What are the consequences of a non-disclosure?
Failing to provide the correct disclosure will give the insurer certain rights, as a result of a non-disclosure in the Insurance Contracts Act. This may result in:
- Claims being denied
- The policy may be canceled
- It could result in a fraud charge
What must you disclose when applying for a public liability insurance policy
- You must disclose previous claims
- Disclose if you or any directors have ever been declared bankrupt?
- Or been involved in a company or business which became insolvent or subject to any form of insolvency or voluntary administration (e.g. liquidation or receivership)?
- Disclosure if you or any directors have been convicted of any criminal offense (other than minor traffic convictions)
- Your full occupation including the different business activities (perhaps you’re a cleaner, you will need to advise where you clean and when)
A disclosure made from the list above may not preclude you from getting insurance, the insurer will, however, consider them before offering a premium.