The Committee undertook an inquiry to determine who sells ‘add-on’ insurance to better understand:
- the products and sales process,
- recommend improvements to industry practice, and
- the General Insurance Code of Practice (the Code).
Add-on insurance is an insurance product that is ‘added’ to another major product or service, usually at checkout. This happens after a consumer has decided to buy the major product or service. The insurance can be added to products or services like:
- concert tickets, or
- a loan.
Add-on insurance products have been widely criticised, especially in connection with their sale, with Australians not knowing enough about:
- what they have been sold,
- who sold it, and
- if they can make a claim.