Call for Stricter Timelines on Insurance Claims and Renewals

3

⚠️The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

A major focus of the committee's recommendations is the enhancement of protection for small business clients. Currently, remuneration disclosure requirements are predominantly aimed at retail clients; however, the committee argues that small businesses should also be afforded the same level of transparency.

Another key area highlighted by the committee is the need for stricter timelines around claims and renewals. Presently, brokers are expected to “keep clients informed in a timely manner regarding the progress of their claim,” as stated in clause 7.1. However, the committee suggests a more specific commitment of providing updates every 20 business days. Additionally, they advocate for increasing the notification period for policy renewals from the current 14 days before expiry to a minimum of 30 business days in advance.

These proposed time frames are designed to align client expectations with broker obligations, fostering informed decision-making and improving the overall client experience. The committee emphasizes that such measures will enhance trust in brokers and minimize the risk of lapses in coverage.

Breach and complaint identification, along with reporting, are also under scrutiny in the committee's submission. It urges brokers to report all breaches, including those by representatives, and calls for improved training regarding the code. “Named reporting” on breaches is one of the committee's key recommendations, aiming to enhance transparency and promote better compliance practices. This approach allows firms to benchmark their performance against peers, highlighting industry outliers.

To support these initiatives, the committee proposes securing sufficient funding, enabling them to conduct their own independent investigations and reviews, arguing that reliance solely on self-reported data is inadequate for effective compliance monitoring.

The committee mentions potentially extending the code review period from the current three years to five years, contingent upon the code's approval by the corporate regulator. Such changes are intended to provide a more robust framework for oversight in the industry.

Published:Tuesday, 6th May 2025
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

Clear

Insuregroup's Remarkable Growth Reflects Surge in Truck Insurance Demand

17 Feb 2026: Paige Estritori

Insuregroup, a specialist insurance brokerage serving Australia's transport and logistics sector, has recently announced a significant milestone: processing over 10,000 insurance policies since its inception, with a 25% increase in policy volume over the past year. This growth underscores the escalating demand for comprehensive truck insurance solutions tailored to the unique needs of Australian freight operators. - read more

Updated Heavy Vehicle Code Extends Safety Responsibilities Across Industries

17 Feb 2026: Paige Estritori

The National Heavy Vehicle Regulator (NHVR) has released an updated Master Code of Practice, marking the first revision since 2018. This update broadens the scope of safety guidelines beyond traditional road transport businesses to encompass industries such as manufacturing, construction, mining, retail, and logistics. The expansion aims to provide clearer and more relevant guidance for businesses that rely on heavy vehicles, emphasizing a shared responsibility for road safety. - read more

Australian Trucking Association Challenges Proposed Fuel Tax Increase

17 Feb 2026: Paige Estritori

The Australian Trucking Association (ATA) has strongly opposed a proposal by the Productivity Commission to phase out fuel tax credits for trucking operators, a move that would effectively double the fuel tax paid by the industry. This recommendation, outlined in the commission's final report on the net zero transformation, suggests increasing the effective fuel tax rate from the current 32.4 cents per litre to 66.1 cents per litre by 2035. - read more

Budget Direct Triumphs as Australia's Top Insurer in 2026

17 Feb 2026: Paige Estritori

In a remarkable achievement, Budget Direct has been honoured as the inaugural 'Insurer of the Year' at the 2026 Finder Provider of the Year Awards. This prestigious recognition underscores the company's unwavering commitment to delivering exceptional value and service to Australian policyholders. - read more

Australian General Insurers Report Record Profits Following Premium Increases

17 Feb 2026: Paige Estritori

In 2024, Australia's insurance industry reported an after-tax profit of $6.1 billion, a figure that is three times higher than the five-year average of $2 billion. This substantial increase is attributed to a combination of factors, including significant premium hikes and a reduction in severe weather events. - read more

Click for more Insurance News