FICS continues consumer focused conciliation push
The Financial Services Complaints Tribunal (FICS) is continuing to streamline its complaint processes towards more conciliation orientated outcomes, six months into the implementation of recommendations from an external review.
The changes, commenced in April following the completion of the external review back in December 2002, involve case managers dealing more immediately and personally with disputes, where as in the past complaints were often dealt with by case managers simply sending out letters to consumers.
“There is a conscious effort by the organisation to move to more conciliatory outcomes both in terms of our face to face and telephone dealings with consumers,” FICS chief executive officer Alison Maynard says.
Maynard says FICS receives on average 1,000 complaints against financial services groups a year, however for the six months ending June 30 of this year 620 complaints have already been lodged.
In 2002 FICS received 257 financial planning related complaints. Of these 93 related to inappropriate advice, 75 for misrepresentation and 86 for the poor standard of company service.
Maynard says of the complaints FICS receives, 20 per cent go to the FICS panel or an adjudicator, with the remaining being resolved by the organisation’s nine case managers.
“This means FICS will immediately reduce the use of letters of advice from case managers as a means of handling complaints and increasing the emphasis on conciliation by case managers who are our front line in resolving disputes,” she says.
FICS was established in 1999 replacing former Life Insurance Complaints Service (LICS) and was integrated with the Financial Services Complaints Resolution Scheme in 2000.
FICS deals with issues relating to all products sold by life insurance companies, advice and services in relation to stock brokers, financial planners and investment managers.
Recommended for you
Multiple industry organisations have shared their thoughts on AFCA’s proposed rules amendment, supporting the idea of firms being named publicly when they fail to comply with determinations.
Channel Capital has appointed a head of investment oversight who joins from 14 years at asset consulting firm JANA Investment Advisers.
Licensee Centrepoint Alliance has completed the acquisition of Brighter Super’s annual review service advice book, via Financial Advice Matters.
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
