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ASIC Initiates Legal Proceedings Against QBE Insurance Over Alleged Misleading Pricing Discounts

ASIC Initiates Legal Proceedings Against QBE Insurance Over Alleged Misleading Pricing Discounts

ASIC Initiates Legal Proceedings Against QBE Insurance Over Alleged Misleading Pricing Discounts?w=400
The Australian Securities and Investments Commission (ASIC) has filed a lawsuit against QBE Insurance, alleging that the insurer misled over half a million customers regarding pricing discounts between July 2017 and September 2022.
The case centers on QBE's use of a pricing model that reduced the discounts customers should have received, affecting retirees, loyal customers, QBE shareholders, holders of multiple QBE policies, and those with claims-free histories.

ASIC claims that QBE's practices led to customers receiving less favorable pricing than they were entitled to, potentially resulting in overpayments. In response to the lawsuit, QBE's shares dropped 1.1% to A$16.97. ASIC is seeking civil penalties and declarations, emphasizing the need for robust discount systems by insurers.

QBE acknowledged and self-reported the failures to ASIC in October 2022 and has since addressed the issues after an external review. This case highlights the importance of transparency and fairness in the application of pricing discounts by insurers.

For small to medium business owners, self-employed professionals, and high-income freelancers, this development underscores the necessity of vigilance when it comes to insurance policies and discounts. To ensure you are receiving the discounts you are entitled to, consider the following actions:

  • Review your insurance policies regularly to verify that all applicable discounts are being applied.
  • Maintain clear records of your eligibility for discounts, such as claims-free periods or multiple policy holdings.
  • Engage with your insurer to confirm the details of any discounts and seek clarification if discrepancies arise.

By staying informed and proactive, you can safeguard your business against potential overpayments and ensure that you are receiving fair and accurate pricing from your insurance providers.

Published:Monday, 29th Sep 2025
Source: Paige Estritori

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