For general information about the Vehicle Purchase Protection Program click here

Vehicle Purchase Protection Program
– Revised Terms and Conditions for Eligible Vehicles listed for sale after 4.01pm 30 July 2007

Important Information

As a purchaser of certain vehicles through the eBay website you may be entitled to the benefit of insurance cover which has been arranged by eBay International AG ("eBay") with American Home Assurance Company Limited ("AIG"). AIG has issued an insurance policy to eBay (the "Master Policy"), the benefit of which Master Policy extends to certain eligible purchasers of Eligible Vehicles, as that term is defined in the Master Policy. The cover is designed to assist in protecting users when they buy Eligible Vehicles via the eBay website against the misrepresentation or fraud of sellers.

The cover under the Master Policy is made available automatically to eligible purchasers, but there is no obligation to accept the cover or to claim on it. If you, as an eligible purchaser, decide to make a claim under the Master Policy then you will be bound by the terms, conditions, exclusions and other provisions of the Master Policy including the procedures for making claims. eBay is not the issuer of the Master Policy. It does not give advice in connection with the Master Policy. If you have any questions about the Master Policy then please see an insurance adviser. Alternatively please contact Marsh Pty Ltd ("Marsh") which has been appointed by AIG to manage claims under and in relation to the Master Policy.

The cover under the Master Policy is provided to eligible purchasers at no cost to them. eBay does not receive any commission or other remuneration from AIG in relation to the Master Policy. Neither eBay nor any of its related entities are Authorised Representatives (as that term is defined in the Corporations Act 2001) of AIG. eBay has been appointed as an Authorised Representative of Marsh in conducting the financial services which it may provide for the purposes of making the Master Policy available to eBay's members.

The terms on which cover is provided under the Master Policy have been amended by an endorsement to the Master Policy issued by AIG. The amended terms come into effect from 30 July 2007 (the "Policy Endorsement"). The amended terms as described in the Policy Endorsement and as summarised below will apply to all Eligible Vehicles listed for sale on the eBay website on or after 4.01pm New South Wales standard time on 30 July 2007.

AIG will continue to provide cover on the original terms of the Master Policy in force prior to 30 July 2007 in respect of all Eligible Vehicles that were listed for sale on the eBay website prior to 4.01pm New South Wales standard time on 30 July 2007, regardless of when the purchase of these Eligible Vehicles is completed.

Copies of the Master Policy and the Policy Endorsement are available. You must read and agree to the terms and conditions of cover prior to making a claim under the Master Policy.

AIG and/or eBay may terminate the Master Policy by giving written notification to one another. If the Master Policy is terminated the cover under it will cease and notice of cessation of cover will be given via the eBay website. Eligible Vehicles purchased by eligible purchasers prior to the termination of the Master Policy will continue to be eligible for cover and eligible purchasers of such vehicles may make claims under the Master Policy. However eligible purchasers of Eligible Vehicles after the date of expiry or cancellation of the Master Policy will not be eligible for the cover.

Eligible purchasers must assist AIG to use any legal rights that they may have against another person to recover any amounts which the eligible purchasers may be paid by AIG under the Master Policy. This may include for example any legal rights the eligible purchasers may have against the seller of an Eligible Vehicle.

Eligible purchasers who make a claim under the Master Policy must cooperate with and assist AIG in relation to any claim which may be made and in relation to any steps which AIG may take to recover from third parties any amounts it may pay under the Master Policy. In particular eligible purchasers must let AIG know about any other insurance or credit card buyer protection program which may provide cover in respect of any claim which is made under the Master Policy, including providing AIG with details of the other policies or programs where applicable. If an eligible purchaser's claim is paid under the Master Policy, no recovery is permitted in respect of the same claim under eBay's Standard Purchase Protection Program.

As your eligibility to make a claim under the Master Policy depends in part on the Feedback Rating (as defined in section 1 below) of the seller we strongly recommend that before purchasing an Eligible Vehicle via the eBay website you check the seller's Feedback Rating at the following times:

(a) when the Eligible Vehicle was listed for sale on the eBay website;
(b) before you submit a bid in respect of the Eligible Vehicle; and
(c) before you make any payment to the seller in respect of the Eligible Vehicle.

The seller's Feedback Rating can be found under the heading "Meet the seller" on each listing page and can also be found on the bid confirmation page.

A summary of the terms and conditions of the Master Policy as amended by the Policy Endorsement is set out below. In the event of any inconsistency between the summary and the Master Policy or the Policy Endorsement, the provisions of the Master Policy as amended by the Policy Endorsement will prevail and apply. You will be required to confirm your acceptance of and agreement to the terms and conditions of the Master Policy as amended by the Policy Endorsement as a precondition to making a claim under the Master Policy.

