You’ve set up your policy, paid your premiums, and built a solid financial defence. You are feeling good. But then, a few months down the line, your son starts using the bakkie to drive to varsity every day. Or, you move out of that secure complex and into a freestanding house closer to the city.
You don’t call us to update your policy because, well, it’s still the same bakkie, right? “I didn’t think it was important.”
Here is the straight talk: That exact phrase is the number one reason claims get rejected. In the insurance world, leaving out the “small details” is the fastest way to leave your perimeter completely exposed.
Here is what you need to know about Material Facts and your Duty of Disclosure.
What is a Material Fact?
A “material fact” is any piece of information that changes the math on your risk. When we agree to insure your assets for a specific premium, we are calculating the odds based on the exact picture you painted for us on Day One. If that picture changes, the math changes. If you don’t tell us about the change, we are effectively insuring a ghost.
The Regular Driver Roulette
Let’s talk about the biggest trap: the regular driver. When we calculated your premium, we based it on your age, your driving history, and your daily commute. If your 19-year-old son takes over the bakkie as his daily drive, the risk profile of that vehicle just skyrocketed.
If he puts it into a wall and we find out he has been the regular driver for the last six months, your claim isn’t just going to be adjusted—it can be flat-out rejected.
The Change of Address
Where your vehicle sleeps at night matters. If you move from a gated estate with 24-hour security to a busy street where you park on the pavement, the risk of theft and accident changes entirely. If your car is stolen from the new address and you never disclosed the move, the insurer has the right to void the cover.
Why? Because the risk they agreed to cover was “a car parked behind high walls,” not “a car parked on a public street.”
The Consequence
Voiding the Policy We don’t go looking for loopholes to reject claims. But the legal reality of insurance is built on good faith. By law, you have a Duty of Disclosure. This means it is your responsibility to proactively tell us about anything that alters your risk profile.
If you withhold a material fact—even by accident—the insurer has the legal right to void your policy from the date the change happened. It means they treat the policy as if it never existed, refund your premiums, and walk away from the claim.
The Bottom Line A responsible protector doesn’t leave his defence to chance. If you move, if you change jobs, if you put a canopy on the bakkie, or if someone else starts driving the car—pick up the phone. Let your broker know.
Over-communicate. It takes five minutes, and it ensures that when the worst happens, your shield holds strong.
Welcome to the tribe. Let’s keep your perimeter secure.