Full Disclosure
Introduction
We all want the policy to pay out if the worst happens and you can help us to help you to avoid difficult situations in the event of a claim.
Importance of Disclosing all Material Facts:
- Draw your client’s attention to the statement about disclosure of material facts included on our application form
- Remind your client that any non-disclosure will put their potential payout at risk
- If there is any change at all in health after the application has been completed and before the policy goes on risk, your client must tell us
- Help your client to fully complete the application form. A high percentage (10%) of paper applications are sent to us with missing or incomplete answers
- Inform your client that when making an application, medical disclosures can be submitted in a sealed envelope addressed to our Chief Medical Officer (CMO)
- Advise against using vague answers as this will delay the application and could lead to further information being requested
- Provide full information on all application questions. Remember, we would rather see more than not enough
- When assessing disability benefits such as waiver of premium or Total and Permanent Disability (TPD) underwriters need to know about conditions that have the potential to cause the client to be off work; e.g. back complaints, mild mental illness etc
Most common non-disclosed/under-disclosed information
- Back pain
- Stress/anxiety/depression
- Height and weight
- Joint problems/arthritis
- Outstanding tests and investigations
- Smoking
- Alcohol consumption
- Raised blood pressure
