Leading Causes of Death in the UK

27. February 2015 09:17 by Kelly in   //  Tags:   //   Comments (0)

Here is an infographic Tony Vidler recently posted, and we're working on equivalent NZ data right now.

Leading Causes of Death in the UK

27. February 2015 09:17 by Kelly in   //  Tags:   //   Comments (0)

Here is an infographic Tony Vidler recently posted, and we're working on equivalent NZ data right now.

Leading Causes of Death in the UK

27. February 2015 09:17 by Kelly in   //  Tags:   //   Comments (0)

Here is an infographic Tony Vidler recently posted, and we're working on equivalent NZ data right now.

What to do When Clients Lie to You

26. February 2015 08:21 by Kelly in   //  Tags:   //   Comments (0)

A useful post on the sticky subject of what to do when clients aren't telling you the whole truth - link

21 Diseases the Doctors Haven't Figured Out Yet

25. February 2015 08:24 by Kelly in   //  Tags:   //   Comments (0)

Chantal Marr from LSM Insurance lists the 21 diseases Doctor's are puzzled over here.

AIA Premier Class 3 & 4 Issue

24. February 2015 11:14 by Kelly in   //  Tags:   //   Comments (0)

Unfortunately we are having an issue with the Main Definition score falling out when quoting AIA's Premier Income Cover for Classes 3 and 4 only. We will fix this overnight, sorry for the inconvenience. If you urgently require a comparison please contact us on (09) 480 6071.

The Top 5 Questions Smokers Ask About Life Insurance

24. February 2015 08:36 by Kelly in   //  Tags:   //   Comments (0)

Here is an infographic from LSM Insurance which outlines the Top 5 most asked questions for smokers when it comes to Life Insurance.

AIA Product Changes

23. February 2015 09:21 by Kelly in   //  Tags: , , , ,   //   Comments (0)

Today AIA launch their brand new product, Mortgage, Income and Rent Protection. They have also announced a number of enhancements to their Trauma Cover and Income Protection Agreed Value. Along side these product changes they also have some underwriting improvements.

Here is more information directly from AIA's release:


New Product: Mortgage, Income and Rent Cover


Launches 23 February 2015

This has been designed to meet the changing housing market. With the number of New Zealanders in rental accommodation increasing, Mortgage, Income and Rent Cover opens the door to insurance for more clients than ever before. Our new agreed value product offers flexible cover options:

• 115% of residential rent payments; or

• 115% of mortgage repayments; or

• 45% of income

No offsets apply on the first $5,000 per month and we don’t require proof of expenses at the time of claim.

Mortgage cover automatically converts to Agreed Value Income Protection should your client repay their mortgage, and rent cover can transfer to mortgage cover if your client purchases a home – in some circumstances this can be done with no underwriting.

We have also included an optional specific injury benefit and built-in future insurability, guaranteed pass back, waiver of premium and many other key benefits.

Tip: Your client will receive a 20% discount on their Mortgage, Income and Rent Cover premium when bundled with a minimum of $100,000 Life Cover making the total package very well priced. In addition, we pay full commission on the Life Cover and Mortgage, Income and Rent Cover bundle.


Product Enhancement: Trauma


Applicable from 23 February 2015

Our Trauma Cover now has several new benefits which apply to both Personal and Business products;

Return to Home Benefit - will cover the cost to get your client and their support person home if they suffer one of the conditions under our Trauma Cover while overseas.

Conversion option - enables your client to convert their standalone Trauma Cover to Accelerated Trauma Cover and equal Life Cover without medical underwriting.

Special Events Increase options - now includes residential investment properties (personal cover only).

And we cover 7 new conditions
        • Severe inflammatory bowel disease    
        • Creutzfeldt – Jakob Disease
        • Peripheral Neuropathy                          
        • Systemic Lupus Erythematosus
        • Terminal Illness (standalone Trauma Cover only)
        • Systemic Sclerosis
        • Rheumatoid Arthritis (partial benefit)

We are pleased to announce there is no price increase with these enhancements and these added built in features will be passed back to policies issued after 1 January 2003 for conditions or symptoms that first manifest themselves after the 23rd of February 2015.

