FILE PHOTO-The Central Business District (CBD) skyline is pictured at sunset in Sydney, Australia, June 4, 2021. REUTERS/Loren Elliott/File Photo Acquire Licensing Rights
Aug 16 (Reuters) – The Australian Securities and Investments Commission (ASIC) said on Wednesday it has asked the country’s general insurers to improve their claims handling practices and resources after it found issues in multiple areas in its review of the companies.
The regulator said it had commenced several investigations related to claims handling practices after its review of more than 218,000 insurance claims lodged between January and March 2022 of six insurers, including Insurance Australia Group (IAG.AX), QBE Insurance (QBE.AX) and Suncorp (SUN.AX).
The claims reviewed by the ASIC revealed the insurers were facing unduly pressure due to inclement weather events during and before the period. It also pointed out areas of improvement such as communications, project management and resourcing.
“All five areas we’ve identified for improvement are within the insurers’ control. Improving claims handling practices and resourcing will make an immediate and positive difference to consumers,” ASIC Deputy Chair Karen Chester said.
Insurance Australia Group, QBE Insurance and Suncorp did not immediately respond to Reuters requests for comment.
Reporting by Archishma Iyer in Bengaluru; Editing by Shinjini Ganguli
Our Standards: The Thomson Reuters Trust Principles.
Clinton Mora is a reporter for Trending Insurance News. He has previously worked for the Forbes. As a contributor to Trending Insurance News, Clinton covers emerging a wide range of property and casualty insurance related stories.