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 claims from at least July 1, 2019, with one exception, Choosi only compared policies issued by a single insurer, Greenstone Financial Services – a company linked to Choosi.
The corporate watchdog alleges that more than 4200 funeral insurance and almost 9500 life insurance policies were sold during this period, earning Choosi $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.”
