ICNZ code review to study technology’s impact
Data handling and technological change will be a focus of an industry code of practice review by the Insurance Council of New Zealand (ICNZ).
The council has called for submissions on the Fair Insurance Code, which introduced timeframes for handling claims and complaints and tougher penalties for breaches under a previous review.
“For us, it is always a question of setting high standards and getting ahead of the regulatory curve, and all of that comes down to targeting trust and confidence in insurance,” ICNZ CEO Tim Grafton told insuranceNEWS.com.au.
“This time around we are flagging issues that we are inviting people to take an interest in, particularly around new technologies and some of the implications that might arise there.”
Areas that have gained heightened attention since the last review include data collection, use and storage, privacy concerns, and artificial intelligence and robo-advice.
ICNZ has written to about 60 organisations seeking input and is advertising through traditional and social media to obtain a wide response.
Other review areas include customer and insurer experience with the code standards, complaints procedures and gaps experienced by New Zealand customers compared with expectations in other countries.
The Fair Insurance Code sets standards for ICNZ member insurers, covering more than 95% of the nation’s market.
Significant breaches carry a maximum fine of $NZ100,000 ($90,269) and expulsion.
Submissions are due by March 2 and the new code is expected to take effect in 2019.
The last review was completed about three years ago and the current code took effect at the start of last year.