Insurance Adviser October 2022 issue

THE 2022 YOUNG BROKER OF THE YEAR AWARD STATE WINNERS

Future leaders of the broking industry

MANAGEMENT LIABILITY IN FOCUS

A multi-faceted approach to risk management

NAVIGATING THE NEW WORLD OF WORK

Adequate safeguards for the new ways of work

2022 NIBA SUMMIT

Celebrating 40 years of NIBA and honouring the best in broking

ACN 006 093 849

ABN 94 006 093 849

Insurance Adviser magazine is the monthly magazine of the National Insurance Brokers Association (NIBA).

Insurance Adviser magazine is published by NIBA

Publisher

Philip Kewin, CEO, NIBA

T: (02) 9459 4305

E: pkewin@niba.com.au

W: niba.com.au

Communications Manager

Wendy Martin

NIBA Editor

Amy Cai

Editorial enquiries

E: editor@niba.com.au

National Sales Manager

Tony May

E: tmay@niba.com.au

Design

Citrus Media

www.citrusmedia.com.au

NIBA gives no warranty and makes no representation that the information contained in this magazine is, and will remain, suitable for any purpose or free from error.

To the extent permitted by law, NIBA excludes responsibility and liability in respect of any loss arising in any way (including by way of negligence) from reliance on the information contained in this magazine or otherwise in connection with it.

The contents of Insurance Adviser are protected by copyright and NIBA reserves its rights in this regard.

CONTENTS

2022 FEATURES

CGU PADLOCK. COVER THIS GOOD SHOULDN’T BE OVERLOOKED.

Why settle for less when it comes to commercial landlord insurance? CGU Padlock is a premium product, offering tailored cover for property owners. With experienced underwriting teams, local claims management and a commitment to protecting your client, CGU Padlock should not be overlooked. Speak to your Broker Relationship Partner to find out more.

Always consider the Product Disclosure

and

Market Determinations available from the product issuer, Insurance

as

Insurance.

advice is general advice only and does not take into

situation or needs (‘personal circumstances’).

REDEFINING ADVICE – TIME FOR BROKERS TO SHINE

The concept of general advice has been long debated. After all, if executed in accordance with the Corporations Act, there is an obligation to warn a client that the advice does not take into account the client’s objectives, financial situation or needs. For many years, clients’ needs have been somewhat attended to under a general advice model, where the provision of ‘advice’ is questionable, until now. In a radical proposal, as part of the Quality of Advice Review, the independent reviewer Michelle Levy has delivered a Proposals Paper which, among other things, proposes to do away with the concept of general advice altogether. A strong premise being that many clients believe the exact opposite of what the general advice warning suggests. In a further step, if a provider has or holds information about a client’s objectives, needs or any aspect of the client’s financial situation, then any advice is deemed to be ‘personal advice’, and therefore the provider can no longer deem to have not considered that information and discharge any liability with a general advice warning.

So, the scope of instances where personal advice will be given is expanded considerably. This begs the question of how this could be delivered affordably under the current regulatory regime. The answer, according to the Proposals Paper, is to significantly reduce the compliance burden of providing personal advice, including the removal of the best interest duty, and replacing it with a principle based ‘good advice’ definition, whereby that advice “would be reasonably likely to benefit the client, having regard to the information that is available to the provider at the time the advice is provided”. The proposal is aimed at reducing regulatory complexity and burden, while improving the quality of advice.

From a broker perspective, this draws a line in the sand and separates true advice, and the value of that advice to the client, from the pure transaction of providing a product. Under the proposal, a client can effectively go to a provider like an insurer and if they know exactly what cover they want and how much, then they can carry out that transaction. If, however, they need advice as to what product and how much, or that insurer holds information in relation to the clients, needs, financial objectives or financial situation, then the transaction immediately becomes personal advice. Many insurers may choose to offer such a model, which gives the client choice, and allows them to present their product to the client as a solution in an affordable way, but ultimately, there is only one way to access advice that comes from the basis of representing the client, and that is via a broker.

This is a positive outcome for the client, and importantly, allows brokers to clearly articulate their point of differentiation and their value proposition to the client.

There are a number of other proposals, including the removal of the need for Statements of Advice and allowing

QUALITY OF ADVICE REVIEW UPDATE

Following the extensive feedback provided to the Quality of Advice Review Issues Paper, a Consultation Paper has been released which outlines a number of proposals that impact the provision of financial advice in all its forms.

More than 100 submissions to the Issues Paper were received from all sectors of the financial advice industry, as well as consumer groups and clients. Many of these submissions highlighted the need for regulatory reform to remove barriers to advice, such as rising compliance costs and an unnecessary complex and confusing regulatory framework.

The consultation paper acknowledged these concerns stating that the current regulatory framework is a “significant impediment to consumers accessing financial advice” that often prevents advisers from providing quality advice to their clients. Foreshadowing that changes to this regulatory framework will “need to be substantial if financial advice is going to be widely accessible and truly affordable”.

Among the proposals outlined in the paper are:

PERSONAL ADVICE DEFINITION

The paper proposes that the definition of ‘personal advice’ be amended so that ‘personal advice’ is “a recommendation or opinion provided to a client about a financial product (or class of financial product) and, at the time the advice is provided, the provider has or holds information about the client’s objectives, needs or any aspect of the client’s financial situation”.

This differs from the current definition in that the provider of the advice must consider the client’s objectives, needs or financial situation, not just hold information relating to it. This proposal aims to remove the uncertainty around whether the advice being provided is personal advice, while also preventing advisers from using a ‘general advice warning’ to limit their obligations.

DEREGULATION OF ‘GENERAL ADVICE’ AS A FINANCIAL SERVICE

The paper proposes to remove ‘general advice’ from the Financial Services

Regulation regime, as well as remove the obligation to provide a general advice warning. Under this proposal, general advice will no longer be regulated as a financial service, however existing consumer protections (including the prohibition on misleading and deceptive conduct) will still apply. In addition, if the provider of the advice also holds an AFS license, obligations will also apply.

REPLACE THE CURRENT ‘BEST INTEREST DUTY’ WITH AN OBLIGATION TO PROVIDE ‘GOOD ADVICE’

The paper states that the current best interest duty “has not been more effective than disclosure in protecting consumers from poor advice”. The paper proposes to replace the existing best interest duty with an obligation to provide ‘good advice’. ‘Good advice’ is advice that would be reasonably likely to benefit the client, having regard to the information that is available to the provider at the time the advice is provided. This proposal aims to encourage the provision of quality advice by shifting the focus from the steps the advisers has taken to the content of the advice being provided.

