The Insurance Council of Australia (ICA) has opened a public consultation on a draft version of the revised General Insurance Code of Practice, seeking feedback on a framework designed to strengthen consumer protections and improve customer outcomes.
The proposed Code has been rewritten to reflect changes in the insurance landscape and evolving customer expectations. It follows extensive consultation with consumer advocates, regulators and insurance providers and draws on recommendations from the Industry Action Plan released in March 2025, which responded to findings from the Independent Code Review and the Parliamentary Flood Inquiry.
Among the key reforms proposed are legal enforceability of the Code in consumer contracts, subject to approval by the Australian Securities and Investments Commission (ASIC), automatic acceptance of home and motor claims after 12 months where no decision has been reached, and enhanced support measures for vulnerable customers through a new Extra Care framework.
The draft also broadens protections for victims of family and domestic violence, strengthens expectations for trauma-informed claims handling and introduces higher standards for expert reports used in claims assessments.
Commenting on the consultation, ICA Chief Executive Andrew Hall said the Code must adapt to changing circumstances. “The world has changed and the Code needs to keep pace with those changes. Customers face more frequent extreme weather, more complex claims and new technology that is reshaping every part of the insurance process,” he said.