LHV Pank Gold Card Travel Insurance

Terms and conditions, valid as of 1st of April 2015
Insurance number 102-5276

LHV Pank Gold Card Travel Insurance
These terms and conditions of AIG Europe Limited (Finland Branch) (hereinafter AIG) LHV Pank Gold debit/credit card (hereinafter LHV Pank Gold Card) travel insurance specify the scope of the travel insurance coverage. The policyholder is AS LHV Pank (hereinafter LHV Pank) and the insurance covers all LHV Pank Gold Card cardholders (hereinafter also the cardholders). In addition to the terms and conditions presented herein, the insurance coverage is also subject to the General Terms and Conditions of AIG’s Travel Insurance attached at the end of these terms and conditions.

1. THE INSURED
The insurance is valid for LHV Pank Gold Card cardholders, who are under 79 years of age. When travelling together with the cardholder, the insurance is also valid for the cardholder’s spouse or nonmarital partner living together with the cardholder permanently in the same household, who are under 79 years of age, and cardholder’s children, stepchildren, adoptive children and foster children who are under 20 years and living together with the cardholder permanently in the same household. Children of the cardholder under 20 years living with the other parent are also insured under this insurance, when travelling together with the cardholder.

2. VALIDITY OF THE INSURANCE
2.1 Territorial validity of the insurance The insurance is valid on trips abroad all over the world. In Estonia or in the insured’s home country, the insurance only covers accidental death and permanent disability due to an accident, starting from the time the insured leaves his/her residence, place of work or school for the airport or other point of departure for a trip to a foreign destination, and the insurance ends when the insured returns to his/her residence, place of work or school.

The insured’s home country means the country in which the insured has a permanent residence and where he/she permanently resides.

2.2 Period of validity
The insurance is valid if the insured’s LHV Pank Gold Card is valid when the trip started and the trip lasts for a maximum of 90 days. If the trip lasts for an uninterrupted period longer than 90 days, the insurance will expire 90 days after the date the trip started.

Trip cancellation cover is valid until the insured has checked-in for the trip, or the trip has started (see clause 12).

2.3 Validity of the insurance in sports and some other activities
Compensation is not payable in cases where an insurance event was caused when the insured participated in:

  • competitive sports arranged by a sports association or sports club, including games or matches, or trainings for such sports,
  • motor sports,
  • scuba diving,
  • climbing, including but not limited to mountaineering, rock and wall climbing,
  • aviation sports, including but not limited to hanggliding, paragliding, parachuting, bungee jumping,
  • off-piste skiing and speed skiing,
  • combat and contact sports, included but not limited to boxing, wrestling, judo and karate,
  • independent treks or expeditions abroad to mountains, jungles, deserts, wilderness areas or other uninhabited areas, and outside marked hiking routes,
  • ocean sailing,
  • criminal acts.

3. BENEFICIARIES
In the event of death, the beneficiary(ies) will be the insured’s next-of-kin, unless the insured has notified AIG in writing of another beneficiary. In all other benefits the beneficiary is the insured person.

4. INSURANCE COVER
The following benefits are included in the insurance cover:

Type of benefitSectionSum insured (EUR)Deductible
Medical Treatment Expenses – travel-time accident580 000, or up to 1 year-
Medical Treatment Expenses – travel-time illness580 000, or up to 45 days-
Additional travel & accommodation expenses for travel prolonged due to a travel-time illness or accident5.5up to 10 days-
Medical Aids5.6200-
Expenses for Dental care6200-
Travel emergency service – 24h7Included in the insurance-
Medical transportation to the nearest medical facility7.150 000-
Repatriation to home country due to travel-time illness or accident7.250 000-
Repatriation expenses of a child travelling with the insured7.350 000-
Repatriation due to death820 000-
Travel, board & accommodation expenses for a family member to visit the insured patient in hospital9max 2 persons, 5 days-
Accidental death, over 16 years of age1050 000-
Accidental death, under 16 years of age102000-
Permanent disability due to accident, over 16 years of age1150 000-
Permanent disability due to accident, under 16 years of age112000-
Trip cancellation122000-
Unused pre-purchased concert or sports event tickets in conjunction with trip cancellation12.115050 €
Missed departure131000-
Missed connecting flight141000-
Exchange of travel tickets in connection with trip cancellation, missed departure or missed connecting flight15150-
Trip Interruption162000-
Necessary calls in case of medical emergency17200-
Delay of departure – essential purchase18Up to 200 +2004 hours + 24 hours
Loss of luggage191000-
Restoration of documents19.2200-
Luggage delay – essential purchase20Up to 4004 hours
Legal expenses2110 000-
Liability insurance – in case of property damage22100 000-
Liability insurance – in case of bodily injury22100 000-
Rental Vehicle Excess Waiver2310 000100 €

Each of the benefits in the table above applies to an individual insurance event per insured. Benefits, conditions and exclusions are defined in each section mentioned in the table above. The insured is entitled to one indemnity, even if the insured has more than one LHV Pank card that also includes travel insurance.

5. TRAVEL-TIME ILLNESS AND ACCIDENT
If the insured suffers an acute illness or an accident during the validity of the insurance, indemnification is payable for expenses defined in these terms and conditions.

If a serious accident or illness occurs during the trip abroad, the insured shall notify the emergency assistance company of the situation before treatment commences.

5.1 Definition of travel-time illness
Travel-time illness is an illness that requires treatment by a physician and that began, or clear symptoms of which first manifested themselves during the trip abroad, or that, on the basis of medical experience, is considered to have otherwise originated during the trip abroad and for which the insured has received medical treatment during the trip or within fourteen (14) days from the end of the trip abroad.

An illness contracted before the beginning of a trip abroad does not qualify as a travel-time illness as referred to in these terms and conditions. Even if an illness is diagnosed during the trip abroad, it is not considered a travel-time illness if its first signs appeared before the start of the trip or the medical tests were incomplete before the insured left on the trip abroad.

5.1.1 Emergency treatment for a pre-existing illness
The costs of immediate emergency treatment resulting from the unexpected worsening of an illness that the insured had contracted before the beginning of the trip abroad are, however, covered for a maximum of seven (7) days from the start of illness, although other costs mentioned in these terms and conditions are not. The worsening of an illness for which tests or treatment were not completed by the start of a trip abroad is not considered to be an unexpected worsening of an illness.

5.2 Definition of travel-time accident
A travel-time accident is a sudden, unexpected, external occurrence beyond the control of the insured that causes bodily injury and takes place during the trip abroad and the insured has received medical treatment within fourteen (14) days from sustaining the injury. An injury is also deemed to be caused by a travel-time accident if it occurs against the will of the insured during his/her trip abroad and is the result of sudden physical exertion and movement, and the insured has received treatment for it from a physician within fourteen (14) days from sustaining the injury.

The following events occurring during a trip abroad are also considered to be travel-time accidents: involuntary drowning, heatstroke, sunstroke, frostbite, injury caused by a major fluctuation in air pressure, gas poisoning and poisoning caused by a substance consumed by the insured by mistake.

