Financial Services and Regulation Minister Joe Hockey has commented on confusion surrounding a recent Business Review Weekly article, in which he was quoted criticising insurance brokers for opposing commission disclosure on retail products.

The reported remarks caused some concern at NIBA, with CEO Noel Pettersen saying the association’s view on the issue is well known and understood by the Government. The FSRB reflects that viewpoint, with commission disclosure on consumer products being imposed.

However, Mr Hockey has told Mr Pettersen in a letter that his ministerial comments on the issue have sometimes been confused by journalists. “This unfortunately appears to be the case on this occasion.”

Mr Hockey was referring to insurance agents’ opposition to the Bill. Insurance Agents Association of Australia President David Lester has been particularly vehement in media reports, claiming much of the FSRB is aimed at “the big end of town”.

Mr Hockey said in his letter that he appreciates NIBA’s “valuable contribution” to the development of the FSRB. “In particular, the association’s desire to further enhance the professional standing of the industry and its participants is very welcome.”