or taking and prejudicial steps as a result of late payment.

4

Electronic Communications

4.1

We may correspond with you by electronic communication unless you instruct us not to do so. We may email to you information legally required to be provided to you. In such a case, you consent to receiving this information with an electronic signature. Electronic communications are not always secure and they may be read, copied or interfered with in transit. We are not responsible for any of the risks associated with electronic communication, including loss of data.

=

5

Health and Safety

5.1

In providing you with the services, we will comply with our obligations under the Health & Safety at Work Act and we expect you to assist us in doing so. Where we visit you this includes you ensuring, so far as reasonably practicable, that the safety of our people is not put at risk. Where required, both parties will consult, coordinate and cooperate with each other in respect of shared duties under the Health and Safety at Work Act so far as is reasonably practicable.

6

Conflict of Interest

6.1

It is our official policy to avoid wherever possible conflicts of interest which could result in client disadvantage or detriment, but where these may be unavoidable, to disclose these to you and obtain your informed consent.

6.2

Refer to our website to read our official Conflict of Interest Policy www.senator-risk.com/documents                                                

7

Privacy Act 2020

7.1

Refer to our website to read our official Privacy Policy www.senator-risk.com/documents                                                

7.2

We will hold any personal information that you provide to us in accordance with the Privacy Act 2020, Any such information that we request from you will be used pursuant to the provision of the services.

7.3

It may be necessary for us to pass your information on to insurers and other product or service providers which may provide us with additional support in connection with our provision of the services.

7.4

Unless you instruct us not to do so, we may also contact you in connection with other products or services that we feel may be of interest or benefit to you.

7.5

You have the right to access and correct any of your personal information that we hold. Such information is held by us at 188c Broadway Avenue, Palmerston North.

8

Non-Dissemination of Material

8.1

Our communication with you, your employees or agents, whether written or oral are provided solely for your information and use in connection with any engagement and must not be used for any other purpose without our prior written consent. No other party is entitled to rely on any of our reports, information or advices for any purpose whatsoever, and we disclaim any responsibility to any such third party who has had communicated to them the report, information or advice provided by us to you as part of any engagement. You indemnify us by you or any of your agents, where such information and documentation is false, misleading or incomplete.

10

Complaints and Disputes

10.1

As a registered financial service provider, we are required to and are members of the Financial Services Complaints Limited (FSCL) dispute resolution service. This is a requirement of our registration and of the Financial Service Providers (Registration and Disputes Resolution) Act 2008.

10.2

Our Disputes Process is explained in full on our website at www.senator-risk.com. If you do not have access to the internet please ask us and we will provide you with a hard copy of our complaints policy.

10.3

As a requirement of membership of our chosen dispute resolution provider, we are required to and have a complaint internal dispute resolution process. What this means is that, if you have a complaint of any type about our services or our products, you are encouraged to notify us of your complaint and we will attempt to resolve it internally before it is referred to our externally complaints resolution service.

11

General

11.1

Either party can cancel our appointment by giving us no less than seven (7) business days written notice of cancellation.

Upon such cancellation notice being received, we will cease providing you services and:

(a) Withdraw from any negotiations in progress, including, without limitation, any claims or renewals of policies;

(b) Return any premiums we have received from you but not yet disbursed; and upon request, deliver to you copies of relevant correspondence we have had with your insurer in respect of any current claim.

If a contract of insurance is cancelled before the expiry of the period of insurance, we may refund the net premium we receive from your insurer(s). In no circumstances will we refund our fees, commissions or brokerage charged when the policy was arranged.

11.2

We will not cancel your contract of insurance without written instruction from a person(s) who is/are authorised to represent each of the parties who are named as insured in the contract of insurance or the approval of any interested parties noted in the contract. We cannot cancel a policy without the insurers approval and some insurance contracts contain a non-cancellation clause or cancellation or cancellation penalties which, for the avoidance of doubt, you will be responsible for paying.

11.3

We will keep all information you provide us about your business confidential and only disclose it in the normal course of negotiating, arranging and administering your insurance and, except where disclosure is required by law or where the information is already in the public domain.

11.4

You consent to being entered into our marketing database and, for the purposes of the Unsolicited Electronic Messages Act 2007, you are expressly consent to receiving email communications from us with regard to our business or the insurance industry. You may revoke such consent at any time, and we will remove you from our marketing database.

11.5

Any failure by us to enforce any right or obligation under these terms, will not in any way limit or waive our right to subsequently enforce such right or obligation.

11.6

If any part of these terms becomes invalid or unenforceable for any reason whatsoever, the remaining terms will continue to apply subject to any modifications as is necessary to continue to give them effect.

11.7

These Terms of Business Arrangement are governed by the laws of New Zealand and the parties submit to the exclusive jurisdiction of the New Zealand Courts.

11.8

We accept no liability for instructions received until we acknowledge receipt and acceptance of the instructions to you in writing.

11.9

No cover or action by us shall be deemed to be taken or given until confirmation by us in writing.

11.10

We shall be entitled to rely on all written instructions without further enquiry, including email instructions.