Injuries are not classified as travel-time accident if their cause is:

  • an injury due to an earlier illness or physical defect of the insured,
  • an injury due to an accident caused by an existing illness or physical defect of the insured,
  • a dental damage due to biting and chewing,
  • an injury due to surgery, medical treatment or other medical procedure, unless this has been carried out in treatment of an injury covered by this insurance,
  • suicide or attempted suicide,
  • an injury due to the toxic effect of a medicine, alcohol or other substance taken for its intoxicant effect, or of substances consumed as food,
  • an injury due to an infection caused by bacteria or virus,
  • infectious diseases caused by the bite or sting of an insect or a tick.

Provided that a sickness or any naturally occurring medical condition that is not related to the accident has contributed to the accidental death or injury, indemnification shall only be paid to the extent that can be considered as the direct result of the accident.

5.3 Indemnification of medical treatment expenses arising from travel-time illness or accident
The insurance covers the medical treatment expenses arising from travel-time illness and accidents as defined in sections 5.1 and 5.2 only insofar as these are not indemnified under the Health Insurance Act or some other act. The insurance covers medical treatment expenses only insofar as these are not covered by foreign legislation on indemnity for traffic accidents or industrial accidents, under EU legislation or treaties concerning the European Economic Area or under bilateral agreements on social security.

Medical treatment expenses arising from travel-time illness are indemnified up to forty-five (45) days from the beginning of the treatment. Medical treatment expenses arising from an accident that occurred during the trip are indemnified until one (1) year has elapsed after the accident.

The insurance only indemnifies against such expenses as would be payable by the insured himself/herself. If it becomes apparent that the expenses for which indemnity is sought are considerably in excess of a level considered reasonable and generally accepted and observed, AIG is entitled to reduce the amount of the indemnity in this respect. AIG reserves the right to recover any portion covered under applicable law upon payment of the medical treatment expenses.

5.4 Medical treatment expenses covered by the insurance
The insurance covers, up to the sum insured, in case of travel-time illness or travel-time accident. Medical treatment expenses are only indemnified if the examination or treatment of an illness or injury has been ordered or prescribed by a physician who is licensed and registered in the country concerned and who is not related to the insured. Furthermore, such examinations and treatments must be in line with commonly accepted medical practices and the treatment costs necessary for treating the illness or accident. The treatment must be given in a medical institution defined by the authorities as a hospital for diagnosing and treating people who are injured and sick using medical methods.

Covered medical treatment expenses are:

  • any expenses arising from necessary and urgent treatment or examination given or prescribed by a physician complying with generally accepted medical practice,
  • medical care,
  • hospital care,
  • hospitalisation,
  • costs of acquiring medication prescribed by a physician and sold with the permission of a pharmaceutical establishment, provided that the medication is prescribed for treatment in connection with the travel-time illness or accident covered under this insurance,
  • physiotherapy, up to ten sessions per injury or illness.

5.5 Additional travel & accommodation expenses for travel prolonged due to a travel-time illness or accident
The insurance covers, up to the sum insured, additional necessary and reasonable travel costs for a return trip the same or lower class as the original return ticket, and necessary and reasonable accommodation expenses up to ten (10) days at the same or similar hotel as the one in which the insured person staid during the insured trip, provided that the insured is not able to return to the home country according to the original travel plan and the return is delayed, necessarily due to a travel-time accident or illness covered by this insurance and the original and paid ticket therefore remains unused.

5.6 Medical aids
The insurance covers, up to the sum insured, the expenses arising from travel-time illness and accidents up to the sum insured for medical aids such as eyeglasses, hearing aids, or other medical aids, prescribed by a physician necessary for the treatment of a travel-time illness or accidental bodily injury caused by a travel-time accident.

The insurance will not cover medical aids for the treatment or relieve of any pre-existing condition.

5.7 The following are not covered as medical treatment expenses by the insurance
Medical treatment expenses and additional travel & accommodation expenses are not covered:

  • if the illness or injury existed when ordering the trip or when the trip started, or for medical treatment expenses incurred due to the insured having an existing illness, a chronic illness, or an incurable illness, except as described under section 5.1.1,
  • if, upon relevant medical assessment immediately before departure, the existing illness/ injury can be expected to worsen during the intended trip and the activities it would involve,
  • if the insured has rejected medical treatment of an illness/injury or medical treatment has been interrupted before the trip began,
  • for treatment of AIDS or HIV or their consequences and sexually transmitted diseases or their consequences,
  • for an injury due to the toxic effect of a medicine, alcohol or other substance taken for its intoxicating effect, for the psychological consequences of an accident,
  • for an illness caused or contracted by the bite or sting of an insect or tick or the consequences thereof,
  • for a self-inflicted injury, suicide or attempted suicide,
  • for stays at rehabilitation centre, spa or naturopathic institution, a nursing home or an institution treating alcohol or drug addictions,
  • for continued treatment if the insured refuses repatriation when a physician approved by AIG has decided to repatriate the insured,
  • if the insured travels abroad again after repatriation and this has not been agreed upon in writing with AIG,
  • for pregnancy examinations, pregnancy tests, abortion, sterilisation and examinations related thereto,
  • for childbirth, or consequences of pregnancy arising after the end of the 35th week of pregnancy,
  • for other indirect consequences, such as telephone and interpretation costs and other similar costs, except as defined under section 17.

6. EXPENSES FOR DENTAL CARE
The insurance covers, up to the sum insured, the cost of necessary treatment or examination given or prescribed by a dentist for acute toothache or for a sudden dental injury caused by a travel-time accident, if the ache started or the injury was caused, and the treatment was given at the destination during the trip.

Dental expenses incurred in the insured’s home country are not covered.

This insurance does not afford coverage for any other dental expenses than described in this section.

7. TRAVEL EMERGENCY SERVICE – 24H
Emergency assistance company provides assistance to the insured in serious medical emergencies. The emergency assistance company is SOS International AS, which provides services to our clients 24 hours a day. The emergency assistance company arranges also direct billing with hospitals or repatriation to home country, where medically necessary.

The insured should only contact emergency assistance company in serious medical emergencies or when indemnification requires the prior approval of emergency assistance company before the treatment or other service can be arranged or commence.

7.1 Medical transportation to the nearest medical facility
Insurance covers up to the sum insured:

  • any reasonable and necessary costs related to the transportation of the insured to the local physician or place of treatment at the travel destination,
  • medical transportation to the nearest hospital or institution where the insured can receive necessary medical treatment,
  • medical transportation of the insured arranged by the emergency assistance company to the nearest hospital or medical institution offering the medical treatment required by the insured.

7.2 Repatriation to home country due to travel-time illness or accident
The insurance covers, up to the sum insured, medical transport of the insured arranged and approved by the emergency assistance company to the insured’s home country. Repatriation of the insured arranged by the emergency assistance company must always be medically justifiable in accordance with the instructions of a physician approved by AIG.

AIG is entitled to demand the insured to be transported, at the expense of AIG, to home country for treatment if local treatment should be significantly more expensive than treatment of the same standard in the insured’s home country provided that such transfer will not worsen the insured’s state of health.

7.3 Repatriation expenses of a child travelling with the insured
The insurance covers, up to the sum insured, reasonable costs of repatriation arranged by emergency assistance company, for children travelling with the insured if he/she cannot be transported to his/her home country and has to stay in hospital for medical reasons. No repatriation costs for children will be paid if the spouse of the insured is on the trip.

