ASIC Update on CommInsure Investigation

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ASIC has released an update into its investigation into CommInsure’s life insurance business, including its claims handling practices and procedures.

While the regulator has undertaken what it characterises as an extensive range of enquiries into the concerns raised in media reports earlier this year, it says its enquiries are ongoing and that it will make no comment on potential outcomes at this time: ‘Given the wide ranging and often complex nature of these matters, ASIC’s investigation is anticipated to continue for some time,’ the statements notes, continuing ‘The investigation remains a priority for ASIC and we will provide public updates where appropriate as the matter progresses.’

As part of the investigation so far, ASIC says it has:

  • Obtained approximately 60,000 documents for consideration
  • Interviewed a range of individuals
  • Obtained external legal advice
  • Engaged extensively with CommInsure and its independent reviewers
  • Liaised with the Financial Ombudsman Service and the Superannuation Complaints Tribunal in relation to CommInsure matters

The regulator also notes that in addition to its own investigation, CommInsure has commenced a number of independent reviews, including investigations into declined claims, its life insurance claims handling practices and in relation to ethical concerns raised in the media.

ASIC says it has been engaging closely with CommInsure concerning the scope and findings of the insurers own investigations and that it will continue to monitor the scope and conduct of these reviews.