Case Studies

The following case summaries highlight common issues and consumer tips. Cases can be filtered by subject below and names have been changed to protect confidentiality. Access to the full case study database is available for IFSO Scheme Participants in the Participant Area.

Gradual damage? image
A couple were dismayed when their insurer declined their claim on the basis that the damage was gradual and not covered by the policy’s gradual damage extension.
Mr and Mrs Forest* discovered their dryer had been leaking, causing damage to the surrounding walls ...
gradual damage gradual damage extension House and Contents Insurance
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Premiums paid were more than the funeral cover was worth image
Consumers need to understand that, sometimes, they will pay more in premiums for funeral cover than the cover is worth
Mrs Parata* arranged funeral insurance cover for her husband, for a sum of $20,000.
Premiums Life Insurance Funeral Insurance
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Methamphetamine contamination confusion image
Confusion over methamphetamine contamination standards can have severe consequences for some landlords.
Through a financial adviser, Mr and Mrs Singh* held insurance on a rental property. In June 2020, Mr...
contamination House and Contents Insurance House landlord methamphetamine
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Tenant turns house into animal refuge image
Regular property inspections can reveal issues before they turn into big problems.
The IFSO, Karen Stevens, warns landlords to ensure tenants abide by the conditions of the rental. In...
landlord tenant pets House and Contents Insurance houseandcontents
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Request to reduce life cover image
Insurers and financial advisers must act with reasonable care and skill.
Shortly before he died, Sam asked his financial adviser to reduce his life insurance cover from $268,000 to $100,000.
Life Insurance Financial Advisers
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No home, 4 loans, responsible lending? image
Lender responsibilities aim to protect consumers against substantial hardship.
Ann's house was demolished and she told her lender she couldn't repay her 4 loans. She later received a repossession notice.
Loans & Credit
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Stress after the storm image
Independent evidence can help to progress insurance claims.
After a claim for flooding and storm damage was accepted, issues and delays continued for a stressful year.
House and Contents Insurance temporary accommodation flood
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$189K romance scam image
Financial Advisers must exercise reasonable care and skill.
When Andre, a quadriplegic, requested 5 withdrawals from the family investment, his adviser followed instructions.
Financial Advisers
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$43K loan, ute repossessed image
The CCCFA sets out lender responsibilities for consumer protection.
Charlie, who had terminal cancer, couldn't work or pay off a $43,000 loan. Charlie’s ute was reposessed.
Loans & Credit
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Cancer, non-disclosure image
Your full medical history must be disclosed when you apply for insurance.
Jin had life and trauma insurance. After his stage 4 colon cancer diagnosis at age 31, he made a claim.
Life Insurance Non-disclosure
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Covid-19: cancelled travel image
Check your exclusions. Most travel policies exclude global pandemics.
Barry cancelled his Bali trip due to Covid-19. His insurance claim was declined due to the pandemic exclusion.
Travel Insurance Travel Covid
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Excess dog damage image
An excess is paid when claims are accepted. If there is more than one event, more than one excess can be applied.
Viv’s claim, for carpet damaged by dog vomit and diarrhoea, was accepted. But three policy excesses were applied.
House and Contents Insurance pets
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