Chatswood serves the life and health insurance sector in New Zealand with market intelligence, data, and bespoke consulting services. Some of these are provided in conjunction with Quality Product Research Limited - a subsidiary that brings you Quotemonster.
We believe that good decisions are more likely to occur when we have good information about the market environment in which we operate. Intuitive leaps and creative decisions are always required, of course, but the more they are based on a firm foundation of observation, the better they tend to be.
5 minutes with Aneel
Aneel joined the Quotemonster team in January as our AdviceTech Lead. Aneel has over 30 years’ experience in the life and health insurance industry, having held a variety of distribution, compliance, training, project management and sales roles. Throughout his career Aneel has enjoyed working closely with advisers, whether that’s helping them improve their business practices or guiding them on their journey through the changing regulations.
Aneel is relishing the opportunity to work in a growing, agile business and one of his main goals this year is spreading the word about everything Advicemonster can help advisers with, whether it’s helping them comply with the many changes the industry is facing or making them look good in front of their clients. If you want to find out more about what Advicemonster can do for you and your business, contact Aneel today and he’ll walk you through it.
Outside of work Aneel enjoys running, travelling and spending time with his family, especially his two daughters.
Partners Life: A Moving Experience
In March 2023, Partners Life successfully moved from its old home into an exciting light and airy new HQ at 1 The Strand, Takapuna. With the big move complete, we sat down with Trish Meakin, Partners Life Chief People Officer, and Executive Sponsor of the project, to unpack the story of making the move.
Partners Life grew from mini start-up to a leading New Zealand life insurer, from the same office it set up back in 2011. Not surprisingly, about three years ago the Executive Team and Board were looking for bigger premises for an expanded operation. As Trish says: “Quite simply, we were running out of room, so we needed to refurbish or move somewhere larger.”
Serendipitously, a building came up as an opportunity for Partners Life to create its own space just around the corner in Takapuna. However, it wasn’t purely a case of lift and shift. It needed a vision.
Trish draws an interesting analogy: “It’s like when you go to a hotel. It’s got to be at least as good or better than your home otherwise you feel cheated. With more and more people working from home, the vision was for such a great space that you’d rather be at the office than working from home. “
After three years of meticulous planning, Partners Life’s new HQ is on one level, open plan, with a flexible fit-out that will evolve along with the world of work. Right now, it accommodates around 200 staff, but the site has space for 400 if the business grows. We should mention it also enjoys expansive views of sea, sand, trees, Rangitoto island and the Sky Tower.
From day one, it was all systems go with everything working perfectly for staff who were enthusiastic to experience the new space: IT was up and running, new furniture was comfortably in place, and the coffee machines were brewing!
“It’s all fallen into place perfectly,” says Trish. “Last year, Partners Life bought BNZ Life and Dai-ichi Life became our new owner. Now with our beautiful new head office, it’s the start of an exciting new chapter for our vibrant culture to really flourish. People absolutely love being here.”
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Financial Advice NZ's Pulse membership survey 2023 submissions close Friday 24 March
KiwiSaver retirement savings assets continue to grow; working-age population coverage now 81%
Flu vaccination season starts 1 April; additional covid booster doses available
Westpac McDermott Miller Consumer Confidence Index shows consumer confidence is extremely weak
nib soon to release new adviser attestation
In a bid to make compliance attestation quick and easy for advisers, nib have announced they will be soon releasing their first Adviser Declaration.
Part of the nib Adviser Oversight Framework, an overarching adviser compliance model, the Declaration will consist of twelve attestations that simply require a “yes” or “no” response. The Declaration will be online so advisers can complete it at a time that suits them.
Chris Carnall, nib’s Head of Adviser Distribution said
It’s important we use technology to give advisers and their clients, our members, a great experience, while ensuring that good conduct practices are followed.
More daily news:
Jon-Paul Hale questions when a life insurance policy really starts
FMA makes three director appointments: Michael Hewes, John Horner, Peter Taylor
FMA data shows full-licensing numbers
Michael Hundleby urges health focus to shift to address surgery wait times
AI and Machine Learning are driving benefits and reducing headcount in the insurance sector
A survey of insurers by Rackspace has found that the implementation of Aritifical Intelligence (AI) and machine learning (ML) technologies are driving benefits and enabling the reduction of headcounts.
The survey found over the past 12 months 62% of insurers had cut staff numbers due to the implementation of AI and ML. They found that the new technology enabled low-level analyst work to be completed by AI and ML. 52% of respondents said they had already realised substantial benefits from AI/ML, with a further 23% seeing modest benefits. 25% of respondents said it was too early to tell.
