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.
Legal and regulatory update for the life and health insurance sector
The XRB remind entities to upgrade systems in light of NZ IRFS 18 requirements and will hold a webinar on NZ IFRS 18 requirements; XRB seek feedback on NZ IFRS 18 RDR concessions; XRB publish Transition planning - guidance for staff; FMA file criminal charges against former financial adviser; FMA release latest podcast; RBNZ wins two awards at Central Banking awards.
18 Mar 2025 - NZ IFRS 18 Presentation and Disclosure in Financial Statements is mandatory for all Tier 1 and Tier 2 for-profit entities from 1 January 2027. Entities will likely need to update their systems, record-keeping and the financial statement preparation process by this date. NZ IFRS 18 will replace NZ IAS 1 Presentation of Financial Statements and introduces several new requirements, including
New categories and subtotals in the statement of profit or loss
Disclosure requirements for management-defined performance measures
Enhanced guidance on grouping (aggregation and disaggregation) of information
https://www.xrb.govt.nz/news/latest-news/
18 Mar 2025 - The XRB is holding a need-to-know webinar update session on 8 April at 12:30pm, which will include a high-level overview of the new NZ IFRS 18 requirements. https://www.xrb.govt.nz/news/latest-news/
18 Mar 2025 - The XRB are seeking feedback on proposed NZ IFRS 18 RDR concessions for Tier 2 for-profit entities via an open consultation. Consultation closes 29 May 2025. https://www.xrb.govt.nz/consultations/accounting-standards-open-for-consultation/rdr-concessions-nz-ifrs-18/
18 Mar 2025 - The XRB publish 'Transition planning - Guidance for staff'. This guide is for staff involved in coordinating or leading the transition planning process in their organisation. It covers the thinking and related business processes to develop a transition plan, as well as the drafting of the transition plan itself. https://www.xrb.govt.nz/dmsdocument/5342/
18 Mar 2025 - The FMA has filed criminal charges against former financial adviser David McEwen, for failing to comply with an FMA stop order, due to concerns he is still contacting potential investors. https://www.fma.govt.nz/news/all-releases/media-releases/criminal-charges-against-david-mcewen/
20 Mar 2025 - FMA releases ‘5 mins with the FMA’ podcast #11: Outcomes Focused Regulation. https://www.fma.govt.nz/library/podcast/5-mins-with-the-fma-podcast-11/
21 Mar 2025 - The RBNZ has been named as the winner of two categories in this year’s Central Banking awards - the Corporate Services Initiative Award for their Information Management Uplift, and the Green Award for their climate stress testing work. https://www.rbnz.govt.nz/hub/news/2025/03/rbnz-takes-out-two-wins-in-this-years-central-banking-awards
Fidelity Life has made five new appointments to its Adviser council
Fidelity Life has made some changes to their Adviser council, adding five new members.
Fidelity Life has made some changes to their Adviser council. Last year when Fidelity Life announced they were looking for new council members, they were overwhelmed with responses. The five new members joining the Adviser council are:
Sarah Hunger, Managing Director and adviser – Cura Advisers Ltd
Andrea Reid, Director and adviser – Aliya Brokers Ltd
David Jochem, Director and adviser – Insure Ltd
Cory Bennett, Director and adviser – Float Financial Advisers
James Pearson, Head of Risk – Total Life Ltd
The departing members are:
Johny Winstone
Emma Hunter
Mark Breen
Yang Gu
Andrew Millar
The Adviser council was established to hear insightful and relevant feedback and respond with actions that drive better outcomes for Fidelity Life’s Adviser community and their customers. They meet quarterly to give objective feedback on new adviser and customer initiatives; collaborate to drive positive change for the industry; share and feedback on market and industry trends, opportunities and issues; and provide fresh insights, ideas and views.
More news:
Partners Life’s office is closed on 27 February 2025 as they hold an all-staff conference
Legal and regulatory update for the life and health insurance sector
New FMA podcast; FSC publish Life Insurance Industry Spotlight for December 2024; FMA holding webinar on scams; FMA clarify licensing requirements for e-money and payment service providers; ASIC publish Financial Advice Update for February; XRB publish a Greenhouse Gas Assurance Report Explainer; The XRB seek input to a submission to the International Public Sector Accounting Standards Board.
