Ms Orr questions ICA's Mr Whelan over the group's slow response to problems in the add-on insurance area.

But Mr Whelan says the ICA is a member-based group and there are limitations on the actions it can take.

“We are not a regulator,” he says.

He goes on to discuss the proposal to cap commissions, which was rejected by the ACCC, and the later proposal for a deferred sales model.

The principle is that it will allow customers to make an informed decision, he says. It should increase loss ratios as people will buy products on which they are able to claim.