Cover-More shows insurers can offer travel insurance without discriminatory mental health exclusion clauses

2 June 2017
A new product disclosure statement (PDS) released yesterday by travel insurer Cover-More has sent a message to all insurers that it is possible to offer travel insurance policies without discriminatory blanket mental health exclusions, according to Maurice Blackburn Lawyers.

Maurice Blackburn Insurance Principal Kim Shaw said Cover-More’s new travel insurance PDS, which has seen the removal of an unfair clause against claims arising from anxiety, depression, mental or nervous disorders, was a welcome win for consumers and paved the way for other insurers to also take action.

“We have acted for a number of people who have been rejected for travel insurance or been denied payment for cancellation of their trip because of unfair mental health exclusion clauses,” Ms Shaw said.

“Such exclusions are not only discriminatory; they are archaic and have no place in modern-day Australia – they reinforce negative stigmas against mental health without having any reliable data to back up such oppressive clauses.

“Action to remove these clauses is long overdue, and Cover-More have at last clearly recognised the inappropriateness of such exclusions, which serve only to disadvantage people from being able to take out and properly utilise travel insurance.

“To see the removal of this clause from one of the major players in the travel insurance market is an important step in ensuring a fairer approach for all consumers, and is also due recognition to the efforts of people like Ella Ingram, who spearheaded this issue and helped to expose the legal flaws in these discriminatory product offerings.

“We urge all travel insurers to now take similar action in removing unfair blanket mental health exclusions,” she said.