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.
Asteron Life paid out 97% of claims
Asteron Life paid out 97% of the Trauma, Life and Income Protection claims it received in the year ended June 30 2024.
Asteron Life paid out 97% of the Trauma, Life and Income Protection claims it received in the year ended June 30 2024. In total, Asteron Life paid out $112 million of claims, with $53.5 million being paid out for Life Insurance, $34.1 million in Trauma policy payments and $24.4 million in Monthly Income Protection cover claims.
Accident or Injury was the leading cause of claims, for both Monthly Income cover and Trauma cover. Mental Health claims duration remains high, with an average duration of 8 - 12 months, compared to other new claims where the average duration was around 6 - 8 months. Executive Manager Claims and Customer Solutions, Seema Bangera, said
“Return to work outcomes are directly related to early intervention and rehabilitation. This means the mental wellbeing of customers needs to be at the forefront for claims specialists and we need to ensure all clients have the necessary support building their personal resilience for their return-to-work journeys.”
More news:
Financial Advice NZ masterclass 'The ethics of client psychology: How clients think' 1 April
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
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.
More news:
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
The FSC is gathering feedback on life after licensing
O’Hagan Homes Loans & Insurances has merged with Apex Advice
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
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
nib launches nib meno care
nib NZ has launched a new health management initiative, nib meno care, aimed at supporting women through the stages of perimenopause and menopause.
nib NZ has launched a new health management initiative, nib meno care, aimed at supporting women through the stages of perimenopause and menopause. The programme has been developed in collaboration with Dr Linda Dear, a specialist in menopause care.
nib members will be able to access expert advice on managing menopause symptoms – covering topics from lifestyle adjustments, to natural remedies and available medical treatments.
A 2023 survey Dear conducted found 64% of NZ women were unaware their symptoms, such as sleep disturbances and weight gain, were linked to menopause.
nib’s chief medical officer, Dr Rob McGrath, said
“Menopause is a personal journey, and no two women experience it the same way. That’s why we wanted to develop a tool to help women manage their symptoms on their own terms by making expert support easy to access and apply.”
More news:
ANZIIF welcomes Scott Hawkins as board member
The Adviser Platform rebrand and launch new website
NZFSG webinar 'Under the hoodie: Revealing the hackers' secrets' 22 October
FSC end of year celebrations dates announced: Auckland 26 Nov, Wellington 27 Nov
ACC’s latest annual report details an increase in claims and financial challenges
Southern Cross Health Society Group annual results released
Southern Medical Care Society Group has shared their annual results for the year ended 30 June 2024.
Southern Medical Care Society Group has shared their annual results for the year ended 30 June 2024. By the numbers:
Group deficit of $88.2 million after tax. $43.1 million of the deficit is attributable to a change in international financial reporting standards introduced this financial year. The balance of the deficit is driven by higher claims costs from a high inflationary environment combined with high member demand for private health services, particularly in the second half of the financial year.
Group reserves of $470.7 million.
Claims paid at a rate of $6 million per business day (up from $5.2 million in FY23).
15,196 net new members, with total membership now at 955,301.
This represents 60% of the New Zealand health insurance market by customer numbers but 71% per cent of the value of all health insurance claims paid.
99% of claims were submitted electronically.
Southern Cross Health Insurance
Reported a deficit of $99.1 million.
Paid $1.498 billion in claims from $1.605 billion received in premiums.
Claims costs increased 15% on FY23 (up 13.9% when adjusted for member growth).
Premiums increased 9% on FY23 (up 6.6% when adjusted for member growth).
93.4 cents paid in claims from every dollar received in premiums (compared to an industry average excluding Southern Cross) of 73 cents.
Operating costs grew by 4%, less than inflation.
3.2 million claims in FY24
50% of members claimed over the financial year.
39,326 virtual GP consultations with Care HQ.
4,635 annual health check-ups with MedPro.
4,016 online mental health sessions with Raise.
Net promoter score of 53.7%.
