ASIC's action against Hollard: A welcome stand against insurance claim delays

Good on ASIC for pursuing this matter against Hollard.

This appears a particularly egregious case where it is said by ASIC that it took Hollard 18 months to deny a claim after apparently the insurer initially accepted it.

The damage is then said to have led to moisture and mould…and now is said to need to be demolished!

There are far too many scenarios like this one where insurers sit on their hands.

Delay in homeowner property insurance claims are most pernicious as homeowners are often not in a position to pay for the repairs themselves and are forced to wait in addition to the stress of having faced a major weather event.

Delay relating to repairs and expert opinions is a problem I see all the time.

I would be interested to hear:

• how AFCA performed in the complaint process as to moving a decision forward efficiently; and
• whether this case leads to stronger protections for consumers to run proceedings in Court alleging a breach of the duty of utmost good faith and if successful their right to an award of costs. That would change things…

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Tagged as:

• regulatory compliance