Risk Product, Company, and Regulatory Updates as at 23 August 2016

Product Updates

New medical indemnity insurance for medical professionals
Berkshire Hathaway Specialty Insurance Company (BHSI) and Tego Insurance have joined underwriting forces to create a new tailored medical indemnity insurance product for Australian-based medical practitioners. 

AMP to launch definition-less cover
AMP's latest product will not rely on medical definitions, but covers a person in the instance that they can no longer work and life needs a restructure. AMP is trying to do things differently, and more simply, for consumers. The product is set to reduce long-tail claims which are, AMP says, costly, and instead to focus on rehabilitation. 

ANZ Wealth releases OneCare product and service improvements

  • New OneCare policies receive a two-year premium rate lock as of July 2016, with caveats. 
  • OneCare Express:  tax file numbers are now mandatory in applications, and binding and non-binding beneficiary forms are now accepted after a policy has been issued. 
  • Decline processes have been adjusted so now all declined insurance applications proposing a total premium of $10,000 or above will now receive a second review by a senior underwriter, and all decline escalations will be reviewed by ANZ Wealth's state underwriting manager. 
  • A 10 per cent lifetime premium discount offer is available on new OneCare policies with cover of us to $1.5 million or more until the end of 2016. 

Company Updates

MetLife to insure CareSuper
CareSuper is ditching CommInsure after the expiration of its contract and turning to MetLife for its member insurance needs. CommInsure has been providing insurance to CareSuper for a decade. 

HNW advisory firms merge
Two high-net-worth financial advice companies have merged - McQueen Group and Tartakover Insurance Brokers are now to be known as McQueen-Tartakover Financial, and will run out of a Collins Street office. 

AMP launches adviser site
AMP has launched a new web portal for financial advisers that offers tools, documentation, support, and product updates, plus manage adviser functions. The site can provide client alerts, cash flow modelling, marketing material, product brochures, product-related offers, and discounts. 

AIA adviser hub partnership additions
AIA Australia has added to its Business Growth Hub for advisers with two new partnerships. New deals have been crafted with Global Advice Training (LifeExplorer program) and Business Health (benchmarking practice profitability, industry consultants). 

Regulatory Updates

Class action against 16 Australian banks by US entities
A class action has been launched by a US fund, company, and trader against 17 Australian financial institutions after they allegedly rigged the bank bill swap reference rate (BBSW). The Sonterra Capital Master Fund, Frontpoint Financial Services, and derivatives trader Richard Dennis filed the claim, with several of the institutions accused making ASX statements denying the allegations. 

Youi NZ admits unscrupulous sales tactics and misconduct
Youi is reportedly agreeing to plead guilty to misconduct charges that include false sales pitches and unscrupulous sales tactics after the New Zealand Commerce Commission caught the insurer out. The investigation has been ongoing for a year. Youi allegedly failed to inform customers that they were not obliged to pay for invoices for insurance they did not ask for, and sales people gave false or misleading information during sales calls. Unauthorised direct debits were taken, after people asking for policy quotes were asked to give their credit card and bank account details. 

Doctors allowed to use electronic forms for life insurance
United Healthcare Group (UHG) and  the  Royal Australian College of General Practitioners (RACGP) have signed an agreement allowing doctors to submit electronic forms that exist within current medical practice software for secure real-time submissions to third parties such as life insurers. This allows for faster, more efficient transmission of information for insurance applications and claims.