Should we review how we talk about price in the life and health sector? That's the subject of my article at goodreturns. https://www.goodreturns.co.nz/article/976516669/pricing-strategy-choices-and-their-meanings.html
nib postponed premium increases, with this notice published on Thursday:
We’ve postponed premium increases for policies that are renewing in the April to June 2020 quarter. This postponement will apply to increases attributable to both medical inflation and age increases (including policies on five year age bands). Increases will continue to apply for children moving to adult rates and any changes due to a no claims discount.
These will be postponed until July 2020, but we will continue to review.
You will be aware that increase notices will have already gone out to many members who have policy anniversaries in this quarter. We will be contacting impacted members to advise them of the change.
Medical /Health Insurance pricing comparison database V79 has now been issued to subscribers. This version includes the following changes:
- Update Southern Cross rates effective 1/3/20
- Update nib rates effective 1/4/20
- Update Partners Life rates (including policy fee) effective 5/4/20
Here is what Fidelity Life have to say about helping customers facing financial hardship during this time:
We’re working hard on a package of practical retention initiatives designed to meet customers' needs. We’ll confirm the details with you as soon as we can.
But in the meantime here's some clarity on what we can do right now to support customers dealing with hardship:
- Premium holiday option - up to 12 months on select Life, Survivor’s Income and TPD covers
- Leave without pay option - up to 12 months on select Income Protection and Monthly Mortgage Repayment covers
Retention tools - on a case by case basis our Retention team can help customers with making up missed payments, reinstating cover or a premium freeze or temporary hold
Click here to read more.
Every quarter nib reviews health insurance premiums and they have announced the following changes for April- June 2020.
Premium changes for current members:
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.
Due to popular demand from advisers nib have extended their 2 Months Free campaign which will now continue until the 29th of February 2020. When clients sign up to Ultimate Health Max, Ultimate Health or Easy Health, they’ll get 2 months free health insurance after they’ve paid for the first month. Click here to read more.
AIA have announced policy fee and Consumer Price Index (CPI) updates will automatically take effect from 1st January 2020.
Asteron Life have announced a number of changes to their Mortgage and Living Cover, as well as the ability to quote it alongside Income Protection.
As of Monday 9 December Asteron announced they have introduced:
- The ability to combine Mortgage and Living Cover (MLC) with Income Protection (IP)
- An optional Ten-hour benefit on Mortgage and Living Cover
- Enabling bundling discounts across Personal and Business
- Adding level Life Cover projections to age 100
Here is an example of combining Mortgage and Living Cover with IP: Combining MLC and IP may be suitable for clients who want the advantage of not offsetting ACC benefits as well as some tax deductibility of premiums; or for self-employed clients who could manage basic oversight of their business in less than 10 hours a week; or for self-employed clients who are used to meeting regular tax obligations.
Here you can download a case study helping explain the optional ten-hour benefit on Mortgage and Living Cover. Download MLC Case study
Every quarter nib reviews health insurance premiums and they have announced the following changes for January - March 2020.
Premium changes for current members:
Premiums for prospective new members: