Draft the target market determination for a general insurance product
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- From the policy wording, underwriting guidelines, distribution plan and claims and complaints data, draft the target market determination with the content s 994B(5) requires: the class of consumers in the target market, the distribution conditions and restrictions, the review triggers, when the first and later reviews must occur, the complaint reporting periods, and the kinds of information distributors must report and how often.
- What the lawyer must review
- Decide whether the target market described is one for which the product is likely to be consistent with consumers' likely objectives, financial situation and needs, set review triggers and distribution conditions that match the product's real risks, and confirm the determination is available to the public free of charge before the product is distributed.
- Written for / version
- US
Open a jurisdiction version of this task to see which instruments apply: US
Who does what
| Role | What they do |
|---|---|
| Assistance | From the policy wording, underwriting guidelines, distribution plan and claims and complaints data, draft the target market determination with the content s 994B(5) requires: the class of consumers in the target market, the distribution conditions and restrictions, the review triggers, when the first and later reviews must occur, the complaint reporting periods, and the kinds of information distributors must report and how often. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Confirm the instructions, the jurisdiction and the complete relevant material before starting.
- Check each product attribute described against the current policy wording.
- Confirm the review triggers and reporting requirements are measurable from data the issuer actually collects.
- Confirm the determination is available to the public free of charge before distribution begins, as s 994B(9) requires, and diarise the 10-business-day review that follows a review trigger.
- Check the output against the source documents named in it before it is relied on.
Sources
- ASIC RG 274 Product design and distribution obligations (September 2024) · 2026-10-18
- ASIC RG 274 landing page · 2026-10-18
These are suggested working checks. Confirm the required checking with the responsible lawyer before work starts; the checking approach does not establish permission to use AI.