Legal and regulatory update for the life and health insurance industry

11 Oct 2021 – The FMA, while issuing a public censure of a derivatives issuer (FIRMA NZ), advised that it is in the process of conducting an in-depth monitoring review of the Derivatives Issuer industry, following a sector risk assessment last year. The results of the review will be collated for consideration of future industry guidance and/or standard condition review. While the review has been deferred due to COVID-19 Alert Level changes, the FMA expects to conclude the review before the end of 2021. https://www.fma.govt.nz/news-and-resources/media-releases/censures-firma-nz-breaches

11 Oct 2021 – Two Bills introduced into Parliament

  • Data and Statistics Bill - intended to repeal and replace the Statistics Act 1975

https://www.parliament.nz/en/pb/bills-and-laws/bills-proposed-laws/document/BILL_116197/data-and-statistics-bill

  • Retail Payment System Bill - introduces a range of measures to promote competition and economic efficiency in the retail payment system

https://www.parliament.nz/en/pb/bills-and-laws/bills-proposed-laws/document/BILL_116198/retail-payment-system-bill

11 Oct 2021 – Council of Financial Regulators noted the passing of its tenth birthday with recruitment of its first adviser, having its role recognised in legislation, and completing an updated Memorandum of Understanding between its members. https://www.cofr.govt.nz/news-and-publications/cofr-celebrates-significant-milestones.html


Legal and regulatory update for the life and health insurance sector

10 Aug 2021 – Fair Trading Amendment Bill completed its third reading in Parliament. Relevant web links include https://www.parliament.nz/en/pb/bills-and-laws/bills-proposed-laws/document/BILL_93552/fair-trading-amendment-bill and https://www.beehive.govt.nz/release/bill-cracking-down-unfair-commercial-practices-passes-third-reading

10 Aug 2021 – The Reserve Bank of NZ Bill completed its third reading in Parliament. Relevant web links include https://www.parliament.nz/en/pb/bills-and-laws/bills-proposed-laws/document/BILL_99656/reserve-bank-of-new-zealand-bill and https://www.beehive.govt.nz/release/reserve-bank-bill-passes-third-reading and https://www.rbnz.govt.nz/news/2021/08/new-foundations-to-strengthen-and-modernise-the-reserve-bank

11 Aug 2021 – As the RBNZ issued a warning to Westpac in relation to AML/CFT prescribed transaction reporting failures, the RBNZ also issued the results of the Correspondent Banking, Prescribed Transaction Reporting and Transaction Monitoring Survey. https://www.rbnz.govt.nz/news/2021/08/formal-amlcft-warning-issued-to-westpac-banking-corporation

11 Aug 2021 – Council of Financial Regulators released a forward work plan providing a timetable of the planned regulatory initiatives from the CoFR agencies covering the rest of 2021 and throughout 2022. https://www.cofr.govt.nz/files/regulatory-initiatives.pdf CoFR also advised that it will receive statutory recognition under the just completed Reserve Bank of NZ Bill.

11 Aug 2021 – FMA latest monthly update included the following:

  • The FMA advised that it has joined the International Financial Consumer Protection Organisation (FinCoNet) - the organisation of supervisory authorities which have responsibility for financial consumer protection.

http://www.finconet.org/

  • World Investor Week this year is to be held 5-11 October 2021.

https://www.worldinvestorweek.org/

  • FMA Stories included a piece from Derek Grantham making an argument for the benefits of getting your full Financial Advice Provider licence in 2021.

https://www.fma.govt.nz/news-and-resources/fma-stories/get-your-full-licence-in-2021/


Legal and regulatory review for the life and health insurance sector

5 Aug 2021 – As part of Money Week, the Insurance Council of NZ released consumer survey results which show a disturbing lack of understanding of insurance by New Zealanders. https://www.icnz.org.nz/media-resources/media-releases/single/item/just-wondering-how-well-do-you-understand-your-insurance

9 Aug 2021 – Council of Financial Regulators announced that the RBNZ and the FMA will be working together to conduct a cross-sector thematic review on governance, covering banks, insurers, non-bank deposit takers and investment management firms. The review will focus on the boards of regulated entities and their ability to effectively govern and provide oversight. https://www.rbnz.govt.nz/regulation-and-supervision/thematic-reviews/cross-sector-thematic-reviews


Legal and regulatory review for the life and health insurance sector

30 Apr 2021 - The Council for Financial Regulators (CoFR) agreed on a common understanding of the characteristics of a vulnerable consumer. This is presented as a non-binding framework for industry when developing or reviewing the way it treats vulnerable customers. https://www.rbnz.govt.nz/-/media/ReserveBank/Files/regulation-and-supervision/banks/relationships/cofr/CoFR-Consumer-Vulnerability-Framework.pdf

3 May 2021 – The NZ Police Financial Intelligence Unit released the March 2021 Suspicious Activity Report. https://www.police.govt.nz/sites/default/files/publications/fiu-monthly-report-mar2021.pdf


Legal and regulatory review for the life and health insurance sector

28 Sept 2020 – Council of Financial Regulators published an updated table of deferred regulatory initiatives due to COVID-19, originally issued in April 2020. https://www.fma.govt.nz/assets/Uploads/CoFR-Timetable-of-Regulatory-initiatives-September-2020.pdf

28 Sept 2020 – The Ombudsman released the results of a survey on access to government information. https://www.ombudsman.parliament.nz/news/ombudsman-releases-access-government-information-survey

The Chief Ombudsman Peter Boshier says too many New Zealanders are still unaware of their rights to request information from Ministers, government agencies, and councils despite a growing thirst for information by the public.

The release of the data coincides with International Access to Information Day 2020 which acknowledges the importance of access to information laws and the community’s right to know.

28 Sept 2020 – The Privacy Commissioner released the submission completed to the Ministry of Justice on n New Zealand accession to the Budapest Convention on Cybercrime. https://www.privacy.org.nz/assets/2020-09-21-OPC-Submission-on-public-consultation-re-Budapest-Convention-A709592.pdf