NWC Remediation Program
Frequently Asked Questions
Why has NWC created a warranty remediation program?
Following discussions with the Australian Securities and Investment Commission (ASIC), NWC has agreed to provide certain refunds to a number of customers who purchased warranties issued by NWC between 1 July 2013 to 28 May 2015 where conflicted commission was paid to NWC’s authorised representatives who sold the warranty.
What is conflicted remuneration?
Conflicted remuneration refers to any benefit given to a holder of an Australian Financial Services Licence (AFSL), or its representative, who provides financial product advice to a retail client that because of the nature of the benefit or the circumstances in which it is given, could reasonably be expected to influence the choice of financial product that is recommended or the financial product advice given.
The ban on conflicted remuneration came into effect on 1 July 2013.
When does the NWC warranty remediation program apply?
The remediation program only applies to warranties that were issued under NWC’s Australian Financial Services Licence from 1 July 2013 to 28 May 2015.
What The Remediation Program does not cover:
- Dealer issued warranties or warranties issued by third party insurers.
- Refund amounts less than $20; or
- If the commission that was paid to NWC’s authorised representatives (motor dealer or finance broker) who sold the warranty did not contravene the ban on conflicted remuneration (which came into effect on 1 July 2013).
- There was no contravention of the ban for some warranties sold between 1 July 2013 to 1 July 2014 due to a ‘grandfathering’ period permitted under the legislation.
Who is ASIC?
ASIC stands for the Australian Securities and Investment Commission. ASIC is the regulator of various financial products and services, including the warranties issued by NWC under its Australian Financial Services Licence.
Why did you contact me?
You have been identified by NWC as a customer eligible to receive a refund under the remediation program as we believe your vehicle warranty was sold to you by a motor dealer or finance broker who was an authorised representative of NWC and who was paid a commission in contravention of the ban on conflicted remuneration.
How was my refund amount calculated?
Your refund is based upon the difference between the actual retail price you paid for your warranty when you purchased your car and the lowest retail price paid for that product by any customer purchasing the warranty through the same dealership (where the dealership received a commission).
In addition, NWC will pay interest at the rate of the consumer price index so that the refund in effect will reflect the present value of that amount.
What steps have NWC taken to ensure my refund is calculated correctly?
NWC has engaged an experienced external adviser to calculate the refunds.
What do I do if I have not been contacted by NWC but believe I am eligible?
If you have not been contacted by NWC and believe you are eligible, please contact NWC on 1800 338 359 in order to check your eligibility before 1 April 2018.
How do I check the status of my refund?
If you have replied and provided NWC with the Customer Confirmation Form, your refund payment process has begun. NWC will endeavour to have your refund cheque to you within 60 days of receiving your signed Customer Confirmation Form. If this period has passed, please contact our Customer Contact Centre on 1800 338 359.
Will the refund affect my tax affairs?
Depending on your personal circumstances, the refund may affect your tax affairs. If you have any queries, please seek professional financial advice.
What do I do if I have question(s) about my warranty, but not in relation to the remediation program?
If you have question(s) relating to your warranty policy that do not related to conflicted remuneration and this remediation program, please call us on 1300 853 488 and one of our Customer Service Representatives will be able to assist you.
If you have questions relating to claims under the warranty, and is not related to the remediation program, please call us on 1800 888 760 and one of our Customer Service Representatives will be able to assist you.
If I have further queries about my refund, could it delay my payment?
We will endeavour to make refund payments within 60 days of receiving your signed Customer Confirmation Form. Please contact our Customer Contact Centre on 1800 338 359 as soon as possible if you have any queries.
Why have I received an email from email@example.com?
The email sent from this mail box relate to NWC’s Warranty Remediation Program. Please do not respond to this email as the mail box is not monitored. Please contact 1800 338 359 or firstname.lastname@example.org if you have any questions in relation to the email you have received.