NZI is to limit its professional indemnity insurance to FAPs with three or more advisers, says the firm. The announcement last week surprised Katrina Shanks,CEO of Financial Advice NZ, who says her organisation will need to settle on a different PI insurer by the end of 2021.
Clinton Stanger of Curated Risk recommends advisers hold PI insurance and not self-insure. Steven Burgess, Director of Compliance Refinery says while advisers can be diligent and careful, that doesn’t stop the energetic litigious client trying their luck. He says defending claims can quickly run into six figures.
In the last RiskInfoNZ poll of the year we’re asking if the decision by NZI to limit its PI insurance is a cause for concern – cast your vote today.
The health & wellness ShareCare app promoted by Fidelity Life has been dropped by the firm less than six months after it was made available to its customers…
The app was introduced by the insurer’s former CEO Nadine Tereora, but – says Fidelity Life – managing the impact of Covid-19 lead to a review of its value-add products.
Disruption to everyone’s normal way of life in 2020 forced many insurers to look at what they could do to soften the blow of the pandemic on their staff, as well as support financial advisers, and their customers.
In RiskInfoNZ’s review we cherry pick a few notable announcements including Partners Life waiving $5 million in customer premiums and AIA NZ pledging to give away $500,000 to good causes across New Zealand.
In opinion piece this week, Katrina Shanks, CEO of Financial Advice NZ says advisers’ clients look for quality of advice, value, speed, convenience and overall quality of service. With this in mind, – she says – face-to-face conversations are the core of the advice relationship.
The 2021 Global Medical Trends Survey published by WillisTowersWatson reveals that while Covid-19 has led to a significant reduction in healthcare use and overall costs during 2020, the decrease will be short-lived.
The company surveyed 287 insurers across 76 countries and says projected healthcare benefit costs will rebound to 8.1 per cent globally in 2021 (up from this year’s 5.9 per cent). Closer to home, the authors of the report predict the average increase in the Asia Pacific region in 2021 will be 10 per cent.
2020 – The Year in review
It’s been a frantic year, full of ups and downs, and surprises. Key people have moved from one firm to another, there’s been mergers, confusion, and the regulator has made its expectations of the wider financial advice community clear. To catch up on the key points of the year, check out the end-of-year review.