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.
Fidelity Life announces expanded careers development programme and new digital, product, service and retention initiatives
Fidelity Life is expanding on its Career connect adviser training course to support financial advisers at different stages of their career. Adviser Edge is due to launch in April 2024 and consists of:
Career connect: For advisers new to the industry (0-1 years' experience), a comprehensive adviser skills and training programme, aimed at attracting and training the next generation of financial advisers to the industry. Fidelity Life have announced two new intakes with spots for up to 15 adviser-nominated candidates and 15 new to industry advisers.
Professional pathways: with places for 50 advisers with 1 – 7 years of experience, Professional pathways will offer customisable and targeted educational resources, training, mentoring and development opportunities.
Advice masters: 30 experienced business owners with 7+ years in the industry will receive a tailored programme, delivered either 1:1 or in small groups on specialist topics including mergers and acquisitions, capital structuring and funding, value optimisation, succession planning, purpose-driven strategy, governance and sustainability.
Expressions of interest for Professional pathways and Advice masters are open now and applications for Career Connect will open in February 2024, with all starting in April 2024.
Fidelity Life have also introduced a suite of initiatives following completion of a series of transformation projects.
Live chat - quick and easy access to New Business and Underwriting teams now live via Adviser Centre.
New-look E-App – a modern an intuitive user experience from March 2024.
Dedicated adviser service team - now available, a team committed to servicing all adviser needs.
Working together - a comprehensive guide covering everything you need to know to do business with Fidelity Life, coming soon.
Signatureless forms - the need for some signatures has been removed and acceptance of digital signatures has been extended.
Transparent turnaround times –turnaround times for new and existing business queries on Adviser hub will be published shortly.
Renewal reminders - copies of customers’ renewal letters for Tahi policies.
Keeping customers covered - automated SMS reminders and outbound calls to customers in arears.
Online masterclass – coming in November: the latest in lapse data and trends and how behavioural science can support customer conservation.
Monthly mortgage repayment - cover benefit percentages to increase from 110% to 115% of mortgage repayments and 40% to 45% of income, to better reflect the high cost of living.
Special events and Future insurability - new Special event triggers to be added as reasons for optional cover increases such as buying investment property, land, holiday home, co-signing a child’s mortgage or supporting a child with fulltime tertiary study. Some exclusions for Special events and Future insurability (i.e., for customers with loadings or special terms) will also be removed to enable customers' better access to these benefits.
Key person new to business and Key person for farmers - monthly cover limits will be increased from $4,000 to $6,500 for Key person new to business and from $5,000 to $9,000 for Key person for farmers covers to acknowledge increasing labour costs.
Repatriation benefit - available on all inforce and new on-sale retail life covers, the newly added benefit will be on top of the life cover sum insured and will be accessible to repatriate a body home from and to New Zealand.
Trauma stand-down period - the stand-down period will be adjusted to start on the date of application submission, not completion of underwriting, to acknowledge pressures within the healthcare system which can cause underwriting delays.
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Katrina Shanks writes how first-home buyers can take advantage of lower house prices
National calls for Labour to confirm plans for the Income Insurance Scheme
Wotton + Kearney release 2023 NZ Insurance Market Trends Update
Wotton + Kearney have released their 2023 NZ Insurance Market Trends Update. Of note, it includes updates on:
· increase in director accountability for ESG issues and climate-related financial disclosures;
· how organisations will need to consider how applicable tikanga values should inform their conduct when dealing with employment relationship issues;
· how organisations need rigorous processes in place for restructures and redundancies;
· extensions to Schedule 2 Occupational Diseases;
· changes to the regulation of medicines, medical devices and natural health products;
· the passing of the Therapeutic Products Bill 2023;
· cyber, privacy and data security.