5 Feb 2025 - The FMA publish Jess Learns to Invest Episode 1 - Investing 101 with Simran Kaur. https://www.fma.govt.nz/library/podcast/jess-learns-to-invest-1/
11 Feb 2025 - The FSC has published its Life Insurance Industry Spotlight December 2024. https://blog.fsc.org.nz/kiwisaver-spotlight-december-2024
12 Feb 2025 - The FMA is holding a webinar 'The changing landscape of investment scams in New Zealand' on 19 February 2 - 3pm. https://forms.office.com/pages/responsepage.aspx?id=DBuDvYE37ECAHl37ombezyQqRiaQuB9NnrA0reO0FFNUQ1FMUjc3RTNJVUFMNUpBOTkwOFZLSDlLVy4u&route=shorturl
12 Feb 2025 - The FMA has clarified the licensing requirements for e-money and payment service providers in New Zealand. There is no specific licence for e-money institutions or payments service providers in New Zealand. Instead, providers will have a range of obligations under New Zealand’s financial services regulatory regime, either through the Financial Markets Conduct Act, or the Non-bank Deposit Takers Act. The level of regulation will largely depend on whether providers are issuing debt securities as part of their service offering. https://www.fma.govt.nz/library/opinion/fma-provides-clarity-to-e-moneypayment-services-providers-on-licensing-requirements/
12 Feb 2025 - ASIC has published their Financial advice update - February 2025. https://asic.gov.au/about-asic/news-centre/news-items/financial-advice-update-february-2025/
13 Feb 2025 - The XRB has published a Greenhouse Gas (GHG) Assurance Report Explainer to help users navigate GHG assurance reports, which will soon accompany the climate statements of climate reporting entities. https://www.xrb.govt.nz/dmsdocument/5371/
13Feb 2025 - The XRB are seeking input to a submission to the International Public Sector Accounting Standards Board (IPSASB) in response to its exposure draft of a global public sector climate-related disclosure standard. https://www.xrb.govt.nz/consultations/climate/
Report delves into implications for insurers from emerging medical trends
Munich Re’s latest Life Science Report delves into the emerging medical trends and risks and implications for life and health insurers, with the Artificial Intelligence in Healthcare and Improving Cancer Outcomes chapters released to date.
Munich Re’s latest Life Science Report delves into the emerging medical trends and risks and implications for life and health insurers. The report is split into five sections which analyses different topics: Artificial Intelligence in Healthcare (released); Improving Cancer Outcomes (released); Prevention (releasing 18 February); Obesity (releasing 4 March); and Climate Change (releasing 18 March).
Insurance Business Mag ran an article where Dr. Brad Heltemes, VP & medical director of R&D at Munich Re, discusses the Improving Cancer Outcomes chapter. In particular, Heltemes highlights how identification of various gene alterations the drive the development of a cancer can be significantly different between two cancers that appear to be alike in location and appearance, giving as one example “…the multiple different gene signatures seen with non-small cell lung cancers, each which responds to a different targeted treatment and each having a different prognosis.”
New diagnostic tests and innovative treatments are also leading to improving cancer outcomes, with many cancers that used to be terminal now being able to be managed as chronic diseases. With patients leading longer, healthier lives (which is great news!), longevity models and expected treatment costs need to be re-examined.
More news:
The unemployment rate reached 5.1% in the December 2024 quarter
New Zealand Society of Actuaries suggests retirement savings targets could be overstated
KiwiSaver funds under management reached $121 billion in the December 2024 quarter
Antimicrobial resistance poses major global health threat
The World Health Organisation (WHO) categorises antimicrobial resistance (AMR) as one of the top global public health threats. Antimicrobials (that is antibiotics, antivirals, antifungals and antiparasitics) being overprescribed and misused is contributing to the development of drug-resistant pathogens.
The World Health Organisation (WHO) categorises antimicrobial resistance (AMR) as one of the top global public health threats. Antimicrobials (that is antibiotics, antivirals, antifungals and antiparasitics) being overprescribed and misused is contributing to the development of drug-resistant pathogens. AMR happens over time as pathogens (including bacteria, viruses, fungi and parasites) mutate – those resistant to the antimicrobials they were previously susceptible to survive, multiply and spread. The more microbes are exposed to pharmaceuticals, the more likely they are to adapt and develop resistance. This happens in all areas and at all income levels and has global ramifications. Infections become harder to treat, surgeries become riskier and more people die. Modern medicines that were once able to quickly and effectively treat a raft of ailments from tuberculosis to urinary tract infections become progressively more ineffective. In 2019, AMR was estimated to be directly responsible for 1.27 million deaths and a contributing factor in 4.95 million deaths.
