Fidelity Life celebrates its latest 20 Career connect graduates

Last week, Fidelity Life held a celebration to honour its latest 20 Career Connect graduates. Each graduate has successfully completed their Level 5 qualifications in life, disability, and health insurance.  

• Anna Devereux; Women in finance scholarship recipient (Dunedin)

• Ashlee Cuttance (Dunedin)

• Awhina Scott; Pounamu scholarship recipient (Christchurch)

• Briar Evans (Auckland)

• Caitlin Hayward (Morrinsville)

• Christabel Bertie (Auckland)

• Grace McIntyre; Rural scholarship recipient (Dunedin)

• Harpreet Rehal (Auckland)

• Jenny Silva; Kōwhai scholarship recipient (Queenstown)

• Kim Forsythe (Invercargill)

• Kirsty Gobbie (Auckland)

• Leean Te (Auckland)

• Marna Breetzke; Pāua scholarship recipient (Auckland)

• Matthew Roxburgh (Dunedin)

• Myja Gregory (Auckland)

• Namrata Kumar (Auckland)

• Shiwangni Mala (Auckland)

• Sydnee Taylor; Toe Toe scholarship recipient (Christchurch)

• Taylah Marr; Rāngi Po scholarship recipient (Christchurch)

• Vanessa Jones-Dutton (New Plymouth)

This year, 95% of Career connect graduates were women, and a quarter of the group identifies as Māori or Pasifika.

Michelle Doyle, Head of Solutions said

"More than 60% of the graduates who asked for introductions to adviser businesses have already landed jobs, excited to start careers that help New Zealanders protect what matters most.”

Since its inception in 2023, Career connect has had more than 200 registrations for 70 course places, welcomed 47 students and helped almost 40 people gain their Level 5 qualifications in life, disability, and health insurance.

Submissions to be part of the 2025 intake of Career connect closed earlier this month with nearly 70 applications from a diverse group of candidates across various ages, genders, and cultural backgrounds. 

More news:

Expressions of interest for Partners Life New Adviser Training Course open

The latest issue of ASSET features Katrina Church on FMA monitoring visits, Naomi Ballantyne discussing the year ahead for the life insurance industry and Russell Hutchinson on the challenges of insurance retention

mySolutions webinar 'Navigating the future ' 2 April

FSC webinar 'How financially resilient are Kiwis?' 29 April

Adviser refunds income protection premiums in FSCL dispute

Steve Wright considers issues posed by FSCL dispute

Study finds insurers rate inflation, recession, market volatility, geopolitical tensions and AI adoption as macroeconomic threats

Minister says country on track to have open banking operational by the end of the year, with regulations specific to the sector to be confirmed in the coming weeks

Legal and regulatory update for the life and health insurance sector

23 Mar 2025 - The FMA now publishes monthly market engagement undertaken by the FMA on their website. https://www.fma.govt.nz/business/

25 Mar 2025 - New research commissioned by the RBNZ has highlighted barriers that can prevent some New Zealanders from opening bank accounts. The research, titled First steps to financial inclusion, explored opening bank accounts from the perspective of frontline bank staff and customers. It found that certain groups were reported to be most likely to find it difficult to open a bank account, including recent migrants, rural communities, the elderly, people with disabilities, and trusts (including Māori trusts). https://www.rbnz.govt.nz/hub/news/2025/03/new-report-suggests-that-collective-action-is-needed-to-improve-access-to-bank-accounts

25 Mar 2025 - Customer and Product Data Bill completes third reading. https://bills.parliament.nz/v/6/770A5F4E-2185-4F1F-1395-08DC75512299?Tab=history

26 Mar 2025 - The FMA are consulting on a range of class exemption that are due to expire before the end of 2026.  https://www.fma.govt.nz/business/focus-areas/consultation/expiring-class-legislative-notices/

27 Mar 2025 - The committee stage of the Privacy Amendment Bill was completed. https://bills.parliament.nz/v/6/56e3fbe7-1f3d-464e-b54d-08dbae8917ae?Tab=history

27 Mar 2025 - The Chief Ombudsman Peter Boshier has released his final report to Parliament. https://www.ombudsman.parliament.nz/news

Product and pricing changes at Partners Life

Partners Life have announced a range of product changes, effective from 15 March 2025, aimed at giving customers more flexibility and the option to remove features if they don’t want to pay for them.

