The Insurance Council of New Zealand (ICNZ) on Friday encouraged insurers to consider the findings of a Financial Markets Authority review as they work to achieve fair customer outcomes.
The review of add-on insurance and extended warranties, published Thursday, found that that stronger oversight of sales and distribution channels is required to support fair outcomes.
ICNZ said it "supports initiatives that help ensure consumers receive clear information, can make informed decisions, and have confidence that insurance products meet their needs."
The review examined how insurers design, distribute and oversee a range of products and found a recurring gap between the policies and controls insurers described and how they operated in practice.
In recent Friday trade in Australia, shares of QBE Insurance Group (ASX:QBE), Insurance Australia Group (ASX:IAG), and Suncorp Group (ASX:SUN) all rose past 1%, while Tower (ASX:TWR, NZE:TWR) shed over 1%.
