Travel Alert: Cover excluded for COVID-19 except AUS/NZ with optional COVID-19 Pack or selected countries with "Do Not Travel" advice.

Fast Cover Target Market Determination for Travel Insurance

This document is the Target Market Determination (TMD) for Travel Insurance (Insurance) issued by the insurer, The Hollard Insurance Company Pty Ltd ABN 78 090 584 473, AFSL 241436 (Hollard, we, us) and distributed by Fast Cover Pty Ltd, AR No. 381399 and their representatives (Distributor). This TMD was prepared on 09/08/21. We take a consumer-centric approach to the design and distribution of insurance products to make sure that our products are suitable for the consumers who buy them.

Purpose of this document

This document is designed to provide information about the class of customers for which this Insurance has been designed and to specify distribution conditions, which together ensure that the Insurance is likely to be consistent with the likely objectives, financial situation and needs of those consumers.

The information in this TMD is general only and it is also not a full summary. Please read the Product Disclosure Statement and any other relevant documents for full details of the Insurance.

Who is the target market for this Insurance and what types of cover is available?

This Insurance is suitable for a wide range of customers (meeting the required underwriting acceptance criteria) who require travel insurance for their domestic or international trip to cover a range of risks that may arise from travel (travel risks), such as lost baggage, trip cancellation or medical emergencies (international only).

There are two main types of cover available under the Insurance:

  1. Domestic Travel Insurance, which provides cover against a range of travel risks most commonly arising from travel within Australia, providing you travel at least 200km from your home.
  2. International Travel Insurance, which provides cover against a range of travel risks most commonly arising from travel overseas.

Each type of cover is available in 3 different policy types to cover people travelling alone (Single), with a travelling companion (Duo) or with other family members (Family). The different policy types can be selected by consumers to suits their travel plans and circumstances, which ensures the Insurance is likely to be consistent with the likely objectives, financial situation and needs of the customers.

Optional COVID-19 Pack

The Insurance may provide optional limited cover for overseas medical claims relating to or arising from an insured person contracting COVID-19, as well as limited cover for trip cancellation and trip disruption claims relating to or arising from an insured person or covered travelling companion or close relative in Australia contracting COVID-19. If the optional COVID-19 Pack is offered to you, and you have selected to add the pack and paid an additional premium at the time of purchasing the Insurance, we will cover the events and circumstances described in the optional COVID-19 Pack document available on our website. We will take into account your details and the details of your trip to decide whether we will offer you the optional COVID-19 Pack. If you are not offered the optional COVID-19 Pack or did not purchase the optional COVID-19 Pack, claims that are directly or indirectly related to or arising from the SARS-CoV-2 virus, the COVID-19 disease or any mutation of either, are excluded under the Insurance.

Pre-existing Medical Conditions

The Insurance provides certain cover for claims relating to or arising from 43 listed Pre-existing Medical Conditions if the person has not been hospitalised for the condition in the past 24 months and any medications for the condition have remained unchanged for the past 6 months prior to taking out the Insurance. Cover is not provided for any pre-existing medical condition that is not listed in the PDS. 

The overall target market for the Insurance is:

  • people who reside in Australia; and
  • plan to travel away from their home:
    • either alone, with one companion or with family members;
    • within 6 months of buying the Insurance; and
  • the planned trip is no longer than 12 months; and
  • intend to return to their home in Australia at the end of their trip; and
  • are aged 89 years or less; and
  • require cover to manage travel risks arising from a single planned trip.

The Insurance is not designed for people who:

  • do not reside in Australia when buying the Insurance;
  • do not intend to start and end their trip in Australia;
  • intend to leave Australia permanently or for longer than 12 months;
  • are aged 90 years or more;
  • plan to take multiple trips and require one policy to cover all trips (note: the Frequent Traveller Saver cover is temporarily suspended due to COVID-19);
  • intend to travel to a country that the Australian Department of Foreign Affairs and Trade has, before the start date of your trip, issued a travel advisory risk rating of ‘Level 4 – Do Not Travel’ (or equivalent if the term is replaced) unless you have been issued a travel exemption by the Australian Department of Home Affairs prior to the purchase date;
  • may not be able to travel, continue with their trip, or want to cut their trip short because any government body or local health authority closes its borders or imposes any other travel restriction in a relevant area.

