{"id":35973,"date":"2017-02-09T11:00:46","date_gmt":"2017-02-09T00:00:46","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=35973"},"modified":"2017-02-15T09:53:11","modified_gmt":"2017-02-14T22:53:11","slug":"fsc-rejects-asic-call-for-more-insurance-powers","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2017\/02\/09\/fsc-rejects-asic-call-for-more-insurance-powers\/","title":{"rendered":"FSC Rejects ASIC Call for More Insurance Powers"},"content":{"rendered":"

The Financial Services Council (FSC) has pushed back against suggestions by ASIC that it be granted more powers in the area of claims handling disputes claiming that present and pending legislation and regulation is sufficient to deal with the issue.<\/p>\n

\"FSC<\/a>
FSC CEO, Sally Loane<\/figcaption><\/figure>\n

In its submission to the Parliamentary Joint Commission (PJC) Inquiry into Life Insurance, ASIC stated its powers to address poor practices in the life insurance sector were limited and this could be addressed by allowing claims handling to come under ASIC\u2019s oversight.<\/p>\n

FSC Chief Executive, Sally Loane<\/strong> said the introduction of the Life Insurance Code of Practice (LICP), the Best Interest Duty within the Future of Financial Advice (FoFA) legislation and remuneration reforms within the pending Life Insurance Framework (LIF) legislation meant there was no need to introduce more structures around the handling of claims by life insurers.<\/p>\n

Pointing to the FSC developed LICP, \u00a0Loane said the Code had introduced high standards of practice in claims handling as well as clear time frames for claims management, claims decisions and updates with claimants.<\/p>\n

“Self-regulation can be implemented much faster than costly and time-consuming legislation.”<\/h6>\n

\u201cSelf-regulation can be implemented much faster than costly and time-consuming legislation. The Code has the capacity to evolve and change with consumer needs, and will deliver consumer benefits in a much more efficient and timely way than waiting for complex legislation,\u201d Loane said.<\/p>\n

\u201cThe Code, which ASIC has acknowledged should improve outcomes for consumers, will be continuously improved and developed. Further iterations of the Code, for instance, will directly deal with other stakeholders in life insurance including superannuation fund trustees,\u201d Loane added.<\/p>\n

Loane also countered ASIC\u2019s concerns that it had observed a bias in some advisory groups towards the sale of in-house life insurance products over non-related products stating the Best Interest Duty within FoFA already addressed potential conflicts of interest.<\/p>\n

Loane added the FoFA reforms would also be boosted by the pending LIF remuneration reforms which include an ASIC review in 2021.<\/p>\n","protected":false},"excerpt":{"rendered":"

The Financial Services Council (FSC) has pushed back against suggestions by ASIC that it be granted more powers in the area of claims handling disputes claiming that present and pending legislation and regulation is sufficient to deal with the issue.<\/p>\n","protected":false},"author":3,"featured_media":36017,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[282,8],"tags":[4247],"class_list":{"0":"post-35973","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-associations","8":"category-compliance-regulation","9":"tag-feature"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/35973","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\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=35973"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/35973\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/36017"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=35973"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=35973"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=35973"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}