15 Apr 2024

Bill seeks to put more onus on insurers for information disclosure

From Nine To Noon, 9:05 am on 15 April 2024

What to disclose to an insurer has long been a mire for consumers, but a new bill seeks to put more onus on insurers. Duncan Webb's Insurance Contracts member's bill was drawn from the ballot last month.

It would put more of the onus of finding information about policyholders on insurers rather than the status quo.

For years the insurance ombudsman has fielded complaints from people who'd been paying for the likes of health or income insurance and when they came to claim were declined because the company said they had failed to disclose information a "prudent insurer" ought to know.

This is the legal test and the ombudsman years ago signalled it ought to change with more of an onus being placed on insurers.

Labour MP Duncan Webb and Insurance and Financial Services Ombudsman Karen Stevens speak to Kathryn about the need for changes to insurance contracts.

Health insurance depiction

Photo: Pixabay