1. Definitions

For the purposes of the cover provided under the Master Policy:

"You" or "your" means any person or company who is eligible to make a claim under the Master Policy.

Unless otherwise stated, "eBay", "we", "us" or "our" will refer to eBay International AG.

"AIG" means the American Home Assurance Company.

"Best Offer Bidder" means You, where You have made a Classified Ad Best Offer in respect of an Eligible Vehicle listed for sale on the eBay Site in a Classified Ad that was:

(a) the date by which the Seller through the eBay Site; or
(b) subject to a Classified Ad Counter-Offer from the Seller which was subsequently accepted by You through the eBay Site.

"eBay Site" means www.ebay.com.au.

"Eligible Vehicle" means any motor vehicle listed for sale in the "Cars" category (#29690) of the "Cars, Bikes and Boats" category on the eBay Site which is located in Australia at the time of Listing or at the time of placing the Classified Ad, at the time of the Transaction and at the time You paid the Purchase Price to the Seller.

"Feedback Rating" is calculated by reference to the number of positive and negative comments You or the Seller have received from other users of the eBay Site.

"Listing" means the listing by a Seller of an Eligible Vehicle for sale on the eBay Site using an Auction or Buy-It-Now listing format.

"Master Policy" means the insurance policy issued by AIG to eBay.

"Policy Endorsement" means the endorsement to the Master Policy issued by AIG on 9 July 2007.

"Purchase Price" means the final purchase price payable for the Eligible Vehicle agreed upon by You and the Seller on completion of the Transaction (which must be equal to or higher than any applicable reserve price).

"Transaction" means the end of a Listing of an Eligible Vehicle through the eBay Site, or in the case of a Classified Ad:

(a) the acceptance by the Seller of a Classified Ad Best Offer; or

(b) the acceptance by You of a Classified Ad Counter-Offer,

2. Eligibility

To make a claim under the Master Policy, You must:

(a) be a registered eBay member (whose membership has not been suspended) at the time the Eligible Vehicle is listed on the eBay Site via a Listing or a Classified Ad, at the time of the Transaction and at the time You paid the Purchase Price to the Seller;

(b) have purchased an Eligible Vehicle via a Listing or a Classified Ad on the eBay Site and have provided evidence satisfactory to AIG that the full Purchase Price has been paid to the Seller using a payment method other than Western Union and MoneyGram;

(c) be physically located in Australia at the time the Eligible Vehicle is listed for sale on the eBay Site, at the time of the Transaction and at the time You paid the Purchase Price to the Seller;

(d) be recorded by Us as being the highest bidder or purchaser for the Eligible Vehicle in respect of which You are making a claim, or in the case of a Classified Ad Best Offer, be recorded by Us as being the Best Offer Bidder in respect of that Eligible Vehicle;

(e) have a Feedback Rating of zero or above at the time the Eligible Vehicle is listed for sale on the eBay Site, at the time of the Transaction and at the time You paid the Purchase Price to the Seller; and

(f) have confirmed your acceptance of and agreement to the terms and conditions of the Master Policy as amended by the Policy Endorsement;

and You must have purchased the Eligible Vehicle from a person or company (the "Seller") who:

(a) was a registered eBay member (whose membership had not been suspended) at the time the Eligible Vehicle was listed for sale on the eBay Site, at the time of the Transaction and at the time You paid the Purchase Price;

(b) used a Listing or a Classified Ad on the eBay Site to sell an Eligible Vehicle;

(c) was physically located in Australia at the time the Eligible Vehicle was listed for sale on the eBay Site, at the time of the Transaction and at the time You paid the Purchase Price; and

(d) had a Feedback Rating of zero or above at the time the Eligible Vehicle was listed for sale on the eBay Site, at the time of the Transaction and at the time You paid the Purchase Price.

3. Master Policy Coverage

(1) Subject to its terms, conditions and exclusions, the Master Policy provides cover for any loss You incur as the sole and direct consequence of a Seller’s fraud, breach of warranty or misrepresentation contained in or omitted from a Listing or a Classified Ad:

(a) as to the Seller's ownership of or title to the Eligible Vehicle;

(b) where the Eligible Vehicle is subject to a third party charge or other encumbrance that is not disclosed to You prior to the time of the Transaction (regardless of whether the Seller was aware of the third party charge or encumbrance);

(c) as to the Eligible Vehicle’s make or model;

(d) as to the Eligible Vehicle’s model year, which results in a devaluation of the Eligible Vehicle equal to or greater than 50% of the Purchase Price of the Eligible Vehicle;

(e) as to the Eligible Vehicle’s odometer reading at the time of Listing or the placing of the Classified Ad, which results in a devaluation of the Eligible Vehicle equal to or greater than 50% of the Purchase Price of the Eligible Vehicle; or