In addition, we have added an Optional Total and Permanent Disability Benefit - if your client suffers an illness or injury leaving them totally and permanently disabled and unlikely to ever resume work, we will pay the full Trauma benefit even if the condition isn’t listed in our current conditions.

Note: Special Event Increase Option for investment properties only applies to Personal Cover.


Income Protection: Agreed Value Changes


Applicable from 23 February 2015

Following a review and taking into account adviser feedback, we have revised our tax wording for our Income Protection Agreed Value product as follows:

AIA New Zealand understands that under the current tax legislation, Premiums payable for Agreed Value Income Protection Policies are not deductible for tax purposes and claim payments are not taxable.

In the event of a change in tax legislation where Premiums become deductible and claim payments become taxable, then AIA New Zealand will allow the monthly Benefit to be increased to an amount agreed by Us to reflect the change in tax treatment. Your Premium will be adjusted to reflect the increase in Benefit and will be based on Premium rates applicable at that time.

The revised replacement ratios are as follows:

65% for the first $70,000 pa
60% for the next $30,000 ($70,001-$100,000 pa)
55% for the next $30,000 ($70,001-$100,000 pa)
35% for the next $220,000 ($100,001-$320,000 pa)
0% for any excess income ($560,001 & over pa)

Please note, your existing clients have the choice of remaining on their current contract or moving to the new contract. Please contact us to discuss and we will assist you.


Personal Life Cover Enhancement


Applicable from 23 February 2015

Our Special Events Increase options for Personal Life Cover now includes residential investment properties.


Underwriting Improvement


As part of our focus on making it easy to do business with us, we have made two key changes;

• Specialist medical examinations are now only required for sums over $10 million. Examination by the clients own GP is acceptable under this amount.

• Clients can now choose between fasting and non-fasting blood tests for code B, C, D and E profiles.



Financial Underwriting Can Save Lives

20. February 2015 12:08 by Kelly in   //  Tags:   //   Comments (0)

Well, insurance has been in the news a bit recently for the worst possible reason. Not the run-of-the-mill 'premiums too high' or even the painful and emotionally charged 'my claim wasn't paid' but the issue of the pressure it may exert in unusual situations: 

  • This from Steve Braunias' article in the New Zealand Herald: "...the Crown would argue Lundy was under intolerable financial pressure and regarded Christine's life insurance as the answer to his woes." Link
  • This from Kurt Bayer's article, also in the Herald: "...she had expressed a wish to kill Mr Nisbet and take advantage of his $250,000 life insurance policy." Link

AFA Code and Research

19. February 2015 08:22 by Kelly in   //  Tags: ,   //   Comments (0)

Is research covered by the Authorised Financial Advisers Code of Practice? Yes it is, and here is how it works:

Code Standard Six of the requires an AFA to behave professionally in all dealings the a client, and communicate clearly, concisely and effectively. The guidance under the standard covers research in this item

“c) make recommendations only in relation to financial products that have been assessed or reviewed by the AFA to a level that provides the AFA with a reasonable basis for any such recommendation, or by another person if it is reasonable in all the circumstances for the AFA to rely upon that other person’s assessment or review.”

So is it reasonable for you to rely on the research by Quality Product Research Limited? Of course, we believe it is. We will walk through why we believe we have the most robust and reasonable basis for comparison. You are free to use this explanation in your recommendation and statement of advice document:

How is it reasonable to rely on the review of QPR?


  •         No insurer pays to be researched, QPR researches the companies and products it chooses – as widely as possible
  •         There is no insurer or dealer group ownership of QPR
  •         QPR researches more companies, more current policies, and more items under current policies than any other research option
  •         The research is based on, wherever possible the clients’ personal situation – so features that are unusable or not chosen are excluded
  •         Being based in New Zealand with seven staff QPR has sufficient resources to provide balanced research
  •         QPR gives access to the research staff and runs regular workshops throughout the country so we can work with them on research issues
  •         QPR gives advisers the facility to consider client specific factors and consider them in addition to the research



In addition, of course, you need to review the research yourself and satisfy yourself that it is fair and reasonable. 

Link to AFA Code of Conduct.