More daily news:
Cost of living crisis is changing conversations advisers are having with clients
Katrina Shanks writes of the importance of quality financial advice
mySolutions webinar 'Are you maximising your marketing potential' 9am 27 September
27% of 4,120 claims received by IFSO were related to health, life and disability insurance
Lifetime webinar 'Your Homeownership Adventure Begins Here' 7pm 27 September
Man trying to claim pregnancy care on his health insurance policy has complaint turned down by IFSO
Alzheimer’s Society recommends regular exercise to cut dementia risk
Legal and regulatory update for the life and health insurance sector
30 Aug 2023 - Chapter Zero says New Zealand needs to have credible net zero sector transition pathways https://www.chapterzero.nz/news/a-clear-path-to-decarbonisation-investment/
31 Aug 2023 - First reading of the Employment Relations (Protection for Kiwisaver Members) Amendment Bill completed in parliament, referred to the Finance and Expenditure Select Committee, with report back by 29 Feb 2024 https://bills.parliament.nz/v/6/bc7acd0f-efd4-4d6b-c045-08db67c4d76d?Tab=history
31 Aug 2023 - The Digital Services Tax Bill was introduced to parliament. This bill would allow the Government to implement a digital services tax https://bills.parliament.nz/v/6/7e81f14d-0dbd-42b7-2088-08dba9b9dfac?Tab=history
Southern Cross release their Workplace Wellness Report 2023
Southern Cross have released their Workplace Wellness Report 2023, an in-depth analysis of health and wellbeing in the workplace. Southern Cross surveyed 137 enterprises across New Zealand, representing 135,742 employees, or 6.5% of all NZ employees.
Some of the key findings include
• The average rate of absence per employee was 5.5 days, the highest ever. It was also the first full calendar year since the increased sick leave entitlement of 10 days per annum was in force and there was a mandatory stand-down of seven days for people who contracted Covid-19 that was in place during the time of the survey. From 2012 – 2020 the average ranged from 4.2 to 4.7 days per year.
• The cost to an employer for a typical employee’s absence is now $1,235 annually. Over the entire economy, the cost of absence reached approximately $2.86 billion, due to both increased absence rates and rising labour costs. This is a significant increase from the $1.85 billion cost for the total economy in 2020.
• 49.7% of organisations have observed an increase in stress in 2022. Workload is the main cause of work-related stress/anxiety and long hours as the second main cause of stress. Given the tight labour market conditions, it’s unsurprising that job uncertainty/redundancies dropped down the rankings significantly this year. Financial concerns are now the number one non-work-related stressor.
• 22% of organisations have reported instances of ‘quiet quitting’, where employees signal their intention to work within defined work hours only.
• The impact of staff wellness on productivity has grown to a mean of 4.33 out of 5, up from 3.91 in 2020.
• The main practices businesses are using to identify mental wellbeing/stress are staff surveys and training for managers.
• The top six benefits provided to improve employee well being were: an Employee Assistance Programme (EAP); vaccinations; flexible hours/working at home; education/training; wellbeing programmes; and parental leave.
• Almost 40% of organisations provided some form of subsidised health insurance for at least some employees. For employers who do not provide health insurance for employees, cost is a major barrier, with 53.4% of organisations saying a decrease in the cost of health insurance would prompt them to consider providing health insurance as a benefit. 31.9% would consider providing health insurance if they had evidence that it assists in retaining staff due to its perceived value. 14.7% would consider providing health insurance if they were approached by a health insurer to discuss the fundamentals of insurance, policies, benefits and wellness programmes.
• More than half of organisations allow more people to work from home since 2021, with one to two days per week as the most common working from home option.
• All organisations who had made changes around allowing staff to work from home or remotely saw it as a positive move, with employees happier to have more flexibility. On the flip side, almost all large organisations and about half of smaller organisations reported some employees felling isolated, some issues around collaboration.
More daily news:
Katrina Shanks writes about how the cost of living crisis is affecting middle income earners
Andrew Bayly says CoFi needs to go
Chubb Life are holding a marketing masterclass on 30 August
mySolutions webinar 'Lend and Protect' 9am 30 August
The Government’s mental health and addiction programme has hit one million support sessions
Research finds 55% of kiwis are struggling with their financial situation
Salaries on the rise as skill shortages and cost of living continue to bite
While Trade Me job listings are down 15% nationwide in the second quarter compared to the first quarter, salaries are up. Trade Me says the average salary for jobs listed on its site is now $70,069, up 6% from last year. The average salary for the banking, finance and insurance industry is $86,250, up 14% over the last five years. The average salary for healthcare workers is $69,647, up 26% over the last 5 years.
Trade Me Jobs sales director Matt Tolich said
“…employers are working hard to make sure salaries are competitive in order to attract employees in this high cost of living environment.”
