Indigenous customers ‘being fleeced by funeral insurers’
Some indigenous customers of funeral insurers have been paying for up to five insurance policies for their families, according to the indigenous representative body National Congress.
The group has called on the Government and regulators to end the financial exploitation of Aboriginal and Torres Strait Islander people by financial services companies.
Responding to revelations in the Hayne royal commission about high-pressure funeral insurance sales practices, National Congress co-chair Rod Little described such practices against vulnerable people as “criminal”.
Counsel Assisting the Commission, Rowena Orr QC, quoted from a report by Indigenous cultural services organisation MURAConnect that says about 5000 policyholders of the Aboriginal Community Benefit Fund – which has no connection with any Aboriginal groups or individuals – are under 18 years old.
It appears that a large number of parents are taking cover out for their children, the report says.