Insurers a law unto themselves

INSURANCE companies providing home builders warranty insurance have been allowed to dodge consumer protection and financial disclosure for years because of Federal Government changes to legislation.

The changes have allowed insurance providers to keep hidden their profits and losses - even from government regulators - while also excluding them from any obligation to disclose to consumers the terms and details of the policies they have paid for.

Just how the consumer protection provisions were stripped from an insurance product people are compelled by state law to buy when building or renovating their home is being examined by a Senate inquiry.

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