Life Insurance in New Zealand, Key Trends and Opportunities to 2020

Published: Jan, 2017 | Pages: 116 | Publisher: Timetric
Industry: Insurance | Report Format: Electronic (PDF)

Summary

Timetric’s 'Life Insurance in New Zealand, Key Trends and Opportunities to 2020' report provides in-depth market analysis, information and insights into the New Zealand life insurance segment, including:

• An overview of the New Zealand life insurance segment

• The New Zealand life insurance segment’s growth prospects by category

• A comprehensive overview of the New Zealand economy and demographics

• A comparison of the New Zealand life insurance segment with its regional counterparts

• The various distribution channels in the New Zealand life insurance segment

• Details of the competitive landscape in the New Zealand life insurance segment

• Details of regulatory policy applicable to the New Zealand insurance industry

Synopsis

Timetric’s 'Life Insurance in New Zealand Key Trends and Opportunities to 2020' report provides a detailed outlook by product category for the New Zealand life insurance segment, and a comparison of the New Zealand insurance industry with its regional counterparts.

It provides key performance indicators such as written premium, incurred loss, commissions and expenses, total assets and total investment income during the review period (2011–2015) and forecast period (2015–2020).

The report also analyzes distribution channels operating in the segment, gives a comprehensive overview of the New Zealand economy and demographics, and provides detailed information on the competitive landscape in the country.

The report brings together Timetric’s research, modeling and analysis expertise, giving insurers access to information on segment dynamics and competitive advantages, and profiles of insurers operating in the country. The report also includes details of insurance regulations, and recent changes in the regulatory structure.

Scope

This report provides a comprehensive analysis of the life insurance segment in New Zealand:

• It provides historical values for the New Zealand life insurance segment for the report’s 2011–2015 review period, and projected figures for the 2015–2020 forecast period.

• It offers a detailed analysis of the key categories in the New Zealand life insurance segment, and market forecasts to 2020.

• It provides a comparison of the New Zealand life insurance segment with its regional counterparts

• It analyzes the various distribution channels for life insurance products in New Zealand.

• It profiles the top life insurance companies in New Zealand and outlines the key regulations affecting them.

Reasons To Buy

• Make strategic business decisions using in-depth historic and forecast market data related to the New Zealand life insurance segment, and each category within it.

• Understand the demand-side dynamics, key market trends and growth opportunities in the New Zealand life insurance segment.

• Assess the competitive dynamics in the life insurance segment.

• Identify growth opportunities and market dynamics in key product categories.

• Gain insights into key regulations governing the New Zealand insurance industry, and their impact on companies and the industry's future.

Key Highlights

• The New Zealand life insurance direct written premium increased at a review-period CAGR of 4.6%. 

• New Zealand's life insurance penetration stood at 0.74% of GDP in 2015, below the Organization for Economic Cooperation and Development average of 5%. 

• Individual life insurance remained the largest sub-segment during the review period; it accounted for 92.8% of the segment’s direct written premium in 2015, of which the term life sub-category accounted for 68.7% of the category’s direct written premium. 

• Financial advisers are the primary distribution channel for life insurance in New Zealand. 

• New Zealand’s life insurance segment is highly competitive, with the presence of both domestic and foreign insurers.

 Table of Content

1 Key Facts and Highlights

2 Executive Summary

3 Economy and Demographics

4 Segment Outlook
4.1 Regional Comparison
4.2 Segment Indicators
4.2.1 Gross written premium and penetration
4.2.2 Policies sold
4.2.3 Claims
4.2.4 Assets and investments

5 Outlook by Sub-Segment
5.1 Individual Life Insurance
5.1.1 Premium
5.1.2 Policies sold
5.1.3 Penetration
5.2 Group Life Insurance
5.2.1 Premium
5.2.2 Policies sold
5.2.3 Penetration

6 Distribution Channel Outlook
6.1 Analysis by Distribution Channel
6.1.1 Financial advisers
6.1.2 Brokers
6.1.3 Bancassurance
6.1.4 E-commerce
6.1.5 Other distribution channels

