RG 210

Regulatory Guide 210 (RG 210) by the Australian Securities and Investments Commission (ASIC) sets the requirements for credit licensees to maintain adequate arrangements for consumer compensation. The primary method to comply is through professional indemnity insurance, ensuring coverage is sufficient in scope, amount, and policy conditions to meet potential claims. Alternative arrangements may be approved by ASIC if necessary. The guide aims to mitigate risks of financial inability among licensees to address compensation claims. Applications for relief under RG 210 must be submitted through the ASIC Regulatory Portal starting 27 July 2020.