The benefits insurers listed from implementing AI/ML were
• 81% risk reduction, increased understanding of business/customers
• 79% increased sales
• 77% personalised marketing
• 75% increased productivity
• 73% increased revenue streams, operation cost reduction
• 69% improved customer satisfaction
• 67% faster time to profitability, reduced cost of new product development, ability to hire/recruit new talent
• 65% increased innovation
There are still some issues with AI, with 42% only ‘slightly trusting’ AI/ML results compared to 28% ‘strongly trusting’ results.
Talent and skill shortages were seen by 67% as the greatest challenge to further adoption of the technology; however 90% of insurers had grown their AI and ML workforce in the past 12 months.
OpenAI recently put forward it’s arguments for how AI can positively impact the insurance industry. While there are still plenty of cons to using generative predictive text tools such as ChatGPT right now, ranging from inbuilt (training data originated) biases and prejudices to it’s failure to comprehend nuance such as sarcasm, some insurance executives believe the underlying technology could be used as a starting point to build on and to jump-start innovations in the sector. More about this subject, including a substantial number of test results, are included in our quarterly life and health report.
Legal and regulatory update for the life and health insurance sector
3 April 2023 - Reserve Bank releases finalised Debt-to-Income restriction framework that banks need to comply with if a DTI tool is activated. https://www.rbnz.govt.nz/hub/news/2023/04/reserve-bank-releases-debt-to-income-framework
3 April 2023 - Privacy Commissioner urges organisations not to collect or hold onto information they don't need in wake of Latitude Financial data breach https://privacy.org.nz/publications/statements-media-releases/new-zealands-biggest-data-breach-shows-retention-is-the-sleeping-giant-of-data-security/
Legal and regulatory update for the life and health insurance sector
28 Mar 2023 - Taxation (Annual Rates for 2022-23, Platform Economy, and Remedial Matters) Bill (No 2) completed third reading in Parliament. https://bills.parliament.nz/v/6/d5894797-4e05-4cd5-a11e-0b28520e3a19?Tab=history
29 Mar 2023 – RBNZ sought feedback on proposed new guidance for the financial sector on managing climate-related risks with submissions closing on 7 June 2023. https://www.rbnz.govt.nz/hub/news/2023/03/feedback-sought-on-guidance-for-managing-climate-related-risks
29 Mar 2023 – Chapter Zero released a Chapman Tripp legal opinion outlining emerging expectations on directors to manage nature-related risk. https://www.chapterzero.nz/news/the-business-of-nature-new-legal-opinion-outlines-emerging-expectations-on-directors-to-manage-nature-related-risk/
29 Mar 2023 – The RBNZ announced the immediate discontinuance of the following Quarterly Insurance Survey publications:
The Quarterly Insurance Survey will eventually be replaced by new financial reports. For more information and to keep up to date with progress and timings, please visit the RBNZ Insurance Data Upgrade webpage. https://www.rbnz.govt.nz/regulation-and-supervision/oversight-of-insurers/resources-for-insurers/insurance-data-upgrade
29 Mar 2023 – The Commerce Commission published its “Misuse of market power guidelines”, ahead of a law change that will make it easier to take action against businesses with market power whose conduct stifles competition. https://comcom.govt.nz/business/avoiding-anti-competitive-behaviour/misuse-of-market-power
Legal and regulatory update for the life and health
27 Mar 2023 – RBNZ released an assessment of the largest banks’ residential mortgage exposures to flooding risk that has advanced the RBNZ understanding of the financial stability risks posed by climate change. https://www.rbnz.govt.nz/hub/news/2023/03/bank-flooding-risk-assessment-builds-capability-and-highlights-climate-data-gaps
23 Mar 2023 – Financial Services Council released KiwiSaver statistics for the Dec 2022 quarter. https://blog.fsc.org.nz/kiwisaver-spotlight-december-2022
23 Mar 2023 – Good Returns posted a media story titled, “Final numbers out” reporting that the Financial Markets Authority (FMA) says the transition to full licensing for financial advisers is a success with more than 2,500 financial advice providers licensed or operating as an authorised body by the deadline. https://www.goodreturns.co.nz/article/976521498/final-numbers-out.html
22 Mar 2023 – FMA posted the keynote speech presented by Samantha Barrass, FMA Chief Executive, at the IFSO Conference on Fair Conduct. https://www.fma.govt.nz/library/speeches-and-presentations/samantha-barrass-ifso-conference-march-2023/
