With the wave of law reforms this year, general insurers have a collective 'insurance policy' for securing a trust-dividend. This represents an opportunity to move beyond the trust-deficit rent asunder by the Royal Commission, said ASIC deputy chair Karen Chester.
Speaking at the 2021 Annual Industry Forum of the Insurance Council of Australia yesterday, she said, “What lies ahead are your decisions and ultimately – your conduct.”
From ASIC’s perspective, three actions will see insurers move from trust-deficit to trust-dividend:
maintaining focus on conduct risk
keeping pace with legislative step-changes in regulatory obligations
investing in data, systems and processes – essential prerequisites for delivering good consumer outcomes.