Freedom Insurance,which was exposed for selling life insurance over the phone to a man with Down syndrome,says it plans to quit all its operating businesses.
The insurance industry is also set for a major shake-up after several insurers were found by the royal commission to have allegedly unfairly declined claims.
Bank of Queensland has scrapped the $65 million sale of its St Andrew's Insurance business to the beleaguered Freedom Insurance Group.
The beleaguered life insurance distributor also admitted it was under investigation by the corporate watchdog for misconduct highlighted by the banking royal commission.
The chief executive Freedom Insurance Group has resigned a few months after giving evidence to the banking Royal Commission about its cold-calling life insurance sales tactics.
An insurance company staff member referred to the father of a disabled man who had been sold life insurance as a"bloody whinger".
Freedom Insurance sold life insurance to a 26-year-old with Down syndrome who was unable to understand the cover he was buying.