20 Mar 2023 – InvestmentNews New Zealand posted a media story titled, “Adviser, FAP numbers consolidate as regime goes full-steam” containing information on the number of Financial Advice Providers, Financial Advisers and Nominated Representatives. https://investmentnews.co.nz/investment-news/adviser-fap-numbers-consolidate-as-regime-goes-full-steam/
15 Mar 2023 – Department of Internal Affairs posted information on the international Financial Action Task Force (FATF) updated list of Jurisdictions under Increased Monitoring for AML/CFT purposes. https://www.dia.govt.nz/AML-CFT-List-of-Jurisdictions-under-Increased-Monitoring
Legal and regulatory update for the life and health insurance sector
22 Mar 2023 - Minister of Commerce and Consumer Affairs, Hon Dr Duncan Webb, February 2023 diary released with the following potential financial services sector related meeting noted:
• 2 Feb 2023 – Interview with Good Returns Magazine
• 3 Feb 2023 – Calls with Westpac, ANZ, Kiwibank, ASB, BNZ (CEO’s)
• 4 Feb 2023 –Call with NZ Insurance Council (CE)
• 7 Feb 2023 – Video Conference with NZ Bankers Association
• 8 Feb 2023 - Meeting with Financial Services Federation (Executive Director)
• 10 Feb 2023 - Meeting with FinCap (CE and Policy Adviser)
• 16 Feb 2023 - Pre-record of speech to Financial Services Council Future Ready Summit
• 17 Feb 2023 – Call with NZ Bankers Association (CEO)
• 18 Feb 2023 - Panel discussion at NZ Shareholders Assn Investor Conference
• 21 Feb 2023 – Meeting with NZ Bankers Association (CE & Govt Relations Manager)
• 23 Feb 2023 – Meeting with Commerce Commission (Chair)
• 28 Feb 2023 – Speech to Fintech Hui Taumata
• 28 Feb 2023 – Meeting with IAG (CEO & Exec Manager Corporate Relations)
• 28 Feb 2023 – Meeting with Tower Insurance (CE)
https://www.beehive.govt.nz/sites/default/files/2023-03/February%20Diary%202023.pdf
17 Mar 2023 - The Government has announced funding of $3 million for providers to help people access community-based Building Financial Capability services. https://www.beehive.govt.nz/release/government-delivers-3-million-funding-boost-building-financial-capability-services
17 Mar 2023 - Financial advice regulatory regime is now in full effect; the transitional licensing phase has ended https://www.fma.govt.nz/news/all-releases/media-releases/financial-advice-regulatory-regime-now-in-full-effect/
17 Mar 2023 - Deputy Governor Christian Hawkesby puts out a statement saying the RBNZ is confident the banks they monitor have sound liquidity an dfunding positions and that the RBNZ is monitoring the situation closely. https://www.rbnz.govt.nz/hub/news/2023/03/statement-from-deputy-governor-christian-hawkesby-regarding-bank-financial-strength
17 Mar 2023 - ASIC has provided conditional relief for life insurers from the design and distribution obligations (DDO) when reissuing life insurance policies in certain, limited circumstances. https://asic.gov.au/about-asic/news-centre/find-a-media-release/2023-releases/23-070mr-asic-grants-conditional-relief-to-facilitate-reissue-of-certain-life-insurance-policies/
16 Mar 2023 - INFINZ holding one-day course ‘Climate-related disclosure standards: Practical guide for Directors & Senior Executives’ 16 & 30 May
https://www.infinz.com/Site/what_we_are_offering/learningandevelopment/crd-masterclass/
Legal and regulatory update for the life and health insurance sector
5 April 2023 - The government is reviewing the list of occupational diseases covered by ACC. Submissions close 17 May. https://www.beehive.govt.nz/release/acc-support-possible-more-kiwi-workers
Asteron Life Connected Care – enhanced virtual medical and wellbeing service
Asteron Life have introduced telehealth upgrades for their customers. Asteron Life Connected Care will offer customers access to dietitians, fitness professionals, medical specialists and GP’s. Customers will be able to created personalised plans to achieve health, fitness and nutrition goals, access mental health support.
The service is available free of charge to all new and existing Asteron Life customers with eligible disability insurance, trauma cover and cancer cover, as well as their partner, children, parents and parents-in-law.
Advisers with in-force business with Asteron Life also qualify to use the service.
All Asteron Life customers and advisers who subscribe prior to Friday April 28 will be in the draw to win one of five Garmin Smart Watches.
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Katrina Shanks clarifies what those who held an AFA designation need to continue offering advice
AIA NZ has released its latest underwriting guide
Chubb Life is extending its two months’ free campaign until 31 May 2023