VIC Insurance Law - Can Insurance Company Refuse to Pay for Damage?

[petermark]

Let's say if you get an alarm system in the house. You told the insurance company, and you removed it without telling the insurance company and something happens, how bad it will be?

Under Insurance Law, will the insurance company try their best not to pay?

 

[petermark]

Can anyone give anything?

 

[John Thorton]

If the event is something that potentially could have been prevented or minimised with the activation of the alarm, then yes.

A lack of alarm is not going to affect a flooding incident, for example.

 

[Complex16]

Agree with the above... You might have an issue for a claim relating to a burglary if your insurer relied on your information that you had an alarm system in place and it was based on this reliance that they agreed to provide you with the cover. They could also just reduce the claim based on their level of prejudice.

If it is determined that they wouldn't have insured you without the alarm system then they could reduce the claim 100%. Your best bet is to call them, tell them, and pay any additional premium they then want. Or shop around.