Future Insurer #23

We've had a short break due to holidays...but now...welcome back to another edition of Future Insurer! And it is a super packed edition due to the break.

If you are new here, a special welcome! ?? It's sometimes hard to see the forest from the trees with so much InsurTech News. In this fortnightly newsletter, I'll be picking out some of the most interesting #insurtech and #insurance developments from the past fortnight.

Make sure to hit subscribe if you want to receive this each fortnight. Now onto this edition's top picks...

In this edition's news:

??ASIC appeals crypto penalty

In a somewhat surprise judgement, the Australian Federal Court in ASIC v Web 3 Ventures Pty Ltd [2024] FCA 578 determined that no penalty should be ordered on a company that was found to have breached financial services legislation in its offering of a crypto related product, a fixed yield earner product, without the appropriate licences. ASIC has now appealed to the Full Federal Court.

??Carbon Insurance gets some air time

A few big announcements for carbon insurance. InsurTech Kita has announced its expansion across Europe and Howden has launched a W&I carbon insurance product. Oka, The Carbon Insurance Company? has also launched a carbon insurance product in Australia with Clima. I was also lucky enough to chair a discussion with Kita, Howden and the Australian Institute of Company Directors recently on Carbon Insurance. You can catch up on the Webinar if you missed it.

?? ALDI Insurance is good, different.

The German supermarket chain has launched its first ever insurance offering, in Australia! The deal, with local InsurTech Honey Insurance, promises low prices across home & contents, landlords and motor insurance. ALDI Insurance has announced that customers will receive the same everyday competitive price for an insurance renewal, as a quote for a new customer on the same policy, eliminating concerns on price walking.

??Final Prudential Practice Guide Released

The Australian Prudential Regulation Authority has released the final Prudential Practice Guide CPG 230, providing guidance to insurers (and other regulated entities) on operational risk management, presently a key focus of prudential supervisors across the globe. It has also released its response to the consultation submissions, which makes for some interesting reading if you are a fellow insurance nerd! The new standard commences 1 July 2025.

??Privacy Commissioner goes public

The Australian Information Commissioner is taking civil penalty action against private health insurer Medibank. In a public announcement, the Commissioner reveals that the filing alleges that Medibank seriously interfered with the privacy of 9.7 million individuals by failing to take reasonable steps to protect their personal information from misuse and unauthorised access or disclosure in breach of the Privacy Act 1988 (Cth). The Federal Court can impose penalties of of up to $2.22 million for each contravention (based on the penalty rate applicable at the relevant time in 2021-2022).

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Tim Chan is an insurance & insurtech lawyer at global law firm Norton Rose Fulbright and Founder of The InsurTech Lawyer blog.?He regularly advises insurers and startups on emerging legal issues affecting the industry. Follow Tim on Twitter: @timinsydney

Disclaimer: This newsletter provides general information only and does not constitute legal, financial or other professional advice. It does not address the circumstances of any particular individual or entity. You should seek your own professional advice.