Pet insurance is considered a financial product under the Corporations Act 2001. Therefore, any advice provided in relation to pet insurance must be provided in accordance with the terms of the Act.
The Corporations Act sets out the licensing requirements and obligations associated with the provision of financial services in Australia. A person providing a financial service must hold an Australian Financial Services Licence (AFSL), be an authorised representative of an AFSL holder or be an appointed insurance distributor of an AFSL
The purpose of the licensing requirements and obligations contained in the Corporations Act is to promote a fair and transparent market for financial products, promote fairness, honesty and professionalism from those who provide financial products and allow consumers to make confident and informed decisions.
Under the Corporations Act, a veterinarian may be viewed as providing ‘financial products advice’ in relation to pet insurance if they make a recommendation, or give a statement of opinion, that influences a person’s decision in relation to a particular pet insurance policy or could be considered to have influenced that decision. For this reason, we do not do more than recommend companies that Choice recommend, or we have found worthwhile and easy to deal with. However, everyone should look into their own circumstances.