Your duty of disclosure
Before you enter into a contract of general insurance, you have a duty, under the Insurance Contracts Act 1984 (Cth), to disclose every matter that you know, or could reasonably be expected to know, is relevant to the 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 before you renew, extend, vary or reinstate a contract of general insurance.
Your duty however does not require disclosure of any matter:
that diminishes the risk to be undertaken;
that is of common knowledge;
that your insurer knows or, in the ordinary course of their business, ought to know;
as to which compliance with your duty is waived.
If you fail to comply with your duty of disclosure, the insurer may be entitled to reduce their 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.
Claims made during the period of insurance
This product provides cover on a "claims made" basis, which means that claims first advised to you (or made against you) during the period of insurance are covered, irrespective of when the incident causing the claim occurred. When you give notice in writing to us of facts that might give rise to a claim against you and you give that notice as soon as reasonably practicable after you become aware of those facts but before the cover provided by your insurance contract with us expires, we cannot refuse to cover you by reason only of the fact that the claim against you is actually made after that expiry date.
You may prejudice your rights with regard to a claim if, without prior agreement, you make agreement with a third party that will prevent the insurer from recovering the loss from that, or another party.
Your agreement contains provisions that either exclude the insurer from liability, or reduce their liability, if you have entered into any agreements that exclude your rights to recover damages from another party in relation to any loss, damage or destruction which would allow you to sustain a claim under this policy.
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 the insurer.
Not a renewable contract
Cover under this policy will terminate at expiry of the period specified in your policy document. If you wish to effect similar insurance for a subsequent period, it will be necessary for you to complete a new proposal form prior to the termination of the current policy so that terms of insurance and quotation/s can then be developed for your consideration.
Change of risk or circumstances
It is vital that you should advise us of any departure from your "normal" form of business (i.e. that which has already been conveyed). For example, acquisitions, changes in location or new overseas activities.