• The built-in Total and Permanent Disability (TPD) Benefit will become a TPD Option. If a client opts out of TPD, the premium for their monthly disability cover will reduce accordingly. This change applies to Mortgage Repayment Cover, Household Expenses Covers and Income Cover Agreed Value, Agreed Loss of Earnings and Indemnity Loss of Earnings.

• They have made changes to Trauma Cover and Moderate Trauma Cover for clients who have suffered an out of hospital cardiac arrest. They have removed obsolete medical requirements, and added current diagnostic tools used by medical staff to confirm a cardiac arrest has occurred. The wording has been updated to allow for new and future diagnostic tools.

• They have updated Trauma, Moderate Trauma and Severe Trauma Cover wordings to let clients know that Partners Life will notify them when they can exercise their Life Cover or Deferred Trauma Cover buy-back options.

Any beneficial enhancements to policy wordings are automatically applied to existing in-force policies under the Guaranteed Upgrade of Future Benefits feature.

In addition to the product changes, Partners Life have reviewed premiums, in light of increased volume and cost of medical claims. Premiums for Private Medical Cover including Specialists and Tests Option will increase by 18% and the policy fee will increase from $58.08 to $64.13 per annum, both from 22nd April 2025.

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FSC25 Conference: Transforming for Tomorrow is on 10 - 11 September in Auckland

The Rising Stars in Insurance Seminar expands to more cities

Managing risks posed by Artificial Intelligence in the banking Sector

70% of NZ CEOs say AI has increased efficiencies in their employees’ time at work

Steve Wright on potential implications of government’s plan to use private health care facilities for public health treatments

Good Returns has an interesting article by Steve Wright considering some of the implications of what may happen if the government goes ahead with their reported plan to consider using private health care facilities to reduce elective surgery waiting lists. Aside from the obvious benefits of kiwis on public health waiting lists potentially getting treated quicker, Wright considers some potential downsides, from reduced pressure to improve public sector capacity, to the private sector becoming overwhelmed or people ditching their health insurance and the private sectors viability coming into question.

We think these risks are low, given the scale of the intervention proposed by Minister Brown – just $50m to be spent between March and the end of June. For context, ACC will purchase around $500m in surgery in the 2023/24 year, and the total New Zealand Health budget is circa $16.6 billion. For an individual who gets a needed surgery a little faster, we are delighted, but this intervention is unlikely to make a big impact.

More news:

Partners Life new training module ‘Fair Treatment of Customers’

Fidelity Life offers drought-affected Taranaki customers premium relief

The FMA is on track to approve 77 licence applications under CoFI regime

Finance Minister Nicola Willis is reassessing the capital held by banks

Legal and regulatory update for the life and health insurance sector

3 Dec 2024 - On 5 December, the RBNZ will publish new statistics from the monthly New Credit Flows Survey. The New Credit Flows Survey collects data from registered banks on new lending during the month and its associated weighted average interest rates. This means from 5 December, monthly data will be available that reflects the actual interest rates being taken by customers month-to-month on new residential mortgage loans.

3 Dec 2024 - New Zealanders made a record 1003 privacy complaints to the Office of the Privacy Commissioner last financial year. Agencies (business and organisations) also reported 864 privacy breaches. https://privacy.org.nz/publications/statements-media-releases/no-one-should-be-happy-we-received-over-1000-privacy-complaints/

4 Dec 2024 - The FMA has published its Climate-Related Disclosures insights report from the first set of entities that were required to file climate statements.  https://www.fma.govt.nz/news/all-releases/media-releases/fma-encouraged-by-first-climate-statements/

4 Dec 2024 - Australia has passed two major pieces of privacy law reform: the Australian Privacy and Other Legislation Amendment Bill 2024 and the Online Safety Amendment (Social Media Minimum Age) Bill 2024. https://www.bellgully.com/insights/privacy-update-australian-government-passes-two-major-pieces-of-privacy-law-reform/

