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.
IOSCO consultation proposes responses to risks posed by ‘finfluencers’
The International Organization of Securities Commissions (IOSCO) has proposed a raft of ‘good practice’ measures regulators can use to mitigate risks posed by finfluencers.
Globally, there has been a trend of people turning to social media for advice on making investment decisions. While getting people interested in investing and increasing financial literacy is to be commended, issues arise when finfluencers spread misleading or biased information, promote unsuitable or high-risk products and/or fail to adequately disclose any conflicts of interest.
IOSCO’s Finfluencers consultation report makes a series of recommendations including:
· Updating legal regimes to explicitly police finfluence
· Requiring the use of disclaimers and disclosures to help consumers understand the content they are consuming
· Better-monitor the finfluencer community (e.g. by using data analytics of social media activities) and enforce breaches
· Conducting joint investigations and co-ordinating enforcement actions in the case of cross-border issues
More news:
FSCL reminds advisers policies need to continue to meet client needs
The FSCL has stated that advisers must ensure insurance policies continue to meet the needs of each client, each time it is renewed.
The Financial Services Complaints Ltd (FSCL) has stated that advisers must ensure insurance policies continue to meet the needs of each client, each time it is renewed. This comes in the wake of a complaint where a customer paid out $37,000 in funeral insurance over the course of 17 years, for a policy that had a maximum payout of $10,000. The customer raised a complaint with the insurer and the FSCL and following a dispute process the customer was paid out compensation.
More news:
Southern Cross Health Society Annual General Meeting is on 4 December
Financial Advice NZ End of Year Celebration Canterbury Community of Practice 5 Dec
FSC Life Insurance Special Interest Group Networking Event 10 December
FSC Outlook 2025 is on 4 February 2025
The 2025 Women in Insurance Summit NZ is on 25 February 2025
FSC’s Regulatory Forecast for November, available to FSC members here
Early KiwiSaver withdrawals during October ticked over $200 million for the first month ever
Fidelity Life announce product enhancements and digital, service, and retention initiatives
At Fidelity Life’s Engage 2024 conference, Fidelity Life announced a range of product enhancements, digital, service and retention initiatives and other news.
Trauma and Life covers: The entry eligibility for the Inbuilt Child’s Trauma benefit has been reduced from two years to three months, allowing more families to receive early protection. A new, separate benefit specifically for newborns facing trauma has also been introduced. Fidelity Life will also trail a premium discount for defined exclusions on trauma covers in the coming months.
Condition Definitions: Refinements have been made for clarity, and Terminal Illness has been introduced as a defined condition across the trauma range, including Child's Trauma.
Bereavement and Child’s Funeral Benefits: The Bereavement Benefit has been increased from $15,000 to $25,000, and the Child’s Funeral Benefit has been increased from $3,500 to $15,000 for children aged 10 to 20.
Grief Counselling Benefit: A new benefit offering an additional $2,500 to the sum insured.
Financial Planning Benefit: Easier access by removing thresholds and extending the claim period.
New Specific Injury Cover: A low-cost solution that pays a lump sum for any of 30 defined injuries.
Live Chat: Quick and easy access to New Business and Underwriting teams via Adviser Centre.
New-Look E-App: A modern and intuitive user experience launching in March 2025. The E-App’s latest upgrade goes live later this month, with the new ‘share’ feature enabling advisers to send a link to their customers, allowing customers to complete all or part of the application on their own.
Dedicated Adviser Service Team: A team committed to servicing all adviser needs.
Enhanced Retention Tools: Including renewal reminders and automated SMS reminders for customers. There will be additional roles created too.
Expanding adviser support roles: Fidelity Life are creating new roles, including a National Partnership Manager for mid-sized and corporate firms, as well as an Auckland Business Manager and a Desk-Based Business Manager, to provide more tailored support and drive closer engagement.
Adviser Edge Programme: New additions to the programme include an invitation-only overseas study tour and new practice manager masterclasses for admin staff.
Grow Together programme: Coming in early 2025, the invitation-only Grow Together programme will provide dedicated, prioritised support across key areas including new business, underwriting, and retention. Advisers in the programme can expect to benefit from dedicated support resources, exclusive benefits, and access to a wide range of support tools and professional development opportunities.
Adviser Council: Fidelity Life are inviting advisers to express their interest in joining their Adviser council, which meets quarterly with Fidelity Life’s leadership team to discuss industry updates, share market trends, and provides objective feedback on their initiatives.
Adviser relationship survey: To better understand market perceptions and Fidelity Life are launching a bi-annual Adviser relationship survey to provide key insights into advisers' experiences and expectations and where Fidelity Life need to improve.
Group Solutions enhancements: From early 2025, Fidelity Life will be launching a quarterly industry insight, Group IQ; holding an annual onsite Group HQ conference for the top 30 group advisers; and launching a new group solution designed for small businesses, providing enhanced tools and technology for a smoother experience and better outcomes.
Bronwyn Kirwan, Fidelity Life's Chief Commercial Officer, said
"We are thrilled to introduce these new product enhancements and initiatives. They are a testament to our ongoing commitment to providing our advisers and customers with the best possible support and value.
