Legislation banning life insurers from using adverse genetic testing results to deny or limit life insurance cover has passed the Parliament.
Genetic testing saves lives. Australians should not be discouraged from undertaking genetic testing out of fear it may have an impact on their ability to get insurance or make that insurance unaffordable.
The Albanese Government's new legislation will apply to life insurance contract decisions made on or after six months after royal assent.
The ban will not:
- Prevent individuals from volunteering genetic test results with written consent, and the use of these volunteered results in underwriting where this would not adversely impact the insurance offer or policy terms.
- Limit the existing ability to access and use certain information for underwriting life insurance including the existence of signs, symptoms or diagnosed diseases.
There are civil penalties and criminal offences for non‑compliance which will be regulated by the Australian Securities and Investments Commission.
The legislation is subject to a statutory review every 5 years and be subject to individual dispute resolution via the Australian Financial Complaints Authority.
This legislation will make a meaningful difference to people's lives.
