Phase 1, relating primarily to the registration of non-bank entities, is now almost complete, and the Financial Service Providers (Registration and Dispute Resolution) Act was passed on 29 September 2008. Following extensive consultation with the New Zealand Ministry of Economic Development, and in order to accommodate Lloyd’s unique structure, it has been agreed that Lloyd’s will register as a ‘Responsible Financial Services Provider’, with the members of Lloyd’s as designated ‘Affiliated Entities’. We now await further information on registration procedures.
Phase 2 relates to the development of a prudential framework for the insurance sector. As we discussed in the last edition of International Regulatory Update, Lloyd’s responded to a consultation paper issued in May, with a submission to the Reserve Bank. The Insurance (Prudential Supervision) Bill is expected to be introduced in 2009, when there will be further opportunity for comment. We will be following the development of this Bill with interest and we will keep you updated on developments.
