Development Distribution Target Market
Policy last updated 30th June 2020
Our approach to the Development and Distribution of insurance products for appropriate target markets
Assetinsure Pty Ltd (Assetinsure) is committed to having a customer-centric approach to the development and distribution of our insurance products.
We do this by:
• Identifying market segments most likely to benefit from our existing products or identifying the likely objectives and financial situations of a particular market segment for our new products;
• Designing insurance products that are likely to be consistent with the objectives, financial situation and needs of the customers for who the products are intended; and
• Working with our distributors to take reasonable steps that are reasonably likely to result in our insurance products reaching consumers in the appropriate target market.
Development of insurance products for appropriate target markets
Our approach to the development of insurance products for appropriate target markets may include:
• Employees with relevant industry sector and insurance product experience and knowledge.
• Robust testing of new products.
• Market research and feedback to assist us in understanding the likely objectives, financial situation and needs of customers including customers experiencing vulnerability.
• Analysing internal and external data (where available) such as claim ratios, claims paid, withdrawn and denied; policies sold; cancellation and lapse rates and the nature and number of complaints.
• Development of a Target Market Determination, for retail insurance products, that describes the class of consumers comprising the target market for the insurance product and helps consumers identify clearly whether they are in our target market.
• Internal policies, procedures, and training for our employees.
• Keeping abreast of regulatory actions taken in relation to any issuers, products or other factors driving consumer detriment, to ensure that our products and distribution methods do not have the same issues.
Distribution of insurance products for appropriate target markets
Our approach to the distribution of our insurance products for appropriate target markets may include:
• Co-development of our Target Market Determinations with our distributors.
• Identification of distribution channels that are reasonably likely to result in our insurance products reaching consumers in the appropriate target market.
• Internal policies, procedures and training for our distributors.
• Using specialised distribution channels.
• Requiring our distributors of retail insurance products to take reasonable steps to distribute the insurance product consistently with our Target Market Determination.
• Monitoring and supervision of our distributors.