{"id":12884,"date":"2011-10-19T10:05:33","date_gmt":"2011-10-19T00:05:33","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=12884"},"modified":"2021-04-15T10:19:32","modified_gmt":"2021-04-15T00:19:32","slug":"asic-addresses-cci-issues","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2011\/10\/19\/asic-addresses-cci-issues\/","title":{"rendered":"ASIC Addresses CCI Issues"},"content":{"rendered":"<p>The Australian Securities and Investments Commission (ASIC) has released a series of recommendations to address issues it has uncovered within the consumer credit insurance (CCI) market.<\/p>\n<p><!--more-->ASIC conducted a review of 15 authorised deposit-taking institutions (ADIs), including banks, credit unions and building societies, following ompliance action that ASIC had taken against three companies that mis-sold CCI. \u00a0In light of these specific investigations ASIC wanted to assess how CCI is sold across the industry more broadly.<\/p>\n<p>&#8220;Our review revealed that some practices give rise to poor outcomes for consumers,&#8221; ASIC Commissioner, <strong>Peter Boxall<\/strong>, said.<\/p>\n<p>In its review of sales practices ASIC identified the following risks:<\/p>\n<ul>\n<li>Consumers not being made aware that they have purchased CCI or that CCI is optional<\/li>\n<li>Consumers not being asked whether or not they wish to purchase CCI<\/li>\n<li>Consumers not being eligible to claim on all components of the CCI policy they have purchased<\/li>\n<li>The potential for consumers to be pressured or harassed by sales staff, and<\/li>\n<li>Consumers not understanding the cost or the duration of the CCI policy<\/li>\n<\/ul>\n<p>&#8220;For consumers, the key message is that CCI is optional,&#8221; Dr Boxall said. \u00a0&#8220;If a consumer is offered CCI they should consider whether or not they need it by asking key questions including &#8216;what would I be able to claim for&#8217; and &#8216;what would the policy cost&#8217;.&#8221;<\/p>\n<p>Following the review, ASIC has issued 10 recommendations relating to sales practices, disclosure, training programs and monitoring systems, which will be adopted by the ADIs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Australian Securities and Investments Commission (ASIC) has released a series of recommendations to address issues it has uncovered within the consumer credit insurance (CCI) market.<\/p>\n","protected":false},"author":7,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[],"class_list":["post-12884","post","type-post","status-publish","format-standard","category-compliance-regulation"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/12884","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/7"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=12884"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/12884\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=12884"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=12884"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=12884"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}