ASIC has remade a legislative instrument that exempts Australian financial services (AFS) licensees from appointing a basic deposit or general insurance product distributor as their authorised representative.
The ASIC Corporations (Basic Deposit and General Insurance Product Distribution) Instrument 2025/520 will extend the relief previously provided by ASIC Corporations (Basic Deposit and General Insurance Product Distribution) Instrument 2015/682 until 27 August 2030.
ASIC granted the relief to reduce the regulatory burden on deposit product and general insurance providers by removing technical requirements associated with the appointment of representatives.
This promotes the wide availability of basic deposit and general insurance products to consumers by reducing the compliance costs to providers.
ASIC has assessed that the instrument is generally operating effectively and efficiently and continues to form a necessary and useful part of the legislative framework.
ASIC will continue to monitor the instrument’s appropriateness considering ASIC’s regulatory experience and feedback from relevant stakeholders.
Background
ASIC Instrument 2015/682 was remade as Instrument 2025/520 on 27 August 2025.
In May 2025, ASIC invited feedback on our proposal to remake the instrument and received one submission, which was supportive.
The relief provided by ASIC Instrument 2025/520 does not remove or reduce any of the consumer protection obligations imposed on AFS licensees by the Corporations Act 2001.
It ensures that consumers who access basic deposit or general insurance products offered under the relief have the same protections they would have received had they dealt directly with the provider.
Under the Legislation Act 2003 (Cth) all legislative instruments are repealed automatically, or sunset, after 10 years, unless ASIC takes action to preserve them.
Related links
- ASIC Corporations (Basic Deposit and General Insurance Product Distribution) Instrument 2025/520
- News item - ASIC proposes to remake basic deposit and general insurance product distribution legislative instrument (28 May 2025)
- CS 20 Proposed remake of basic deposit and general insurance product distribution legislative instrument
