The Australian Securities & Investments Commission (ASIC) reported that the Supreme Court of New South Wales has convicted Allianz Australia Insurance Limited and AWP Australia Pty Ltd and imposed criminal fines totalling AUD 16.8 million for making false or misleading statements about travel insurance, contrary to the Corporations Act. The Court found that, between 2016 and 2018, Allianz and AWP published online information, including on Allianz’s domestic and international travel insurance web pages, that misrepresented the characteristics or level of cover. The advertising promoted maximum benefits payable but sometimes did not state that sub-limits, terms, conditions or exclusions would limit those benefits. Allianz was sentenced on six counts and fined AUD 13.5 million, while AWP was sentenced on one count and fined AUD 3.3 million; both will also pay ASIC’s investigation costs. The matter was prosecuted by the Commonwealth Director of Public Prosecutions following ASIC’s investigation and referral.
Australian Securities & Investments Commission 2025-02-28
Australian Securities & Investments Commission enforcement results in AUD 16.8 million criminal fines for Allianz and AWP over misleading travel insurance statements
The Supreme Court of New South Wales convicted Allianz Australia Insurance Limited and AWP Australia Pty Ltd, imposing fines totaling AUD 16.8 million for false or misleading travel insurance statements, violating the Corporations Act. Allianz was fined AUD 13.5 million for six counts, and AWP AUD 3.3 million for one count. The case, prosecuted by the Commonwealth Director of Public Prosecutions, followed ASIC's investigation and referral.