House of Representatives
Corporations Amendment (Life Insurance Remuneration Arrangements) Bill 2016
Explanatory Memorandum
(Circulated by the authority of the Minister for Revenue and Financial Services, the Hon Kelly O'Dwyer MP)Glossary
The following abbreviations and acronyms are used throughout this explanatory memorandum.
| Abbreviation | Definition |
| ASIC | Australian Securities and Investments Commission |
| Bill | Corporations Amendment (Life Insurance Remuneration Arrangements) Bill 2016 |
| Corporations Act | Corporations Act 2001 |
| FOFA | Future of Financial Advice |
| FOFA Legislation | Part 7.7A of the Corporations Act 2001, as introduced by the Corporations Amendment (Future of Financial Advice) Act 2012 and the Corporations Amendment (Further Future of Financial Advice Measures) Act 2012 |
| FSI | Financial System Inquiry |
| Licence | Australian Financial Services Licence |
| Licensee | Holder of an Australian Financial Services Licence |
| Life Insurance Act | Life Insurance Act 1995 |
| Life insurance | life risk insurance products |
| National Credit Code | The National Credit Code set out in Schedule 1 to the National Consumer Credit Protection Act 2009 |
| Ongoing commission | A commission paid in the years after the first year of the premium |
| RIS | Regulation Impact Statement |
| Trowbridge Review | Review of Retail Life Insurance Advice |
| Upfront commission | A commission paid in the first year of the premium that is higher than ongoing commissions. |