What information advisers will have to consider in order to provide ‘good advice’ will differ based on the type of advice being provided, and the scope of the advice as agreed between the client and the adviser. Importantly, the paper notes that this is not a ‘best advice’ test, nor does the obligation to provide ‘good advice’ requires a comparison with other financial products in all instances.

REMOVE THE REQUIREMENT FOR STATEMENTS OF ADVICE

When referring to Statements of Advice (SOAs), the independent reviewer states

“I am not persuaded that SOAs provide any real protection to consumers”. Rather than reduce the SOA content requirements, which the paper states would likely result in shorter documents “full of templated text and be prepared by advisers (or more likely licensees) with an eye on defending a claim or regulatory proceedings rather than assisting their clients”, the paper proposes to remove the requirement for an SOA or record of advice altogether.

Instead, advisers would be required to maintain complete records of the advice they provide and to provide a written record of advice to clients upon request. The paper notes for these records may take many forms including emails, file notes, recorded phone calls, documents provided to clients etc.

NIBA provided a response to the proposals paper commending the review on the consultative approach taken to financial services reform and broadly supporting the proposed changes. NIBA notes that a number of the proposals appear to have been written with financial advisers in mind, and further clarification would be required to ensure the proposals are appropriate for the general risk advice sector. In addition, NIBA took part in a number of industry and association roundtables which provided an opportunity to provide feedback to and seek clarification from the independent reviewer directly.

Treasury has indicated that they will consult with affected industries on any potential changes to the remuneration of advisers once they have completed their analysis of the data provided by both general and life insurance brokers and insurers, however, there are currently no plans to release a second proposals paper. A final report will be provided to the Federal Government by 16 December 2022.

NIBA

WHY NIBA MATTERS TO ME

Members share why NIBA is important to them, and how their involvement has enabled them to support the broking industry.

We have the opportunity to advocate for diversity, raise awareness and bring a different perspective through different education and events, serving the community and raising the awareness on this critical topic.”

ABOUT NIBA

OUR MISSION

NIBA is the one voice for insurance brokers in Australia, representing their interests and promoting high standards of professionalism and competence.

OUR OBJECTIVES

Representation

We represent the interests of members and their clients to governments, regulators, industry stakeholders, the media and the community in a manner that is respected and relevant. We have forged strong relationships at a state and national level to ensure that your interests are represented.

Professionalism

We set and promote high standards of professional practice for insurance brokers for the benefit of their clients and the community through the development of professional standards, QPIB, CPD accreditation and the Insurance Brokers Code of Practice.

Community

We provide members with opportunities to meet, share, grow and prosper, and build professional networks with the wider intermediated insurance community that will last throughout whole careers.

GET IN TOUCH!

Whatever your age, or level ofexperience, NIBA has brokers’best interests at the core ofeverything we do. Find out whatwe can do to help benefit yourbusiness and your team at niba.com.au/membership

NESE AKAY Executive Manager, Community Broker Network NIBA Victorian Divisional Committee

“Being a member of the NIBA Victorian Divisional Committee has given me an opportunity to highlight practices that support and embody fairness and equality of opportunity, to ensure the full participation and advancement of all individuals and groups in our industry.

Lisa’s Kangaroo Retreat rescues, rehabilitates and releases wildlife, including injured and orphaned joeys, kangaroos, wallabies and possums in the Port Headland region of Western Australia.

Just one of the fabulous Not for Profit organisations that we have been able to assist with funds from our annual Small Grants Program.

Insuring Not for Profits - it’s all we do

PREPARING FOR FUTURE DISASTERS BECOMES CRITICAL AS THIRD LA NIÑA APPROACHES

The Insurance Council of Australia has urged the importance of preparing for future disasters, with the Bureau of Meteorology forecasting a third year of La Niña to impact eastern Australia across spring and possibly summer.

With communities in south-east Queensland and New South Wales still recovering from storms and floods earlier this year, the ICA has warned for property owners to take actions now to reduce risks ahead of the coming wet season.

The ICA has advised for property owners on five steps for preparation, which members are also encouraged to review with their clients:

1. Review building, contents and landlord insurance policies to ensure that flood and storm cover, as well as

cover for temporary accommodation, are all included.

2. Avoid being underinsured by reviewing building and contents sum-insured

NEW FEDERAL AGENCY FOR DISASTER RESPONSES CREATED

The Federal Government has announced the formation of the new National Emergency Management Agency (NEMA), which commenced operations on 1 September.

The NEMA will combine the Emergency Management Australia and the National Recovery and Resilience Agency into a single agency, intended to ensure national leadership and stronger coordination in disaster preparedness, response and recovery.

The agency will work in partnership with states and territories to drive more effective disaster management.

Efforts will also be placed in long-term resilience and preparedness as disasters intensify due to climate change, with work currently underway on preparations for the upcoming high risk weather season.

According to the Federal Government, natural disasters cost Australia an average of $38 billion per year, with this cost expected to reach $73 billion by 2060.

and ensuring that the sum reflects current costs for replacing repairing and rebuilding your home and contents.

3. Check if insurance coverage is adequate by preparing an inventory of all contents in the home, room by room. The list can also save time at claims time.

4. Ensure the necessary coverages are in place before the La Niña season, as some insurers may place temporary embargoes in cases where storms and floods are imminent.

5. Reduce risk around the property through maintenance, such as clearing gutters and downpipes and ensuring roofs, windows and doors can hold up against heavy rainfall.

NIBA SAYS CONGRATULATIONS

NIBA congratulates the following members for receiving their QPIB designations:

Jason Wang, Mutual Brokers Sydney Pty Ltd

Ken Williams, Elkington Bishop Molineaux Insurance Brokers Pty Ltd

Xiaoli Wu, Austbrokers ABS Pty Ltd

Erin Bellert, North Queensland Insurance Brokers Pty Ltd

Tony Wagner, Steadfast NSG Insurance Brokers Colleen Whyte, Steadfast NSG Insurance Brokers Megan Spiniello, SSAA Insurance Brokers Pty Ltd

Carolyn Kennon, Insurance House Pty Ltd

Lachlan Lawson, Blackburn Insurance Brokers Pty Ltd

Ross Coldwell, Western United Financial Services Pty Ltd

NIBA congratulates the following member on receiving their QFSR designation:

Daniel Quintin, Arthur J. Gallagher & Co (Aus) Limited

NIBA congratulates the following members for becoming an Associate member:

Sarah Moffitt, Network Insurance Group

Lucy Watson, Elkington Bishop Molineaux Insurance Brokers Pty Ltd

For breaking news and updates curated specially for insurance brokers please visit: niba.com.au/articles

For breaking news and updates curated specially for insurance brokers please visit: niba.com.au/articles

CLIMATE CHANGE AND CYBER, THE KEY RISKS AHEAD FOR INSURANCE: TAYLOR FRY REPORT

Climate change and cyber are the two key risks posing key challenges ahead for insurers, according to Taylor Fry’s latest Radar 2022 Report.

