Cancellation Clause

The Cancellation Clause explains how either party can terminate the insurance contract. It outlines notice periods, refund calculations, and valid reasons for insurer-initiated cancellations such as non-payment or breach of conditions. A tradie might cancel cover when changing business structure, while an insurer might do so if premiums remain unpaid. Refunds are generally issued on a pro-rata basis for unused cover. Understanding this clause helps policyholders avoid coverage gaps when switching insurers.

The Cancellation Clause explains how either party can terminate the insurance contract. It outlines notice periods, refund calculations, and valid reasons for insurer-initiated cancellations such as non-payment or breach of conditions. A tradie might cancel cover when changing business structure, while an insurer might do so if premiums remain unpaid. Refunds are generally issued on a pro-rata basis for unused cover. Understanding this clause helps policyholders avoid coverage gaps when switching insurers.