8. REPATRIATION DUE TO DEATH
In case of death due to a travel-time illness or accident during the validity of this insurance, the emergency assistance company arranges the transportation of the remains of the insured to home country. The insurance covers necessary and reasonable costs for this transportation.

9. TRAVEL, BOARD & ACCOMMODATION EXPENSES FOR A FAMILY MEMBER TO VISIT THE INSURED PATIENT IN HOSPITAL
The insurance covers costs for transportation, accommodation and food for a round-trip arranged and approved by the emergency assistance company to the travel destination by two (2) close family members of the insured at a reasonable expense in order to visit the insured for no more than five (5) days, if the insured has no next-of-kin present and can not be transported to home country due to a travel-time illness or accident covered by this insurance and on medical advice needs to stay in hospital for at least ten (10) days.

10. ACCIDENTAL DEATH
The insurance covers compensation to the insured’s beneficiary as defined in section 3 in the event of accidental death.

Entitlement to death benefit will apply if an accidental injury leads to the death of the insured within one (1) year of the occurrence of the accident (the date of the incident). Indemnity paid to the insured for permanent disability arising from an accident will be deducted from the indemnity paid in the event of death if the death was caused by the same accident. However, no indemnity is payable if the insured dies after one (1) year has elapsed since the accident (the date of the incident).

11. PERMANENT DISABILITY DUE TO AN ACCIDENT
The insurance covers compensation in the event of permanent disability due to an accident.

Permanent disability means a medically assessed general disability due to an injury sustained by the insured. In determining disability, only the nature of the injury is taken into account; the individual circumstances of the injured, such as his profession or leisure-time pursuits, do not affect the determination of disability. The insurance covers permanent injury to an upper limb, a lower limb, the cervical spine, the back and/or the head, the eyes and hearing. The degree of disability thus caused is determined in accordance with the Schedule of Benefits, Table of Losses, or if not written in the Schedule, to the best of one’s judgement or after an medical examination by a doctor specialist.

Permanent disability is determined one (1) year after an accident, at the earliest. If the degree of disability is raised by at least two disability categories before three (3) years have elapsed since the indemnity for permanent disability was paid for the first time, a revised amount of indemnity will be paid corresponding to the rise in the disability category. A change in the degree of disability after the stated period will not affect the amount of indemnity paid.

Insurance indemnity is not paid until the injury is acknowledged as a permanent and irreversible loss. The degree of disability is defined in accordance with the Schedule of Benefits, Table of Losses.

TABLE OF LOSSES
The Benefit expressed as percentage of the sum insured

The disablementSchedule of Benefits
Loss of one armRight60%
Left50%
Loss of one hand or forearmRight60%
Left50%
Loss of one leg above the knee60%
Loss of one leg from or below the knee50%
Loss of one foot40%
Loss of sight of one eye50%
Loss of sight of both eyes100%
Complete loss of speech100%
Complete deafness of both ears100%

If the Insured is a left-handed person, then percentage specified for insurance indemnity estimate for left and right limb trauma are changed respectively.

No indemnity for permanent disability is payable if the permanent disability becomes manifest for the first time more than three (3) years after the accident.

If several parts of the body have been injured in a single accident, the maximum amount of compensation that will be paid will be based on an estimated degree of disability of 100%.

12. TRIP CANCELLATION
The insurance covers, up to the sum insured and not more than the price of the original trip, against cancellation of a trip, i.e. the insured being prevented from setting off on a trip from his/her home country, necessary because of the acute and serious illness, an accident or the death of the insured or his or her next-ofkin. The necessity is assessed on medical grounds.

Indemnification is also granted for cancellation expenses incurred from the necessary cancellation of a trip due to a significant, unexpected financial loss concerning the insured’s property in his or her home country.

In the event of cancellation, the insurance covers travel and accommodation costs up to the sum insured. Travel and accommodation costs are considered to include travel costs to and from the destination and accommodation at the destination. The insurance does not cover other costs paid in advance before the trip. Any remuneration or compensation that the insured is or would be entitled to from the tour operator or a transport company when the reason for the cancellation transpires is deducted from the indemnification.

The next-of-kin mentioned above refers to a spouse, non-marital partner living together with the insured permanently in the same household, child, adoptive or foster child, child of the spouse or non-marital partner living together with the insured permanently in the same household, grandchild, parents, parents-in-law, adoptive or foster parents, parents of the non-marital partner living together with the insured permanently in the same household, siblings, half-siblings or stepsiblings, daughter-in-law or son-in-law or, if the insured has booked the trip for two people, travelling companion.

12.1 Unused pre-purchased concert or sports event tickets in conjunction with trip cancellation
The insurance covers, up to the sum insured, in case of trip cancellation, pre-booked tickets to concerts or sports events as a viewer, which the insured has paid in advance, and cannot get a refund, and due to the cancellation the tickets remain unused.

Any remuneration or compensation that the insured is or would be entitled to from the tour operator or a ticket vendor when the reason for the cancellation transpires is deducted from the indemnification.

12.2 Exclusions applicable to trip cancellation
The cancellation of a trip is not covered if the reason for cancellation arose before the insurance began or before the trip was booked and paid for. The insurance is valid only if the illness or the injury was acute and unknown when booking the trip.

The cancellation of a trip is not covered if the sudden illness was a result of abuse of alcohol or medicine or use of intoxicants. Travel arrangements shall be cancelled as soon as possible after it has become known that the trip cannot be undertaken.

13. MISSED DEPARTURE
The insurance covers, up to the sum insured and not more than the price of the original trip, if due to a public conveyance or transport arranged by the tour operator being delayed, or if due to a private motor vehicle or taxi in which the insured is travelling is delayed due to being directly involved a traffic accident,

  • the insured is outside his/her home country unable to reach the place of departure of a pre-booked flight, boat or train trip, or
  • the insured is in his/her home country unable to reach the place of departure of a pre-booked international flight to start a trip abroad. The insurance indemnifies reasonable and necessary extra transport and accommodation expenses.

Any remuneration or compensation that the insured is or would be entitled to from the travel organizer or the airline company is deducted from the indemnification. The original receipts and a statement on the travel bookings and the related confirmation received must be appended to the loss report.

No indemnity is payable:

  • if the insured has failed to be at the point of departure as per the written instructions set by the transport company, or
  • if the missed connecting flight is due to the fact that the transfer time in the original travel plan is less than 2 hours; or
  • for missed departure in the home country of the insured person, except for the insured being delayed from an outward air travel to start a trip abroad.

14. MISSED CONNECTING FLIGHT
The insurance covers, up to the sum insured, against missed connecting flight, if the insured can not reach the departure point of the connecting flight due to airline company’s service failure for the following reasons: weather conditions, natural catastrophe, technical reasons, criminal act, action by an authority, overbooking or cancellation of the flight.

The insurance indemnifies reasonable and necessary extra transport and accommodation expenses abroad up to the sum insured.

Any remuneration or compensation that the insured is or would be entitled to from the travel organizer or the airline company is deducted from the indemnification. The original receipts and a statement on the travel bookings and the related confirmation received must be appended to the loss report.

No indemnity is payable:

  • if the insured has failed to be at the point of departure as per the written instructions set by the transport company, or
  • if the missed connecting flight is due to the fact that the transfer time in the original travel plan is less than 2 hours.