Who is the target market for each type of cover?

Orange map of Australia

Domestic Travel Insurance

Domestic Travel Insurance provides cover against the following travel risks:

  • expenses due to trip cancellation, disruption and resumption;
  • damage, loss or theft of luggage and personal effects;
  • personal liability cover for causing bodily injury and/or property damage;
  • additional included covers and a choice of optional covers as described in the PDS.

The target market for Domestic Travel Insurance is customers who:

  • are within the overall target market for the Insurance;
  • plan to travel within Australia only;
  • require insurance to manage travel risks;
  • have the financial capacity to pay the applicable premium.

Domestic Travel Insurance is not suitable for customers who:

  • are not within the overall target market for the Insurance;
  • plan to travel overseas as part of their trip;
  • may not be able to travel, continue with their trip, or want to cut their trip short because any government body or local health authority closes its borders or imposes any other travel restriction in a relevant area.

The target market for Domestic Travel Insurance also includes customers who wish to add one or more of the optional covers. The key attributes of the included and optional covers available under the Insurance are set out in the table below.

Types of Travel Risks

Included / Optional

Trip Cancellation Expenses (Unlimited)

(/)

Trip Disruption Expenses (Up to $50,000)

(/)

Trip Resumption Expenses (Up to $3,000)

(/)

Accidental Death (Up to $25,000)

(/)

Luggage and personal effects (Up to $7,500 unspecified)

(/)

Luggage and personal effects (Up to $10,000 specified)

Optional

Travel Delay Expenses ($200 per day up to $2,000)

(/)

Special Event Transport Expenses (Up to $5,000)

(/)

Personal Liability (Up to $5,000,000)

(/)

Rental Vehicle Excess (Up to $5,000)

Optional

Snow Sports Equipment (Up to $1,500)

(/)

Snow Equipment Replacement Hire (Up to $1,500)

(/)

Snow Prepaid Expenses (Up to $750)

(/)

Snow Resort Closure ($100 per day up to $1,000)

(/)

Adventure Pack (includes cover for Adventure Activities)

Optional

Bicycle Pack for loss, theft or damage (Up to $5,000 per bicycle)

Optional

COVID-19 Pack

Trip Cancellation and Disruption

Optional

You will need to read the relevant PDS and the Covid-19 Pack to understand the full extent of each cover and other terms and limits that may apply.

Orange globe

International Travel Insurance

International Travel Insurance, which provides cover against the following travel risks:

  • emergency medical, hospital and dental treatment while outside of Australia;
  • expenses due to trip cancellation, disruption and resumption;
  • damage, loss or theft of luggage and personal effects;
  • personal liability cover for causing bodily injury and/or property damage;
  • additional included covers and a choice of optional covers as described in the PDS.

International Travel Insurance only provides cover for travel to select countries and only for travellers who have been issued a travel exemption by the Australian Department of Home Affairs prior to the purchase date. The list of select countries will change over time, depending on various factors, including information issued by the Australian Department of Home Affairs. Our list of select countries is available at www.fastcover.com.au.

International Travel Insurance also allows customers to select from 3 different levels of cover, taking into account the amount of cover they require and their ability to pay the applicable premium.

The 3 different levels of cover are:

  • Comprehensive, which provides the most extensive cover and has the highest premium;
  • Standard Cover, excludes some covers and has lower benefit limits than Comprehensive together with a lower premium; and
  • Basics, which provides cover for essential risks at the lowest premium.

The target market for International Travel Insurance is customers who:

  • are within the overall target market for the Insurance;
  • plan to travel overseas, including at least one country that is on our list of select countries;
  • have been issued a travel exemption by the Australian Department of Home Affairs;
  • require insurance to manage travel risks;
  • have the financial capacity to pay the applicable premium.

