Allianz Australia and subsidiary AWP were hit with a fine of $1.5 million for misleading customers on travel insurance. It sold the travel insurance policies through Expedia websites.
They were found to have engaged in misleading and deceptive practices to sell the insurance products. They were prosecuted by the Australian Securities and Investments Commission (ASIC).
The companies said they had already paid more than 15,000 customers ‘remediation’ worth about $1.14 million.
They ‘failed to correctly state how premiums were calculated and by allowing insurance to be sold to ineligible customers,’ ASIC said.
