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Home loan provider in hot water over super switching advice

Home loan provider in hot water over super switching advice
Miranda Brownlee
18 January 2018 — 1 minute read

ASIC has accepted an enforceable undertaking from a home loan and insurance provider after they failed to provide adequate statements of advice on switching life insurance and superannuation products.

In a public communication, the Australian Securities and Investments Commission (ASIC) said it has accepted an enforceable undertaking from Duane Wright and his business, First National Home Loans and Insurance Pty Ltd.

According to ASIC, Mr Wright failed to undertake adequate inquiries into the relevant personal circumstances of some clients to whom he made recommendations to switch life insurance policies and also failed to provide adequate replacement product advice in the Statement of Advice, preventing the client from making an informed decision to switch life insurance and superannuation products.


ASIC said that Mr Wright advised purchasing life insurance that was too expensive for the client, failed to consider the longer term impact on retirement savings of placing life insurances within superannuation, and failed to provide accurate information about the client’s circumstances within the Statement of Advice.

Under the EU, Mr Wright and First National have agreed to undergo additional training in relation to the provision of financial product advice and must adhere to strict supervision requirements for 12 months, with all their advice audited by the authorising licensee before it is provided to clients.


Miranda Brownlee

Miranda Brownlee


Miranda Brownlee is the deputy editor of SMSF Adviser, which is the leading source of news, strategy and educational content for professionals working in the SMSF sector.

Since joining the team in 2014, Miranda has been responsible for breaking some of the biggest superannuation stories in Australia, and has reported extensively on technical strategy and legislative updates. Miranda has also directed SMSF Adviser's print publication for several years. 

Miranda also has broad business and financial services reporting experience, having written for titles including Investor Daily, ifa and Accountants Daily.

You can email Miranda on: This email address is being protected from spambots. You need JavaScript enabled to view it.

Home loan provider in hot water over super switching advice
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