Document ID: chunk:federal_register_of_legislation:C2025C00182:section:12dr:p1
Version: federal_register_of_legislation:C2025C00182
Segment Type: section
Provision Reference: s 12DR (pt 1/2)
Character Range: 164334–167118

12DR  Prohibition on offering add‑on insurance product during add‑on insurance deferral period

Offer by provider of principal product or service
 (1) A person (the principal provider) contravenes this subsection if:
 (a) another person (the customer) acquires, or enters into a commitment to acquire, a product or service (the principal product or service) from the principal provider; and
 (b) the principal provider offers a financial product for issue or sale to the customer, or requests or invites the customer to ask or apply for a financial product or to purchase a financial product; and
 (c) the financial product is an add‑on insurance product in relation to the principal product or service; and
 (d) the offer, request or invitation is made otherwise than in writing.
Note: Failure to comply with this subsection is an offence (see section 12GB).

Exceptions for subsection (1)—offer made outside add‑on insurance deferral period
 (2) Subsection (1) does not apply if the offer, request or invitation is made:
 (a) during the add‑on insurance pre‑deferral period in relation to the principal product or service; or
 (b) if there is an add‑on insurance deferral period in relation to the customer acquiring, or entering into a commitment to acquire, the principal product or service—after the end of the period of 6 weeks beginning on the first day of the add‑on insurance deferral period.
Note: A defendant bears an evidential burden in relation to the matter in subsection (2): see subsection 13.3(3) of the Criminal Code.

Offer by third party provider
 (3) A person (the third party provider) contravenes this subsection if:
 (a) another person (the customer) acquires, or enters into a commitment to acquire, a product or service (the principal product or service); and
 (b) the third party provider offers a financial product for issue or sale to the customer, or requests or invites the customer to ask or apply for a financial product or to purchase a financial product; and
 (c) the financial product is an add‑on insurance product in relation to the principal product or service; and
 (d) the offer, request or invitation is made otherwise than in writing; and
 (e) there is an add‑on insurance deferral period in relation to the customer acquiring, or entering into a commitment to acquire, the principal product or service; and
 (f) the offer, request or invitation is made during the period of 6 weeks beginning on the first day of the add‑on insurance deferral period.
Note: Failure to comply with this subsection is an offence (see section 12GB).

Exception for subsections (1) and (3)—contact initiated by customer
 (4) Subsections (1) and (3) do not apply if:
 (a) the offer, request or invitation is made in response to contact initiated by the customer;