15. EXCHANGE OF TRAVEL TICKETS IN CONNECTION WITH TRIP CANCELLATION, MISSED DEPARTURE OR MISSED CONNECTING FLIGHT.
The insurance covers, up to the sum insured, in case of trip cancellation, missed departure, or missed connecting flight, as defined in sections 12, 13 and 14, the cost of exchanging the insured persons travel tickets which would remain unused, to allow the insured person to rebook their travel.

16. TRIP INTERRUPTION
The insurance covers trip interruption up to the sum insured and not more than the price of the original trip. The trip is considered interrupted, if

  • the insured person has to prematurely return to his/her home country from a trip that has already commenced, necessary due to his/her next-of-kin in the home country or the insured person him/herself suffers an acute, serious and unexpected illness, accident or death.
  • The insured is hospitalized during the trip necessary due to an acute, serious accident or illness.
  • The next-of-kin travelling with the insured person is hospitalized during the trip necessary due to an acute, serious and unexpected illness or accident, or the next-of-kin travelling with the insured person dies during the trip.
  • The next-of-kin travelling with the insured person has to prematurely return to the home country from an already commenced trip due to his or her own acute and serious accident, illness or death, and the insured person returns to his or her home country together with the next-of-kin.

The necessity is assessed on medical grounds.

The next-of-kin mentioned above refers to a spouse, non-marital partner living together with the insured permanently in the same household, child, adoptive or foster child, child of the spouse or non-marital partner living together with the insured permanently in the same household, grandchild, parents, parents-in-law, adoptive or foster parents, parents of the non-marital partner living together with the insured permanently in the same household, siblings, half-siblings or stepsiblings, daughter-in-law or son-in-law or, if the insured has booked the trip for two people, travelling companion.

In case a trip is interrupted, the insurance covers:

  • unavoidable, additional travel and accommodation expenses of the insured, but not food or meal costs,
  • unused services, excursions and travel at the destination for which the insured has paid in advance, and cannot get a refund,
  • lost travel days due to an untimely return or hospitalisation.

Indemnity for the same period is paid for only one reason, i.e. either for hospitalisation or for untimely return. The remuneration or compensation that the insured is entitled to from the transport company or the tour operator is deducted from the indemnity.

No indemnity is payable for extra transport and accommodation expenses or other similar expenses, except as defined under section 5.5, if the trip is extended due to travel-time illness or accident.

Costs arising from the repatriation of a transport vehicle are not covered if a trip is interrupted.

16.1 Indemnities for travel days lost
Indemnity for travel days lost is payable for the duration of hospital treatment or due to untimely return to the insured who has been hospitalized during the trip due to a travel-time illness or accident covered by this insurance or has interrupted his/her trip due to a reason defined in section 16.

As travel days lost, the insurance indemnifies for the same percentage of the total costs of the immediate travel expenses paid before the start of the trip as the ratio of travel days lost to total travel days, but not in excess of the sum insured defined in section 4.

The number of travel days is calculated in full 24-hour periods as of the moment the trip begins. The lost travel days are calculated correspondingly, from the commencement of hospital treatment or of interruption of the trip until hospital treatment ceased, but not beyond the date the trip was scheduled to end. If the last full period calculated in this manner is exceeded by 12 hours, the latter is considered a full day.

If the insured loses three quarters of all travel days, he/she is considered to have lost all travel days.

17. EXPENSES FOR NECESSARY CALLS IN CASE OF A MEDICAL EMERGENCY
The insurance covers, up to the sum insured, necessary additional telephone call expenses to the insured person, if:

  • the insured’s trip is interrupted (section 16),
  • the insured’s trip is prolonged, necessary due to medical reasons (section 5.5).

18. DELAY OF DEPARTURE – ESSENTIAL PURCHASE
The insurance cover is intended for situations in which the insured has to await the departure of a flight or other public conveyance forming part of the original travel plans for more than four (4) hours owing to a delay in the flight or other public conveyance or because of overbooking.

The purchases and overnight accommodation must take place in the travel destination where the delay occurred. Necessary and reasonable living expenses and any accommodation expenses are covered, up to the sum insured, abroad or in home country in conjunction with flight abroad.

Costs of necessary clothes and hygiene products shall also be indemnified provided that the insured has been obligated to check-in his/her luggage to the possession of the organizer of the flight.

The transport company has the primary liability, and the insured must always first claim compensation from the transport company. Any remuneration or compensation that the insured is or would be entitled to from the tour operator or transport company are deducted from the indemnification.

The insured must obtain from the airline company, transport company or tour operator a written confirmation of the delay and the reason for the delay. The original receipts and a statement on the travel bookings and the related confirmation received must be appended to the loss report.

Public conveyance refers to the licensed transportation of passengers on regular routes. Chartered flights are considered to be public conveyance if the aircraft used was ordered by a travel agency or a tour operator. Where the delay is over 24 hours expenses are indemnified up to a doubled sum insured.

18.1 Exclusions applicable to delayed flight
The insurance does not cover:

  • flights other than customarily registered charter or regular flights,
  • if the delay is due to the insured’s failure to check in for the flight in accordance with the rules set by the airline company,
  • on the basis of a delay due to a strike or industrial action that the insured was aware of before setting off on the trip,
  • on the basis of a delay due to the imposition of a flight ban or other action by the aviation authorities or other authorities that the insured was aware of before setting off on the trip.

19. LOSS OF LUGGAGE
19.1 Luggage
The insurance covers, up to the sum insured, against loss or damage of the insured’s customary luggage or certain documents specified below which has been caused by a sudden, unforeseeable occurrence.

Customary luggage means utility articles that the insured carries with him/her or that accompany the insured on the trip.

19.2 Restoration of documents
The insurance covers up to the sum insured against loss or damage valuable documents the insured carries on a journey with him. Covered documents are passport, identification papers, driver’s licence, automobile registration papers, and bank-, credit- and other payment cards. The sum indemnified for these documents is the cost of replacing them.

19.3 Amount of indemnity
The compensation for items that are less than one (1) year old and in good condition is based on the purchase price of equivalent items. Otherwise compensation will be determined based on the value of the item at the time of occurrence, in which case the following age reductions are deducted from the purchase price based on the item’s age starting from the second year of use:

Age reduction for items per year%
Digital camera20%
Other electronic and optical equipment10%
Navigator20%
Bicycles, motor-driven tools and machines10%
Mobile phones and their accessories40%
Camping and fishing equipment20%
Clothes, accessories, footwear, sportswear and sports equipment 25%
Suitcases and handbags25%
Children’s push chairs25%

Age reduction does not apply to repair costs based on invoices. Damaged items will be replaced mainly by having them repaired. If the repair costs exceed the value at the time of occurrence determined according to the above, the insurer will compensate for value at the time of occurrence.

If an object is covered by several insurances, the total amount of the indemnity cannot exceed the amount of loss or damage incurred, minus any deductibles.

19.4 Exclusions applicable to luggage cover
Luggage not covered by the insurance:

  • cash, cheques, tickets or purchase coupons
  • jewellery, gems, fur coats,
  • eyeglasses or contact lenses, sunglasses, dental prostheses, hearing aids or other personal auxiliary devices,
  • motor vehicles or motor-driven equipment, caravans or trailers, watercraft, aircraft, or parts and accessories of any of these,
  • computer hardware, computer software, computer files or parts thereof, fax machines or photocopying machines,
  • manuscripts, collections or parts thereof,
  • merchandise, samples, advertising material, commercial or educational films or tapes, photographs, drawings or program diskettes,
  • animals and plants,
  • household effects in transit or ordinary freight,
  • goods and utility articles stored at the travel destination for more than three (3) months,
  • windsurfing board including its sail,
  • property rented or borrowed during the trip or damage caused thereto.

