News and Views
Terrorism Cover - Bali.
October 2005
We are pleased to confirm that our Travel Insurance carrier, Comprehensive Travel Insurance, continues to cover for Terrorism within the full leisure and Business Travel products. (excluding Essentials and Inbound products)
Whilst some of our competitors offer no Terrorism cover at all or have recently withdrawn Terrorism cover for Bali, We are happy to cover you for this important extension for the foreseeable future.
The Task Force on the Regulation of Financial Intermediaries Release Its
Final Report.
On Thursday 4th August 2005, the Financial Intermediaries Task Force released its final report,
outlining its recommendations to the government. This follows an open and consultative
process including two distinct stages of public and industry engagement: an issues identification
phase, and an options development phase.
"In November 2004 the Government appointed us as a Task Force to consider and report on the regulation of financial intermediaries. Our task was to suggest options for reform that will enhance the quality of financial information and advice being provided to the public and assist New Zealanders to make the most of their savings." www.financialadvisers.med.govt.nz
"Decisions consumers make about their finances, investments and retirement are critical. It is important we have a regime where consumers can have access to, and deal with, financial intermediaries with confidence. That in turn can assist consumers in making quality and informed decisions and encourage greater use of financial intermediaries where it is appropriate to do so." www.financialadvisers.med.govt.nz
Please find below some of the key recommendations included in the report:
1. Easy access to straightforward and effective dispute resolution and enforcement
facilities.
2. A disciplinary process with effective sanctions including, where appropriate, removing the intermediary from practice if in breach of obligations.
3. Improved disclosure of intermediary functions, obligations and remuneration.
4. Requirements for intermediaries to comply with appropriate standards relative to their functions.
5. A stipulation for intermediaries who are financial advisers to be members of an approved professional body.
6. Consumer literacy education and information.
One of the most significant features of the report is that there will be a set of statutory standards
for all intermediaries, in addition to a range of obligations and standards applicable to
intermediaries depending on the service they are providing to the consumer. In the
recommended regulatory framework, the Task Force divides intermediaries into three distinct
groups: information and execution only, product marketers and personal financial advisers. All
intermediaries will then be subject to disputes resolution body and a disciplinary body.
Following the announcement of a delay from the government in the implementation of
measures arising from the Task Force’s work (they will now be grouped together with a wider
review of the non-bank finance sector via legislation in 2008), the Task Force has clearly
expressed its view that the reforms should be advanced and implemented with speed and
efficiency in order to build on the current support and momentum for reform.
For more information on the Task Force on the Regulation of Financial Intermediaries please
click on this link: http://financialadvisers.med.govt.nz.
Summary Report by AIA - 8 Aug 2005
