New Zealand central bank relaunches insurance act review

FILE PHOTO: Two people walk towards the entrance of the Reserve Bank of New Zealand located in the New Zealand capital city of Wellington, March 22, 2016. REUTERS/Rebecca Howard

WELLINGTON (Reuters) – The Reserve Bank of New Zealand (RBNZ) said on Thursday that it was relaunching the review of the Insurance Act and starting a review of the associated insurer solvency standards.

Over the next 12 months, RBNZ would 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, Deputy Governor Geoff Bascand said.

It would also review the Insurer Solvency Standards that govern the minimum amount of capital that insurers are required to hold, he said.

Reporting by Praveen Menon

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