The government has introduced the Insurance (Prudential Supervision) Amendment Bill. The bill proposes a number of technical amendments to the Insurance (Prudential Supervision) Act 2010 and the Reserve Bank Act 1989 identified from a review of the working of the licensing and prudential supervision regime for insurers. A copy of the Bill is available here. The proposed changes include:
- allowing overseas insurers to report, with the RBNZ's consent, interim financial information that complies with home jurisdiction requirements rather than New Zealand GAAP;
- aligning financial reporting requirements with the Financial Reporting Bill (for example, by reducing the preparation period to 3 months);
- extending the term of provisional licences of insurers that enter into an insolvency procedure before 7 September 2013, to ensure that the distress management tools available to the RBNZ and liquidators under Part 4 of the Act continue to be available;
- requiring the RBNZ to maintain a formal register of insurers; and
- expanding permitted licensing conditions to include director certification that the Act and regulations have been complied with.