Paul Murray, CEO Life & Health Reinsurance at Swiss Re, has written about this ‘silent pandemic’. He calls out the overprescription of antibiotics during the other pandemic, with a reported 75% of patients hospitalised for Covid-19 being treated with antibiotics despite only 8% having bacterial co-infections. He highlights that the impacts are unequally distributed, with those in more vulnerable regions being disproportionally affected, with death rates in sub-Saharan Africa double those of developed countries. Climate change and its accompanying extreme weather, climate-driven migration and warfare are all vectors expected to intensify exposure to drug-resistant pathogens.
In addition to health impacts, AMR is increasingly causing significant financial impacts. In the US, the Centers for Disease Control and Prevention (CDC), has calculated antibiotic resistance can add as much as $1,400 to hospital bills for patients with bacterial infections. When standard treatments regiments for infections don’t work any longer, complex, often costly, treatment regimens need to be explored. Last resort antibiotics tend to be particularly expensive.
If you want to read more, Swiss Re has published ‘Antimicrobial resistance: a silent threat to our future’, available here.
Legal and regulatory update for the life and health insurance sector
XRB publish targeted guidance documents on transition planning and seek insput on submission around global public sector climate-related disclosure standard; CoFR Dec quarterly statement released; CASH report for November 2024 released.
16 Dec 2024 - In partnership with the Sustainable Business Council, the XRB has published a targeted guidance document on transition planning: a short overview about the why and what of transition plans. https://www.xrb.govt.nz/dmsdocument/5340/
16 Dec 2024 - In partnership with the Sustainable Business Council, the XRB has published a targeted guidance document on transition planning: a guide for executives. https://www.xrb.govt.nz/dmsdocument/5341/
16 Dec 2024 - The XRB is seeking input to a submission to the International Public Sector Accounting Standards Board in response to its exposure draft of a global public sector climate-related disclosure standard. https://www.xrb.govt.nz/consultations/climate/
16 Dec 2024 - Quarterly Statement by the Council of Financial Regulators for December 2024 released. https://www.cofr.govt.nz/news-and-publications/quarterly-statement-by-cofr-december-2024.html
16 Dec 2024 - NZ Police Financial Intelligence Unit release “The CASH Report” for September 2024. https://www.police.govt.nz/sites/default/files/publications/fiu-monthly-report-nov2024.pdf
Government announces reforms to strengthen NZ’s capital markets
The Government has announced a package of reforms to help ensure New Zealand’s capital markets are working to support a productive economy.
The Government has announced a package of reforms to help ensure New Zealand’s capital markets are working to support a productive economy. The Government is making it easier for businesses to raise money from the public by making it voluntary to provide forward-looking financial information as part of an Initial Public Offering of shares. These changes are expected to be in place by May 2025.
The Government has also opened consultation on two proposals: enabling KiwiSaver investment in private assets; and potential adjustments to the climate-related disclosures regime. Consultation closes 14 February 2025.
The Financial Services Council (FSC) has expressed strong support for enabling KiwiSaver funds to invest in unlisted assets. FSC CEO Kirk Hope said,
“By enabling KiwiSaver investments in unlisted assets, such as infrastructure projects and innovative New Zealand businesses, we can unlock substantial capital for domestic growth.”
“This reform will not only provide Kiwi businesses with much-needed capital to innovate and expand but the opportunity of greater diversification for KiwiSaver.”
Some financial advisers warn that regulators need to get on board with the proposals, however. At a recent event we held in conjunction with the Financial Services Council, advisers asked questions about whether the Financial Markets Authority would be supportive of fund managers choosing to invest more in private assets and infrastructure projects which tend to be illiquid in nature. We think that these are good questions, and the answers will be highly sensitive to the context in each fund: for example, the scale of the investments relative to the total fund size and the liquidity of other assets, and the ages, balances, and probable withdrawal patterns of investing members.
