This Target Market Determination (TMD) describes who the Coverpay product may be suitable for based on likely needs, objectives, and financial situation of customers in the product’s target market.
This document is not a full summary of the product’s terms and conditions and is not intended to provide financial advice. Customers should refer to the relevant Coverpay User Terms and Conditions before signing up to use our product.
In this document, a reference to “we”, “us” and “our” means Coverpay Pty Ltd ACN 644 007 081.
This TMD is effective 19 January 2023.
This TMD applies to Coverpay Personal Lines Plans (The Product) and is effective from 19 January 2023. Personal Lines Plans means instalment plans for the payment of premiums for personal lines insurance, that is, insurance taken out for personal, domestic or household purposes.
This TMD does not apply to instalment plans for the payment of premiums relating to policies taken out wholly or predominantly for business purposes.
The target market for The Product is customers who would like to pay for their insurance in instalments.
The customer’s likely objectives in using The Product would be to spread the payment of premium over instalments that would otherwise have to be paid up front in full including using traditional credit products. This could be for convenience or to assist in budgeting by spreading the expense over smaller instalment payments or having the flexibility to pay out their plan early to avoid future fees.
The key eligibility requirements for The Product are:
The key attributes of The Product are:
The Product is only distributed by us through merchants. Merchants are either insurers (being APRA regulated entities) or intermediaries (being Australian Financial Services Licensees or their authorised representatives).
The Product is not available directly from us.
All applications for The Product must be made via the Coverpay application and payment portal.
We will review this TMD in accordance with the below:
|Initial review||5 October 2022|
|Periodic reviews||At least every 2 years from the initial review|
|Review triggers or events||Any of the below triggers may indicate that the TMD is no longer appropriate and a review of the TMD is to be undertaken:
Where a review trigger has occurred, this TMD will be reviewed within 10 business days.
We will continuously monitor that The Product is distributed in accordance with this TMD. All distributors must report in writing to us within 10 business days, any compliant relating to The Product, and any significant dealing in respect of The Product. Distributors are also required to keep records of certain information in relation to The Product for a period of up to seven years.
We will keep complete records of our decisions in respect of producing and reviewing this TMD and the review triggers.