The Purpose of this Proposal Form is to set out all relevant information for your adviser to submit on your behalf to the insurer(s). Under the Insurance Contracts Act 1984, you are under a duty to make full disclosure in this Proposal Form as follows:

Before you enter into a contract of general insurance with an insurer, you have a duty, under the Insurance Contract Act 1984 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, on 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 matters –

• that diminish the risk to be undertaken by the insurer;

• 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 by the insurer.

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 opportunity of voiding the contract from its beginning.  There are other matters of which you should be aware in relation to the proposed professional indemnity insurance, as follows:

The proposed Professional Indemnity insurance policy is claims made and notified insurance i.e. it only covers claims made against you and notified to the insurers during the period of insurance.  However, provided that you give the insurers notice of any circumstances that may give rise to a claim against you immediately you become aware of these facts and during the period of insurance, then this insurance will respond notwithstanding that no claim has actually been made against you during the period of insurance.

There is provision in the proposed Professional Indemnity insurance policy for the operation of a retroactive date.  Claims which subsequently arise from circumstances which occurred prior to the retroactive date are excluded.

The proposed Professional Indemnity insurance policy excluded liability arising out of any obligation assumed by way of warranty, guarantee or indemnity to the extent that such liability exceeds the liability which would have been incurred in the absence of such obligation.

A contract of insurance is based on the utmost good faith requiring the insurers and the insured to act towards each other with utmost good faith in respect of any matter arising in relation to the insurance.

Privacy

We are committed to protecting your privacy.  To provide you with our services, which include negotiation and acquisition of insurance, we need to obtain certain information from you and pass it on to the third parties who are necessary to assist us in providing these services to you. These include insurers, accountants, lawyers and other advisers. We use the information you provide to advise about and assist with your insurance needs. We do not trade, rent or sell your information.

For further information about our Privacy Policy, ask for a copy or visit our website - www.optimuminsurance.com.au