These enhancements deliver more value, greater accessibility, and increased choice."
More info:
Chubb Life change underwriting process for Mortgage Repayment Cover
Partners Life are holding Summer Roadshows in November & December
AIA has launched new Specified Accidental Injury Cover product
AIA survey advisers around the need for terminal illness cover
AIA Vitality members can get up to 40% off Garmin and New Balance
The FSC has recorded a small deficit of almost $46,000 before tax over the 12 months to June 30
ICNZ has welcomed the passage of the Contracts of Insurance Bill
Financial Advice NZ's national adviser conference is on 1 - 3 April 2025
mySolutions webinar 'Why Chubb?' 27 November
Lyka Burr & Vincent Zhang join TAP's compliance and governance team
Unimed offer psychologist led introductory sleep workshops
Ashleigh Buchanan from Southern Cross Health Insurance named Emerging Leader of the Year
Updating your Product and Provider settings
Here’s a quick explainer on how to set up product and provider settings.
Our video is a quick explainer on how to set up product and provider settings, whether it’s setting your preferred premium frequency, or linking health and life providers.
Fidelity Life announces growth plans
Campbell Mitchell, Fidelity Life Chief Executive, has told delegates at the Engage Conference the company’s intentions to grow to a $1 billion company.
Campbell Mitchell, Fidelity Life Chief Executive, announced the company’s intentions to grow to a $1 billion company in eight years time. Mitchell was speaking to delegates at Fidelity Life’s Engage Conference in Auckland.
Fidelity Life was the fastest growing life insurer in New Zealand in the period ending September 30, with 150% growth in new business year-on-year across the last two quarters.
More news:
mySolutions webinar 'New tools from Quotemonster' 13 November
nib release their top 5 health claims for August 2024
FSC Life Insurance Special Interest Group Networking Event is on 10 December
Tony Vidler says advisers need constant reinvention of value and service
TAP announce partnership with Bizcap
BNZ has announced a strategic partnership with BlinkPay
BNZ has made a net profit of $1.506 billion for the 12 months to 30 September 2024
Over half of the country's mortgages are due to have interest rate reset within six months
Survey finds 70% of millennials believe they may never be able to buy a home
The cost of living for New Zealand households has risen 3.8% over the past year
FSC publish Spotlights on Life Insurance and KiwiSaver
The Financial Services Council (FSC) have published their September 2024 spotlights on Life Insurance and KiwiSaver.
The Financial Services Council (FSC) have published their September 2024 spotlights on Life Insurance and KiwiSaver.
There are now 4.15 million life insurance covers, with $3.21 billion in annual life insurance premiums. The split is about 60% males and 30% females, and more than half of cover is for those aged 46 – 65.
KiwiSaver member contributions are slightly less than last year but funds under management have increased by 21.2% in the 12 months to 30 September, reaching $107.25 billion. Members are at an all-time high of 3,006,163.
FMA announces more than $215 million returned to customers through remediation
The Financial Markets Authority (FMA) has released its annual report for the year ended 30 June 2024, including information on the money being returned to customers as a result of remediation activity stemming from the Conduct and Culture review.
The Financial Markets Authority (FMA) has released its annual report for the year ended 30 June 2024. One of the most interesting findings to come from the annual report was that $215 million has been returned, or is in the process of being returned, to customers as a result of remediation activity stemming from the Conduct and Culture review of banks and life insurers carried out by the Reserve Bank of New Zealand (RBNZ) and the FMA between 2018 and 2019. As at June 2024, 1.585 million affected customers had been identified. You can read about some of the filings from this year here.
The FMA achieved six out of nine of its Statement of Performance Expectations. Some key achievements included several penalty decisions for fair dealing provision breaches, opening licensing for the Conduct of Financial Institutions (CoFI) regime and producing the first Financial Advice Provider Monitoring Insights Report.
The FMA have also released the results of their Ease of Doing Business Survey which reports on stakeholder and industry participants views on the effectiveness of their interactions with the FMA.
94% agree financial markets are effectively regulated
85% agree the FMA supports market integrity
84% agree that FMA communications is relevant to their sector
75% agree the FMA helps raise the standards of market conduct
80% agree that communications help them understand the FMA’s approach to regulation
77% agree communications help them understand the FMA’s expectations of them
53% agree it’s easy doing business with the FMA
More news:
The Banking Ombudsman Scheme has published results from its five-year review
Legal and regulatory update for the life and health insurance sector
Privacy authorities release statement on additional takeaways for industry; APRA release Life Insurance Claims and Disputes statistics; FMA consult on renewal of class exemptions for DIMS licensees from certain financial reporting requirements; ASIC release audit findings; FSC publish spotlights on Life Insurance and KiwiSaver; Government seeks feedback on information sharing agreement between IRD and MBIE; FMA renews notices.
29 Oct 2024 - Global privacy authorities, including the office of the Privacy Commissioner, have engaged with some of the world’s largest social media companies after issuing a joint statement on data scraping last year. As a result of this engagement, they have now issued a follow-up statement laying out additional takeaways for industry. This follow-up joint statement lays out further expectations, including that organisations:
Comply with privacy and data protection laws when using personal information, including from their own platforms, to develop artificial intelligence (AI) large language models.