The Hays Salary Guide FY23/24 has similar findings, with 88% of employers experiencing a skills shortage. Perhaps because of this, 95% of employers plan to increase salaries this year (up from 88% last year). 48% of employees intending or considering changing jobs cited an uncompetitive salary as the top reason they were looking elsewhere. Hays have determined the four key factors driving salary increases to be competition amid a continued and growing skills shortage; falling real wages; pay transparency; employees’ confidence to negotiate for better compensation.
Hays lists the top five jobs employers need to fill in the NZ insurance industry as Claims Consultants, Loss Adjusters, Broker Support, Compliance Specialist and Brokers.
16,878 people arrived in Aotearoa on work visas in June, with over 15,000 people arriving on work visas every month of this year. With immigration heading back to pre-pandemic levels, hopefully this will help ease the skills shortage.
Small business owners are doing it tough. A Xero survey of small business owners has found nearly half of small business owners and 60% of sole traders aren't paying themselves so they can keep their businesses running. Bridget Snelling, Xero's New Zealand Country Manager, says
“When small business owners experience cash flow issues one of the first things to go is their own pay, followed by an inability to pay suppliers which has a ripple effect throughout the economy.
It’s a systemic and volatile cycle, which sees business owners dipping into their own personal savings, working unattainable hours, and ultimately sacrificing their emotional and physical wellbeing to stay afloat”
Southern Cross launches Wayfinder Awards
Southern Cross Health Insurance is debuting the Wayfinder Awards, which recognise and celebrate organisations that prioritise their employees’ health and wellbeing. Entries for the awards are open and will close on 20 August, with the awards ceremony being held on 21 November in Auckland.
The award categories are:
Star Wayfarer Award: Recognising individuals who have made significant contributions to improving health and wellbeing within their workplaces, regardless of their position.
True North Award: Honouring people-leaders who go above and beyond to improve the health and wellbeing of their teams through positive leadership.
New Horizon Awards: Recognising businesses that have implemented new programs or strategies to improve the wellbeing of their employees.
Wayfinder Small Business of the Year: Celebrating small businesses with up to 100 employees that prioritise the health and wellbeing of their workforce as a core business strategy.
Wayfinder Medium Business of the Year: Honouring medium-sized businesses with 101-500 employees.
Wayfinder Large Business of the Year: Recognising large businesses with 500 or more employees.
More daily news:
AM Best has confirmed the Financial Strength Rating of A (Excellent) for Chubb Life NZ
Partners Life sponsor the Curve Weekly podcast episodes
Partners Life publish updated claims stats brochure
AMP has lost class action case in Australia over disputed practice buy-out prices
Westpac launch Mastering Your Money workshops
Rachel Thomas writes about fears NZ is developing a two-tier health system
AIA release sustainability report
AIA have released their 2022 Sustaining Healthier, Longer, Better Lives report. Some of the key highlights include:
Achieved Toitū carbonreduce certification (and being recertified in 2023)
Engaged New Zealanders over 8 million times with the AIA One Billion initiative, a global, multi-year programme that focuses on initiatives and events to improve kiwis physical and mental wellbeing
Paid 93% of claims received in 2022
Completed adviser wellbeing research
Introduced seven waste streams to AIA house, diverting approximately 10 tonnes from landfill
Employee engagement survey scored 4.3 out of 5
Announced an enhanced parental leave package
Published AIA’s gender pay gap (19.1%) in support of gender pay parity
Established an AIA NZ Board ESG Committee, chaired by an independent director
Established a dedicated workstream to prepare and assess climate risks and opportunities
More daily news:
Financial Advice NZ webinar 'Crafting impactful Statements of Advice' 19 July
Financial Advice NZ webinar 'Professional Ethics Workshop' 21 July and 15 September
mySolutions webinar 'Belong Group Business Session' with Tony Vidler 7 July 11:30am
Survey finds slight increase in business confidence
Australia Adopts New Life Insurance Code of Practice
RiskInfoNZ poll finds 66% of advisers agree they should meet their clients for an annual review
Jon Raby to leave role as Chief Financial Officer at ASB, Carl Ferguson to step into role
Katrina Shanks writes about how to reduce work stress and improve productivity
With recent research finding that employees are stressed and under pressure to work beyond their regular hours, Katrina Shanks has some advice for managers around reducing stress in the workplace and improving productivity.
