Memo · Insurance Law
Coverage advice memorandum (insuring clause, exclusions, conditions, non-disclosure and section 54)
An original structure for a coverage advice under Australian law: the question, short answer, facts and policy terms, then a step-by-step analysis of cover, exclusions, conditions and notification, disclosure and misrepresentation, section 54, good faith, quantum and next steps.
- Kind
- Memo. An internal or advice memo.
- Where it applies
- Australia, United Kingdom (England and Wales), New Zealand
- AI use
- Yellow AI can help in set ways. A lawyer checks specific points before use.
- Law stated as at
- 17 October 2026
- Status
- Maintained. Checked against the cited sources on 17 October 2026.
- Version
- 1
- Source
- Written for this library
When to use it
Use when advising an insured, insurer or broker whether a policy responds to a loss or claim. Suitable for general insurance including liability, property, professional indemnity and D&O. For life insurance, adjust the disclosure and remedies analysis. Not for statutory schemes such as workers compensation or CTP.
How AI may be used
AI may map the notified facts to the policy clauses and build the coverage table with clause references and open questions, but the coverage opinion, the section 54 analysis and any advice on disclosure remedies are professional judgments for the lawyer.
AI may
- Extract insuring clauses, definitions, exclusions, conditions, limits and excesses into a table
- Map each notified fact to the clauses it may engage, with document references
- List information gaps and questions for the insured or insurer
- Build a notification chronology for claims-made policies
AI must not
- Must not state a conclusion on cover or on the effect of section 54
- Must not rely on a policy wording version that has not been confirmed as the one in force
- Must not cite authorities that a lawyer has not read
The lawyer checks
- The policy wording, schedule and endorsements in force at the relevant date are confirmed
- Each step of the analysis is supported by the facts and the clause
- Statutory overlays (sections 54, 13, 14, 28 and 40) are correctly applied
- Assumptions and information gaps are stated, and the advice is limited accordingly
Method: how the Green, Yellow and Red levels are decided. This is guidance for planning, not legal advice.
Read the full text
The full text is for signed-in accounts. It is free. When you sign in you can:
- read the whole precedent, with its drafting notes beside it;
- copy it, or download it as a Word file or Markdown;
- add it to your firm’s knowledge base, so colleagues can find it;
- let the AI tools you connect read it from that knowledge base.
The summary, the law it rests on and the AI-use guidance above stay public. Privacy.
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