Deploy a combination of safeguarding measures and regularly review and update them to keep pace with advances in scraping techniques and technologies.
Ensure that permissible data scraping for commercial or socially beneficial purposes is done lawfully and in accordance with strict contractual terms. https://www.privacy.org.nz/publications/statements-media-releases/global-privacy-authorities-issue-follow-up-joint-statement-on-data-scraping-after-industry-engagement/
29 Oct 2024 - APRA has released its Life Insurance Claims and Disputes Statistics publication, covering a rolling 12-month period from 1 July 2023 to 30 June 2024. https://www.apra.gov.au/news-and-publications/apra-and-asic-publish-latest-data-on-life-insurance-claims-and-disputes-9
30 Oct 2024 - The FMA are consulting on renewal of class exemption for DIMS licensees from certain financial reporting requirements, consultation closes 29 November 2024. https://www.fma.govt.nz/business/focus-areas/consultation/consultation-renewal-of-class-exemption-for-dims-licensees-from-certain-financial-reporting-requirements/
30 Oct 2024 - ASIC has released findings from its financial reporting and audit surveillance for the 12 months to 30 June 2024, and announced a proactive surveillance focused on auditors’ compliance with independence and conflicts of interest requirements. https://asic.gov.au/about-asic/news-centre/find-a-media-release/2024-releases/24-240mr-asic-releases-fy-2023-24-financial-reporting-and-audit-report-and-launches-auditor-independence-surveillance/?altTemplate=betanewsroom
30 Oct 2024 - The FSC has published its KiwiSaver Industry Spotlight September 2024. https://blog.fsc.org.nz/kiwisaver-spotlight-september-2024
30 Oct 2024 - The Government is seeking public feedback on a proposed approved information sharing agreement (AISA) between Inland Revenue and the Ministry of Business, Innovation and Employment (MBIE). The AISA would allow Inland Revenue and MBIE to share prescribed information with the other agency for the benefits outlined in the discussion document. https://www.taxpolicy.ird.govt.nz/news/2024/consultation-information-sharing-ir-mbie-aisa
31 Oct 2024 - The FMA has decided to renew the Financial Markets Conduct (Disclosure of Relevant Interests by Directors and Senior Managers) Exemption Notice 2019, and the Financial Markets Conduct (NZCDC Settlement System) Exemption Notice 2019, for a further five years. They are working to finalise new notices to give effect to this decision, which they intend to have in place before the current notices are revoked on the close of 30 November 2024. https://www.fma.govt.nz/business/focus-areas/consultation/consultation-class-exemption-renewal-for-disclosure/
30 Oct 2024 - The FSC has published its Life Insurance Industry Spotlight September 2024. https://blog.fsc.org.nz/lifeinsurance-spotlight-september-2024
Partners Life release claims statistics
Partners Life have released historical and current claims statistics.
Some interesting statistics have been released by Partners Life around claims. Since Partners Life launched in 2011:
Partners Life have paid out more than 70,000 claims worth more than $1.25 billion.
Their biggest monthly disability claim paid was for $1,617,691
The longest running claim paid for monthly disability cover was 4,068 days and the average claim length was 293 days
Partners Life paid 13,379 monthly disability cover claims totalling $225,954,755
Their biggest life cover claim paid was for $2,964,706
Partners Life paid 1422 life cover claims totalling $334,281,111
Partners Life paid 51,827 private medical cover claims totalling $353,468,683
Their biggest private medical cover claim paid was for $982,800
Partners Life paid 3,948 trauma cover claims totalling $357,357,574
Their biggest trauma cover claim paid was for $3,218,899
For the year ended 31 March 2024, Partners Life
paid 93% of claims
paid $51,020,381 of monthly disability cover claims cost across 3,332 claims paid
paid $61,130,350 of life cover claims across 208 claims paid
paid $71,705,905 of private medical cover claims across 12,891 claims paid
paid $66,106,600 of trauma cover claims across 655 claims paid
More daily news:
ASB looks for Chief Investment Officer
BNZ survey finds 87% of New Zealanders were targeted by scams in the past 12 months
Possible changes to probate threshold
The Ministry of Justice are currently consulting on a proposal to raise the threshold for distributing someone’s assets after death without the need for probate or letters of administration.
The Ministry of Justice are currently consulting on a proposal to raise the threshold for distributing someone’s assets after death without the need for probate or letters of administration. The probate threshold of $15,000 (per asset) was last updated in 2009 and is set in the Administration (Prescribed Amounts) Regulations 2009. KiwiSaver was only in its infancy the last time the threshold was updated, and it has not been adjusted for inflation since.
The Ministry are seeking feedback on: how many payments are made without the need for probate; data on the average size of assets people hold when they die; how easy or difficult the current situation is to navigate when deciding whether to pay out; if there are any situations where account above $15,000 are unclaimed; what an appropriate new threshold would be.
Members of the FSC can contact the FSC if they want to contribute to the FSC’s submission.
More news:
Financial Advice NZ webinar 'Are you Cyber Savvy enough?' 13 November