CLAIMS MADE POLICY
This Proposal is for a policy issued by GIBA, which includes coverage on a claims made and notified basis. This means that the policy provides cover for claims first made against you during the insurance period. The policy does not provide cover for any claims made against you during the insurance period if at any time prior to the commencement of the insurance period you were aware of facts which might give rise to those claims being made against you.
Section 40(3) of the Insurance Contracts Act 1984 provides that where the insured gives notice in writing to the insurer during the insurance period of facts that might give rise to a claim against the insured, the insurer cannot refuse to pay a claim which arises out of those facts, by reason only that the claim is made after the insurance period has expired.
YOUR DUTY OF DISCLOSURE:
Section 21 of the Insurance Contracts Act 1984 provides that before you enter into a contract of general insurance with an insurer, you have a duty to disclose to the insurer every matter that you know, or could reasonably be expected to know, is relevant to the insurer’s decision whether to accept the risk of the insurance and, if so, upon what terms. You have the same duty to disclose those matters to the insurer before you renew, extend, vary or reinstate a contract of general insurance.
Your duty, however, does not require disclosure of 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 its business, ought to know;
- as to which compliance with your duty of disclosure is waived by the insurer.
NON-DISCLOSURE
If you fail to comply with your duty of disclosure, the insurer may be entitled to reduce its 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 inception.
RETROACTIVE LIABILITY
The policy is limited by a retroactive date. The policy does not cover any liability arising from your conduct prior to the retroactive date.
ALTERATION TO RISK AND DEREGISTRATION
The policy requires you to notify the insurer within thirty days of any material change in the nature of your organisation, or any act of insolvency or bankruptcy. The policy requires you to give immediate notice of the cancellation, suspension, termination or imposition of conditions in respect of your statutory registration. Claims arising following the cancellation, suspension or termination of your statutory registration are excluded from indemnity under the policy.
LIMITED LIABILITY
The policy provides that if a payment greater than the limit of indemnity is required to dispose of a claim, the insurer’s liability for costs and expenses will be limited to the proportion that the limit of indemnity bears to the payment required to dispose of the claim.
POLICY CANCELLATION
In the event of policy cancellation by the insured, GIBA’s cancellation rates will apply.
WAIVER OF RIGHTS OF SUBROGATION
The policy provides that you must not, without our prior written consent, enter into any contract or agreement which excludes, limits or prejudices a right of recovery in respect of any claim covered under the policy. Further, you must not do anything or fail to do anything which excludes, limits or prejudices our rights of subrogation.
PRIVACY STATEMENT
GIBA is bound by the obligations of the Privacy Act 1988 (as amended) regarding the collection, use, disclosure and handling of personal information. We will protect the privacy of your personal information.
We collect personal information about you to enable us to provide you with relevant products and services, to assess your application for insurance and, if a contract is entered, to enable us to provide, administer, and manage your policy, and to investigate and handle any claims under your policy. We may disclose your information to third parties (who may be located overseas), such as the insurer, lawyers, claims adjusters, and others appointed by GIBA or by the insurer to assist us and them in providing relevant products and services. We may also disclose your information to people listed as co-insured on your policy and to your agents. By providing your personal information to us, you consent to us making these disclosures.
If you do not provide all or part of the information required, we may not be able to provide you with our products and services, consider your application for insurance, administer your policy, assess or handle claims under your policy, or you may breach your Duty of Disclosure.
When you provide us with personal information about other individuals, we rely upon you to have made them aware of that disclosure, and of the terms of the GIBA Privacy Statement, and to obtain their consent.
A copy of our Privacy Statement is available from our website www.giba.com.au. To request access to or update your personal information, contact the Privacy Officer at GIBA by email: enquiries@giba.com.au or by mail at the address shown on this Proposal.
