SIRA issues letter of censure to NRMA Insurance
12 July 2023
SIRA has issued a letter of censure to Insurance Australia Limited trading as NRMA Insurance (NRMAI) following delays in commencing weekly payments of statutory benefits in 43 CTP claims.
SIRA’s investigation found delays contravening clause 4.43 of the Motor Accident Guidelines in 43 claims between 1 July 2022 to 12 September 2022. In doing so, NRMAI also breached section 1.3(2), section 3.6(5) and section 10.7 of the Motor Accident Injures Act 2017 and clause 10 of its standard licence conditions.
NRMAI accepted the findings received in a Show cause notice from SIRA in May 2023. In response NRMAI has advised it is developing a preventative control to ensure payment of weekly benefits within 10 working days of liability being accepted on a claim.
SIRA has taken NRMAI’s self-reporting of this breach and its remediation actions into account. In this instance SIRA considers a letter of censure to be appropriate and will continue to monitor performance. On-going non-compliance may result in additional actions such as civil penalties.
Further information
- SIRA letter of censure to NRMA Insurance dated 9 June 2023 pursuant to section 1.3(2), section 3.6(5) and section 10.7 of the Motor Accident Injuries Act 2017, clause 4.43 of the Motor Accident Guidelines, and clause 10 of NRMA Insurance’s standard licence conditions.