The Reserve Bank of New Zealand has released its latest insurance industry update that aims to keep licensed insurers informed of current initiatives.
The purpose of the Insurance Industry Update is to keep licensed insurers informed of current initiatives and to provide clarification on licensing, supervision, compliance requirements and related matters.
Prepared by the RBNZ’s insurance oversight team, the update provides further detail and reminders on the following:
Last month, the RBNZ started publishing quarterly statistics that provide aggregated financial data provided by licensed insurers through the Quarterly Insurer Survey (QIS), and include financial performance and financial position aggregates for the insurance industry.
The bank, in its update, said: “The Reserve Bank thanks those who made submissions relating to data collection processes in the final quarter of 2017.
“We are now deciding whether and how to modify our original proposals in light of the feedback. The results of this process will be communicated in due course.”
The regulator also called on licensed insurers to be reminded of their obligations under the Insurance Act.
“Responsibility rests with the licensed insurer to ensure that all obligations are understood and met,” it said. “Effective self-discipline and market-discipline are central to meeting the objectives of the Act.”
Moreover, RBNZ noted that the review of the Insurance Act is in progress.
“The initial areas of focus are: consideration of the entities required to be licensed, overseas insurers, regulatory mechanisms (including aspects of merit reviews) and disclosure,” it said.
With all other things to consider, the timing for the first consultation is likely to be delayed beyond 2018 Q2, the regulator added.
