In this edition, we look at important developments in the way that New Zealand’s financial markets regulator, the Financial Markets Authority, is looking at insurers and intermediaries. We report upon developments in the FMA’s views and expectations in relation to conduct and culture for fire and general insurers, following its earlier investigations into the life and health insurance industry, and concerns expressed in its initial findings that most fire and general insurers are not presently meeting its expectations.
We also look at the effect of the new regime that will be implemented when the Financial Markets (Conduct of Institutions) Amendment Bill is passed into law. In addition, we report upon recent civil proceedings that the FMA has issued against insurers and what they may signify for its approach to dealing with those who voluntarily self-report and remedy issues.
We also provide an update on COVID-19 claims under business interruption insurance policies around the world, some recent successes by regulators and insureds and upcoming cases that are due to be heard.
Cyber risk continues to be a priority for all organisations and their insurers, with recent ‘lockdowns’ once again presenting additional risks arising from remote working and the associated need for remote verification and increased loading upon resources. We summarise perspectives gained from a Cyber Risk breakfast we hosted in June this year at which industry speakers provided different perspectives on cyber risk and the place of cyber insurance.
We report on recent court decisions of interest to the insurance industry, including a New Zealand decision relating to the position of overseas liability insurers faced with claims under a statutory charge and a helpful English decision upon the meaning of “deliberate act” in a liability policy.
Our experts discuss these issues and more in this edition of Cover to Cover. We hope you find it useful and interesting.
