Interim report on new financial disputes framework

An Interim Report by the independent expert panel reviewing the financial system’s external dispute resolution and complaints framework has been released.

The Review, chaired by Professor Ian Ramsay, will prepare the way for improved resolutions of disputes between consumers and small businesses and their financial institutions, the Minister for Revenue and Financial Services Kelly O’Dwyer said.

The review, which was announced by the Government in April 2016 as part of its wider package to improve consumer outcomes in the financial system, is considering the role, powers, governance and funding arrangements of the Financial Ombudsman Service (FOS), the Credit and Investments Ombudsman (CIO) and the Superannuation Complaints Tribunal (SCT).

NIBA CEO, Dallas Booth said “We will be studying the interim report and the draft recommendations over the next few weeks, and we will be making a submission to the inquiry by the end of January.  We have made it clear all along that we have confidence in the FOS EDR arrangements that are currently in place, and we will have concerns if the recommendations lead to a lessening of the knowledge and expertise that is applied to disputes involving insurance brokers, or results in a system that becomes more expensive to administer for no real gain to insurance brokers or their clients”.

The Interim Report is available on the Treasury website.NIBA members wanting to share their comments or concerns can contact Dallas via email.