CLIMATE CHANGE

The report flags that climate change has increased the frequency and severity of catastrophic losses in Australia. In the years to come, this trend will continue, leaving insurers to contend with rising claim costs, reduced access to insurance and growing unaffordability.

Taylor Fry has advised that insurers play a vital part in creating solutions that stretch across various industries and government bodies. As an example, insurers may draft terms that incentivise the construction of safer and more resilient buildings.

At a more global level, the report also flagged a societal shift towards standardising the reporting of climaterelated risks, with listed companies in

the United States, United Kingdom, New Zealand, Japan, Hong Kong and the European Union all mandated to disclose their risks. In the long run, investors, regulators and consumers will hold higher expectations of disclosure.

The insurance industry will subsequently be challenged to create more sustainable portfolios. Net-zero targets will reset the underwriting standards of today, with more than 20 leading insurers around the world already committing to transitioning their underwriting portfolios to net-zero emissions by 2050. Insurers will play a pivotal role in empowering new technologies and business practices of the future.

CYBER

According to Taylor Fry, cyber risks pose a major threat in Australia. With approximately 35 to 70 per cent of larger businesses having cyber insurance, and only 20 per cent of SMEs, cyber insurance is arguably still in its infancy in Australia.

The report has found that cyber underwriting practices have strengthened in the past year, with larger insurers investing more time into understanding and underwriting cyber risks and offering greater assistance to policyholders. This has ensured that companies are increasing their overall cyber security, and insurers in turn receive less claims.

However, a multitude of challenges still lie ahead for insurers.

Accumulation risks, such as exclusions for acts of war, are standard for traditional insurance products where physical property damage caused by war is exempt. However, Taylor Fry suggests that this does not translate well for cyber risks.

There have been several examples of highly organised cyberattacks sponsored by foreign states and such exclusions may cause devastating financial and reputational damage to companies.

There are also various uncertainties in cyber insurance that complicates claims handling, such as the challenge of attributing a responsible party in a cyberattack, especially as cyberattacks have no geographical limits.

The report stresses the necessity for insurers to solve these challenges as cyber insurance products mature, with such products providing an integral security to society as we increasingly digitise.

For breaking news and updates curated specially for insurance brokers please visit: niba.com.au/articles

“Net-zero targets will reset the underwriting standards of today, with more than 20 leading insurers around the world already committing to transitioning their underwriting portfolios to net-zero emissions by 2050.”

NEW RESEARCH REVEALS THE COST OF EXTREME WEATHER ON AUSTRALIAN HOUSEHOLDS

Research commissioned by the Insurance Council of Australia has found that extreme weather events over the past 12 months have cost Australian households an average of $1,532.

This marks a significant jump in costs compared to a 10-year rolling average of $888, according to the McKell Institute report commissioned by the ICA.

The steep increase is attributed to a number of factors, including the

record-breaking February and March floods, the resulting insured costs and uninsured damages, the rising cost of goods and tax-payers funding government recovery expenses.

The report estimated that direct costs from extreme weather events would grow by 5.13 per cent each year as a result of increasing weather events. By 2050, Australian households would pay an estimated average of $2,509

each year, which equates to a total of $35.24 billion.

The McKell Institute has suggested that its cost calculations are relatively conservative, having excluded intangible, indirect costs such as increases in grocery and fuel prices, as well as social impacts such as homelessness, loss of work or mental health disorders.

The report recommends for federal and state governments to apportion greater budgetary spend in resilience building and future-proofing initiatives, with less emphasis on reactionary efforts such as recovery and disaster relief.

TRUST

ney

Syd ney

2022 NIBA SUMMIT – TRUST, PROFESSIONALISM, COMMUNITY

The 2022 Summit theme is ‘Trust, Professionalism, Community’, which aims to shine a spotlight on the key principles that represent the very best in the profession.

SUMMIT PROGRAM 2:00 PM – 5:00 PM

Establishment Ballroom, 252 George St, Sydney Dress code: Business attire

Welcome address – Dianne Phelan, President of NIBA

Opening speech – The Hon. Stephen Jones MP, Assistant Treasurer and Minister for Financial Services

This session is proudly sponsored by

Opening keynote – Holly Ransom, Founder and CEO of Emergent

This session is proudly sponsored by

Industry market update – Chris Mackinnon, Regional Head of Australia and New Zealand, Lloyd’s

This session is proudly sponsored by

Insurance broker panel discussion – For information on the panel members, see page 18.

This session is proudly sponsored by

Closing address – Philip Kewin, CEO of NIBA

For more information about the speakers, see page 18

SUMMIT HAPPY HOUR 5:00 PM – 6:00 PM

Establishment Rooms II and III, 252 George St, Sydney Dress code: Business attire

Following the Summit, join us for an hour of networking with industry colleagues.

CELEBRATION DINNER (PACKAGE OPTION AVAILABLE) 6:30 PM – 11:00 PM

Ivy Ballroom, 320 George Street, Sydney Dress code: Business attire

The winners of the following awards will be announced:

• 2022 Stephen Ball Broker of the Year award

• 2022 Lex McKeown Trophy

• 2022 Warren Tickle Young Broker of the Year award

• 2022 Large General Insurer of the Year award

• 2022 Specialty Insurer of the Year award

• 2022 Underwriting Agency of the Year award

2022 NIBA SUMMIT SPEAKER LINE-UP

WELCOME ADDRESS FROM DIANNE PHELAN

PRESIDENT OF NIBA

Dianne has been an insurance broker for more than 30 years. After initially forming Morris Lloyd Insurance Brokers with two other colleagues, the firm joined with Victorian brokerage BJS, which was expanding into other states and now has nine offices across Australia.

