This article on Stuff has no surprises but is a good reminder for consumers of why they need financial protection - its for the people you leave behind.
It you missed the chance to attend the FSC Get in Shape summit or you simply wish to watch recaps of the event, you can do so now.
Partners Life have announced:
Having completed a routine review of emerging claims experience across our entire risk product range and considering medical inflation as it relates to Private Medical Cover, we have determined that the following underlying price increases will take effect from 5 April 2020, for premium structures other than Guaranteed Level.
A young woman has died after Auckland DHB provided her sub-par care following an intravenous blood test, the Health and Disability Commissioner has found. Click here to read more.
nib holdings limited has announced its FY20 Half Year Results. In Australia claims provisions reduced net profit sharply. The analyst briefing focused on cost control measures and highlighted timing and provisioning. In New Zealand member growth helped the business to profit growth. Click here to read full press release: Download Media Release_Member growth delivers healthy result for nib New Zealand_240220
Using a multiple of renewals is the most common method of valuation in use in the financial services industry at present for the valuation of life and health client bases. It is also Chatswood’s preferred method of valuation. Chatswood maintains a schedule of transactions which have been obtained in many ways. We record, source, comment on books, persistency, size of renewals, and comment on transactions. Our schedule is made up of both weak and strong sources.
Examples of weak sources include:
- “I buy bases for”
- “they are worth”
- “I sold for”
Examples of strong sources include:
- Transactions we were involved in
- Sighted contracts
- Regular buyers and trusted sources
If you are interested in discussing adviser business valuations, please express your interest to Jerusalem.Hibru@chatswood.co.nz
29 Nov 2019 – RBNZ & FMA announced that the Council of Financial Regulators had set its priorities for the 2020 year, incorporating:
- Climate change
- Financial inclusion and consumer engagement
- Conduct and governance
- Residential Property Insurance
- Credit Unions
- Review of the Regulatory System Charter
Climate change earns its place at the top of the list mainly due to the risks general insurers and banks face. For general insurers the risks are more obvious: losses due to extreme weather conditions are already a factor considered by most. That they are increasing now means that regulators are seeking those risks to be quantified and stated as a starting point for assessing systemic risk and portfolio issues.
Then exclude the points on residential property insurance and credit unions and you have a good guide to the issues that may inspire thematic reviews, or inform things like the development of license conditions for FAPs.
Consumer engagement is particularly relevant to advice process, but will also turn up as a strong theme in conduct of financial institutions. A more engaged and informed customer is more likely to make better use of their product, complain when things go wrong, and understand disclosures.
You can check out the other details of their view at this link: https://www.dentons.co.nz/en/insights/alerts/2020/february/20/financial-law-insight-financial-markets-consultation-tsunami-to-herald-in-the-new-year
There are a number of global reinsurers putting pressure on underwriters to charge certain people who vape even more than they charge smokers, or to exclude them all together from getting cover. This is following that announcement that there were 47 vape related deaths in the US last year and global research is indicating that vaping is not good.
Click here to read more.
Kat Church, Insurance People adviser, interview by Good Returns focused on replacement business, available at https://www.goodreturns.co.nz/article/976516361/grtv-time-to-change-debate-on-replacement-business.html
Well worth watching.