International Travel Insurance is not suitable for customers who:

  • are not within the overall target market for the Insurance;
  • require cover for a pre-existing medical condition that is not listed;
  • require cover for COVID-19 outside of New Zealand;
  • plan to travel wholly within Australia;
  • intend to travel to a country that the Australian Department of Foreign Affairs and Trade has, before the start date of your trip, issued a travel advisory risk rating of ‘Level 4 – Do Not Travel’ (or equivalent if the term is replaced) unless you have been issued a travel exemption by the Australian Department of Home Affairs prior to the purchase date;
  • may not be able to travel, continue with their trip, or want to cut their trip short because any government body or local health authority closes its borders or imposes any other travel restriction in a relevant area.

The target market for Comprehensive or Standard Cover also includes customers who wish to have extended cover or add one or more of the optional covers. Snow Sport Plus adds cover for snow sports on top of Comprehensive Cover. The key attributes of each level of cover available under the Insurance are set out in the table below.

Types of Travel Risks

Comprehensive

Standard Saver

Basics

Snow Sports Plus

Overseas 24/7 Emergency Medical Assistance (Unlimited)

(/)

(/)

(/)

(/)

Up to 69

Overseas Emergency Medical and Hospital Expenses (Unlimited)

(/)

(/)

(/)

(/)

Up to 69

Overseas Emergency Dental

(/)

Up to $1,000

(/)

Up to $750

(/)

Up to $500

(/)

Up to $1,000

Overseas Emergency Medical Evacuation and Repatriation (Unlimited)

(/)

(/)

(/)

(/)

Up to 69

Trip Cancellation Expenses

(/)

Unlimited

(/)

Up to $25,000

(x)

(/)

Up to 69

Unlimited

Trip Disruption Expenses

(/)

Up to $50,000

(/)

Up to $30,000

(x)

(/)

Up to $50,000

Trip Resumption Expenses

(/)

Up to $3,000

(/)

Up to $2,000

(x)

(/)

Up to $3,000

Overseas Hospital Cash Payment
(Up to $5,000)

(/)

(x)

(x)

(/)

Accidental Death (Up to $25,000)

(/)

(x)

(x)

(/)

Permanent Disability (Up to $50,000)

(/)

(x)

(x)

(/)

Loss of Income ($400 per week up to $10,400)

(/)

(x)

(x)

(/)

Passports, Credit Cards & Credit Card Fraud

(/)

Up to $5,000

(/)

Up to $2,000

(x)

(/)

Up to $5,000

Theft of Cash (Up to $250)

(/)

(x)

(x)

(/)

Luggage and Personal Effects (Unspecified)

(/)

Up to $15,000

(/)

Up to $5,000

Optional

Up to $2,000

(/)

Up to $15,000

Luggage and Personal Effects (Specified) (Up to $10,000)

(/)

(x)

(x)

(/)

Delay of Luggage and Personal Effects (Up to $750)

(/)

(x)

(x)

(/)

Travel Delay Expenses ($200 per day up to $2,000)

(/)

(x)

(x)

(/)

Special Event Transport Expenses (Up to $5,000)

(/)

(x)

(x)

(/)

Personal Liability (Up to $5,000,000)

(/)

Up to $5M

(/)

Up to $2.5M

(/)

Up to $1M

(/)

Up to $5M

Rental Vehicle Excess ($5,000 or $8,000 optional)

Optional

Optional

(x)

Optional

Snow Sports Equipment (Up to $1,500)

(x)

(x)

(x)

(/)

Snow Equipment Replacement Hire (Up to $1,500)

(x)

(x)

(x)

(/)

Snow Prepaid Expenses (Up to $750)

(x)

(x)

(x)

(/)

Snow Resort Closure ($100 per day up to $1,000)

(x)

(x)

(x)

(/)

Adventure Pack (includes cover for Adventure Activities)

Optional

Optional

(x)

Optional

Motorcycle Pack (includes cover for driving or riding on a motorcycle)

Optional

Optional

Optional

Optional

Bicycle Pack for loss, theft or damage (Up to $5,000 per bicycle)

Optional

Optional

Optional

Optional

COVID-19 Pack

Overseas Emergency Medical, Hospital and Medical Evacuation Expenses

Trip Cancellation and Disruption

Optional

Optional

(x)

Optional

You will need to read the relevant PDS and the COVID-19 Pack to understand the full extent of each cover and other terms and limits that may apply.

