INSURANCE CONTRACTS ACT 1984

Table of Provisions

• Long Title

PART I--PRELIMINARY

• 1 Short title  
• 2 Commencement  
• 3 Repeals  
• 4 Previous contracts  
• 5 Crown to be bound  
• 6 Extension to external Territories  
• 7 Effect of Act on other laws  
• 8 Application of Act  
• 9 Exceptions to application of Act  
• 9A Exclusion of pleasure craft from the Marine Insurance Act 1909  
• 10 Contracts of insurance  
• 11 Interpretation  
• 11AA Application of the Criminal Code  
• 11AB Consumer insurance contracts  

PART IA--ADMINISTRATION

• 11AAA Definition  
• 11A ASIC responsible for general administration of Act  
• 11B Powers of the ASIC  
• 11C Supervisory powers--ASIC may obtain insurance documents  
• 11D Supervisory powers--ASIC may review administrative arrangements etc.  
• 11DA Supervisory powers--liability of directors, employees and agents of insurers  
• 11E Examination of documents by ASIC not to imply compliance with relevant legislation  
• 11F ASIC's power to intervene in proceedings  

PART II--THE--DUTY OF THE UTMOST GOOD FAITH

• 12 This Part not to be read down  
• 13 The duty of the utmost good faith  
• 14 Parties not to rely on provisions except in the utmost good faith  
• 14A Powers of ASIC--insurer's failure to comply with the duty of the utmost good faith in relation to handling or settlement of claims  
• 15 Certain other laws not to apply  

PART III--INSURABLE--INTERESTS

Division 1--General insurance

• 16 Insurable interest not required  
• 17 Legal or equitable interest not required at time of loss  

Division 2--Other contracts of insurance

• 18 Insurable interest not required  

Division 3--Naming of persons benefited

• 20 Persons benefited need not be named  

PART IV--DISCLOSURES--AND MISREPRESENTATIONS

Division 1A--Consumer insurance contracts: insured's duty to take reasonable care not to make a misrepresentation

• 20A Application of this Division  
• 20B The insured's duty to take reasonable care not to make a misrepresentation  
• 20C Warranties of existing facts to be representations  

Division 1--Other contracts: insured's duty of disclosure

• 20E Application of this Division  
• 21 The insured's duty of disclosure  
• 22 Insurer to inform of duty of disclosure  

Division 2--Other contracts: misrepresentations by insured

• 23A Application of this Division  
• 23 Ambiguous questions  
• 24 Warranties of existing facts to be representations  
• 25 Misrepresentation by life insured  
• 26 Certain statements not misrepresentations  
• 27 Failure to answer questions  

Division 3--Remedies for relevant failures

• 27AA Meaning of relevant failure  
• 27A Certain contracts of life insurance may be treated as if they comprised 2 or more separate contracts of life insurance  
• 28 General insurance  
• 29 Life insurance  
• 30 Misstatements of age  
• 31 Court may disregard avoidance in certain circumstances  
• 32 Relevant failure by life insured covered under group life contract  
• 32A Relevant failure by holder of RSA  
• 33 No other remedies  

Division 4--Key Facts Sheets

• 33A Application of this Division  
• 33B What is a Key Facts Sheet ?  
• 33C Insurer's obligation to provide Key Facts Sheet  
• 33D Provision of Key Facts Sheet does not constitute clearly informing  

PART V--THE--CONTRACT

Division 1--Standard cover

• 34 Interpretation  
• 35 Notification of certain provisions  
• 36 Interpretation of regulations  
• 37 Notification of unusual terms  

Division 1A--Definition of flood

• 37A Application of this Division  
• 37B Meaning of flood in prescribed contracts etc.  
• 37C Insurer must clearly inform insured whether prescribed contract provides insurance cover in respect of flood  
• 37D Circumstances in which prescribed contract is taken to provide insurance cover etc. in respect of flood  
• 37E Division not to affect provision of insurance cover for certain events  

