DUTY OF DISCLOSURE
1. Your duty of disclosure
Before you enter into a contract of general insurance with an insurer, you have a duty, under the Insurance Contracts Act 1984, to disclose to the insurer every matter that you know or could be reasonably expected to know, (eg any accidents/losses whether insurer or not, insurance denied, cancelled, renewal refused or claim rejected, criminal convictions, etc) is relevant to the Insurer’s decision whether to accept the risk of the insurance and, if so on what terms.
You have the same duty to disclose those matters to the Insurer before you renew, extend, vary or endorse, amend or reinstate a contract of general insurance.
Your duty, however, does not require disclosure of a matter;
•That diminishes the risk to be undertaken by the Insurer;
•That is of common knowledge;
•That your Insurer knows, or in the ordinary course of his business, ought to know;
•As to which compliance with your duty is waived by the Insurer.
If you fail to comply with your duty of disclosure, the Insurer may be entitled to reduce his liability under the contract in respect of a claim or may cancel the contract.
If your non-disclosure is fraudulent, the Insurer may also have the option of avoiding the contract from its beginning.
2. Utmost good faith
Every insurance contract is subject to the doctrine of utmost good faith which requires that parties to the contract should act toward each other with the utmost good faith. Failure to do so on your part may prejudice any claim or the continuation of cover provided by Insurers.
3. Change of risk/circumstances
It is vital that you should advise us of any change from your ‘normal’ form of business. (eg acquisitions, changes in occupation or location, new products, or new overseas activities, changes to security arrangements, etc.)
You may prejudice your rights with regard to a claim if, without prior agreement from your Insurers, you have entered into any agreement which excludes or limits your right of recovery from other parties, therefore you must not agree to give away any of your rights because this will affect our right to recover under Subrogation from other parties.
5. Other Parties’ Interest
The contract only covers the interest in the property of the Named Insurance and does not extend to cover the interest of any Third Party in such property. If you require the interest of a party other than the Named Insured to be covered, you must advise Bricher Insurance Brokers in writing.
It is most important that the sum insured you select is adequate to represent the value of the property insured, calculated in accordance with the cover being arranged. Otherwise you will be under insured and in the terms of the Average/Co-insurance provisions of your policy you may be responsible for paying part of the loss you actually suffer.
7. Reading of policy wording
It is essential that you read your policy document carefully taking special note of any policy limits, conditions and exclusions. If any aspects are not clear and do not meet your requirements please advise Bricher Insurance Brokers in writing immediately.
In the event of cancellation of this policy, any Broker Fee charged will be retained and a fee may be charged to cover administration costs.
9. Privacy Statement
Personal information requested is to enable us to evaluate and administer your insurance cover. We collect personal information from you for the purpose of providing insurance products, services, and to assist in processing claims. We may disclose information to others, such as insurers, claims consultants and assessors, financiers, and mortgagees, but only in accordance with “General Insurance Privacy Principles”. Personal information may also be used to advise you of products and services offered (unless you instruct otherwise).
Clients who are not satisfied with our services should contact your customer/complaints officer. We subscribe to the Financial Ombudsman Service (FOS), and its supporting General Insurance Brokers Code of Practice. If your complaint cannot be resolved to your satisfaction by us you have the right to refer the matter to FOS. FOS can be contacted on 1300 780 808.