Comparison website Choosi is facing legal action from the corporate regulator for allegedly misleading customers searching for insurance.
On its website and in its advertising, Choosi says it compares products from a range of leading funeral and life insurers.
But in Federal Court proceedings, ASIC alleges the comparison provider misled prospective customers.
ASIC alleges that starting July 1, 2019, with one exception, Choosi exclusively compared policies provided by Greenstone Financial Services, an insurer associated with Choosi.
The corporate regulator claims that during this time, over 4200 funeral insurance and nearly 9500 life insurance policies were sold, resulting in Choosi earning $61 million in commissions.
In a statement, Choosi says it’s “currently reviewing the allegations” … “will take all necessary steps and will respond accordingly.”
It added that it’s “committed to making any necessary changes that best serves our customers.”
