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.
Munich Re look at how insurers can develop prevention strategies
Prevention is all about intervening before a disease or condition occurs – trying to extend the health span of peoples’ lives and prevent claims from arising in the first place. Munich Re’s Life Science Report looks at prevention strategies insurers can implement.
Munich Re’s Life Science Report 2025 has insights on global trends and risks that will shape the insurance industry over the next decade. We’ve written about their in-depth looks at AI in Healthcare and Improving Cancer Outcomes sections, and now we’re looking at their Prevention chapter.
Prevention is all about intervening before a disease or condition occurs – trying to extend the health span of peoples’ lives and prevent claims from arising in the first place.
In order to develop effective preventative strategies, insurers need a deep understanding of each of their clients’ unique characteristics, risk factors and health trends. Insurers should focus on areas where they’ll get the most bang for their buck, addressing lifestyle factors that contribute to the most significant preventable health risks and claims drivers – namely cardiovascular disease, cancer and mental health conditions. The key preventable causes for these are obesity, unhealthy diet, physical inactivity, smoking, excessive drinking and poor sleep patterns. Munich Re have a range of tables showing the impact of preventive measures on mortality, disability, critical illness and health care costs.
Munich Re categorise preventative health measures based on the stages of disease they are intended to prevent:
Primordial prevention - preventing development of risk factors for the entire population
Primary prevention - prevent onset of disease e.g. through lifestyle adjustments and medications
Secondary prevention - early diagnosis (e.g. through screening programmes) and prompt treatment
Tertiary prevention - manage existing disease to minimise complications and improve outcomes to prevent further morbidity and mortality
Quaternary prevention - protect from medical interventions that are likely to cause more harm than good.
To be effective, targeted interventions need to address an individual’s unique needs. By using personalised risk profiling, digital risk scores and advanced analytics, insurers can tailor interventions to maximise impact. To be efficient, insurers need to be able to amplify their prevention efforts to reach a wide audience and use digital systems to automate processes and incorporate real-time feedback. One of the most effective means of prevention is improving health literacy, the ability to navigate health information and make informed decisions. Munich Re suggest that informing policyholders about prevention benefits, enhancing health literacy, making things easy and incentivising members will all help drive positive health outcomes.
As we’ve already seen starting to occur here in NZ, insurers are positioning themselves as active participants in the well-being of their policyholders (with AIA’s Vitality programme perhaps the most notable example of this). We’d love to hear from you instances where your clients health insurance has led to them taking proactive steps to improve their health.
More news:
AIA employees return to newly renovated office space at AIA House in Smales Farm
AIA launch the third edition of Hikitia Mai, their Women in Leadership programme
AIA release Claims Compass Report
AIA have released their second Claims Compass Report, covering data for the year ended 31 December 2024.
AIA have released their second Claims Compass Report, covering data for the year ended 31 December 2024. AIA have over 797,000 Kiwi protected and accept 92% of all claims received.
In 2024, AIA paid out $829.6 million in claims, up $95 million on the previous year. Life accounted for 41% of all claims paid ($298.1 million), followed by Health ($167 million), Trauma ($139.5 million), Income Protection ($97.2 million) and Total Permanent Disablement ($23.9 million).
Life claims were up $34.6 million, Health claims were up $23.9 million and Trauma claims were up $22.4 million on the previous year. Increases in claims were put down to the combined impact of insurance levels increasing alongside inflation, more innovative treatment options with higher costs than established treatments, and growing demand for health services due to an aging population and growth in chronic diseases.
AIA NZ Chief Customer Officer, Maddie Sherlock said
“In New Zealand, we have observed increased rates of heart disease, cancer, diabetes, and poor mental health, brought about by worsening lifestyle factors such as diet and lack of exercise. These worsening public health trends lead to a higher demand for health services, which puts upward pressure on private health claims.”
AIA have shone a spotlight on mental health. In 2024 $25.7 million was paid out towards mental health related claims, and $8.1 million for suicide claims. Mental health claims were highest for men aged 40 and 49 ($6.4 million), followed by men aged 50 – 59 (5.6 million). Sherlock said
“This big jump in claims for this age group reflects their life stage which is likely to be impacted by the weight of increased family, financial and professional responsibility and high demands upon their time.”
“This is the age where your overall health starts to be impacted by your nutrition, sleep and activity levels versus when you were younger. And your risk of lifestyle diseases increases. These changes can of course impact your confidence and overall mental wellbeing.”