(f) as to the condition of the Eligible Vehicle, where the loss You incur exceeds A$1,000; and

(2) Subject to its terms, conditions and exclusions, the Master Policy provides cover for any loss You incur as the sole and direct consequence of:

(a) the Seller's failure to return deposits paid by You in respect of the purchase of an Eligible Vehicle as a direct result of any fraud, breach of warranty or misrepresentation by the Seller;

(b) the Seller's failure to deliver the Eligible Vehicle to You (where You have paid the Purchase Price for the Eligible Vehicle to the Seller) after the expiration of a period of 14 days following the Delivery Date;

(c) the Seller’s failure to provide You with the certificate of title to the Eligible Vehicle where You have made all reasonable and necessary endeavours to obtain a duplicate certificate of title but such a duplicate is not able to be obtained from the appropriate official motor vehicle licensing/registration authority; or

(d) being unable to register the certificate of title to the Eligible Vehicle, other than as a result of the condition or roadworthiness of an Eligible Vehicle, where You have made all reasonable and necessary endeavours to do so with the appropriate official motor vehicle licensing/registration authority.

4. Limitation of AIG's liability

In the event of a valid claim which is covered under the Master Policy, You will be reimbursed for your loss in respect of any one Eligible Vehicle up to a maximum of:

(a) in respect of claims for loss incurred under paragraph 1(a) of section 3 above, the lesser of:

(i) the Purchase Price of the Eligible Vehicle, less 1% depreciation per month since the date that payment was made for the Eligible Vehicle; or

(ii) an amount decided by AIG by reference to the "Redbook Information Service" for motor vehicles provided by Automotive Data Services Pty Ltd and any valuation provided by an approved automobile valuer;

plus in both cases (i) and (ii) up to A$800 in documented transportation expenses from the Seller's location to your location in circumstances where following a successful claim under the Master Policy You do not retain possession of the Eligible Vehicle; or

(iii) A$20,000,

(b) in respect of a claim for loss incurred under paragraph 2(a) of section 3 above, the lesser of:

(i) the amount of any unreturned deposit You paid to the Seller; or

(ii) A$20,000, and

(c) in respect of all other claims, the lesser of:

(i) the Purchase Price of the Eligible Vehicle, plus up to A$800 in documented transportation expenses from the Seller’s location to your location in circumstances where following a successful claim under the Master Policy You do not retain possession of the Eligible Vehicle; or

(ii) A$20,000.

In the event of a valid claim which is covered under the Master Policy, AIG may, at its discretion, and at its election and own cost, arrange for an Eligible Vehicle to be replaced, repaired, reinstated or modified as appropriate. In these circumstances AIG will not be required to provide any monetary reimbursement to You. Where the Purchase Price is reimbursed to You, You will not be permitted to retain possession of the Eligible Vehicle.

5. Master Policy Exclusions

The Master Policy does not provide cover for:

1. The first A$200 of each claim.
   
   
2. Any Consequential loss or damages
   
   
3. Any claim for loss where You paid the Purchase Price to the Seller by way of the Western Union and MoneyGram payment methods.
   
   
4. Any inspection costs, warranty premiums or fees, or other expenses You incur prior to the Transaction or as a result of meeting the requirements of lodging a claim under the Master Policy .
   
   
5. Any mechanical defect, frame/body damage or any other exterior damage to an Eligible Vehicle , or damaged or missing interiors or interior features in an Eligible Vehicle, that was or were disclosed to You by the Seller or that You noticed, or that, in Our opinion, You should have noticed upon reasonable physical inspection, prior to paying the Purchase Price to the Seller.
   
   
6. Any odometer discrepancies You discovered prior to paying the Purchase Price, unless the Seller corrected the Listing or Classified Ad at least 12 hours prior to the time of the Transaction.
   
   
7. More than one claim made by You during any six month period.
   
8. Any expenses associated with regular maintenance and/or maintaining regular fluid levels of an Eligible Vehicle or repairs to an Eligible Vehicle as a result of normal wear and tear (including, but not limited to, belts, hoses, tyres, brakes, bushings, joints, spark plugs and wires, interior features, minor dents, paint chips, and cracks or scratches to paintwork or windows).
   
   
9. Any loss You incur as a result of a misrepresentation, breach of warranty or fraud by the Seller in respect of audio and audio-visual equipment including, without limitation, radio equipment, speakers, CD players, DVD players, televisions, video cassette recorders and navigation systems, radar detectors, master keys, locks or replacement locks and alarm/anti-theft systems on or in an Eligible Vehicle.
   
