Former ACCC deputy chair Dr Michael Schaper will oversee the independent review of the motor vehicle insurance and repair industry (MVIRI) NSW code of conduct.
The review will assess the dispute resolution process between repairers and insurers, causing issues for customers who need their vehicles back quickly according to the Motor Trades Association of New South Wales (MTA NSW).
MTA NSW says the existing code does not cover the entire scope of the relationship between insurers and repair businesses, leaving the industry prone to disputes over issues such as rates, business models, and commercial arrangements.
“Consumers must be at the heart of the code and in its current form there are many limitations that lead to frustrations and disputes that don’t help anyone, MTA NSW chief executive Stavros Yallouridis says.
“We are pleased to welcome Dr Schaper as the independent reviewer and look forward to collaborating with him as he conducts a thorough examination of the code,” he says.
The code is mandatory under the Fair Trading Act in NSW and provides a framework that promotes transparency and informed relationships between insurers and repair businesses for the benefit of their respective consumers.
It sets out guidelines which should facilitate the ethical and fair treatment of consumers, as well as for the resolution of disputes that may arise between insurers and repair businesses.
MTA NSW says the MVIRI code administration committee, comprising representatives from both the Motor Trades Association of Australia and the Insurance Council of Australia, for commissioning the review, which will examine:
- Effectiveness of dispute resolution processes under the code
- Awareness and accessibility of the code
- Compliance with the code
- Governance of the code and administration committee
- Other issues pertinent to the effective governance and operation of the code
Schaper has conducted several major independent reviews for government and international bodies, and currently serves as the independent chair of another industry code committee outside the automotive sector.
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