4 Dec 2024 - The annual re-weighting of the Trade-Weighted Index (TWI) takes effect on 5 December, with the new weights released. The TWI is a weighted average of the New Zealand dollar against the currencies of New Zealand’s major trading partners. There are 17 currencies included in the TWI basket. The weights are calculated using a fully bilateral trade-weighted methodology. The weight for each currency is based on each country’s direct bilateral trade in goods and services with New Zealand, for the year ended June. https://www.rbnz.govt.nz/hub/news/2024/12/updated-weights-for-trade-weighted-index

5 Dec 2024 - APRA has released its general insurance and life insurance statistical publications for the September 2024 quarter. https://www.apra.gov.au/news-and-publications/apra-releases-quarterly-general-insurance-and-life-insurance-statistics-for

5 Dec 2024 - APRA has released a response to consultation on proposed minor amendments to the prudential framework for authorised deposit-taking institutions (ADIs), insurers and registrable superannuation entity (RSE) licensees. https://www.apra.gov.au/news-and-publications/apra-releases-response-to-consultation-on-minor-amendments-to-prudential-2

5 Dec 2024 - The Government has launched a review of New Zealand’s competition rules, looking to update the competition settings in the Commerce Act to ensure NZ's legal framework is right; and review the governance and effectiveness of the Commerce Commission to ensure NZ's regulatory and enforcement framework is right. https://www.beehive.govt.nz/release/major-review-competition-lift-productivity

6 Dec 2024 - The Retirement Commissioner Jane Wrightson says the Commission’s annual budget has remained unchanged since 2016 and the Commission will be using its financial reserves over the next four years to run the organisation. https://www.interest.co.nz/investing/131130/retirement-commissioner-jane-wrightson-says-commission%E2%80%99s-annual-budget-has

9 Dec 2024 - The Reserve Bank of New Zealand welcomes the new Financial Policy Remit. https://www.rbnz.govt.nz/hub/news/2024/12/rbnz-welcomes-new-financial-policy-remit

10 Dec 2024 - The FMA is launching a pilot “regulatory sandbox” and is asking for applications from interested parties. A regulatory sandbox is a concept which allows firms to test innovative products, services or business models.  An initial pilot phase will run from January to July 2025, with a decision on the need for a permanent FMA regulatory sandbox to be made later in the year.  https://www.fma.govt.nz/library/opinion/fma-launches-regulatory-sandbox-pilot-for-2025/

10 Dec 2024 - RBNZ's Digital Cash consultation finds cash is crucial and current payment options are not delivering what customers want. https://www.rbnz.govt.nz/hub/news/2024/12/kiwis-say-cash-and-privacy-are-crucial-in-record-digital-cash-consultation-response

10 Dec 2024 - RBNZ has published Tara-ā-Umanga Business Expectations Survey: Development update following third pilot. They plan to run a fourth pilot in January 2025.  https://www.rbnz.govt.nz/-/media/project/sites/rbnz/files/publications/bse-background-material/bes-development-update-pilot3.pdf?utm_source=Reserve+Bank+of+New+Zealand&utm_campaign=8347780dcb-Stats+Alert+Business+Survey+of+expectations&utm_medium=email&utm_term=0_-8347780dcb-597079373

11 Dec 2024 - The RBNZ has released a thematic review into how deposit takers support financial inclusion. The review provides an overview of the practices and initiatives deposit takers have introduced to support financial inclusion. https://www.rbnz.govt.nz/hub/news/2024/12/rbnz-thematic-review-identifies-opportunities-to-enhance-financial-inclusion-practices

11 Dec 2024 - Minister of Commerce and Consumer Affairs, Hon Andrew Bayly November 2024 diary released with the following potential financial services sector related meetings noted:

• 4 Nov 2024 – MEET: Financial Markets Authority (FMA Officials)

• 5 Nov 2024 – ATTEND: Launch of Australasian Open Banking eco system report (invited guests)

• 7 Nov 2024 – MEET: NZBA (Roger Beaumont, Miles Erwin)

• 7 Nov 2024 – CALL: Banking Ombudsman (Miriam Dean)

• 11 Nov 2024 – MEET: Kiwisaver Roundtable (invited guests)

• 11 Nov 2024 – MEET: CEO of Financial Services Council (Kirk Hope)

• 13 Nov 2024 – MEET: FMA (Craig Stobo and Samantha Barrass)

