Top motor insurers attack comparison site
Major insurers have demanded action against a new comparison website, which they allege has used their branding without permission.
Compareinsurance.com.au launched its car cover section this week, claiming to provide “quotes from Australia’s top insurers”.
Under the header “Insurers”, the website lists a number of brands owned by the likes of Suncorp, IAG and Allianz.
After insuranceNEWS.com.au pointed out that these brands have simply been reviewed – they are not providing quotes – Associate Director Natalie Ball advised that “immediate amendments” had been made to the site.
Reference to quotes from “Australia’s top insurers” was replaced by “several insurers”, and efforts were made to more clearly differentiate between the “quotes” and “reviews” sections.
“As you can see, we are quick to respond to any concerns raised, and have the consumers’ best interest at heart,” she said. “There is no deliberate blurring of lines.”
The only brands currently participating in car insurance quote comparisons are 1Cover, AI Insurance, Budget Direct, 1st for Women and Virgin Money.
The use of major companies’ brands on the website is unlikely to make it popular with the large insurers.
Suncorp Personal Insurance CEO Mark Milliner told insuranceNEWS.com.au the site has used the company’s branding without permission and he would demand its immediate removal.
IAG Senior Corporate Affairs Manager Paul Marriage says comparator sites do not give consumers enough information to make proper decisions, and if branding has been used without permission the insurer will take action.
Compareinsurance.com.au began operating in December, initially focusing on travel cover.
It is an authorised representative of financial services licensee CoverDirect, which has shareholders and directors in common with travel insurers 1Cover, i-Trek, Kango Cover, Ski-Insurance and Under30 – all authorised representatives of Allianz Global Assistance.
The Australian Securities and Investments Commission (ASIC) lists the directors of CoverDirect as three UK-born businessmen, only one of whom is based in Australia.
Allianz Australia GM Corporate Affairs Nicholas Scofield says Allianz Global Assistance is a global line that operates as a separate business unit.
“As far as Allianz Australia is concerned, we are not co-operating with this website in any way,” he told insuranceNEWS.com.au. “We feel these sites can be misleading and we have not given them permission to use our logo.
“You would get the impression that this site has a connection with a number of different brands, but when details were entered only three brands came back, and all were linked to the same underwriter, Auto & General.
“It could give the impression that major insurers are not interested in insuring the customer at all, when in fact this is entirely untrue. They shouldn’t be giving the impression brands are being compared when they are not.”
Compareinsurance.com.au Digital Marketing Executive Natalie Smith says there is no mention of quote comparisons in the website’s reviews section.
“Deliberately not allowing reviews or comments for certain insurers would not only diminish the service we are providing, but we suspect the Australian Competition and Consumer Commission and ASIC [would] have a problem with us filtering like that,” she told insuranceNEWS.com.au.
She says the site will not remove the branding of Suncorp or other companies.
“Insurance News recently published an article whereby Suncorp and IAG noted their concern that comparisons focus on price over service and do not consider claims experience. The reviews section of the site does exactly that: it is a public forum for customers to share their service experiences and is open to comment.”