Mr Longo commended the Floods Inquiry report for its comprehensive detail, which included feedback from Australians who were impacted by the floods and let down by their insurers.
“ASIC will take time to carefully consider the inquiry’s recommendations, including the 22 that relate directly to us,” Mr Longo said.
“We will do this in the context of the work we are already undertaking in relation to general insurance. We are actively considering matters that would enable ASIC to use our claims handling powers for enforcement action. ASIC has clear expectations of the insurance industry, and insurers have a lot of work to do to rebuild the trust and confidence of consumers. We are continuing to closely watch this sector.”
In addition, ASIC is prioritising action to hold insurers accountable for failing to deliver on pricing promises.
ASIC’s Transformation Journey
In its quest to continually improve and provide strong enforcement and consumer protection outcomes, ASIC has undergone a significant organisational transformation that began three years ago, and positive results delivered include:
Enhanced collaboration across the agency, enabling quicker turnaround for enforcement and compliance action
Improved data analytics and surveillance capabilities
Strengthened engagement with external stakeholders to listen to their views and set clear expectations of those ASIC regulates.
ASIC will continue to invest in data, systems, and technology and has a long-term plan to become a leading digitally enabled and data-informed regulator, Mr Longo highlighted in his statement.