By way of media release dated 11 October 2022, we have been advised by the State Insurance Regulatory Authority (SIRA) that special licence conditions have been placed on Insurance Australia Limited (trading as NRMA Insurance) and QBE Insurance (Australia) following an audit of claims management, specifically in relation to the payment by these insurers of treatment and care costs sought by motor accident victims.

The review of these insurers was commenced in June 2022 and identified these concerns, even though SIRA had already initiated improvement plans for NRMA Insurance and QBE after the insurers had given themselves a poor compliance score in their annual self-assessments.

NRMA Insurance and QBE have now been directed to take remedial action following their non-compliance with their obligations to meet the cost of treatment and care claims.

This is the first time that special licence conditions have been imposed upon an insurer under the motor accidents scheme in New South Wales.

The special conditions imposed by SIRA require:

  • The insurers must develop and provide, for approval, a remediation plan by 30 September 2022.
  • The plan must respond to the findings that have been identified in the report to ensure compliance where substantial compliance was not demonstrated.
  • The remediation plan must accord with SIRA’s expectations.
  • The insurers must implement the remediation plan as approved by SIRA in the time as provided and to furnish the Authority with a monthly update.

As a result of these failings, SIRA will increase its oversight of both NRMA Insurance and QBE to ensure that proper steps are taken to remedy the current situation and that an injured person’s access to entitlements for treatment and care is dealt with in a timely and transparent manner.

These findings come as no surprise to us. Insurers have and will always do what they can to avoid their obligations of including the paying payment of expenses as claimed by injured motorists. After all, the insurer’s primary obligation is not to the injured person, but rather to its shareholders.

If you, or anyone that you know, has experienced any difficulty with a CTP insurer with respect to the payment of any treatment or care expenses, or in the dealing with a CTP insurer generally, then contact Brydens Lawyers without delay for expert legal advice and representation to resolve any such difficulties.

It has always been, and remains, our firm view, that no injured motorist should ever deal directly with an insurer with respect to any claim that may be available to them for injury sustained in a motor vehicle accident. The insurer does not act in the injured motorist’s best interests. In fact, the insurer will conduct itself in a manner that is completely contrary to the best interest of the injured motorist. We are aware of many instances, for example, where an insurer has overlooked (to use a neutral term) advising the injured motorist as to their rights to claim compensation for the injuries they have sustained, or to have all of their medical and related expenses paid for.

Strict time limits apply with respect to all claims against CTP insurers for injuries sustained in a motor vehicle accident. Do not delay. Contact Brydens Lawyers today on 1800 848 848 or at brydens.com.au. At Brydens Lawyers – #WE DO motor accident claims.