Australia

Vehicles

Accidents, insurance basics, traffic tickets, lemon laws

25 questions

🛡️

Insurance Claims

(5)
My car insurance claim was denied because my teenage son was driving. Is this legal?
Yes, it can be legal if your policy explicitly excludes drivers under a certain age or requires named drivers — insurers in Australia are allowed to set reasonable conditions under the Insurance Contracts Act 1984.
I didn't disclose a previous accident when getting car insurance. Can they cancel my policy?
Yes, your insurer can cancel your car insurance policy if you failed to disclose a previous accident, as this may be considered a failure to meet your duty of utmost good faith or a breach of the duty of disclosure under Australian insurance law.
An insurer reduced my payout claiming my modifications voided coverage. Can they do this?
An insurer can only void coverage for modifications if the changes materially increased the risk and you failed to disclose them, or if the policy explicitly excludes such modifications — and even then, they must comply with the Insurance Contracts Act 1984.
My car was written off by insurance but I disagree with their valuation. What can I do?
You can request a second valuation from an independent assessor, negotiate with your insurer, or escalate to the Australian Financial Complaints Authority (AFCA) — which is free and binding up to $30,000.
My insurer says I didn't report the accident promptly enough and won't pay. Is there a strict time limit?
There is no single strict nationwide time limit in Australia for reporting a car accident to your insurer, but most policies require 'prompt' or 'as soon as practicable' notification — typically within 24–72 hours — and delays can void cover if they prejudice the insurer.