NAB response to Life Insurance Industry Reforms



Today the Government has given its support to a range of measures aimed at improving customer outcomes and industry practices in the Australian life insurance market.

Last year, in response to the ASIC Review of Retail Life Insurance Advice report, John Trowbridge reported on a series of options that would deal to issues highlighted by the regulator, in particular, remuneration models that would benefit from reform.

Today’s package announcement includes a timetable to remove high upfront commissions in favour of alternative remuneration caps, as well as strengthening the ‘claw back’ provisions for the benefit of customers. Importantly, the Government has acknowledged a review of the effectiveness of these measures before the end of 2018 is an essential element of the proposals.

NAB Wealth Group Executive and CEO of MLC Andrew Hagger said: “NAB remains committed to the spirit and objectives of reforms in the life insurance market for the benefit of customers.

“This package represents a positive step for the industry subject to strong and effective implementation, with agreement for consideration of further reforms at a later period. The Government’s formal response to the Financial System Inquiry recommendations will also be important.

“This has been a complex process which has benefited from the guidance and leadership of Assistant Treasurer Josh Frydenberg.”




Related Articles

  • Full Year Results

NAB 2021 Full Year Results

NAB Group Chief Executive Officer Ross McEwan today released NAB’s 2021 Full Year Results and Annual Review.

  • 09.11.2021
  • Time to read 1 min read
  • Announcements

Port of Newcastle Hydrogen Hub

  • 08.11.2021
  • Time to read 1 min read
  • Climate

NAB receives HRH The Prince of Wales’ Terra Carta Seal in recognition of commitment to creating a sustainable future

NAB was awarded the inaugural 2021 Terra Carta Seal by His Royal Highness the Prince of Wales at the UN Climate Change Conference (COP26) in Glasgow.

  • 04.11.2021
  • Time to read 2 min read

Quick links

National Australia Bank — NAB

Sometimes When The Unexpected Happens, We Realise What We Truly Value. Whether A Home, Farm, Business Or Your Passion, NAB Is Here To Support You.

Business Research and Insights

For more business news and analysis, visit NAB’s Business Research and Insights.