OPENING ADDRESS FROM THE HON. STEPHEN JONES MP

ASSISTANT TREASURER AND MINISTER FOR FINANCIAL SERVICES

Stephen Jones is the Assistant Treasurer and Financial Services Minister who has represented the Illawarra-based seat of Whitlam (previously Throsby) for the Australian Labor Party since 2010.

The Minister will be delivering his first address to insurance brokers at the 2022 NIBA Summit. Hear first hand from him on the final report for the Quality of Advice Review, including the review of commissions.

KEYNOTE SPEECH FROM HOLLY RANSOM

FOUNDER AND CEO OF EMERGENT

Holly is a specialist in disruptive strategy, a private company director and advocate for social and economic inclusion. She is recognised globally for her super-human ability to synthesize and simplify complex issues, and create engaging, thought-provoking conversation.

Holly will be speaking about change management and adaptability at the 2022 NIBA Summit.

INDUSTRY MARKET UPDATE FROM CHRIS MACKINNON

REGIONAL HEAD OF AUSTRALIA AND NEW ZEALAND AT LLOYD’S GENERAL REPRESENTATIVE IN AUSTRALIA AND VANUATU

Chris Mackinnon joined Lloyd’s in February 2015 with responsibility for market development, and for liaising with market practitioners and regulatory authorities to maintain and develop Lloyd’s presence in Australia, New Zealand and Vanuatu.

Chris will be providing a Lloyd’s industry market update at the 2022 NIBA Summit.

CLOSING ADDRESS FROM PHILIP KEWIN

CEO OF NIBA

Phil Kewin is Chief Executive Officer of the National Insurance Brokers Association of Australia (NIBA). Phil leads NIBA’s industry representation efforts and promotes the role and professionalism of brokers to governments, regulators, businesses and the broader community

INSURANCE BROKER PANEL DISCUSSION

THE PANEL WILL CONSIST OF THE FOLLOWING INDUSTRY EXPERTS:

Stuart McKellar, Head of Commercial and Affinity at Howden Insurance Brokers; Shaun Standfield, Managing Director of Insurance Advisernet; Jeff Murdoch, Director at Emjay Insurance Brokers Pty Ltd; Ximena Smith, Director at AEI Insurance Broking Group

With thanks to our Principal Partners:

Thank you to our event sponsors:

WEDNESDAY

HONOURING EXCELLENCE

DINNER

VOTED

2022 STEPHEN BALL BROKER OF THE YEAR AWARD

VOTED

2022 WARREN TICKLE YOUNG BROKER OF THE YEAR AWARD

THE

2022 LEX MCKEOWN TROPHY

2022 LARGE GENERAL INSURER OF THE YEAR

2022 UNDERWRITING AGENCY OF THE YEAR

2022 SPECIALTY INSURER OF THE YEAR

VOTED

Dean Bowen NSW/ACT winner

William Thompson Qld winner

Joseph Cuzzocrea SA/NT winner

Selena Piggott WA winner

Greg Shallard Vic/Tas winner

Nicholas Bedggood NSW/ACT winner

Sally Coulton Qld winner Heather Blanco SA/NT winner

Derek Ford WA winner

Daniel Quintin Vic/Tas winner

NIBA AT THE 2022 DIVE IN FESTIVAL

The 2022 Dive In Festival took place from 27-29 September, promoting diversity and inclusion across the insurance industry through a number of online and in-person events. The theme for this year was #BraverCultures and included two events organised by the NIBA’s Divisional Committees.

BUILDING INCLUSIVE COMPANY CULTURES

Organised by the NIBA WA Divisional Committee

Hosted by Nikita Willis, member of the NIBA WA Divisional Committee, this session saw cross-cultural consultant Tasneem Chopra OAM speak on the importance of driving diversity and inclusion, and gender and cultural equity across organisational leadership.

This virtual session attracted great engagement, with attendees from all over the world asking questions at the end.

Key takeaways from the session:

• You can’t be what you can’t see. Culturally diverse communities make up over 50 per cent of the Australian population, so it is imperative for role models in society and those in leadership to represent the diversity of society.

• If the table is full, let’s extend it. When systems fail to deliberately include, they unwittingly exclude. It is therefore important to implement actions that drive support for both gender and cultural equity.

• Prioritise an employee’s cultural add over their cultural fit. Tasneem suggested for the industry to diversify the way employees are marketed, recruited and retained. While companies often focus on recruiting employees who are a great cultural fit, employees from more diverse backgrounds can often contribute to creating enriched solutions.

• Stop engaging “at” people and engage “with”. Leaders need to ensure

that their employees feel valued, energised, trusted and are paid well and fairly treated.

• Rethink the meaning of ‘allyship’ Tasneem questioned the commonly used term, suggesting that it is time to progress from being an ally to being an accomplice, a role that more consciously facilitates opportunities for diverse people in the workplace. Special thanks to Gilchrist Connell, who sponsored the session.

BUILDING BRAVE WORKPLACE CULTURES IN A POST-PANDEMIC WORLD

Organised by the NIBA Victorian Divisional Committee

Hosted by Prudence Chang, member of the NIBA Victorian Divisional Committee, and sponsored by Meridian Lawyers, the session saw Frederik Anseel, the Senior Deputy Dean of Research and Enterprise at the University of New South Wales Business School, share his insights on the importance of creating new workplace cultures in a postpandemic world.

Key takeaways from the session:

• The good, the bad, the ugly. The shift to remote work has led to stronger collaboration, new ways of working, and greater productivity. However, it has also caused a blurring of work and life, the loss of information exchange through informal office conversations, and an influx of meetings – challenges that have led many employees to burn out.

• The sharing of information is different in a hybrid world. Studies have found

that teams have become static, more inwardly focused and shifted towards delayed communications through digital channels, creating very different team dynamics compared to before.

• The employer-employee disconnect. While some employers are pushing for greater presence in the office, employees are re-evaluating their relationship with work. This disconnect in the workplace is often one of the drivers of the Great Resignation.

• Gender inequity due to proximity bias. Studies have found that women tend to have greater responsibilities in the home and hold a greater preference for working from home. This may undermine their career prospects in certain workplaces where leaders give greater opportunities to those they see in the office.

• Moving to a new way of work. As the meaning of work has undergone rapid change throughout the pandemic, it has become crucial to re-design the workplace, and to create a new way of working based around flexibility and psychological proximity.