The top AIA NZ mental health claims in 2024 were:
Depressive disorders 44%
Anxiety / panic disorders 14%
Post Traumatic Stress Disorder 4%
Chronic Fatigue Syndrome 3%
Chronic Pain Syndrome 2%
More news:
Fidelity Life offers premium relief for severe weather-affected customers
FSC Empower Women event for Wellington Women in Insurance 27 May
Product changes at Chubb Life
Chubb Life introduce a Moderate Trauma Cover option, make enhancements to Assurance Extra Trauma Covers and Assurance Extra Business Life, Trauma, Complete Disablement and Monthly Disability Covers and change underlying premium rates.
Chubb Life have introduced a Moderate Trauma Cover option under Assurance Extra. Offering coverage for the same critical illness conditions, it is a more affordable alternative to Trauma Cover. Moderate Trauma Cover requires a higher level of severity to be met on 11 of the more common conditions to be eligible to claim. Customers have the option to take Moderate Trauma on its own or mix and match their cover level across both Trauma and Moderate Trauma Covers. They’ll also have the option to take out Continuous Trauma on both covers.
Chubb have also made enhancements to Assurance Extra Trauma Covers and Assurance Extra Business Life, Trauma, Complete Disablement and Monthly Disability Covers. Assurance Extra Trauma Covers have added a Newborn Children’s Benefit, Complimentary Children's Benefit conversion enhancement and added a feature allowing policyholders to convert Trauma Cover to Moderate Trauma Cover. Assurance Extra Business policies have had to Age 65 and to Age 70 level premium review periods added and the payment term options have been extended to include a two-year payment term for Replacement Labour.
Chubb Life has made changes to the underlying premium rates on their Specific Injury Cover under Assurance Extra, Assurance Extra Business, Business Assurance and Agribusiness Extra. The new underlying rates come into effect on 8 May 2025 and will see the average Specific Injury premium increase by $3.10 per month depending on gender, occupation and cover level.
They have also updated their non-medical codes and associated limits – reducing the number of medical code categories and removing several mandatory testing requirements, and making some improvements to limits.
Chubb Life have also extended their 15% Lifetime Reward and 2 months’ free cover for new policies or cover increases under an existing eligible policy until 31 March 2026.
More news:
Rob Hennin to step down as nib CEO
Steve Wright writes of how advisers need a mindset change away
Naomi Ballantyne to lead TAP's inaugural Women in Advice event
Nominations for the Financial Advice New Zealand Awards open
The Financial Advice New Zealand Awards 2025 will be held at the National Adviser conference on Thursday 3 April, at the Te Pae Christchurch Convention Centre.
The Financial Advice New Zealand Awards 2025 will be held at the National Adviser conference on Thursday 3 April, at the Te Pae Christchurch Convention Centre. Nominations are open now, with submissions closing at 5pm on Friday 21 March.
The Financial Capability Advocate Award: presented to an individual or organisation that has made a significant effort to promote financial capability and education. The recipient of this award has played a crucial role in providing financial education to help others understand financial concepts and make informed decisions about their finances.
The Community Impact Award: recognition of an individual or organisation that has achieved excellent results in improving social and financial outcomes within a community.
The Lifetime Achievement Award: a prestigious honour given to an individual who has made a significant contribution throughout their career or lifetime to the financial services sector. It recognises their outstanding achievements, leadership, and selfless dedication to creating a positive impact on the financial advice profession.
More news:
Financial services institutions ranked among the worst for customer wait times
Health Minister outlines 5 key priorities for Health NZ
Deloitte release independent report ‘Financial Review of Health New Zealand’
Kym Maynard & Lindsey Reagan named as Insurance Business’ Elite Women 2025
ANZ customers make more than one million open banking payments
Chubb Life introduce Smart Start, Change of Mind and the ability to delete quotes
Chubb Life have announced the launch of their new “Smart Start” feature, a new “Change of Mind” window for cancellations and withdrawals and the ability to delete quotes in Adviser Hub.
The Smart Start feature will be rolled out from 13 – 20 February. With “Smart Start”, once underwriting for an Assurance Extra or Assurance Extra Business policy has been completed at standard rates or an Offer of Terms has been accepted, Chubb Life’s systems will initiate a temporary pause period and advisers will receive a “Ready to Issue” email which outlines the planned commencement date, first payment date, payment frequency and premium amount. The default pause period is five working days, after which the policy will automatically issue, though advisers can adjust the pause period to anything from 0 – 5 days. During the pause period, advisers can request changes by replying to the email or calling the New Business team.