No indemnity is payable for:

  • damage to luggage from using it,
  • luggage which has disappeared or been mislaid,
  • misuse of a means of payment, such as a credit- or ATM card,
  • cash or credit card or other means of payment which has been lost or mislaid,
  • financial loss from unauthorised use of a mobile phone,
  • any loss arising from the ordinary use of goods, or damage to goods caused by wear, chafing, scratching or insufficient protection,
  • any loss arising from an action taken by the authorities,
  • any loss arising from having goods repaired, cleaned or otherwise handled,
  • any loss caused gradually by, for example, weather conditions or moisture,
  • any loss caused by pressure waves created by a supersonic aircraft,
  • any loss of or damage to bicycles, skis or other sports equipment incurred from their use,
  • any loss of or damage to objects or property rented or borrowed during the trip.

The insurance does not cover any loss indemnified under some special law, guarantee or other insurance. Similarly, the insurance does not cover a theft which has not been reported to the local police or, if this is not possible, to the transport company, tour operator or hotel within 24 hours.

19.5 Safety regulations and their purpose
The purpose of safety regulations is to prevent loss or damage and to reduce the extent of loss or damage.

Failure to observe the safety regulations may result in the insurance company reducing the indemnity or refusing to pay it altogether.

19.5.1 Public places
The insured must not leave his/her luggage without continuous supervision in public places such as public transport stations, squares, restaurants, shops, lobbies of hotels or other accommodation establishments, beaches, sports fields or stadiums, public conveyances or popular tourist sites.

If bicycles, skis, snowboards or other sports equipment have to be left outside or in public areas without supervision, they must be locked to a stand intended for this purpose or other suitable corresponding fixture.

19.5.2 Storage in a residential or storage space
If an object or equipment which exceeds 340 € in value is kept in a hotel room, ship’s cabin or other residential space, such object or equipment must be stored in a fixed and separately locked space, provided its use and size and the conditions so allow. No object or equipment worth over 170 € may be kept in a tent or shared accommodation, unless supervision is separately arranged.

19.5.3 Vehicles and comparable modes of transport
In motor vehicles, caravans, boats or comparable modes of transport, property must be stored in a locked storage space. Ski boxes, panniers, tank bags and trailers, for instance, do not qualify as such storage space. If luggage is stored in the storage compartment of an estate car or similar vehicle, it must be covered.

19.5.4 Other regulations
Instructions issued by the manufacturer, seller or importer of an object must be complied with.

Instructions, including packaging instructions, issued by the carrier must be complied with. Any liquids or staining or corrosive substances must be transported separately and packed in such a way that they cannot stain other luggage. Fragile objects and theft-prone valuables must be carried as hand luggage in public conveyances.

20. LUGGAGE DELAY – ESSENTIAL PURCHASE
The insurance covers, up to the sum insured, the costs arising from purchase or rent of essential articles, if the registered/checked-in luggage has not been distributed within more than four (4) hours of the arrival of the means of transport at the destination outside the home country.

Essential articles may include clothes and toiletries. The necessity of the acquired articles will be assessed in relation to the purpose of the trip.

A certificate of the luggage delay from the transport company and receipts for personal purchases or rented equipment must be obtained and retained. The transport company has the primary liability, and the insured must always first claim compensation from the transport company.

Indemnity is payable on condition that:

  • the luggage has been checked in with an airline as accompanying luggage,
  • the insured has taken reasonable steps to recover the luggage,
  • delay in the transport of luggage has been reported to the transport company concerned immediately and the insured has provided a certificate of the delay in the transport of the luggage and a certificate of its return when presenting his/her claim,
  • the essential articles has been purchased or rented before the return of the delayed luggage,
  • the insured has the original receipt(s) for his/her purchases or for renting of essential articles.

20.1 Exclusions applicable to luggage delay
No indemnity is payable for delay in the case of

  • flights other than customarily registered charter or regular flights,
  • luggage seized by customs or the authorities,
  • a delay due to a strike or industrial action that the insured was aware of before setting off on the trip,
  • a delay due to the imposition of a flight ban or other action by the aviation authorities or other authorities that the insured was aware of before setting off on the trip,
  • luggage delayed when returning to home country.

21. LEGAL EXPENSES
The insurance covers, up to the sum insured, legal consultation and assistance, for which the expenses have been preapproved by AIG, if the insured has been party to a traffic accident and has as a result been arrested.

Indemnification for services listed above requires that AIG has granted approval for the necessary measures taken before the service is arranged or begun. AIG claims department shall advise the insured regarding the procedure best suited for each event of loss and inform the insured about his/her right to choose an advocate to represent the insured.

22. LIABILITY INSURANCE IN CASE OF PROPERTY DAMAGE AND IN CASE OF BODILY INJURY
The insurance covers, up to the sum insured, material damage or bodily injury that the insured has caused to a third party through his/her act or negligence during the validity of the insurance and which the insured is thereby, under current legislation, liable for. AIG will also investigate the grounds for and the amount of the claims presented to the insured and undertake the handling of any litigation. Loss or damage caused by children is indemnified even if they cannot be held liable because of their age. The insurance also covers loss or damage caused deliberately by a child under 12 years of age.

22.1 Exclusions applicable to liability insurance
No indemnity is payable for:

  • loss or damage to the insured himself/herself, or to a family member or a travelling companion of the insured,
  • loss or damage arising due to an assault or a fight, or in connection with another actual or attempted crime,
  • loss or damage to property that, at the time of the act or negligence, was or still is in the custody of the insured, either on loan or otherwise handled by the insured to his or her benefit, e.g. rented by the insured,
  • loss or damage caused by the possession or use of a motor vehicle, motor-driven equipment, or a vessel, boat or aircraft that has to be registered,
  • for any loss caused with or to a rented vehicle, except as defined under section 23.
  • the spreading of an infectious disease, or any sexually transmitted disease,
  • a fine or any other similar sanctions.
  • loss or damage caused by the insured while practising his or her occupation, trade or other gainful employment,
  • loss or damage for which liability is based on an agreement, a commitment, a promise or guarantee,
  • loss or damage for which the insured is liable in his or her capacity as the owner or occupant of a building,
  • loss or damage covered under other valid liability insurance of the insured.

The indemnity may be reduced or disallowed in the cases mentioned in sections 2.1, 2.2 and 2.3 of the General Terms and Conditions of Travel Insurance of AIG.

22.2 Indemnification against loss or damage
The insurance covers losses up to the maximum sum insured defined in section 4. Loss or damage occurring in the same event or under the same conditions is considered to constitute a single loss event. Where several parties are jointly liable to make good a case of loss or damage, the insurance indemnifies against that part of the loss or damage that corresponds to the culpability attributable to the insured and to any advantage he/she may have gained through the loss event. Otherwise, the insurance indemnifies only the per capita share of the total loss.