7 Competitive Landscape
7.1 Company Profiles
7.1.1 Sovereign Assurance Company Ltd – company overview
7.1.2 AMP Life Ltd – company overview
7.1.3 OnePath Life (NZ) Ltd – company overview
7.1.4 Asteron Life Ltd – company overview
7.1.5 Fidelity Life Assurance Company Ltd – company overview
7.1.6 Westpac Life New ‎Zealand Ltd – company overview
7.1.7 AIA New Zealand – company overview
7.1.8 BNZ Life Insurance Ltd – company overview
7.1.9 Cigna Life Insurance New Zealand Ltd – company overview

8 Governance, Risk and Compliance
8.1 Legislation Overview and Historical Evolution
8.2 Latest Changes in Regulation
8.3 Legislation and Market Practice by Type of Insurance
8.3.1 Life insurance
8.3.2 Property insurance
8.3.3 Motor insurance
8.3.4 Liability insurance
8.3.5 Marine, aviation and transit insurance
8.3.6 Personal accident and health insurance
8.4 Compulsory Insurance
8.4.1 Liability insurance for maritime oil pollution
8.4.2 Insurance for clinical trials
8.4.3 Medical insurance for international students
8.5 Supervision and Control
8.5.1 International Association of Insurance Supervisors (IAIS)
8.5.2 Reserve Bank of New Zealand
8.5.3 Insurance Council of New Zealand
8.6 Non-Admitted Insurance Regulations
8.6.1 Overview
8.6.2 Intermediaries
8.6.3 Market practices
8.6.4 Fines and Penalties
8.7 Company Registration and Operations
8.7.1 Type of insurance organization
8.7.2 Establishing a local company
8.7.3 Foreign ownership
8.7.4 Types of license
8.7.5 Capital requirements
8.7.6 Solvency margin
8.7.7 Reserve requirements
8.7.8 Investment regulations
8.7.9 Statutory return requirements
8.7.10 Fee structure
8.8 Taxation
8.8.1 Insurance premium or policy taxation
8.8.2 Withholding taxes on premium paid overseas
8.8.3 Corporate tax
8.8.4 VAT
8.8.5 Captives
8.9 Legal System
8.9.1 Introduction
8.9.2 Access to court
8.9.3 Alternative dispute resolution

9 Databook
9.1 Policies and Premium
9.2 Claims and Expenses
9.3 Assets and Investments
9.4 Individual Life Insurance
9.5 Individual Life Insurance by Product
9.6 Group Life Insurance
9.7 Group Life Insurance by Product
9.8 Individual Life – Single vs. Non-Single Premium
9.9 Group Life – Single vs. Non-Single Premium

