NEW ZEALAND INSURANCE MARKET

Question 1

Who regulates insurance companies?

Answer 1

The RBNZ is the regulator of all insurance companies in New Zealand and all insurers must be licensed by the RBNZ under section 19 of the Insurance (Prudential Supervision) Act 2010 (the Act)

Question 2

What life insurance products are offered in NZ?

Answer 2

1. Life: life insurance, accidental death cover, funeral cover
2. Income protection: disability income, mortgage repayment insurance
3. Trauma: critical illness, crisis cover, serious condition cover, serious trauma
4. TDP: total and permanent disablement

Question 3

What are the 5 main types of commercial insurance?

Answer 3

1. Commercial property
2. Business interruption
3. Commercial motor
4. Liability
5. Cyber

Question 4

Which are types of personal insurance?

Answer 4

1. Personal
2. Motor and marine cover
3. Health insurance
4. Building and contents
5. Public liability

Question 5

REINSURANCE
What is it?

Answer 5

Reinsurance, often referred to as insurance for insurance companies, is a contract between a reinsurer and an insurer. In this contract, the insurance company—known as the ceding party or cedent—transfers some of its insured risk to the reinsurance company. The reinsurance company then assumes all or part of one or more insurance policies issued by the ceding party.
Reinsurance underwriters assess the frequency and severity of major losses against the total exposure to risks in the various markets they operate in.