Legal and regulatory update for the life and health insurance sector

31 Jul 2023 - Standards for designated Financial Market Infrastructures (FMIs) have been issued by the Reserve Bank of New Zealand and the Financial Markets Authority, following two rounds of public consultation. FMIs are multilateral systems (such as payments systems and central counterparties) that enable electronic payments and financial market transactions and are therefore essential for the day-to-day operation of the financial system and economy. The FMI Standards come into effect from 1 March 2024. https://www.fma.govt.nz/news/all-releases/media-releases/financial-market-infrastructures-standards-issued/

31 Jul 2023 - The FMA have published the FMA Outlook 2023/24, a one-page summary with details of the FMA’s priority objectives and intended programme of work for the financial year. https://www.fma.govt.nz/library/corporate-publications/fma-outlook/

1 Aug 2023 - The FMA has released a consultation document on its proposal to introduce a new standard condition for certain financial market licence holders.
The new standard condition proposes that licensees must have and maintain a business continuity plan that is appropriate for the scale and scope of its service, to make sure that their critical technology systems are operationally resilient. https://www.fma.govt.nz/assets/Consultations/Consultation-paper-Proposed-standard-condition-on-business-continuity-and-technology-systems.pdf?utm_medium=email&utm_campaign=FMA%20Update%20July%202023&utm_content=FMA%20Update%20July%202023+CID_f5788080dc9c22eb111e58e857d39bd0&utm_source=FMA%20Campaign%20Monitor%20Emails&utm_term=Read%20the%20full%20consultation%20document%20here

1 Aug 2023 - The FMA is supporting Sorted Money Month, led by Te Ahunga Ora Retirement Commission, by raising awareness of investment scams. A key message is “Hit pause before you invest” which reminds people to take extra care when searching online for investing opportunities to avoid being scammed. 

1 Aug 2023 - The FMA will no longer be publishing the MIS and KiwiSaver quarterly fund update Excel sheets on their website.

1 Aug 2023 - The Australian Prudential Regulation Authority (APRA) has finalised new requirements for authorised deposit-taking institutions (ADIs), insurers and superannuation entities to publicly disclose information on aspects of their remuneration. Under the updates to Prudential Standard CPS 511 Remuneration, APRA-regulated entities will need to annually publish information on their remuneration frameworks, design, governance and outcomes. Larger and more complex entities must disclose additional quantitative information, including on payments to top executives and how they have placed a material weight on non-financial measures such as risk management. https://www.apra.gov.au/news-and-publications/apra-finalises-requirements-for-remuneration-disclosure