The Australian Securities and Investments Commission (ASIC) has flagged its intention to conduct a surveillance of life/risk advice as part of its broader work on the Life Insurance Framework review.
ASIC commissioner, Danielle Press flagged the surveillance in an address to the National Insurance Brokers Association today noting that ASIC would be looking at “representative and random samples of life insurance advice”.
Press told the forum that since January, last year, ASIC had been collecting aggregate level data from life insurers every six months to assist with its 2021 LIF review.
“We are currently analysing the data collected to date, though it is still too early to comment on any real trends that may be attributed to the reforms,” she said. “In undertaking the review we will consider the factors identified by the Royal Commission and, if we think the reforms have not been effective, we will consider recommending to the Government that the cap on commissions be reduced further.”