• 13 Nov 2024 – MEET: MBIE Officials (Suzanne Stew)

• 20 Nov 2024 – MEET: NZBA (Dan Huggins)

• 20 Nov 2024 – MEET: MBIE Officials (MBIE officials)

• 21 Nov 2024 – SPEAK: NZ & Australia Chartered Accontants Conference (conference attendees)

• 21 Nov 2024 – MEET: Commerce Commission Meeting (Commerce Commission Officials)

• 22 Nov 2024 – MEET: Securities Industry Association and FMA (Tim Kiefte, Bridget MacDonald, Craig Stobo, Samantha Barrass and SIA members)

• 27 Nov 2024 – PHONE: Retirement Commissioner (Jane Wrightson )

https://www.beehive.govt.nz/sites/default/files/2024-12/Proactive%20Diary%20Release%20Nov%2024%27%20Hon%20Andrew%20Bayly.pdf

The FMA releases Consumer Confidence survey

The Financial Markets Authority (FMA) has released their inaugural Consumer Confidence Survey. The survey combines key questions from previous years’ Investor Confidence Survey and KiwiSaver Statements Survey as well as new questions around key focus areas such as fairness, investment scams and confidence in financial markets. Key findings include:

• 98% of New Zealanders have at least one banking product, with 49% considering at least one banking product in the next 12 months

• Savings account ownership is up across all demographics  

• Credit card ownership has decreased 3% while buy-now-pay-later services are up 5% across all demographics

• 86% of New Zealanders have at least one insurance product, with the average number of insurance products being 2.5 per person

• Younger New Zealanders (18 – 34) generally had fewer insurance products compared to other age groups but were more likely to own pet and health insurance

• 85% of New Zealanders have at least one investment product, with the average number of different investment products owned being 1.8 per person

• KiwiSaver membership is highest amongst Chinese and Pacific ethnicities at 87% and 86% respectively

• 79% of New Zealanders actively chose their own KiwiSaver fund, with females and those aged 45 – 54 years having lower levels of participation in their choice of fund

• KiwiSaver satisfaction levels have improved over the last two years, with 60% of Kiwis being quite/very satisfied

• Catalysts for kiwis to consider making changes to their KiwiSaver/other investments include better investment returns from another provider (41%) or if their fees seemed high (39%).

FMA Chief Executive Samantha Barrass said

“The results of this survey provide us with valuable insights into how New Zealanders interact with financial markets and their level of confidence in those markets and in the FMA. It also helps us to see emerging trends that require our regulatory attention, so that we can focus our efforts on how we can better regulate for all New Zealanders.”

Additional reports will be published in early 2025 on several themes that emerged in the survey findings in 2025, including the experiences of women Māori, and other minority groups with financial markets; the relationship between knowledge of financial markets and confidence; investment scams and their link to confidence and consumer behaviour; the enablers of investment practices; comparative findings on fairness.

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nib release their top 5 health claims for September 2024

AIA campaign offering up to three months off premiums extended to 31 March 2025

AIAHub Resource Hub now available to delegated users

AIA's latest CPI rate is 2.2%

The FSC is gathering feedback on life after licensing

O’Hagan Homes Loans & Insurances has merged with Apex Advice

Banks start New Zealand launch of Confirmation of Payee

Legal and regulatory update for the life and health insurance sector

28 Nov 2024 - Kiwibank has been fined $1.5 million after pleading guilty to 21 breaches of the Fair Trading Act, resulting in overcharges to 35,000 customers totaling $6.8 million. https://comcom.govt.nz/news-and-media/media-releases/2024/systemic-breaches-of-consumer-law-lead-to-$1.5million-fine-for-kiwibank

28 Nov 2024 - The FMA will publish its first climate-related disclosures insights report in early December. It will include findings and areas for improvement based on the reviews of climate statements prepared for reporting periods ended between 31 December 2023 – 31 March 2024. The FMA will be running webinars on Tuesday 10 and Thursday 12 December to discuss the report and answer questions.

