Podcast News Wrap For 17 June 2020

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Podcast News Wrap For 17 June 2020

During a webinar organised by the Financial Services Council, David Ireland, a partner at law firm Dentons Kensington Swan, strongly suggested financial advisers start meeting some of the requirements of the incoming regulatory regime before it is introduced next year.
He said financial advisers have at least nine months before ‘day one’ of the Financial Markets Conduct act, but they could start meeting the record-keeping requirements now.

“It is no good telling the FMA what a good job you have been doing about complying with all you have to do,” he said. “You need to be able to show them. And that involves record keeping and good evidence.”

Ireland says that come day one, financial advisers will have to be fully compliant. Day one is not the day to start getting up to speed.

FSC Conference
The Financial Services Council is to hold its annual conference in Auckland on 9-10 September at the Pullman Hotel. Tickets are on sale now.

This year’s event is themed Generations, and – says the organisation’s CEO Richard Klipin – will include sub-themes such as wellbeing, sustainability, and guardianship. Klipin says the conference will have a focus on insurance, KiwiSaver, as well as looking at the world of technology.

Underinsurance
And a survey of 2,000 Kiwis commissioned by the Financial Services Council found that just 38% had any life insurance. With the average amount of cover being around $170,000.

Richard Klipin, CEO of the Financial Services Council, says the research found a strong link between money and wellbeing with money worries causing stress for most New Zealanders.



No more funeral cover
Partners Life has stopped offering funeral cover with immediate effect. It announced its decision on Monday 15 June 2020.
In a statement, the company says that in the recent Life Insurer Conduct and Culture review from the FMA and RBNZ, guaranteed acceptance products such as funeral cover were highlighted as a potential area of poor customer outcomes.

This, says the insurer, is due to the relatively high premiums, often limited benefits, and the possibility of misunderstanding of coverage and eligibility.

Health insurer Nib New Zealand is offering its Covid-19 support package for an additional three months to 30 September 2020.
The firm’s CEO, Rob Hennin, says that while lockdown restrictions have eased and more healthcare services are now available, the pandemic will continue to have ongoing financial and health impacts on New Zealanders.

Hennin says many of the company’s members have experienced financial uncertainty and additional stress as a result of Covid-19.

Financial abuse
A new accreditation has been launched for advisers wanting greater skills and competency when helping clients exposed to financial abuse.
It has been developed by UK firm Standards International and is being managed by best practice specialist Michelle Hoskin in conjunction with Australian adviser Amanda Cassar.

The online course is designed to educate advisers about elder abuse and the warning signs of financial abuse.