22.3 Settlement of claims and trial
AIG will investigate the liability of the insured, negotiate with the claimant for a settlement and pays the indemnity for the loss or damage. The insured must provide AIG with the opportunity to assess the extent of the loss or damage and to reach a settlement. If a loss event results in legal action, the insured must immediately notify AIG thereof. AIG has the right to decide on any measures related to the legal action. If the insured has not notified AIG of legal action and AIG suffered damage as the result of a violation of the notification obligation, AIG is entitled to reduce compensation for costs arising from a legal action to the extent of such damage. If the insured compensates, agrees to compensate or accepts a demand to compensate loss or damage without the consent of AIG, this will not bind AIG unless the amount or grounds of the compensation are manifestly reasonable If AIG is ready to make a settlement with the party suffering the loss or damage but the insured is not, AIG is not liable to indemnify any costs incurred thereafter or to make further investigations on the matter.

23. RENTAL VEHICLE EXCESS WAIVER
The insurance covers losses, up to the sum insured, for rental vehicles rented by the insured person. The Rental Vehicle Excess Waiver is valid, when the rental fee is 100% paid with the insured person’s LHV Gold card. If the insured person’s rental vehicle rented from an authorized rental company or agency during a trip suffers material damage or is stolen, for which the insured person in accordance to the valid rental agreement is liable for, the insurance will cover the expenses in accordance with the liability shown on the rental agreement, up to the sum insured.

23.1 Exclusions applicable to rental vehicle excess waiver
No compensation will be paid:

  • for damage to rental vehicles, where the rent is not paid with a LHV Gold card.
  • for expenses to the extent that they are, waived or paid by the rental company or its insurers or any other party,
  • for any property or expenses which should be recoverable under any other insurance,
  • for loss of bonus, or any other indirect loss,
  • for business interruption or cost of replacement vehicle or other replacement transportation,
  • for losses essentially attributable to the insured person’s consumption of illegal narcotics,
  • for driving any kind of vehicle while the alcohol level or drug level in the insured person’s blood is higher than the legal limit of the country where the incident occurs,
  • for operation of the rental vehicle not in accordance with the terms of the rental agreement or by persons who are not named as the driver on the rental agreement
  • for operation of a rental vehicle by any person who do not have a valid driving licence,
  • for operation of rental vehicle by any person who is not insured under this insurance,
  • for damage caused by wear and tear, gradual deterioration or resulting from manufacturing or design defects,
  • for any other vehicle than a car,
  • for damage caused in the interior of the vehicle which is not the consequence of theft or a traffic accident
  • for benefits payable under Motor Third Party Liability Insurance Act or law similar to the foregoing in any state or territory,
  • for losses occurring from driving whilst not on a public road.

24. GENERAL INSURANCE EXCLUSIONS APPLICABLE TO ALL BENEFITS COVERED UNDER THIS INSURANCE
24.1 War
AIG is not liable for any loss or damage caused by war, armed conflict, revolution, riot or use of military force.

24.2 Terrorism
The insurance does not cover loss caused by an act of terrorism.

‘Act of terrorism’ means the use of force or violence or the threat of such, intended to cause or resulting in property damage, personal injury or disturbance, or action which endangers human life or property when the action is directed against an individual, property or authority, and its expressed or otherwise obvious aim is the attainment of financial, ethnic, nationalist, political, racial, religious or other goals.

No indemnity is payable for any injury or death due to war or a terrorist act. Acts of terrorism also include acts, which the government concerned has proved or stated to be acts of terrorism. Robberies or other criminal acts whose aim is the perpetrator’s personal good, and acts caused by personal relationships between the perpetrator(s) and victim(s) are not deemed acts of terrorism.

24.3 Earthquake, volcanic eruption
No indemnity is payable for loss or damage directly or indirectly caused by:

  • earthquake, or
  • volcanic eruption.

24.4 Nuclear damage, radioactive, biological and chemical materials
No indemnity is payable for loss or damage due to:

  • a nuclear accident described in the Radiation Act, regardless of where the accident occurs,
  • use of radioactive substances or emissions which either directly or indirectly result in a nuclear reaction, radioactive radiation or contamination,
  • use, escape or release of poisonous biological or chemical substances which have been deliberately used in an act of terrorism.

24.5 Nuclear damage
The insurance does not cover any loss or damage caused by a nuclear accident that can be associated with military operations.

24.6 Gross negligence
If the insured has caused the loss event through gross negligence, AIG ´s liability may be reduced, depending on what is reasonable in the circumstances.

24.7 Other general exclusions applicable to all benefits covered under this insurance
No indemnity is payable for loss or damage:

  • for the insured’s participation in violent industrial action, insurrection or other violent civil commotion in a public place,
  • for an accident caused by the insured’s participation in active military, police, militia, or peace-keeping operations or exercises for such operations,
  • for an aviation accident if the insured is a member of the crew of the aircraft or performing duties related to the flight,
  • caused by a landslide or avalanche,
  • caused by criminal acts committed by the insured person or his next-of-kin,
  • caused by fighting, except in self-defence,
  • for claims stemming from laws or guidelines issued by customs or other authorities.
  • if the insured or other person entitled to indemnity, irrespective of state of mind or irresponsibility, has caused deliberately or though his/her gross negligence the insurance event, or the loss resulted from his/her use of pharmaceuticals, surgery, treatment or medical examination not stemming from the accidental injury covered under this insurance, or if an injury was caused when the insured was under the influence of alcohol, other intoxicants, barbiturates or drugs,
  • if the insured is riding or is a passenger on an over 125 cc motorcycle,
  • participation in high-risk expeditions or exploratory voyages,
  • seizure of luggage by the authorities,
  • expenses covered by the Health Insurance Act or other acts.

25. CLAIMS PROCEDURE
25.1 Actions to be taken in the event of an incident
The claimant must provide AIG with the documents and information it needs to assess its liability. A travel loss report must be made on the AIG’s form, whenever possible, and be signed.

In the event of loss or damage, immediately contact the insurance company, or in case of emergency, contact the emergency assistance company. If AIG suffers damage as the result of a violation of the obligation to immediately notify AIG of the occurrence of an incident, AIG may reduce compensation to the extent of such damage.

Local Claims handling Insurance Assistance:
AIG Europe Limited
Post Office Box 7024
14002 Tallinn, Estonia
Tel. +372 6 867800
E-mail: aig@transcom-estonia.ee
Fax +372 6 737242
(Mon-Fri 9-20, Sat 10-16)

Emergency Assistance Company:
SOS International AS
Copenhagen, Denmark
Tel. + 45 7010 5054
Fax + 45 7010 5056
E-mail: sos@sos.dk
(24 h service )

Insurance company:
AIG Europe Limited (Finland Branch)
Kasarmikatu 44
00130 Helsinki, Finland

In cases that incur minor costs, the insured must first meet these costs himself/herself before subsequently applying for indemnity upon his/her return from the trip by presenting the original receipts.

Claims must be submitted to AIG within three (3) years of the end of the calendar year during which the claim falls due. A claim falls due after the occurrence of an insured event and the completion of the process of determining the extent of the AIG's performance.

If AIG has been informed of a claim, the running of the limitation period shall be suspended until the insured receives the decision made by AIG concerning the claim. In this case, the claim expires ten (10) years after the end of the calendar year during which the claim fell due.

