A recent insurance claim offers some things to consider when it comes to insurance information disclosures. The case concerns Australian Professional Indemnity, and revolves around a client seeking to obtain a work visa who made accusations against the registered migration agent assisting her through the process. The agent sought coverage from insurance, but the insurer turned up numerous prior complaints against the agent for similar problems. None of this information had been disclosed during the obtaining of the insurance, and the insurance company accordingly denied coverage. Concealing details from your insurer puts you at risk.
- Failure to disclose relevant and integral information that may impact insurance coverage is grounds for denial of coverage.
- If coverage is denied, an insurer will refuse to handle a claim; citing your lack of disclosure as the reason.
- Information disclosure is a legal obligation for anyone covered by insurance to their insurance company.
“An insurance contract needs to be based on honesty and full disclosure, regardless of what type of insurance you hold.”