tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Sunday, November 24th, 7:23PM

Insurance

rss
Latest Headlines

AIA increases premiums by 13%

Premiums on AIA New Zealand Life Cover policies will increase by 13% for new business and adviser commission rates will not be affected by the changes.  

Tuesday, June 1st 2010, 1:18PM

by Jenha White

The new life insurance legislation, which was introduced in draft form nearly two years ago, will significantly increase the tax paid by life insurers from July 1.

AIA has determined that there will be no change to premiums for existing customers.

AIA head of distribution and marketing Darrin Franks says the 13% increase is based on analysis as well as consideration of what its competition were doing.

He says adviser commissions did not have a lot of pressure put on them because of the tax changes as AIA hasn't been competing at the top of the commissions game and therefore felt comfortable holding them where they were.

AIA chief executive Wayne Besant says each insurance company has to decide how to manage the impact of this taxation so that distribution of the extra cost is fair and equitable.

"We wanted to keep the process as simple as possible.

"The increase will only apply to new Life Cover policies, where the new tax will be incurred. Grandparenting rules will apply on all existing Life Cover policies for five years."

 

 

 

 

 

 

Jenha is a TPL staff reporter. jenha@tarawera.co.nz

« Pinnacle says no justification for some premium increasesPru tries to renegotiate AIA price »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
Insurance Briefs

Chubb's latest champion
Young maths prodigy takes out actuarial award.

New book: Unlocking group insurance
Christchurch adviser Corey Williams has released a new book helping advisers and employers put group insurance schemes in place.

Insurer gets warning from RBNZ
Geneva Finance's insurance subsidiary Quest Insurance been given a warning from the prudential regulator.

Big Shout Out
We wanted to give a Big Shout Out to Jack Newman for his fund raising efforts over the weekend.

News Bites
Latest Comments
Subscribe Now

Cover Notes - Specific news aimed at risk advisers

Previous News
Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com
x