CommInsure has been charged by the Australian Securities and Investments Commission (ASIC) for offering to sell Simple Life insurance products via non-compliant unsolicited phone calls.
CommInsure, part of Commonwealth Bank of Australia, was alleged to have, through its telemarketing firm Aegon Insights Australia Pty Ltd, between October and December 2014, unlawfully sold life insurance policies over the phone.
Customer contact details were provided to Aegon Insight from CBA’s existing customer database.
ASIC alleged that the calls to CBA customers were unsolicited, and that CommInsure did not comply with all of the hawking exceptions in section 992A(3) of the Corporations Act.
The maximum penalty for each of the 87 counts was 125 penalty units ($21,250).
The case has been listed for first mention on 19 November, 2019 at the Downing Centre Local Court in Sydney, prosecuted by the Commonwealth Director of Public Prosecutions.
In an announcement to the Australian Securities Exchange (ASX) acknowledging the charges, CBA said it did not wish to comment further while it considered the matter.
CommInsure is currently the subject of an acquisition by AIA Australia.