Important

It’s important to note that this TMD doesn’t take anyone’s personal circumstances into account. Even if you are a consumer in the target market, and we offer the Insurance to you, that doesn’t necessarily mean that it is appropriate for your personal circumstances. No one knows your situation better than you, so before you make any decisions about the Insurance, you should read and consider the Product Disclosure Statement (PDS) which provides complete information about the Insurance, including coverage, exclusions, excesses, limitations, terms and your rights and obligations to decide if the Insurance is right for you.

Also, this TMD doesn’t include all the factors we consider when we decide whether to issue a policy. For example, we have a set of underwriting criteria we use to assess whether a risk is of a type or level we wish to insure. These factors may change over time or in different circumstances. We apply these factors when we decide whether to offer, issue, renew or agree to vary a policy.

Distribution channels and conditions

The Insurance is sold online or over the phone.

The Insurance is distributed by Fast Cover as the Authorised Representative of the insurer. 

Before you purchase the Insurance, you will be asked a series of questions designed to help us decide:

  • if you are in the target market;
  • if you meet our underwriting guidelines; and
  • what premium we should charge.

We have a range of supervision and monitoring procedures and contractual arrangements with Fast Cover to ensure that customers are asked these questions and that they are only offered the Insurance if they are likely to be in the target market for the type of cover and applicable key attributes.

Review of this document

We will review this TMD regularly to make sure it remains appropriate. The first review will be within  12 months of the date it is prepared, and then within 3 years of completion of the previous review thereafter.

As well as our regular reviews, additional reviews may be triggered if we determine that there has been an event or circumstance that reasonably suggests that this TMD needs to change. This would be the case if it’s no longer reasonable to conclude that:

  • if the Insurance is issued to a customer in accordance with the distribution conditions, it would be likely that the customer is in the target market; or
  • the Insurance is likely to be suitable for customers in the target market.

Review triggers could be identified from: 

  • changes to the Insurance terms;
  • compliance incidents and internal audit findings;
  • information received from and/or in relation to distributors (see below);  
  • changes to our underwriting guidelines, pricing, or reinsurance requirements; and 
  • feedback and policy from ASIC, AFCA, Code Governance Committee and/or other relevant bodies.  

We take reasonable steps to monitor relevant information (including the information referenced above) and other metrics to assess if our TMD needs to be reviewed and reassessed. 

Reporting obligations

The Distributor is required to report the following information to Hollard at the following times: 

Reportable matter 

When 

The number of policies sold or renewed that are not within the target market.

As soon as practicable after becoming aware of the matter, and no later than 10 business days.

The number of policies sold.

On a monthly basis.

Responses and response rates on client communications (including renewals).

On a monthly basis.

Lapse rates and cancellation rates.

On a monthly basis.

The frequency and amount of excesses paid.

On a monthly basis.

The Insurance is issued to a client in breach of the distribution conditions or outside of the target market.

As soon as practicable after becoming aware of the matter, and no later than 10 business days.

The nature and number of complaints received about the Insurance in the reporting period.

On a monthly basis.

If there are any significant dealings that are inconsistent with the TMD.

As soon as practicable after becoming aware of the matter, and no later than 10 business days.

Any compliance incident relating to the Insurance or its distribution.

As soon as practicable after becoming aware of the matter, and no later than 10 business days.

Things you need to know

* See Product Disclosure Statement and the COVID-19 Pack Document for full terms and conditions and exclusions and limits that apply. For travellers aged 80 and over, additional terms and conditions, limits and excesses apply.

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