10 Definitions and Methodology
10.1 Definitions
10.2 Methodology

11 About Timetric
11.1 Contact Timetric
11.2 About Timetric
11.3 Timetric’s Services
11.4 Disclaimer

List of Tables

Table 1: New Zealand Life Insurance – Key Facts, 2015
Table 2: New Zealand Life Insurance – Segment Shares of the Top Insurers, 2015
Table 3: New Zealand Government Credit Ratings
Table 4: New Zealand Life Insurance – Gross Written Premium (NZD Billion and US$ Billion), 2011–2015
Table 5: New Zealand Life Insurance – Penetration (%), 2011–2015
Table 6: New Zealand Life Insurance – Gross Written Premium (NZD Billion and US$ Billion), 2015–2020
Table 7: New Zealand Life Insurance – Penetration (%), 2015–2020
Table 8: New Zealand Life Insurance – New Business Direct Written Premium (NZD Million and US$ Million), 2011–2015
Table 9: New Zealand Life Insurance – New Business Direct Written Premium (NZD Million and US$ Million), 2015–2020
Table 10: New Zealand Life Insurance – Premium per Capita (NZD and US$), 2011–2015
Table 11: New Zealand Life Insurance – Premium per Capita (NZD and US$), 2015–2020
Table 12: New Zealand Life Insurance – Number of Policies Sold (Thousand), 2011–2015
Table 13: New Zealand Life Insurance – Number of Policies Sold (Thousand), 2015–2020
Table 14: New Zealand Life Insurance – Paid Claims (NZD Billion and US$ Million), 2011–2015
Table 15: New Zealand Life Insurance – Paid Claims (NZD Million and US$ Million), 2015–2020
Table 16: New Zealand Life Insurance – Total Assets (NZD Billion and US$ Billion), 2011–2015
Table 17: New Zealand Life Insurance – Total Assets (NZD Billion and US$ Billion), 2015–2020
Table 18: New Zealand Life Insurance – Investment Portfolio (NZD Billion), 2011–2015
Table 19: New Zealand Life Insurance – Investment Portfolio (NZD Billion), 2015–2020
Table 20: New Zealand Life Insurance – Direct Written Premium by Sub-Segment (NZD Million), 2011–2015
Table 21: New Zealand Life Insurance – Direct Written Premium by Sub-Segment (NZD Million), 2015–2020
Table 22: New Zealand Individual Life Insurance – Direct Written Premium by Category (NZD Million), 2011–2015
Table 23: New Zealand Individual Life Insurance – Direct Written Premium by Category (NZD Million), 2015–2020
Table 24: New Zealand Individual Life Insurance – Number of Policies Sold by Category (Thousand), 2011–2015
Table 25: New Zealand Individual Life Insurance – Number of Policies Sold by Category (Thousand), 2015–2020
Table 26: New Zealand Group Life Insurance – Direct Written Premium by Category (NZD Million), 2011–2015
Table 27: New Zealand Group Life Insurance – Direct Written Premium by Category (NZD Million), 2015–2020
Table 28: New Zealand Group Life Insurance – Number of Policies Sold by Category, 2011–2015
Table 29: New Zealand Group Life Insurance – Number of Policies Sold by Category, 2015–2020
Table 30: New Zealand Life Insurance Segment – Top Insurers, 2015
Table 31: Sovereign Assurance Company Ltd – Key Facts
Table 32: AMP Life Ltd – Key Facts
Table 33: OnePath Life (NZ) Ltd – Key Facts
Table 34: Asteron Life Ltd – Key Facts
Table 35: Fidelity Life Assurance Company Ltd – Key Facts
Table 36: Fidelity Life Assurance Company Ltd – Key Financials (NZD Million), 2011–2015
Table 37: Westpac Life New ‎Zealand Ltd – Key Facts
Table 38: AIA New Zealand – Key Facts
Table 39: BNZ Life Insurance Ltd – Key Facts
Table 40: Cigna Life Insurance New Zealand Ltd – Key Facts
Table 41: New Zealand – Insurance Regulatory Framework Key Features
Table 42: New Zealand – Life Insurance Regulatory Framework
Table 43: New Zealand – Property Insurance Regulatory Framework
Table 44: New Zealand– Motor Insurance Regulatory Framework
Table 45: New Zealand – Liability Insurance Regulatory Framework
Table 46: New Zealand – Capital Requirements for Establishment of Insurance Companies
Table 47: New Zealand – Corporate Tax Rates for the Financial Year 2017
Table 48: New Zealand Life Insurance – Policies and Premium, 2011–2015
Table 49: New Zealand Life Insurance – Policies and Premium, 2015–2020
Table 50: New Zealand Life Insurance – Claims and Expenses, 2011–2015
Table 51: New Zealand Life Insurance – Claims and Expenses, 2015–2020
Table 52: New Zealand Life Insurance – Assets and Investments, 2011–2015
Table 53: New Zealand Life Insurance – Assets and Investments, 2015–2020
Table 54: New Zealand Life Insurance – Individual Life Insurance, 2011–2015
Table 55: New Zealand Life Insurance – Individual Life Insurance, 2015–2020
Table 56: New Zealand Life Insurance – Individual Life Insurance by Product, 2011–2015
Table 57: New Zealand Life Insurance – Individual Life Insurance by Product, 2015–2020
Table 58: New Zealand Life Insurance – Group Life Insurance, 2011–2015
Table 59: New Zealand Life Insurance – Group Life Insurance, 2015–2020
Table 60: New Zealand Life Insurance – Group Life Insurance by Product, 2011–2015
Table 61: New Zealand Life Insurance – Group Life Insurance by Product, 2015–2020
Table 62: New Zealand Life Insurance – Individual Life Insurance by Premium, 2011–2015
Table 63: New Zealand Life Insurance – Individual Life Insurance by Premium, 2015–2020
Table 64: New Zealand Life Insurance – Group Life Insurance by Premium, 2011–2015
Table 65: New Zealand Life Insurance – Group Life Insurance by Premium, 2015–2020
Table 66: Insurance Industry Definitions


