Australia’s robust regulatory regime helped Australia weather the worst of the global financial crisis, but there is a danger the regulatory pendulum will swing too far the other way, according to Zurich Financial Services Australia CEO David Smith.

Speaking at the company’s annual briefing to media last week, he said the pace of reform “has accelerated at breakneck speed” as a result of the crisis.

“Few areas have been spared, with reports and proposed legislation flowing freely,” he said. “However, any reform must be good reform.”

Calling for “balanced, well thought-out reform that is building and developing our system in a coherent and fully integrated manner, that promotes the interests of the customers we serve but also recognises the interests of other stakeholders”, Mr Smith says government intervention should only correct anomalies.

“The hallmarks of our economy and society are customer-centricity, innovation, choice and competition, delivered through the free market.

“We need to ensure that regulatory reform stifles none of these things or promotes one at the expense of others,” he said. “A robust and mature financial system requires… a single vision with one set of blueprints.”