Australian Securities and Investments Commission: ABC pleads guilty to criminal charges of mis-selling consumer credit insurance
The 30 criminal offenses relate to CBA’s provision of CreditCard Plus and Loan Protection policies as a supplemental insurance product sold in-branch, over the phone and online.
Between 2011 and 2015, the ABC made false or misleading statements to its customers that they could make a claim against their insurance policies when some or all of those claims were unavailable to them.
Vice President of ASIC
The conduct of the ABC was the subject of a case study by the
This action is part of ASIC’s priority to address consumer harm in insurance. It follows ASIC’s detailed review of the sale of consumer credit insurance by 11 major banks and other lenders. Report 622, Consumer Credit Insurance: Poor Value Products and Harmful Sales Practices, published in
“Following a review of consumer credit insurance, ASIC has prohibited the unsolicited sale of this insurance through cold calling, secure on
The case was prosecuted by CDPP after investigation and referral by ASIC.
The matter has been adjourned to a date yet to be set.
ASIC Report 256, Consumer Credit Insurance: A Review of Sales Practices by Authorized Depository Institutions, published in
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