More news:
Fidelity Life discounts on certain exclusions for Trauma covers are live
AIA release updated Working with AIA Guide
AIA webinar 'Webinar - Guide to Medical Conditions' 28 February
More locations offering AIA Vitality Fitness Assessments & Health Checks
Steve Wright dissects a recent FSCL complaint
nib promotion offers $300 woolworths vouchers to eligible applicants
Advice Link has appointed of a new general manager Sébastien Pierre
Tony Vidler writes of the importance of soft skills
Government announces hikes to ACC levies
Chapter Zero discusses experiences from year one of New Zealand's mandatory climate reporting
Significant increase in cyber incidents across New Zealand in Q3 2024
Legal and regulatory update for the life and health insurance sector
APRA release quarterly private health insurance performance stats; RBNZ issue second amendment to the Interim Solvency Standard 2023; Government announces reforms to strengthen NZ’s capital markets; FSC support allowing KiwiSaver funds to be invested in unlisted assets; APRA release annual private health insurance stats; CoFR release regulatory initiatives calendar for Q4; XRB publish documents on plan to consult on climate standards.
11 Dec 2024 - APRA has released its quarterly private health insurance performance statistical publication for the September 2024 quarter. https://www.apra.gov.au/news-and-publications/apra-releases-quarterly-private-health-insurance-performance-statistics-for
12 Dec 2024 - RBNZ has issued the second amendment to the Interim Solvency Standard 2023, which will take effect for all relevant insurers from 1 March 2025. https://www.rbnz.govt.nz/hub/news/2024/12/second-amendment-to-insurance-interim-solvency-standard-issued
13 Dec 2024 - The FSC has come out in support of the Government’s announcement to allow KiwiSaver funds to be invested in unlisted assets. https://blog.fsc.org.nz/media-statement-13-december-2024
13 Dec 2024 - The Government is progressing a package of reforms to help ensure our capital markets are working to support a productive economy. As a first step, the Government is making it easier for businesses to raise money from the public by making it voluntary to provide forward-looking financial information as part of an Initial Public Offering of shares. This will give businesses more flexibility and bring New Zealand closer in line with other countries like Australia. These changes are expected to be in place by May 2025. The Government has also opened consultation on two specific proposals that will help create more effective capital markets: Enabling KiwiSaver investment in private assets; and potential adjustments to the climate-related disclosures regime. https://www.mbie.govt.nz/about/news/strengthening-new-zealands-capital-markets
13 Dec 2024 - APRA has released its annual private health insurance statistical publication for the 2023-2024 year. https://www.apra.gov.au/news-and-publications/apra-releases-enhanced-annual-private-health-insurance-statistics-for-2023
13 Dec 2024 - The Council of Financial Regulators (CoFR) has published their Regulatory Initiatives Calendar for Q4 2024. https://www.cofr.govt.nz/key-documents/regulatory-initiatives-calendar.html
16 Dec 2024 - The XRB has published a document that provides: information on their plan to consult on Aotearoa New Zealand Climate Standards (NZ CS), focusing on the topic of differential climate-related reporting and context to readers of the MBIE discussion document Adjustments to the climate-related disclosures regime. https://www.xrb.govt.nz/dmsdocument/5355/
Partners Life appoints new Chief Financial Officer
Mark Schollum has been appointed as Partners Life's new chief financial officer.
Mark Schollum has been appointed as Partners Life's new chief financial officer. Schollum is currently Chief Financial Officer at Chubb Life New Zealand and has held a variety of roles in the life insurance industry in New Zealand and internationally. He is qualified as a Chartered Accountant and is a member of the New Zealand Institute of Directors. Schollum will start his new role in March next year.
More news:
FSC Women in Finance Leadership Series is on 20 March
NZFSG has introduced Adviser Insights reporting tool
Government greenlights Kiwibank raising $500m ahead of eventual float
Confidence in New Zealand’s economy has nearly doubled among directors
Australia is set to introduce a ‘new class’ of financial advisers
New Chair of Southern Cross Medical Care Society appointed
Chris Black has been appointed Chair of Southern Cross Medical Care Society (Health Society).
Chris Black has been appointed Chair of Southern Cross Medical Care Society (Health Society). Black joined the Health Society Board in 2021. Black has held a range of leadership positions over the course of his career, including Chief Executive of Farmers Mutual Group, ICNZ President and Commissioner of the Insurance & Financial Services Ombudsman Scheme. He is currently a Trustee of the Southern Cross Health Trust, Chair of the Natural Hazards Commission and Rabobank New Zealand, and a Trustee of the Mental Health Foundation.
Outgoing Chair Murray Jordan retired at the organisation’s Annual General Meeting (AGM) last week.
More news:
Reminder advisors must take note of supervisor guidelines on AML/CFT
Empower Women Networking Events 6 & 11 March
FSC seek feedback on FMA's proposed exemption for Climate Reporting Entities
Surgeons at Southern Cross North Harbour Hospital win research award