If the insured submits a claim to AIG and AIG notifies the insured in writing of the denial of the claim, AIG shall be released from the performance obligation if the insured does not file an action for compulsory performance of the obligation within one (1) year as of the receipt of the response denying the claim and legal consequences of the expiry of the one (1) year term.

25.2 Procedure for indemnification of medical treatment expenses
The insured must pay medical treatment expenses himself/herself and apply first for compensation under the Health Insurance Act. The insured is advised to submit an application for compensation to the Estonian Health Insurance Fund without delay. AIG shall process the insured’s claim after the insured has submitted to AIG the original receipts for any compensation paid by the Estonian Health Insurance Fund and copies of any receipts submitted to the Estonian Health Insurance Fund by the insured. Any receipts against which the insured has not received compensation under the Health Insurance Act or any other act and which are then submitted to AIG must be original.

If the entitlement to compensation under the Health Insurance Act has been cancelled because the insured person has not filed due application, AIG will deduct from the indemnity the part that would have been paid under the Health Insurance Act.

25.3 Loss report
The loss report shall include at least:

  • insurance number 102-5276,
  • a brief description of the claim,
  • travel ticket or other proof of the trip,

Medical treatment expenses:

  • physician’s certificate, duly dated and signed, with
    an accurate description of the illness or injury,
  • original receipts for services, treatment and
    medication costs and prescriptions.

Trip cancellation:

  • physician’s certificate, duly dated and signed, with an accurate description of the illness or injury or other certificate,
  • a certificate of any remuneration or compensation from the transport company, tour operator or ticket vendor,
  • in case of unused tickets, the original tickets,
  • in case of death, death certificate.

Trip delay:

  • a certificate from the transport company concerning the delay,
  • original receipts and a statement concerning food and accommodation costs.

Trip interruption:

  • physician’s certificate, duly dated and signed, with an accurate description of the illness or injury or other certificate,
  • a certificate of additional costs,
  • in case of death, death certificate.

Accidental death:

  • in the event of death, a death certificate, the record of an autopsy, if any, and documents defining the beneficiaries (e.g. deed of estate inventory, extract from the population register giving details of relatives),
  • police investigation report, if any.

Permanent Disability due to an accident

  • in the event of an accident, a description of the loss event and names and contact details of witnesses, if any,
  • physician’s certificate, duly dated and signed, with an accurate description of the injury,
  • date of the examination carried out by a physician and the physician’s contact details.

Luggage cover

  • description of lost luggage,
  • a copy of the claim form presented to the carrier and/or theft report presented to the police,
  • in the event of delayed luggage, a certificate issued by the airline and a certificate of the return of the luggage to the insured,
  • original receipts of costs for or renting of essential articles.

Legal expenses

  • contact AIG or Travel Emergency Service. Liability cover
  • contact AIG or Travel Emergency Service.

If needed AIG will ask for additional documentation and attachments.

If AIG has asked the insured to submit to an medical examination carried out by a physician, AIG will indemnify the insured for the expenses arising from the examination. AIG is not liable to pay for examinations and certificates that have been performed or requested without AIG’s explicit prior written consent and approval. In the event of indemnity paid on the death of the insured, AIG is entitled to request that an autopsy be performed, of which the costs will be paid by AIG.

25.4 Fraudulent information
If the insured makes fraudulent statements, withholds or conceals anything that may be of significance when assessing the claim, compensation shall not, as a rule, be paid.

25.5 Force majeure
The insurance shall not indemnify for any loss or damage due to war, war-like conditions, revolution, riots, strikes, lockouts or other similar events.

25.6 Recommended procedures if the insured is not satisfied with claims handling
If the insured is not satisfied with the settlement decision, he/she should contact the claims handler. The claimant can also contact the Estonian Consumer Protection Board.




GENERAL TERMS AND CONDITIONS OF AIG’S TRAVEL INSURANCE
1. KEY CONCEPTS OF TRAVEL INSURANCE
Insurance company: AIG Europe Limited (Finland Branch).

The sum insured is the maximum amount of indemnity entered in the table of benefits.

The insurance event is an event for which indemnity is paid according to the insurance.

The safety regulation is the obligation stipulated in the terms and conditions of the insurance or otherwise set forth in writing to observe the regulations aimed at preventing or restricting occurrence of a loss.

2. OBLIGATION TO PREVENT AND LIMIT LOSS OR DAMAGE
2.1 Obligation to observe safety regulations
The insured shall observe the safety regulations stipulated in the terms and conditions of the insurance or otherwise provided in writing. If the insured has wilfully or through his/her own negligence failed to observe the safety regulations, the indemnity may be reduced or disallowed. The effect of the failure to observe the safety regulations on the occurrence of the loss is taken into account when considering whether to reduce or disallow the indemnity. Moreover, the insured’s intent or type of negligence and any other circumstances shall be taken into account.

2.2 Obligation to prevent and limit loss or damage (salvage obligation)
In the case of an insurance event or the immediate threat of one, the insured shall, according to his/her abilities, take the necessary action to prevent or lim-it the loss or damage. If the loss or damage is caused by an outside party, the insured shall take the necessary action to uphold AIG’s right vis-à-vis the tort-feasor. The insured shall, for instance, at-tempt to establish the identity of the tort-feasor. If the loss or damage resulted from a punishable act, the insured shall, without delay, report this to the police and demand the perpetrator’s conviction if the AIG’s interest so requires. The insured shall in other ways, too, observe all instructions given by AIG aimed at preventing and restricting loss or damage. AIG will indemnify for expenses caused by fulfilment of the above salvage obligation even if the sum insured would thus be exceeded.

2.3 Failure to observe safety regulations or to prevent and limit loss or damage under liability insurance
Under liability insurance, the indemnity is not reduced or disallowed owing to negligence on the part of the insured. However, if the insured has wilfully or through gross negligence failed to observe the salvage obligation or if the insured’s use of alcohol or other intoxicant has contributed to the negligence, the indemnity may be reduced or disallowed. If the insured has failed to observe the salvage obligation through gross negligence or if the insured’s use of alcohol or other intoxicant has contributed to the negligence, AIG will nevertheless pay from liability insurance the part of the indemnity which the natural person who has suffered the loss or damage has been unable to collect because of the insured's state of insolvency as authenticated by distraint or bankruptcy.

3. CAUSING AN INSURANCE EVENT

3.1 Personal insurance

3.1.1 Insurance event caused by the insured
AIG is released from liability to any insured who has wilfully caused the insurance event. If the insured has caused the insurance event through gross negligence, AIG’s liability may be reduced, depending on what is reasonable under the circumstances.

3.1.2 Insurance event caused by a person entitled to indemnity
If a person other than the insured who is entitled to indemnity has wilfully caused the insurance event, AIG is released from liability to such party. If such a person has caused the insurance event through gross negligence or if he/she was at an age or in a state of mind which means that he/she could not be sentenced for a crime, the indemnity or part of the indemnity may be paid to him/her, but only if this is deemed reasonable considering the circumstances in which the insurance event was caused. If the insured has died, other parties entitled to indemnity shall be paid the part of the indemnity which is not paid to the person or persons who caused the insurance event.

3.2 Non-life insurance
AIG is released from liability to any insured who has wilfully caused the insurance event. If the insured has caused the insurance event through gross negligence or if the insured’s use of alcohol or some other intoxicant has contributed to the insurance event, the indemnity payable to him/her may be reduced or disallowed.