Nick Astwick, Chief Executive for Southern Cross Health Society said
“We have never been in more demand by our members as they prioritise their health needs, largely in the private system. In 2019 33% of our membership claimed, last year it was 50%.”
“The cost of claims in 2024 was steep and rapid, driven by a combination of price, volume, and the mix of claims. The growth in the volume of claims results from an increase in the number of members claiming, the frequency, and claims being made for more expensive procedures.”
More news:
Asteron Life announce MDRT Grant Programme recipients
NZFSG named as one of the Most Innovative Insurance Companies
Fidelity Life working to implement a data governance strategy
ANZ add BlinkPay to their approved third party payment providers
2024 Haven award winners announced
Committee recommended changes to the Contracts of Insurance Bill
Travis Hamilton says Total and permanent disability (TPD) cover is being underestimated
Jon-Paul Hale suggests ways insurers can improve systems for advisers
Tony Vidler recommends how advisers can value themselves appropriately
The Government has completed a cost-benefit analysis for potential third medical school
Wayne Langford appointed to the Board of the Mental Health and Wellbeing Commission
If you have an adviser – you tend to get better claim outcomes
Jon-Paul Hale questions the use of automated portals when it comes to claims time.
Regulatory reviews in Australia have found the claims acceptance rates for the life insurance industry between distribution channels. The difference is marked – claims acceptance rates for advised retail policies was 92.1% compared to 87.8% for direct policies. For a good review check out Jack Howitt’s article here.
Jon-Paul Hale emphasises the importance of advisers at claim time, which perhaps provides an explanation for part of the gap: Hale has questioned the use of automated portals when it comes to claims time. From his experience, there are plenty of claims where, had the clients claimed through the portals without his involvement, the clients wouldn’t have had such good outcomes. He gives a range of examples and cautions that clients can forget what cover they have and how it works – all at a time when they may be feeling overwhelmed from the medical situation they are facing.
On the other hand, the difference between group and retail policies in Australia leans back the other way – more towards how the policy was underwritten as a potential cause for the difference in outcomes. Group insurance policies have some of the highest claims acceptance rates at just over 95%. Howitt’s explanation is compelling:
“This is likely due to the fact that group life insurance policies are typically underwritten on a group basis, which means that insurers have less risk associated with each individual policy. Retail advised policies may have lower claims acceptance rates due to the fact that they are typically more complex and may involve higher risk individuals. Direct policies may have lower claims acceptance rates due to the fact that insurers have less information about policyholders.”
More news:
Adviser to pay former clients compensation after he breached their privacy and caused them stress
Stats NZ report finds Māori businesses lead in employee wellbeing and flexibility
Survey finds 90% of family doctor clinics plan to increase their fees
Committee recommends Contracts of Insurance Bill moves forward
New Zealand’s Finance and Expenditure Committee has recommended that the Contracts of Insurance Bill move forward. After reviewing the bill, the committee proposed several key amendments.
New Zealand’s Finance and Expenditure Committee has recommended that the Contracts of Insurance Bill move forward. After reviewing the bill, the committee proposed several key amendments:
Insurers are allowed reasonable time to gather information when processing claims.
That dishonesty be treated as a lack of reasonable care rather than outright fraud.
That a power to create some regulation of the use of genetic tests in underwriting is included in the draft law.
Government officials anticipate the bill to be passed by the end of this year. Changes insurers will need to prepare for once the bill comes into force include reviewing existing contracts to ensure compliance with new consumer protection measures; preparing for potential regulations on the use of genetic data; and ensuring claims processing procedures meet the new ‘reasonable time’ requirements.
With regard to the power to regulate the use of genetic tests, the report states:
“We agree that this issue is important. Our view is that a cautionary approach to genetic testing is needed to avoid undue genetic discrimination. However, we also grappled with the question of how to address genetic testing in this bill. We considered the implications of different options, including a full legislative ban on “genetic discrimination”.