Division 2--General provisions relating to insurance contracts

• 38 Interim contracts of insurance  
• 39 Instalment contracts of general insurance  
• 40 Certain contracts of liability insurance  
• 41 Contracts of liability insurance--consent of insurer required for settlement etc. of claim  
• 42 Maximum cover for premium  
• 43 Arbitration provisions  
• 44 Average provisions  
• 45 "Other insurance" provisions  
• 46 Pre - existing defect or imperfection  
• 47 Pre - existing sickness or disability  
• 48 Contracts of general insurance--entitlements of third party beneficiaries  
• 48AA Life policy in connection with RSA for the benefit of third party beneficiary  
• 48A Life policy for the benefit of third party beneficiary  
• 49 Where sum insured exceeds value of insured's interest  
• 50 Sale of insured property  
• 51 Claims against insurer in respect of liability of insured or third party beneficiary  
• 52 "Contracting out" prohibited  
• 53 Variation of contracts of insurance  

Division 3--Remedies

• 54 Insurer may not refuse to pay claims in certain circumstances  
• 55 No other remedies  
• 55A Representative actions by the ASIC  

PART VI--CLAIMS

• 56 Fraudulent claims  
• 57 Interest on claims  

PART VII--EXPIRATION--, RENEWAL AND CANCELLATION

• 58 Insurer to notify of expiration of contracts of general insurance  
• 59 Cancellation procedure  
• 59A Cancellation of contracts of life insurance  
• 60 Cancellation of contracts of general insurance  
• 61 Insurers in liquidation  
• 62 Cancellation of instalment contracts of general insurance  
• 63 Cancellations of contracts of insurance void  

PART VIII--SUBROGATION

• 64 Application to third party beneficiaries  
• 65 Subrogation to rights against family etc.  
• 66 Subrogation to rights against employees  
• 67 Rights with respect to money recovered under subrogation etc.  
• 68 Contracts affecting rights of subrogation  

PART IX--INFORMATION--, NOTICES AND REASONS

• 69 Giving of information to insureds  
• 70 Notices to be given to life insureds in certain cases  
• 71 Agency  
• 72 Content and other requirements for notices etc. to be given in writing  
• 72A Method for giving written notices or documents  
• 74 Policy documents to be supplied on request  
• 75 Reasons for cancellation etc. to be given  

PART IXA--ENFORCEMENT

Division 1--Civil penalty provisions

• 75A Declaration of contravention of civil penalty provision  
• 75B Pecuniary penalty orders  
• 75C Maximum pecuniary penalty  
• 75D Pecuniary penalty applicable  
• 75E Civil enforcement of pecuniary penalty orders  
• 75F Meaning of benefit derived and detriment avoided because of a contravention of a civil penalty provision  
• 75G Conduct contravening more than one civil penalty provision  
• 75H Multiple contraventions  
• 75J Proceedings may be heard together  
• 75K Civil evidence and procedure rules for pecuniary penalty orders  
Subdivision B--Civil proceedings and criminal proceedings
• 75L Civil proceedings after criminal proceedings  
• 75M Criminal proceedings during civil proceedings  
• 75N Criminal proceedings after civil proceedings  
• 75P Evidence given in civil proceedings not admissible in criminal proceedings  
Subdivision C--Miscellaneous
• 75Q Attempt and involvement in contravention treated in same way as actual contravention  
• 75R Continuing contraventions of civil penalty provisions  
• 75S State of mind  
• 75T Mistake of fact  
• 75U Exceptions etc. to civil penalty provisions--burden of proof  
• 75V Civil penalty provisions contravened by employees, agents or officers  

Division 2--Infringement notices

• 75W When an infringement notice may be given  
• 75X Provisions subject to an infringement notice  
• 75Y Matters to be included in an infringement notice  
• 75Z Payment period  
• 75ZA Extension of time to pay amount  
• 75ZB Payment by instalments  
• 75ZC Withdrawal of an infringement notice  
• 75ZD Effect of payment of amount  
• 75ZE Effect of this Division  

PART X--MISCELLANEOUS

• 76 Contribution between insurers  
• 78 Regulations