• Rebuilding connections in a hybrid workspace. Companies now need to create environments that enable their employees to rebuild relationships throughout the organisations in new ways. This includes redesigning workplaces to support flexible work, inspire mental health and create a more meaningful workplace.

Special thanks to Meridian Lawyers, who sponsored the session.

MEET THE NIBA MEMBERS LEADING BROKERS FORWARD ON DIVERSITY AND INCLUSION

While insurance has historically not been considered an exciting industry to work in, members of NIBA’s Victorian and West Australian Divisional Committees are working to overturn this perception. They share the vision of welcoming different perspectives and organising programs to inspire change across the insurance broking profession.

PRUDENCE CHANG

Executive Manager, NCI Trade Credit Solutions

Member of the NIBA Victorian D&I Sub-Committee

What motivated you to get involved with the Sub-Committee?

Being a part of this Sub-Committee is an opportunity to shine a light on how our community can become more understanding and inclusive of others, whilst also bringing additional benefits to our industry and businesses.

It is more important than ever to drive workplace acknowledgement and understanding of psychological diversity in all of its forms, especially after the challenges we have experienced globally over the past few years. We need to be more aware of mental health, to be able to offer the support and legitimise structures within industries to help people thrive.

What does it mean to you to be on the Sub-Committee?

This Sub-Committee is especially rewarding as we know it is making an immediate difference. People often comment on having a lack of understanding around diversity and inclusion, and the lack of knowledge around where to go to gain support and resources.

We look to provide this to members, and to create a way for members to feel comfortable about reaching out if they require further education. It’s a constant journey and we can all learn so much from each other.

NESE AKAY

Executive Manager, Community Broker Network

Member of the NIBA Victorian D&I Sub-Committee

What motivated you to get involved with the Sub-Committee?

I am passionate about recognising, embracing and increasing the representation of different groups and individuals. To me, diversity is all about learning from our differences to make the whole community a better place.

By being on the Sub-Committee, we have an opportunity to highlight practices that support and embody fairness and equality of opportunity, to ensure the full participation and advancement of all individuals and groups in our industry.

In a country as diverse as Australia, it is important that our diversity becomes a strength and that our industry reflects the whole community.

What does it mean to you to be on the Sub-Committee?

Being on the Sub-Committee means that we have the opportunity to advocate for diversity, raise awareness and bring a different perspective through different education and events, such as the Dive In Festival, serving the community and raising the awareness on this critical topic.

Working with my committee members, I am also learning from other perspectives and enjoying the camaraderie of like-minded individuals.

NIKITA WILLIS

Client Manager, SRG Group

Member of the NIBA WA Professionalism Sub-Committee

What motivated you to get involved with the Sub-Committee?

I have always been passionate about diversity and inclusion and active allyship. When I entered the insurance industry, I quickly learned that despite the overall workforce being incredibly diverse, when we reach the upper echelons, the story is very different. This is steadily improving as the world around us progresses and changes, but I wanted to contribute to the speed at which that change occurs and drive progress from within.

My hope is that before I am ready to exit the industry, women and minorities will be proportionately represented in high-level positions. I would also love to see insurance become well-known as a progressive and inclusive industry, ditching the stigma we receive by being associated with the wider finance field.

What does it mean to you to be on the Sub-Committee?

Being on the Sub-Committee means having a platform to encourage industry colleagues to embrace diversity and create safe spaces for all. I’m proud of having worked extensively on our committee’s Dive In Festival event this year, which spotlighted the importance of building inclusive company cultures.

Data shows us that diversity makes us not only more productive, but also more profitable, so the argument for progression has never been stronger.

Future leaders of the broking

What lies ahead for the future of the insurance broking industry?

INTERVIEWS BY AMY CAI industry

LEFT TO RIGHT: Joseph Cuzzocrea, William Thompson, Selena Piggott, Greg Shallard, Dean Bowen

Perhaps it’s new technologies, changing markets or innovative products. Amongst the many answers that come to mind, one remains an unchanging certainty – the ambitious, inspiring young talent poised to reshape the broking profession and rewrite the standards for professionalism.

As the 2022 NIBA Summit approaches, we recognise broker excellence and industry challenges with words from the state winners of the 2022 Young Broker of the Year Award.

Each state winner weighs in on what has propelled them forward on their rising career trajectories, and the problems they’re driven to solve for the future of the industry.

The Young Broker of the Year Awards are proudly sponsored by Vero

COVER STORY / Young Broker of the Year Award State Winners

Greg Shallard on driving positive impact

HAVING A POSITIVE IMPACT ON AN INDUSTRY I LOVE

Growing up on the outskirts of Melbourne on my grandparents’ dairy farm, I’ve always had a passion for the outdoors.

As I got older, I started going to Mill Valley Ranch, which is a horse-riding camp in Gippsland. After a few years attending as a camper, at the young age of 15, I started working as a volunteer in the horse-riding program. The foundation of my risk management skills began there. When working with horses and teaching lessons, risk management wasn’t just something I did, it was ingrained in every task.

After finishing university, I went looking for adventure and started rodeoing. Unfortunately, things didn’t go to plan and I broke my leg, which put me on the sidelines. I knew Affinity’s Risk Manager Paul Davenport growing up, and while recovering, he asked me to help the Affinity’s Equine Insurance team at a few horse events. Things must have gone well because a few months later, an opportunity came up when a broker in the office went on maternity leave.

I realised that I had an opportunity to invest and shape the outdoor and horse industries from the insurance side, to make people safer and help businesses ensure they have a sustainable industry. In insurance, I could drive safety initiatives and meaningful change, so I decided to pursue broking full time. Twelve years later, I’m still here.

Rural events and the outdoor experiences are ingrained in Australian culture, the things we all remember doing growing up, and I am passionate that our society and future generations can continue having these experiences.

A SEAT AT THE TABLE

Having come from the industry into broking, I’ve had opportunities with clients and industry bodies that I wouldn’t have been able to have otherwise., We have been able to work closely with industry bodies on issues and opportunities to bring advancement to the industry.

As brokers, we are often in a privileged position, and we get to see the inner workings of businesses as their trusted advisers.

In return, we provide value not just to the one transaction but also to that client and their industry.

We can advise businesses on what’s working and what’s not, but we can also inform the government and industry bodies on the emerging risks we’re identifying, and the initiatives needed.

This is how I believe we can really help our clients.

