The Australian Consumers Insurance Lobby (ACIL), the Owners Corporation Network of Australia (OCN), and the Unit Owners Association of Queensland (UOAQ) have collectively approached NIBA during its ongoing review of the Insurance Brokers Code of Practice. They argue that payments or shared financial benefits between brokers and parties with fiduciary duties to strata owners, such as strata managers, create inherent conflicts that cannot be adequately addressed through disclosure alone.
These consumer groups have emphasized that the revised code should explicitly address and prohibit such remuneration practices to ensure transparency and protect the interests of strata property owners. They have also indicated their intention to escalate the matter to regulatory bodies if the issue remains unresolved.
NIBA's consultation on the proposed code changes, which commenced on February 16, 2026, and concluded on April 2, 2026, sought feedback on implementing recommendations from an independent review completed in December 2025. This review produced 14 recommendations aimed at updating and strengthening the code, focusing on conflicts management, support for vulnerable clients, and clarity in brokers' services and remuneration.
Richard Klipin, NIBA's Chief Executive Officer, highlighted the importance of the code in demonstrating the profession's commitment to self-regulation and consumer trust. He encouraged broad participation in the consultation process to ensure the code reflects the collective commitment to professionalism and accountability.
As the consultation period has concluded, the industry awaits NIBA's response to these concerns and the potential revisions to the code. The outcome is expected to have significant implications for the transparency and integrity of strata insurance practices in Australia.
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