Life Insurers Advocate for Updated Code of Practice

The Council of Australian Life Insurers (CALI) has welcomed the ongoing review, emphasizing the importance of the code in fostering confidence between insurers and policyholders. CALI's CEO, Christine Cupitt, highlighted the necessity for the code to adapt continually to meet Australians' needs and reflect community standards.

Former regulator Peter Kell is leading the independent review, which began on October 1, 2025. The process involves extensive consultations with stakeholders, including consumer advocates and regulatory bodies, to ensure the code remains robust and pertinent.

Key areas of focus in the review include mental health protections, claims handling procedures, medical definitions, and complaints management. Additionally, the enforceability of the code is under scrutiny to enhance its effectiveness.

Life insurers have expressed their commitment to evolving the code to provide clear and accessible protections for customers, particularly those experiencing vulnerability, financial hardship, or mental health challenges. The industry aims to simplify the code's language and structure, ensuring better alignment with legal standards and improving consumer understanding.

The interim report from the review is expected to be released early next year, offering further insights and recommendations for the code's development.

For policyholders, these developments signal a proactive approach by the life insurance industry to enhance service quality and consumer protection. Staying informed about these changes can help individuals make more informed decisions regarding their life insurance needs.