From 14 February, cancellation requests will be processed as soon as they’re received and the “Change of Mind” 14-day window will apply, whereby customers will be able to withdraw their cancellation request and retain their cover without going through underwriting again. If customers were to experience a claimable event, they’ll continue to be protected until the end of the change of mind window, or the effective date of the cancellation, whichever is the latest.
Advisers will be able to delete quotes from AdviserHub – individual quotes can be deleted from within the quote itself, or advisers can delete multiple quotes through a bulk delete function on the “retrieve quote” screen.
In other Chubb Life news, AM Best has reaffirmed Chubb Life Insurance New Zealand Limited's Financial Strength Rating of A (Excellent) and Long-Term Issuer Credit Rating of “a+” (excellent) with stable outlooks.
More news:
Women in Insurance Summit speakers announced
FMA looking for a Senior Adviser, Insurance
Lee-Ann du Toit appointed new Chief Actuary at Chubb Life
Chubb Life New Zealand has announced the appointment of Lee-Ann du Toit as its new Chief Actuary. She will be part of the senior leadership team and report directly to CEO Gail Costa.
Chubb Life New Zealand has announced the appointment of Lee-Ann du Toit as its new Chief Actuary. She will be part of the senior leadership team and report directly to CEO Gail Costa. Du Toit has more than 25 years of experience in financial services and comes to Chubb Life from Deloitte New Zealand where she served as lead partner for Actuarial Service. Du Toit is also the president of the New Zealand Society of Actuaries.
Gail Costa said
“With our industry rapidly evolving, Lee-Ann’s extensive expertise in driving strategic business outcomes and fostering customer-centric solutions will be invaluable to Chubb Life NZ. The chief actuary plays an important role in supporting both our board and senior leadership team to make strategic business decisions, and we’re looking forward to having Lee-Ann’s voice and unique perspective at the decision-making table.”
More news:
Women in Insurance Summit 26 February in Auckland
Expressions of interest open for Partners Life's new adviser training course 24 - 26 February
Steve Wright shares his thoughts on CPD for giving life and health insurance advice
Massey Fin-Ed Centre Retirement Expenditure Guidelines released
Westpac launches several initiatives to improve accessibility
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
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
Bill could modernise insurance law
On March 21st, a Member’s Bill was drawn that, if passed, could modernise insurance law. Labour Party MP Duncan Webb, a former insurance lawyer, says his Insurance Contracts Bill will require “…insurance contract terms to be both clear and fair”.
If the Bill is passed, it would introduce penalties for insurers who failed to act in good faith, such as not completing a claim in a timely manner. The Bill requires polices be clearer and in plain language, to better help consumers understand the terms of the insurance they’re signing up for.
We’ll keep an eye on this and report back as the situation progresses.
More daily news:
Clive Fernandes talks about Generative and Customer-Facing AI impact on financial advisers
Steve Wright talks about how advisers need to be wary of the Dunning Kruger effect
Jeff Royle says banks have been slow to disclose to customers about clawbacks
The Financial Services Council has launched Empower Women
TSB receive three Canstar awards for their credit cards
Jon-Paul Hale talks of how identity fraud and paper document security concerns are on the rise
Gallagher Bassett publish annual insurer survey report The Carrier Perspective: 2024 Claims Insights
Chubb Life has partnered with Kiwi charity Keep New Zealand Beautiful
The latest ANZ Business Outlook Survey shows business confidence levels fell 12 points
Survey finds 44% of insurance advisers in Australia are charging clients for advice
FMA says those with licences unlikely to have to undergo another licencing process
Samantha Barrass, chief executive at the Financial Markets Authority (FMA), has said it is unlikely that those already holding licences will have to undergo another licencing process.
Speaking at Financial Advice New Zealand’s Thrive Conference, Samantha Barrass, chief executive at the Financial Markets Authority (FMA), has said it is unlikely that those already holding licences will have to undergo another licencing process. Barrass said last year’s push for financial advisers to achieve their Level 5 before the deadline was “the most successful transition I've witnessed in my career” and “a world-beater.”
Speaking earlier at the conference, Commerce Minister Andrew Bayly had said he was aware some organisations held multiple licences and he was looking at whether it could be streamlined into a single licence as part of the government’s drive to simplify regulation of the financial services industry.
More daily news:
Steve Wright suggests advisers need to pay more attention to general exclusions
Katrina Church talks about the value insurance advisers bring
Financial Advice NZ say they aim to be the voice and champion of financial advisers
Gallagher Insurance partners with the NZ Provincial Rugby Union Group
New Zealand Fintech Pulsecheck 2024 is on 28 March in Auckland