SAFETY FIRST

I believe that the insurance industry needs to work with the outdoors and quine industries to identify good and bad risks.

Accreditation models need to be developed in conjunction with all key stakeholders including government, education departments, land holders and insurers to address the real operational risks.

Often the focus is on business or workplace risks, but not whether people are being kept safe. It’s the participant’s safety and ability to make informed decisions about risk that drives claims and sustainability for public liability in the high-risk space. It’s important that all stakeholders be educated on this distinction, so we can make the outdoor and equine industries safer space and more sustainable for insurers.

This applies to all industries. Whether it’s construction, health or entertainment, we as brokers have a role to play in knowing our industries and their people, their goals and outcomes, and how we can partner with them to find sustainable solutions.

I believe brokers need to be a part of their industries, on the inside, to drive meaningful change.

IT STARTS WITH ARTICULATING THE VALUE WE BRING TO CLIENTS AND THE INDUSTRY

Insurance is a tripartite relationship between clients, brokers and insurers. Each party needs to be economically viable for the relationship to work. If price is the only focus, it temporarily gives clients relief, but in the long run, continually doing this will only encourage insurers to exit the market and make it harder for insurance to be sustainable.

As brokers, we need to work with clients to help them create solutions to review and remediate risk exposures in their business.

We need to take a long-term approach to finding a sustainable solution between clients and insurers that’s economically viable for both sides and find integrated solutions that work for the wider eco-system.

PLAYING THE TEAM GAME

The key factor in my success is having a supportive team of mentors around me from inside the insurance industry, who taught me the inner workings of insurance, as well as mentors from outside who have invested in me personally and have given me the tools to succeed in work and in life.

What excites me is bringing on the next generation of brokers and providing them with new opportunities. We have an amazing team of young people around me who are truly going to be the future. They come from a diverse background with diverse skillsets. We have riding instructors, a veterinary nurse, a pilot and others still studying at university. To solve our issue with labour, rather than shuffle people around in our industry, we should find new people from other professions who can bring in new skillsets and knowledge, and are invested and invigorated to make a difference.

Insurance is a team game, and I want to surround myself with people who motivate and inspire me.

The Young Broker of the Year Awards are proudly sponsored by Vero

WINNER OF THE VIC/TAS YOUNG BROKER OF THE YEAR AWARD Client Manager, Aon/Affinity Insurance Brokers

COVER STORY / Young Broker of the Year Award State Winners

WINNER OF THE WA YOUNG BROKER OF THE YEAR AWARD Managing Principal, Marsh

The Young Broker of the Year Awards are proudly sponsored by Vero

Selena Piggott

on creating meaningful work cultures

PERSEVERANCE THROUGH HARD TIMES

Looking back throughout my career, what I am proudest of is the work I have put in for my clients – helping them secure a placement or navigate a claim. Whether it’s problematic placements, challenging risks or internal difficulties, I’ve made it my personal motto to persevere through the hard times and weather those storms. It has been so rewarding to come out the other side, to give our clients a successful claim settlement or get a hard placement completed.

My perseverance has no doubt played a pivotal role in enabling me to be promoted to Managing Principal at Marsh. I am one of the youngest Managing Principals in the Marsh Perth Office and I see this as a recognition of all the hard work I’ve put in for my clients.

I’ve also really enjoyed watching my clients’ businesses grow over the years, having worked for some clients for as long as 10 years.

One of the best things about being an insurance broker is clients invite you into their business and you learn all about the structure of their business, what their forward projections are and what their biggest risks are. I find it so interesting to work with all different types of clients, to learn from them, then to take that information away and find an insurance or risk solution for them.

To see these clients grow, refer businesses and provide me with development opportunities has made my career so rewarding.

BRINGING PEOPLE TOGETHER IN THE WORKPLACE

I’m also dedicated to creating a positive work culture. I have been on the Social Club Committee at Marsh for nine years. I initially joined the Social Club Committee for fun, but two pivotal moments made me see the impact I had in creating a positive culture at work.

The first was when Marsh acquired JLT, and two separate businesses were effectively brought together in Perth. Our social events helped to break the ice, take away the formality of being in the office and encouraged people get to know one another in a more relaxed setting.

The second was during COVID-19, when working from home meant people couldn’t connect with others outside of their direct teams as much as they used to. Coming back to the office and running events again, I realised just how much everyone had craved interaction and what our events meant to them. It was a really good reminder, after being on the Committee for so long, that it wasn’t just about organising drinks or a movie night. We were able to bring people at work together.

ADVOCATING FOR MENTAL HEALTH

Mental health is a subject that I am hugely passionate about. It’s an issue which can impact all of us, whether directly or indirectly through a family member or friend.

At Marsh, I am the WA Mental Health First Aider, where I have rolled out mental health initiatives in the workplace. With how much time we all spend at work, I wanted to be on the ground to roll out national initiatives into our market, and to also be able to assist if anybody had an issue.

It’s so great to be equipped with the right tools, so I can tell people that I’m here if they need me. In addition, I also volunteer at the Mary Chester Centre for Alzheimer’s WA. With the life expectancy of people changing, Alzheimer’s is becoming more frequent, and the Mary Chester Centre provides much needed respite for family members who care for people with Alzheimer’s.

The team there are just amazing. Aside from helping out around the property and fundraising, my favourite activity is helping with food preparation and cooking for social events. The families come in for dinner, there’s usually a band playing and dancing, and it’s a really relaxed, lovely environment.

The Mary Chester Centre have made me feel like I’m part of the team and I always come away from the experience feeling so warm and happy.

I am very passionate about encouraging brokers to volunteer with Alzheimer’s associations across Australia. It’s a deeply rewarding experience to be able to help families dealing with Alzheimer’s.

It all links back to supporting mental health. We all need a break sometimes and to take care of ourselves and volunteering is how we can contribute to this.

CLIMATE CHANGE

Our industry faces a lot of challenges around natural catastrophes. The changing environment has brought about challenges to our clients, as well as to insurers in their ability to continue to provide cover.

We are being forced to rethink the way we navigate risks with our clients. Reform is coming with the recently launched Northern Australia Cyclone Reinsurance Pool, and we will need to be conscious of how this will impact the insurance market.

I think we all need to be informed about what’s happening and understand those challenges from both our client and the insurer’s perspectives.

In addition, we need to support our clients with a risk-led approach. We can no longer think of an insurance policy as the be all and end all when it comes to transferring risk.

