Your Duty of Disclosure
Please ensure you read this carefully – towards the end of your application, you will be asked to declare that you have read and understood the Duty of Disclosure and to acknowledge it as part of your application for cover.
Before you enter into a contract with us (the insurer, NobleOak Life Limited), you (and also the life to be insured, where you are applying as holder of cover on someone else who is to be the life insured – in this Duty of Disclosure, ‘you’ and ‘your’ include the person or entity applying to hold the cover, and also the life to be insured where that is a different person) have a duty under the Benefit Fund Rules1 to disclose everything that you know, or could reasonably be expected to know, that is relevant to our decision whether to accept the risk and provide insurance terms. These matters must be disclosed before cover is started, increased or reinstated.
- that reduces the risk to us;
- that is of common knowledge;
- that we know or ought to know in the ordinary course of our business, or
- where we have waived your duty.
Your duty to disclose relevant matters continues until we accept your cover. This same duty applies before your cover is extended, varied or reinstated.
What happens if you don’t comply with the Duty of Disclosure? (Non-disclosure)
If you fail to comply with your duty of disclosure and we would not have entered into the insurance contract if you had told us, we may cancel your insurance cover within three years of entering into it. If we choose not to cancel your insurance cover, we may elect to vary your insurance cover at any time by:
- reducing your sum insured. This would be worked out using a formula that takes into account the premium that would have been paid if you had told us everything as required (for any Death Benefit under Life Insurance, we may only reduce your cover amount within three years of the commencement date of your cover)
- varying the terms of your insurance cover in a way that places us in the same position we would have been in if you had told us everything as required.
If your non-disclosure is fraudulent, we may refuse to pay a claim and cancel your insurance cover or any part of it, irrespective of the type of cover, at any time.
You should be aware that a failure by the life insured to tell us a matter of the kind referred to above will be treated as a failure by the member to comply with his/her duty of disclosure.
Where any new cover issued by NobleOak Life Limited has been granted on the basis of replacing existing life insurance cover held with another Life Office, that existing cover must be cancelled immediately on the acceptance of the new NobleOak cover. If the existing cover is not cancelled as was indicated and a claim arises, then the replacement cover issued by NobleOak will be null and void as from the inception date and all premiums paid will be refunded.
1NobleOak provides insurance cover under its Risk Fund No.1 Benefit Fund Rules which are approved by NobleOak’s Board and APRA. Upon acceptance for cover under Premium Life Direct you become insured under the master insurance policy that is issued to NobleOak Services Limited ABN 66 112981718 AFSL Number 286798 as the Trustee of the My Protection Plan trust. Your cover is governed by the Risk Fund No.1 Benefit Fund Rules. Members may request to view the Risk Fund No.1 Benefit Rules at any time.