Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) A Cash Settlement Fact Sheet must contain:
(a) a statement outlining the options for settlement legally available to the client under the insurance product; and
(b) a statement setting out the sum insured under the insurance product; and
(c) a statement setting out:
(i) the total amount of the cash settlement being offered; and
(ii) the amount of each component of the total amount of cash settlement being offered (such as components representing the sum insured, additional payments relating to emergencies and ex gratia payments); and
(d) a statement that the client should consider obtaining independent legal or financial advice before settling; and
(e) if, despite accepting the offer, the client would be entitled under the insurance product to have the payout reviewed--an outline of the rights of review; and
(f) any other information prescribed by the regulations.
(2) The Cash Settlement Fact Sheet must be given in writing.
(3) The Cash Settlement Fact Sheet must be dated. The date must be the date on which the Cash Settlement Fact Sheet was prepared or its preparation completed.
(4) The Cash Settlement Fact Sheet may also contain other information.
(5) The information included in the Cash Settlement Fact Sheet must be worded and presented in a clear, concise and effective manner.