It’s going to be a really long journey, and something people coming into insurance now will be grappling with from day one. For our industry to thrive, we need to make sure that we take a risk focus, rather than a reactive approach.

the Year Award State Winners

William Thompson

on building trust and supporting businesses on the Sunshine Coast

GROWING A FAMILY BUSINESS

I’ve been very fortunate to have my father lead the way for me. He started Thompson Insurance in 2005, when I was just starting Year 8. He took the plunge as an authorised representative under Insurance Advisernet in its very early days, putting everything on the line, and it really paid off for him and our family. I first joined him briefly in 2014, before a stint with Suncorp Group, and together with our team we’ve grown this business into a trusted and well-respected insurance advisory firm.

During the pandemic, our business grew significantly. The Sunshine Coast was not as affected by lockdowns and we realised clients were leaving their corporate brokers based in Sydney and Melbourne, who couldn’t fly out to see them.

We made the most of this opportunity by getting handson with clients and engaging with businesses in our area. In turn, our clients have grown substantially, and we’ve also picked up a lot of new businesses on the Sunshine Coast over the last two years.

We really established ourselves as the trust advisers for our region.

It’s been really rewarding to see a lot of our clients grow and establish their businesses, in some cases expanding from a one-man band to a business with 40-person staff with tens of millions in turnover.

Meeting my clients in quarterly or yearly reviews and hearing them share their future plans, it’s deeply humbling to see them treat us as a key part of their business. They tell me what they’re aspiring to do, and they value my opinion and my help. At Thompson Insurance, we’re intertwined with our client’s business. We don’t want to be the broker who sends out renewals or performs a check-up once a year.

It was quite humbling to read Vero’s SME Insurance Index released earlier this year. So much of the report emphasised the value of brokers getting to know their clients and doing more than just an annual review. It’s something that our team all try to do, and what all brokers should be doing, every single day.

LEADING YOUNG PROFESSIONALS FORWARD

I’m proud to have established, in conjunction with a few friends in 2020, the Sunshine Coast Young Chamber of Commerce, which is an association specifically for professionals on the Sunshine Coast all under the age of 35.

I was motivated after attending a lot of business groups, where I was the youngest by about 30 years. I wanted to start an organisation that could bring together young professionals in the region, where we could encourage and advocate for each other’s businesses.

Starting the association has taught me how to build a team of trusted people. It’s important to have your trusted adviser for various departments such as

marketing, accounting or sales, and for everyone to respect each other’s roles.

I’ve learnt to play to both my strengths and my team’s strengths. For me, it was the connections that I could bring into the group. Being on the Maroochydore Chamber of Commerce, I had connections to a more established group and helped to pitch for their support. If we needed to get into a venue or find a speaker, I knew exactly who to go to for help.

Our first meeting was seven people, meeting up for coffee and breakfast. Since then, we have grown to 140 members. Along the way, I’ve met a lot of people on the Sunshine Coast and a lot of business avenues have also opened up for me.

As I take a step back now, attending the events and seeing the community we’ve created, it’s deeply rewarding to say that I was involved in the creation.

FUTURE-PROOFING THE INDUSTRY

Increasing insurance premiums will have an adverse effect in the years to come. Certain types of insurance is getting progressively more unaffordable for the average person and soon, we will start seeing major uninsured areas where people aren’t able to obtain coverage.

What does that mean for general operations? Brokers need to work with their clients early and find ways to offset the risk. Don’t look at renewals two weeks before. Get engaged with your clients 6 to 8 weeks before so they know what’s coming up and you can manage their expectations.

It’s heartbreaking to have conversations on what can be insured, but it’s about future-proofing our clients’ livelihoods. For simple property risks, we need to advocate for clients to build better and be more weather-proof.

For clients thinking of purchasing a new building, I reach out to ask what their insurance implications are. We will take a look and advise them if the building has asbestos, or if it’s in flood-prone area. We flag with them that these risks will make insurance very costly over the years and advise that they look somewhere else, which may be a better purchase in the long run.

BROKERS ALSO NEED TO CONSIDER THE RISKS THAT WE DON’T YET KNOW ABOUT.

Cyber is an example of a space that we have a little bit of knowledge now, but who knows what the future could hold.

Brokers can’t ever stop learning. Every single insurance company is putting out webinars and training sessions. It may sound mundane, but you’ll always pick something up from these.

I also encourage brokers to get involved with your community, your clients, your industry. Through the NIBA awards process, I’ve also learnt so much and met so many people, which came from me putting my hand up and taking a chance.

The Young Broker of the Year Awards are proudly sponsored by Vero

WINNER OF THE QLD YOUNG BROKER OF THE YEAR AWARD Account Manager, Thompson Insurance

Getting small businesses the right cover?

Q the happy customers

.

Small business owners put their heart and soul into their business and it’s why QBE Insurance is there for them, before & after. We work closely with brokers, right across Australia, to make sure their small business customers are properly protected with a wide range of covers. We offer flexible packages for over 5,000 occupations, so providing the right solution is simple. Combined with our expert underwriters and local claims teams, it’s easy to see why QBE is great for small businesses. Find out more at qbe.com.au/brokers

COVER STORY / Young Broker of the Year Award State Winners

WINNER OF THE NSW/ACT YOUNG BROKER OF THE YEAR AWARD Managing Director, DLB Insurance Risk

Dean Bowen

on filling the gaps in the market

A HAPPY MARRIAGE OF SKILLSETS

STARTING FROM SCRATCH

My business started five and a half years ago, from the spare bedroom of my apartment. I was just 28 at the time and had decided to leave underwriting as I wanted to be a broker, as well as own business. I had a laptop, a whiteboard, a few ideas, and I started with no clients. But I had a plan, a strong work ethic and a belief that I could make something of myself and this business.

The first 12 to 24 months were really difficult. I had to teach myself the very basics of being a broker, while dealing with the added pressure of learning how to run a business. There were more bad days in the beginning and plenty of sleepless nights where I would stare up at the ceiling questioning if I had made the right decision.

Five and a half years later, I now have three authorised representative businesses employing a total of eight people, all of whom are working every day to service our clients. I’m so proud of having achieved what I have in a relatively short period of time.

GOING FOR THE GAP

After completing some research, I concluded that there weren’t any brokers who specialised in construction and trades in the Sutherland Shire area in Sydney. At the same time, I saw so much property development going on in this area, with houses being built. Whilst builders and traders here all need insurance, no one was the go-to person.

