Reserve Bank relaunches Insurance Act review

Geoff Bascand

The Reserve Bank – Te Pūtea Matua is today relaunching the review of the Insurance (Prudential Supervision) Act (IPSA), and commencing a review of the associated Insurer Solvency Standards.

The review was deferred due to implications of the Covid-19 pandemic. The original IPSA legislation became law in September 2010 and there have been a number of notable developments since then, deputy governor and general manager of financial stability Geoff Bascand says.

“Since 2010, the Reserve Bank and insurers have gained considerable experience across the legislation, helping us to see what works well and what could be improved.”

“Over the next twelve months, we intend to release consultation papers seeking feedback on the scope of the legislation – looking at which organisations and products should be captured, how ‘insurance’ is defined, the treatment of overseas insurers, statutory funds and the solvency regime.”