28 Nov 2024 - Following consultation in July on proposed guidance for references to climate statements in disclosure documents, the FMA have decided to pause work on this project. https://www.fma.govt.nz/assets/Exemption/Submissions-report-CRD-PDS-proposed-guidance.pdf?utm_medium=email&utm_campaign=FMA%20UPDATE%20NOVEMBER%202024&utm_content=FMA%20UPDATE%20NOVEMBER%202024+CID_ba79ea243bfbf23eb5e123188c21af00&utm_source=FMA%20Campaign%20Monitor%20Emails&utm_term=available%20here

28 Nov 2024 - The FMA release Navigating KiwiSaver Episode 4: KiwiSaver fees. https://www.fma.govt.nz/library/podcast/navigating-kiwisaver-episode-4/

28 Nov 2024 - APRA has released its quarterly private health insurance publication for the September 2024 quarter. https://www.apra.gov.au/news-and-publications/apra-releases-quarterly-private-health-insurance-statistics-for-september-6

29 Nov 2024 - The Office of the Privacy Commissioner has confirmed that Privacy week 2025 will run from the 12-16 May 2025, with the theme "Privacy on Purpose". https://us18.campaign-archive.com/?u=5b61763783257eac3d863f400&id=e5ffb9f447

2 Dec 2024 - The FMA have released the results of its first Consumer Confidence Survey. Findings included 98% of kiwis have at least one banking product; credit card ownership is down 3% while buy-now-pay-later is up 5%; 86% of all kiwis have at least one insurance product; 85% of NZers have at least one investment product. https://www.fma.govt.nz/news/all-releases/media-releases/inaugural-consumer-confidence-survey/

Legal and regulatory update for the life and health insurance sector

25 Nov 2024 - In 2025, ASIC will consult with stakeholders to update some key regulatory guides (RGs), taking into account law reform, insights from case law about the provisions and other relevant issues. The RGs that they intend to update next year, include:

• Regulatory Guide 53 The use of past performance in promotional material

• Regulatory Guide 168 Disclosure: Product Disclosure Statements (and other disclosure obligations)

• Regulatory Guide 181 Licensing: Managing conflicts of interest

• Regulatory Guide 183 Approval of financial services codes of conduct, and

• Regulatory Guide 234 Advertising financial products and services (including credit): Good practice guidance.

https://asic.gov.au/about-asic/news-centre/news-items/asic-update-on-maintenance-of-regulatory-guides/?altTemplate=betanewsroom

26 Nov 2024 - The FMA held a roundtable with New Zealand’s Non-Bank Deposit Taker sector. https://www.fma.govt.nz/library/opinion/non-bank-deposit-taker-sector-roundtable/

26 Nov 2024 - Annual Report of the Privacy Commissioner 2024 published. https://privacy.org.nz/publications/corporate-reports/annual-report-of-the-privacy-commissioner-2024/

27 Nov 2024 - APRA and ASIC have published a letter containing observations on registration and notification lodgements made since the Financial Accountability Regime (FAR) commenced for the banking industry. The letter identifies areas that require further consideration by banking entities and reiterates specific aspects, consistent with previously released FAR guidance, to entities across the banking, insurance and superannuation industries. https://www.apra.gov.au/news-and-publications/apra-and-asic-release-observations-from-banking-industrys-implementation-of

Fidelity Life announce incoming Board Chair

Fidelity Life has announced that Scott Pickering will take up the reins as chair of its Board of Directors, effective 1 January 2025. Pickering joined the Fidelity Life board in July this year and holds other roles on boards at Evolution Healthcare, Kiwibank, Insurance Australia Group, IAG New Zealand, Engage Consulting and Bowls New Zealand as well as being an advisor to HealthNow and Bain & Co.

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Momentum Life offer 20% off wills and chance to win

Paul Connolly from Kiwibank named Cybersecurity Leader of the Year

AIA NZ achieves Advanced GenderTick Status; Westpac reaccredited with the Advanced GenderTick

Winners at the Haven Awards 2024 announced

Data shows $194 million was lost to bank scams in the year ending September 30

The Retirement Commission launches National Strategy for Financial Capability 2025–2027

KiwiSaver assets grow to $117.6 billion in the third quarter of this year

Bell Gully writes of the rise of generative AI, including an overview of the relevant NZ statute

Poll finds the cost of delivering advice is the biggest challenge

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. 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

Consumer confidence fell four points in October in the latest ANZ-Roy Morgan Consumer Confidence Survey