What is a ‘DOFI’

A DOFI is a Direct Offshore Foreign Insurer. It refers to an overseas insurance company that is not authorised by the Australian Prudential Regulation Authority (APRA) to operate as an insurer in Australia. Because they are outside the Australian regulatory framework, DOFIs are not subject to the same capital, conduct, or consumer protection requirements as APRA-regulated insurers. APRA provides information about authorised insurers in Australia, which you can view here: Register of Authorised Insurers When a policy is placed with a DOFI, it usually means the cover is not available in the local Australian market, or that a specialised need can only be met by an overseas insurer. However, clients should be aware that DOFIs are not covered by the Financial Claims Scheme and do not have the same regulatory oversight as Australian insurers. More information on the Financial Claims Scheme can be found here: Financial Claims Scheme. At Webber Insurance, we hold our own Australian Financial Services Licence (AFSL). This means we are responsible for ensuring that any insurance product, including those issued by a DOFI, is appropriate for your needs and clearly explained to you. If a product is placed through a DOFI, we will always let you...