As part of Phase 1, the Financial Service Providers (Registration and Dispute Resolution) Bill and the Financial Advisers Bill, currently before the Finance & Expenditure Select Committee, were published for public consultation earlier this year. Lloyd’s and the Insurance Council of New Zealand (of which Lloyd’s is a member) have made submissions on these bills. In May, Rosemary Beaver, Head of International Market Access (IMA) in London, and Scott Galloway, Lloyd’s general representative in New Zealand, met with representatives of the Ministry of Economic Development, the New Zealand Reserve Bank and the Finance & Expenditure Select Committee to discuss Lloyd’s trading status in New Zealand and to ensure the interests of Lloyd’s underwriters will be protected going forward.
In relation to Phase 2 and the development of a prudential framework for the insurance sector, the Reserve Bank released a consultation paper on 27 May 2008 seeking input on certain issues regarding the Reserve Bank’s proposed new responsibilities for the prudential regulation of the insurance sector. Lloyd’s has responded with a submission concentrating on the Reserve Bank’s proposed regulatory approach on the separation of insurance business lines within insurers and the treatment of foreign-owned insurers. Following this consultation, the Reserve Bank will in July seek agreement from the Cabinet to its proposals, and the Insurance (Prudential Supervision) Bill will be developed over the remainder of
2008. The International Regulatory Affairs Team (part of IMA1), assisted by the Legal Department, will maintain its dialogue with the appropriate parties in New Zealand as the formulation and implementation of the insurance prudential regulatory regime progress. We will keep you updated on progress.
1International Market Access
