VMIA continues to improve our Liability Insurance offering by combining insurance into one simple policy.

Coverage for each of these policies is specified across three sections within the policy as follows:

  1. clause 1.1.1 - Public and Products Liability
  2. clause 1.1.2 – Professional Liability     
  3. clause 1.1.3 - Formal Investigation and Representation Expenses.

What’s covered?

Public and Products Liability

Public and Products Liability insurance provides cover for any legal liability your organisation must pay compensation for, such as:

  • personal injury to third parties arising from business activities or goods sold
  • damage to third party property arising from business activities and goods sold
  • personal injury to third parties arising from advertising liability.

Professional Liability

Professional Liability insurance provides cover for any legal liability your organisation has for financial losses suffered by third parties, arising from conduct of your organisation because of:

  • a breach of professional duty
  • an act, error or omission
  • misleading or deceptive conduct
  • libel, slander or defamation.

In addition to the above indemnity, both policy sections provide cover for legal costs incurred in the defence of claims made against your organisation.

Formal Investigation and Representation Expenses

Formal Investigation and Representation expenses provides cover for reasonable expenses incurred by your organisation to prepare for, respond to and attend a formal administration or regulatory inquiry, such as a Royal Commission.

Policy updates for 2022-2023

Professional Liability - Construction Activities

Effective from 1 July 2022, clients who provide any advice, design or specification in connection with their construction activities and as a part of their professional services will be covered up to $50 million for any one claim and in the aggregate, per policy period.

The Professional Liability deductible will apply.

Cover is provided on a ‘claims made and notified’ basis.

Professional Services Claim definition

Effective from 1 July 2022, the definition of Professional Services Claim will be amended to clarify cover for clients as follows:

  • Coverage for judicial reviews and administrative proceedings has been made clearer to the extent that our clients' exposure to this risk is seen as a statutory function and a component of their regular business risk instead of an insurable risk.
  • Coverage for non pecuniary relief has been clarified as the definition of Professional Services Claims is only intended to cover claims for Economic Loss.

Defence Costs definition

Effective from 1 July 2022, coverage for judicial reviews and administrative proceedings has been made clearer to the extent that our clients' exposure to this risk is seen as a statutory function and a component of their regular business risk instead of an insurable risk.

Representation Expenses definition

Effective from 1 July 2022, coverage for judicial reviews and administrative proceedings has been made clearer to the extent that our clients' exposure to this risk is seen as a statutory function and a component of their regular business risk instead of an insurable risk.

More Information

Contact us on 03 9270 6900 or contact@vmia.vic.gov.au.

Please read the full 2022-2023 policy terms and conditions [PDF, 922KB].