List of Figures

Figure 1: New Zealand Real GDP (NZD Billion), 2011–2020
Figure 2: NZD – US$ Exchange Rate, 2011–2020
Figure 3: New Zealand Consumer Price Inflation (%), 2011–2020
Figure 4: New Zealand Current Account Balance as Percentage of GDP (%), 2011–2015
Figure 5: New Zealand Current Unemployment Rate, 2011–2020
Figure 6: New Zealand Population by Age Group, 1990–2025
Figure 7: New Zealand Life Insurance Penetration – Regional Comparison (%), 2015
Figure 8: New Zealand Insurance Segment Direct Written Premium Shares – Regional Comparison (%), 2015
Figure 9: New Zealand Life Insurance – Gross Written Premium (NZD Billion), 2011–2020
Figure 10: New Zealand Life Insurance – Penetration (%), 2011–2020
Figure 11: New Zealand Life Insurance – New Business Direct Written Premium (NZD Million), 2011–2020
Figure 12: New Zealand Life Insurance – Premium per Capita (NZD), 2011–2020
Figure 13: New Zealand Life Insurance – Number of Policies Sold (Thousand), 2011–2020
Figure 14: New Zealand Life Insurance – Paid Claims (NZD Million), 2011–2020
Figure 15: New Zealand Life Insurance – Total Assets (NZD Billion), 2011–2020
Figure 16: New Zealand Life Insurance – Investment Portfolio (NZD Billion), 2011–2020
Figure 17: New Zealand Life Insurance – Investment Portfolio Dynamics by Category, 2011–2020
Figure 18: New Zealand Life Insurance – Direct Written Premium by Sub-Segment (NZD Million), 2011–2020
Figure 19: New Zealand Life Insurance – Direct Written Premium Share by Sub-Segment, 2011–2020
Figure 20: New Zealand Life Insurance – Direct Written Premium Dynamics by Sub-Segment, 2011–2020
Figure 21: New Zealand Individual Life Insurance – Direct Written Premium by Category (NZD Million), 2011–2020
Figure 22: New Zealand Individual Life Insurance – Direct Written Premium Share by Category, 2011–2020
Figure 23: New Zealand Individual Life Insurance – Direct Written Premium Dynamics by Category, 2011–2020
Figure 24: New Zealand Individual Life Insurance – Number of Policies Sold by Category (Thousand), 2011–2020
Figure 25: New Zealand Individual Life Insurance – Penetration (%), 2011–2015
Figure 26: New Zealand Individual Life Insurance – Penetration (%), 2015–2020
Figure 27: New Zealand Group Life Insurance – Direct Written Premium by Category (NZD Million), 2011–2020
Figure 28: New Zealand Group Life Insurance – Direct Written Premium Share by Category (NZD Million), 2011–2020
Figure 29: New Zealand Group Life Insurance – Direct Written Premium Dynamics by Category (NZD Billion), 2011–2020
Figure 30: New Zealand Group Life Insurance – Number of Policies Sold by Category, 2011–2020
Figure 31: New Zealand Group Life Insurance – Penetration (%), 2011–2015
Figure 32: New Zealand Group Life Insurance – Penetration (%), 2015–2020
Figure 33: New Zealand – Insurance Supervision and Control at Various Levels
Figure 34: New Zealand – Insurance Regulatory Frameworks for Company Registration and Operation