“Ultimately, we recommend inserting new regulation-making powers, in Part 3, new subpart 4A (clauses 86A, 86B, and 86C), that would enable the Governor-General, on a recommendation of the Minister, to prohibit or regulate the conduct of insurers in relation to genetic testing. Before recommending any regulations, we expect the Minister to conduct a full policy development and consultation process.”
More news:
Financial Advice NZ webinar 'Creating an equitable advice experience for couples' 25 September
Consultation for the Government’s draft Suicide Prevention Action Plan 2025-2029 opens
From 1 October 2024, Keytruda will be funded for eligible people with certain cancers
AIA release 'Claims Compass' report analysing claims data
AIA have released a new report ‘Claims Compass’ analysing their claims data. Cancer was responsible for AIA’s highest number of claims across all insurance categories last year.
AIA have released a new report ‘Claims Compass’ analysing their claims data. Cancer was responsible for AIA’s highest number of claims across all insurance categories last year, with AIA paying out $133.9m for life insurance claims for cancer and $244.1m for cancer claims across all categories. AIA’s top cancer claims in 2023 were breast cancer (33.4%), melanoma and skin cancers (20.3%), bowel cancer (6.5%), prostate cancer (6%) and lung cancer (4.6%). Cancer is the leading cause of death and serious illness in New Zealand, with 71 people diagnosed with cancer every day in New Zealand.
Angela Busby, AIA NZ Chief Customer Officer, said
“Almost every New Zealander will have some experience with cancer throughout their lifetime – whether that’s personally or through a friend, neighbour or loved one…”
“The prevalence of these cancers highlights the critical importance of regular screening and taking preventative measures to manage your health and encouraging loved ones to do the same.”
“Because while developing cancer might appear to be something that is beyond our control, we know that early detection is the best form of protection. Many cancers can be successfully treated if diagnosed early, with an estimated one in three people recovering in New Zealand.”
AIA accepted 92% of all claims for the year ended 31 December 2023, paying out $734.8m. Of the total paid, $263.5m was paid out in life insurance claims and $143.1m was paid in health claims. The image below shows the reasons for claims across AIA’s life, health, trauma, income protection and total permanent disablement categories.
AIA release their 2023 Sustainability Report
AIA has released its 2023 Sustainability Report: Sustaining Healthier, Longer, Better Lives.
AIA has released its 2023 Sustainability Report: Sustaining Healthier, Longer, Better Lives. Key highlights include:
Achieved Toitū carbonreduce certification
Paid 92% of claims received, totalling $734.8M in 2023
Grew to 55,000+ AIA Vitality members, encouraging members to improve their physical and mental wellbeing
Invested into the Betashares Global Sustainability Leaders and Australian Sustainability Leaders funds
Began transitioning fleet to hybrid vehicles to reduce fuel usage
2023 Gallup Engagement Survey Top Quartile in global finance and insurance industry benchmark
Partnered with the Sustainable Business Council, hosting a webinar highlighting their Environment and Our Health Report.
AIA was recognised for its sustainability efforts, winning the 2023 Australian and New Zealand Institute of Insurance and Finance Awards for Excellence in Environmental, Social and Governance (ESG) Change, and the Financial Services Council of New Zealand Award for Excellence in Sustainable Practices.
Nick Stanhope, AIA NZ CEO, said
“At AIA NZ, our dream is for New Zealand to be one of the healthiest and best protected nations in the world. We understand that environmental sustainability not only has an impact on the wellbeing of our planet, but on our physical and mental health as well.
By rolling out initiatives and practices which support our ESG goals, we’re demonstrating our commitment to safeguarding the environment and the health of our communities.”
More news:
Fidelity Life offer premium waivers to those affected by extreme weather
Partners Life 3-day Training Course starts 19 August
External Reporting Board hold Sandbox Session for Assurance Practitioners
ANZ introduces behavioural biometrics collection, an anti-scam measure
Five strategies for advisers to navigate a high-rate environment