Risk Product, Company, and Regulatory Updates as at 31 May 2016
/Product Updates
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ANZ Insurance Updates, Discounts
OneCare customers with combined death and total and permanent disability (TPD) cover with over $1.5 million in cover are to receive a 10 per cent lifetime policy discount. ANZ Wealth is also launching a new insurance suite containing three products to replace ANZ's direct products. Suites will exist under ANZ Life Insurance, ANZ Income Protection, and ANZ Recover Well.
Remedy Health is also a new addition to ANZ's service offering, providing 300 clients with six months of free telephone counselling, with changes in key health indicators fodder for reduced premiums. The long-awaited Grow Wrap is also to be available, a partnership with Macquarie offering ASX-listed securities, 180 managed funds, and cash options.
Company Updates
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ANZ May Sell Insurance Arm
ANZ is rumoured to be considering selling its insurance business, either in part or full. Reuters recently connected ANZ with the sale, after an internal review was commissioned, due in the third quarter. Late last year, ANZ sold its New Zealand medical insurance book to NIB.
AXA Divests Tobacco Stocks
Insurer AXA Group is divesting its investment portfolio of tobacco stocks, reportedly worth almost $3 billion. Life insurers have a long history of investing in tobacco stocks, effectively playing the life and death game on both sides, however this is slowly changing as consumers demand better corporate ethics.
AIA Launches Wellness Program for Advisers
AIA Australia has launched a 12-week executive wellness program for financial advisers. The program is based on AIA's Vitality program with workshops on personal effectiveness and productivity, business strategy and value, and client engagement solutions. The AIA Australia Executive Wellness program is on trial across the country until mid-August, to be assessed for broader delivery in 2017.
Regulatory Updates
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CommInsure Appoints Independent Review Expert
CommInsure has appointed Deloitte as the independent expert to review past life insurance claims. Deloitte's team will select a representative sample of denied claims from the past five years, and determine the validity of those claims decisions.
The panel will include Australian Medical Association NSW medical secretary Dr Robyn Napier, Financial Ombudsman Service Investments' Justin Malbon, and Bupa's former head of clinical advisory Stan Goldstein, and former AMP chief legal officer, Chris McRae. Additionally, law firm DLA Piper will investigate ethical issues inside the insurer regarding recent scandals reported in the media.