   
10. Any loss You incur as a result of a misrepresentation, breach of warranty or fraud by the Seller in respect of rust on or in an Eligible Vehicle that is 10 years or older, or in respect of an odometer reading on an Eligible Vehicle that is 20 years or older.
    
    
11. Items damaged or lost in shipping of the Eligible Vehicle (including but not limited to items that the Seller has left in the Eligible Vehicle).
    
    
12. Any transportation costs You incur in situations where You retain possession of the Eligible Vehicle, including but not limited to any situation where the Eligible Vehicle is returned to You as the result of a successful claim under the Master Policy.
    
    
13. Any costs or expenses arising as a result of Your inability to obtain, renew, maintain or comply with any official vehicle registration requirements as a result of the condition or roadworthiness of an Eligible Vehicle, unless such costs or expenses are incurred as a direct result of paragraphs (1)(a) to (1)(f) of section 3 above.
    
14. In any of the following circumstances:
    1. where We remove a Listing or a Classified Ad from the eBay site;
    2. where the Seller ends the Listing early or withdraws a Classified Ad from the eBay site;
    3. where You submit a Classified Ad Best Offer which is not accepted by the Seller (even if the Seller later agrees to sell the Eligible Vehicle to You for the same price as Your Classified Ad Best Offer);
    4. where a Seller makes a Classified Ad Counter-Offer which is not accepted by You (even if You later agree to purchase the Eligible Vehicle from the Seller for the same price as the Seller's Classified Ad Counter-Offer); or
    5. where You and the Seller agree to transact privately outside of the eBay Site.

6. The claims process you must follow

1. Claims must be received by Marsh within 35 days of the end of the Transaction, except in the case of:

   (a)loss incurred in situations referred to in paragraph 1(b) or 2(c) of section 3 above, in which case the claim must be received by Marsh within 90 days of the Transaction;
   
   (b) loss incurred in situations referred to in paragraph 1(a) of section 3 above, in which case the claim must be received by Marsh within six months of the Transaction; or
   
   (c) loss incurred in situations referred to in paragraph 2(b) of section 3 above, in which case the claim must be received by Marsh within 60 days of the Delivery Date.

2. You must obtain at least two written estimates from mechanics that have been approved by Marsh setting out the estimated cost of repair of the Eligible Vehicle in respect of all claims involving a misrepresentation, breach of warranty or fraud relating to the condition of an Eligible Vehicle under paragraph 1(f) of section 3 above. You must submit these written estimates to Marsh within 14 days of your initial notification of a claim to Marsh.
   
   
3. You must obtain a written invoice from a licensed transport company approved by Marsh to document all claims regarding transportation expenses.
   
   
4. If You paid for the Eligible Vehicle using a credit card You must have already contacted your credit card issuer and sought reimbursement from the issuer before making a claim under the Master Policy. Where your credit card issuer provides a buyer protection program, You will be required to provide proof to Marsh that You have sought reimbursement from your credit card issuer and that your claim was denied by the credit card issuer before making a claim under the Master Policy.

7. Master Policy Conditions

1. You will use reasonable efforts to cooperate with AIG and Marsh in all reasonable matters pertaining to your claim, including upon AIG or Marsh's request, submitting to reasonable examinations by AIG or Marsh, producing for AIG or Marsh’s examination all reasonable, pertinent records, and co-operating with AIG or Marsh in the conduct of any litigation relating to or involving Your claim by attending hearings and trials, assisting in effecting settlements, securing and giving evidence and obtaining the attendance of witnesses.
   
   
2. You must use all reasonable endeavours to reach an agreement with the Seller in the event of a dispute, and You are obliged to mitigate Your loss.
   
   
3. In the event of any payments made to You under the Master Policy, AIG will be subrogated to all of Your rights of recovery against any person or organisation, including but not limited to the Seller. This means that AIG is entitled to "step into your shoes" and exercise for its benefit, but in Your name, any rights which You may have against any third parties in relation to the matters which have given rise to the loss which AIG indemnified You for under the Master Policy. You will execute and deliver such instruments and papers and do whatever else is necessary to secure such rights to AIG.
   
   
4. AIG or Marsh may have the Eligible Vehicle in respect of which a claim has been submitted inspected at AIG's expense at any reasonable time and upon reasonable notice to You.
   
   
5. You will not, except at Your own cost, voluntarily make any payment, assume any obligation or incur any expenses (including in connection with any repairs made to the Eligible Vehicle) without AIG or Marsh's prior written approval.
   
   
6. Both the Master Policy and Your acceptance of the terms and conditions of the Master Policy pursuant to which You are entitled to make a claim under the Master Policy are governed by the laws of New South Wales. In order to make a claim under the Master Policy, You must submit to the jurisdiction of the courts exercising jurisdiction there and waive any right to claim that these courts are an inconvenient forum.