First up, you need to recognise stress when it happens.
Common signs include unexplained fatigue, headaches, stomach upsets, difficulty sleeping, being moody and irritable, being angry or panicking in situations that normally wouldn’t bother you, avoiding other people.
Shanks suggests four ways for managers to reduce their stress:
• Take regular breaks – taking a time-out – have a coffee, go for a walk around the building - can mean you return refreshed and ready to be productive.
• Delegate – trust your staff and have them share the workload.
• Upskill your staff – when you know they have the skills to do more on their own there’s less need for you to step in.
• Provide clear guidance – help keep employees informed and engaged by ensuring organisational priorities and changes are clear.
More daily news:
Westpac life insurance’s formal integration into Fidelity Life set to be end of June
63.3% of New Zealanders with a mortgage say they are ‘worried about interest rates at the moment’
FMA files court proceedings against MAS over fair dealing provisions breaches
MAS self-reported that it had multiple failures between 2014 and 2022:
Failure to apply the correct inflation adjustments to 6,297 customers
Failure to apply multi-policy discounts affecting 8,864 customers
Underpayment of life and disability claims affecting 104 customers
Failure to apply no claims bonuses correctly, affecting 1,235 customers
MAS’s failures were due to errors and deficiencies in its systems, including data entry errors by MAS employees. MAS has been co-operating with the FMA through its investigation.
The FMA is seeking a declaration that MAS contravened the FMC Act and a pecuniary penalty.
MAS has rolled out an unclaimed monies register in support of their remediation process to correct pricing and payout errors. While most affected clients have been compensated, the register encourages impacted members who haven’t been contacted to get in touch to receive their refund.
Jason McCracken, MAS chief, has apologised to members.
“As a mutual, MAS takes the trust our Members have in us very seriously and we apologise for the impact these errors have had. We remain committed to finding any issues and making them right.”
More daily news:
nib's top five medical claims by dollar value for April cover spine, heart, and cancer surgeries
Katrina Shanks writes of the importance of businesses' health and wellbeing policies
The Retirement Commission launch De-jargoning Money initiative
Liam Mason says there has not been a significant increase in Section 25 notices in recent years
Crombie Lockwood awarded a Human Resources Director New Zealand Employers of Choice award for 2023
Kelly Sullivan appointed as the new national manager of PSC Connect Life NZ Ltd in May
Bowel Cancer NZ encourage you to take part in the ‘move your butt’ challenge this June
Chris Carnall talks about nib’s soon to be launched life and living expansion
Chris Carnall spoke to Insurance Business about nib’s life and living insurance expansion. Back in March, nib New Zealand completed the separation of Kiwi Insurance from the customer systems of Kiwibank. From 1 June advisers will be able to start selling nib’s life and living services.
Carnall referred to the product launch as an interim solution, with a full-featured version for advisers looking to be at least another year away.
“We’re going to market with it because we are going to be having a direct-to-consumer advertising for the solution set that starts about the same time, and we need to make sure that advisers have access to the same sort of products that anyone can buy if they did go through direct channels with us, given that advisers are the cornerstone of our business.”
Roadshows across the country will explain what the products are, who they’ll likely appeal to and how advisers can get involved. Advisers can register to attend the roadshow of their choice here.
22 May - New Plymouth, Palmerston North
23 May 2023 - Napier
24 May 2023 – Wellington, Nelson
25 May 2023 – Auckland Central, Hamilton
26 May 2023 - Tauranga
29 May 2023 – Queenstown, Invercargill
30 May 2023 – Dunedin, Timaru
31 May 2023 - Christchurch
1 June 2023 - Whangarei
2 June 2023 - Auckland North Shore
More daily news:
nib partners with EMA to deliver Employee Experience Workshops
Fidelity Life’s Billy Miller is speaking at Tech Week about tech careers in the insurance industry
ANZ and Westpac economists increase forecasts for OCR peak
Pinnacle Life offer life insurance through the Quashed portal
Julia Vahry talks about how people are still happy to spend on life and health insurance
NZ sees spike in hospital admissions for respiratory conditions, especially for under-5s