Page 19 - Insurance Times July 2021

International News

Insurers lose High Court that ruling in the High Court. Its learned they will not receive a cent of
application for that appeal was denied. his life insurance after BT Super
challenge over business
The ICA's chief executive Andrew Hall cancelled his policy months before his
insurance COVID pande- acknowledged that ruling was a death - which his family claim was done

mic payouts disappointment. without his permission. Under new
superannuation laws in 2019,
Australia's insurance industry has lost "While we are disappointed, this insurance providers were required to
the latest battle in an ongoing "war of decision on the first test case provides cancel any accounts which had been
attrition" between insurers and us with certainty," Mr Hall said. inactive for 16 months or longer.
businesses that want compensation for
COVID losses. Grieving wife in disbelief Members who wished to keep it were
required to either 'opt in' or make a
Many Australian businesses had a type when she finds out she contribution. BT Super said it sent Mr
of insurance when the pandemic hit Vajda two emails and a letter before
that could cover them for losses linked WON'T be receiving her cancelling his policy but he did not
to an interruption to trade. dead husband's $200,000 respond - a claim his family disputes.

It is estimated there were roughly life insurance payout due The insurance provider said it had no
250,000 policies of this ilk in Australia record of a response and 'will only
when the pandemic struck with a total to a loophole review the decision if additional
potential liability of $10 billion. A grieving wife has been denied her information comes to light'.
late husband's $200,000 life insurance
However, the insurance industry claims But Mrs Vajda and her husband's
these policies were never designed to payout due to a loophole in his policy. brother Anthony said they found an
cover business losses due to Nardia Vajda's life was turned upside email in Mr Vajda's sent box indicating
pandemics. down when her husband Jeremy, 49, he responded to the company.
and the father of her two children,
Last year its lobby group, the Insurance 'How could anything be in your sent
Council of Australia, took a test case to suddenly died from a heart condition mailbox if you didn't send anything? So
court to clarify that its members' on March 25 last year. he definitely responded to that first
policies did not cover pandemics. The couple's 13-year-old son found him message,' Mrs Vajda said.
But it lost the case, in a surprise unconscious in the bathroom moments Without Mr Vajda's password, they
judgment that came down to just a after Mrs Vadja left for work. cannot access the content of the email
few technical words related to the 'The first thing I said to Jeremy was - but they believe it was sent to a do
repeal of the Quarantine Act and its ''you told me you would never leave not reply email address and never
replacement with a new Biosecurity me''. But he was gone,' Mrs Vadja told went through.
Act. A Current Affair.
Mrs Vadja said the pain of losing the
The industry was seeking an appeal of Now, the heartbroken family have love of her life 'will never go away', and

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