Standard Cover Insurance Contract Act

Standard Cover as prescribed in the Insurance Contracts Act

If, at the time of purchase, a customer entering into a contract of insurance is not provided with the appropriate documents (e.g. a Policy Schedule or a Product Disclosure Statement (PDS)), then the Insurance Contracts Act 1984 (Cth) will provide them with interim cover, known as “Standard Cover”. This cover is applied to the policy until the appropriate documents are provided to the customer, at which point the Standard Cover ceases, and cover then applies as per the PDS and Policy Schedule. Standard cover applies to Home Insurance, Comprehensive Motor Insurance, Sickness and Accident Insurance, Consumer Credit Insurance and Travel Insurance.

Other policies such as Third Party Property Damage and Third Party Fire and Theft Motor Insurance (where available), and Warranty policies are covered as per your PDS. It is important to understand that Standard Cover is implemented to a standard the government expects for events, amounts and exclusions associated with your type of policy. Standard Cover only applies where the coverage is higher than Allianz coverage. For detailed information on Standard Cover you can visit the Federal Register of Legislation website and refer to Part V – The Contract, Division 1 – Standard cover.