The extent to which the insured’s action has contributed to the occurrence of loss or damage is also taken into account in considering whether the indemnity is to be reduced or disallowed in the above-mentioned cases. Moreover, the insured’s intent or the type of negligence and other circumstances are also taken into account.

3.3 Causing an insurance event covered by liability insurance
Under liability insurance, AIG is released from liability to the insured who has wilfully and unlawfully caused the insurance event. If the insured has caused the insurance event through gross negligence or if the insured’s use of alcohol or other intoxicant has contributed to the insurance event, AIG will nevertheless indemnify from liability insurance for that part of the indemnity which the natural person who has suffered the loss or damage has been unable to collect because of the insured’s state of insolvency as authenticated by distrait or bankruptcy.

4. IDENTIFICATION IN NON-LIFE INSURANCE
What is stated above concerning the insured with regard to causing an insurance event or observing the safety regulations or the salvage obligation also applies to a person:
(1) who owns jointly with the insured the insured property and uses it jointly with him/her; or
(2) who co-habits with the insured and uses the insured property jointly with him/her.

What is stated above about the insured with regard to observing the safety regulations also applies to a person who, on the basis of his/her employment or official post with the policyholder, is responsible for supervising the observance of such regulations.

5. BENEFICIARY
The insured has the right to name a person (beneficiary) who is entitled to the indemnity instead of the insured. The insured may change or cancel the beneficiary clause if the insurance event to which the clause is intended to be applied has not occurred. AIG must be notified of any cancellation or change in the beneficiary clause in writing.

6. INDEMNIFICATION PROCEDURE

6.1 Obligations of an insured
The insured shall comply with the instructions for claiming indemnity given in the terms and conditions of the travel insurance and provide AIG with the documentation mentioned therein.

The insured shall provide AIG with documents and information necessary for the assessment of AIG’s liability. The insured is required to acquire the documentation which he/she is best equipped to acquire, while taking into account that AIG may also acquire such documentation. AIG is not obliged to pay indemnity before it has acquired the mentioned documentation.

If the insured has, after the insurance event, fraudulently provided AIG with erroneous or deficient information which is of importance in investigating the insurance event and AIG’s liability, the indemnity can be reduced or disallowed, depending on what is reasonable under the circumstances.

6.2 Limitation of right to obtain indemnity
Claims must be submitted to AIG within three (3) years of the end of the calendar year during which the claim falls due. A claim falls due after the occurrence of an insured event and the completion of the process of determining the extent of the AIG's performance.

If AIG has been informed of a claim, the running of the limitation period shall be suspended until the insured receives the decision made by AIG concerning the claim. In this case, the claim expires ten (10) years after the end of the calendar year during which the claim fell due.

If the insured submits a claim to AIG and AIG notifies the insured in writing of the denial of the claim, AIG shall be released from the performance obligation if the insured does not file an action for compulsory performance of the obligation within one (1) year as of the receipt of the response denying the claim and legal consequences of the expiry of the one (1) year term.

6.3 AIG’s obligations
After the occurrence of an insurance event, AIG shall provide the claimant, e.g. the insured and the beneficiary, with information on the contents of the insurance and the claim procedure. No advance information given to the claimant on the indemnity, the amount of indemnity or the method of payment will affect the payment obligation as stated in the insurance contract. AIG will pay the indemnity for the insurance event in accordance with the insurance contract or notify the claimant of non-payment of indemnity without delay and within 30 days of the date on which it received the documentation and information necessary for the assessment of its liability, unless otherwise provided by law. If the amount of the indemnity is disputed, AIG will nonetheless pay any undisputed part of the indemnity within the said period. AIG pays penalty interest on any delayed indemnity in accordance with the Law of Obligations Act.

7. LODGING AN APPEAL AGAINST A DECISION MADE BY THE INSURER
The claimant has several ways at his/her disposal for appealing against a decision made by AIG. If the matter remains unsettled after he/she has contacted AIG, he/she may ask for advice and counselling from the Estonian Consumer Protection Board or request a decision recommendation from the Board. Anyone who is dissatisfied with AIG’s decision may also bring action against AIG in court.

7.1 Right to correct
If a claimant suspects that AIG has made a mistake in its indemnity decision or some other decision, he/she has the right to obtain more information about matters which have led to the decision. AIG will revise the decision if the new investigations give cause to do so.

7.2 Estonian Consumer Protection Board issuing recommendations
If the claimant is dissatisfied with AIG’s decision, he/she may ask the Estonian Consumer Protection Board for advice and counselling. The Board is an impartial body whose function is to advise consumers in insurance and indemnity matters.

AIG’s decision can be submitted to the Estonian Consumer Protection Board. The Board’s function is to make recommendations for decisions in disputes which concern interpretation and application of the law and insurance terms and conditions in an insurance relationship on the basis of consumer protection legislation. The Board will not handle a case while it is pending or when a ruling has been given in court. The counselling services and statements of the boards are free of charge.

7.3 County court
If the claimant is dissatisfied with AIG’s decision, he/she may bring action against AIG. The action may be brought in the county court in the claimant’s domicile in Estonia, in the domicile of AIG or in the place of loss in Estonia, unless otherwise prescribed by Estonia’s international agreements. Action against AIG’s indemnity decision must be brought within one (1) year of the claimant being informed in writing about AIG’s decision and the time limit. After the time limit has expired, the right to bring action ceases.

8. AIG’S RIGHT OF RECOVERY

8.1 AIG’s right of recovery vis-à-vis a third party
The insured’s right to claim from a third party the amount of indemnity paid to the insured by AIG, or in case of person insurance, indemnity for the costs and loss of assets caused by the illness or accident and paid to the insured by AIG, is transferred to AIG, if the third party caused the insurance event wilfully or through gross negligence or is legally required to pay damages regardless of the nature of his/her negligence.

8.2 AIG’s right of recovery vis-à-vis the insured or a person identified with the insured under non-life insurance
AIG may claim back in part or in full the indemnity which it has paid to another insured person from that insured person or the person identified with the insured who caused the insurance event or failed to comply with the obligations under clauses 2.1 (obligation to observe safety regulations) and 2.2 (obligation to prevent and limit damage). Under the right of recovery, AIG may claim back the full amount of indemnity paid if AIG had, under clauses 2.1, 2.2 or 3.2, been free from liability or entitled to disallow indemnity. If the indemnity has been reduced in accordance with clauses 2.1, 2.2 or 3.2, AIG may claim for that part of the indemnity which corresponds to the reduction.

9. TERMINATION OF THE INSURANCE CONTRACT

9.1 AIG’s procedure of termination
AIG shall notify the policyholder in writing of the termination of the insurance contract. The policyholder shall then notify the individual insured of the notice of termination in writing. AIG shall give the notice of termination in writing without undue delay, having first been informed about the grounds permitting termination. The insurance contract shall end two (2) months after the date on which the notice was sent.

9.2 Notification of termination of travel insurance
If the insurance contract is terminated due to measures taken by the insurer or the policyholder, the policyholder must notify the insured of the termination of the insurance. The insured’s coverage is terminated two (2) months after the date on which the notification was sent or the insured was notified of the termination of the insurance.

10. APPLICABLE LAW
These general terms and conditions are governed by Estonian law.