Life insurers have welcomed the passing of legislation banning the use of predictive genetic test results in underwriting, saying the move will boost consumer confidence and support preventative healthcare.
The laws, passed in the Senate on Wednesday 1 April, prohibit insurers from using genetic test outcomes when assessing applications for cover. The reform is designed to remove a long-standing barrier that may have discouraged Australians from undergoing testing.
…no one should be deterred from taking a genetic test…
CALI, a body representing insurers, said it had long supported measures enabling consumers to access genetic information without fear of insurance implications. Its CEO Christine Cupitt said the industry wanted Australians to feel confident about seeking insights into their health.
“For years, we have been clear that no one should be deterred from taking a genetic test that gives them more information about their overall health,” she said. “As life insurers, we want people to access the information they need to make informed choices about their health and to manage it proactively.”
The industry introduced a voluntary standard in 2019 restricting the use of predictive genetic test results, but CALI said legislative backing was now appropriate given rapid advances in genetic science.
CALI also welcomed a built-in five-year review of the laws, noting it would be critical to ensure the framework keeps pace with developments in genetic testing.
Wow can CALI guarantee customers that as a result of possible anti-selection now this legislation has passed that there will be no premium increases. Is this just the start of other restrictions on insurers to be able to underwrite for the risk and a move to community higher pricing.
Funny this legislation was passed the same week that Zurich has tried to increase premiums on 88 clients by 400%, simply because they are aware that all have suffered from ill health since buying their 'Guaranteed Lifetime Renewable' life insurance up to 20 years ago. Once clients with Genetic problems are identified, what's to stop Zurich doing the same thing for 'reasons other than the genetic test results'.
Once an insurer proves they can't be trusted to keep their 'guaranteed' promises, there is no reason for people to pay them premiums.
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