Some of them were using various brokerages, some were going online to find brokers. I knew that these people had a need and would really benefit from having someone from the area, who was local and was able to take the time to sit down with them to discuss their various insurance needs and requirements.

I had an opportunity to put down my roots and service the needs of Sutherland-based businesses, and in particular the construction and trade industry.

A close friend of mine who is a qualified builder also pointed out that home warranty was an area offering a lot of opportunity. Many local builders were likely dealing with brokers they’d never met, outside of their local region. I knew that if I could educate myself on this and take the time to sit people down in my office and explain warranty to them, I could add a lot of value for local businesses. So that’s exactly what I did. Home warranty has always been a challenge for many builders.

An important part of catering to the gaps in the market is also delivering a truly personalised service to my clients. I believe this is what sets one broker apart from another.

This means taking the time to go and see your clients at their office, sitting down with them, calling them back at 6pm, speaking to them on a first-name basis and taking the time to get to know them personally.

Over five years, I’ve developed a name and reputation for providing great service in our area, and that’s also how I aspire to train my staff.

In July, I launched marine skippers’ insurance in Australia together with Nicholas Bedggood, who is the 2022 NSW/ACT Broker of the Year award winner.

There were many challenges in bringing a new product to Australia, from conducting the research and development required, to gaining support from London while not being able to speak to people face-to-face. I’ve lost count of the amount of late-night zoom meetings we had with various Lloyds syndicates over the last 18 months.

Our partnership was a happy marriage between our skillsets. Nicholas knows the boating industry, he understood the language they spoke, and had all the important contacts. From my side, my underwriting experience meant that I knew exactly how to pull together a submission that could win the attention and support of underwriters. It was after a lot of persistence working together that we finally got it over the line.

There is still a long journey ahead, but we’ve already sold policies and built up clients on our books. I’m immensely proud of what we accomplished together.

FIGHTING THE WAR ON TALENT

The greatest challenge I see is the skills shortage and the ‘war on talent’ within the industry. History has shown that we as an industry can overcome any other challenge – whether it’s hard market conditions, lack of capacity or regulatory compliance. We’ve had these challenges in the past and we will always overcome them, we’ll pivot, innovate and self-regulate.

However, if we lack the people to do the job, then we cannot solve any of these other challenges. That is by far our biggest concern. Everyone has trouble keeping staff. At the moment, we’re competing with other brokerages for the best staff and offering higher pay to poach people, but this doesn’t lead to a long-term solution.

Ultimately, we need to invest in junior staff. If we can get new blood into the industry and give them a pathway that sets them up for success, then we can be part of the solution and not the problem.

At my business, we’ve invested in training three brokers under registered traineeships. I have two trainees who are 20 and have both landed on their feet. I have another trainee in his thirties who has worked in customer service roles in different industries.

My message to other brokers is there are skill sets outside of insurance that are transferrable. People who have experience working in call centres or in retail, with great customer service skills and know how to problem solve. We can teach them the product knowledge and how to be a broker.

In the long run, we need to attract talent. Everyone likes to say, ‘we fell into the industry’. We need to shift the narrative to make this into a career that’s sought after and well regarded.

The Young Broker of the Year Awards are proudly sponsored by Vero

Young Broker of the Year Award State Winners

Joseph Cuzzocrea

on reshaping a family legacy

PICKING UP THE BATON

I like to tell people I’ve been in insurance since I was born. My father started Maxton, the family business, back in 1986. After previously working as an underwriter, he decided to become a broker and start a business from scratch.

My father Max founded the business with no clients, despite having 10 years industry experience. He worked day and night to sign up new business and create trust with his clients. My mother Rina, having come from a banking background, handled technicalities like quoting, placing business and connecting with underwriters. Shortly after I was born, she was seeing underwriters at home while feeding and nursing me. So, in a way, insurance is in my blood.

Twelve years ago, my father suggested that I give broking a try, so I joined the family business. Coming from a hospitality background, I didn’t think broking was for me. I started in the insurance industry feeling so green and thinking: “Am I ever going to live up to what my family has built over the years?” Since then, I’ve been so proud to develop my book of business, and watch it grow over the years.

Working with my parents has taught me so much. With Max focusing on business development including management and growth, and Rina teaching me the broker technicalities behind the scenes. I’ve evolved into a hybrid of both – I do my own quoting and administration, as well as seeking out new clientele, networking, conducting business face-to-face, and being involved in the management of staff and procedures.

I think what has defined me is the trust I’ve built amongst my clients, based on knowledge, technicality and the service I provide. It’s important for me to gain their trust, through various avenues, including being honest and keeping them informed. This trust has brought in referral business and has enabled me to create solid relationships within a great working environment.

I also like to engage with my clients about their morals and values for their business. It’s important to understand where they see themselves in the future, so I can develop and evolve with them.

The Maxton team has grown over the years, with ten staff and a specialist claims team. All of us work in a corporate space, with just over a thousand clients. We’re evolving and growing the business every day. We’re now in a position where Max can step back and see the business blossom from his advisory role, which he now enjoys. For years, I’ve looked at my father and thought, “Can I do what he’s done?”

It’s an honour and a privilege to have him teach me, as he passes on the baton.

FRESH SKILLSETS AND A NEW DIRECTION

Since I’ve joined the business, I have pressed for us to evolve and adapt to the current broking market. When I first started, our website was so outdated and dysfunctional that it diminished how we were perceived in the marketplace.

We took a big step forward by re-marketing our brand, which I instigated and orchestrated. We also developed the website to include functionalities like online quoting and claim form lodgements using your mobile phone. We’ve noticed the youth of today are more comfortable getting information online. They want to see information and quotes for themselves first. Adding this function opened opportunities to market to the younger generation. Once they’ve linked with Maxton, we could then introduce ourselves, connect face-to-face, and start establishing more personal yet professional relationships.

In conjunction, we introduced online claims, which could be lodged any time of day. This allowed the relevant information to be reported directly into our claims inbox. Furthermore, we could reach out to our clients, explain and assist in the claims process, providing an excellent claims experience. If you have an accident on the road, you can jump on the website and generate an instant report. This has been a positive step forward, saving time and adding to our efficiency.

We’ve also evolved by updating systems like online underwriting platforms and insurance calculators.

We are working smarter, identifying what clients need and making sure all information is easily accessible. There’s so much technology out there, and we have been successful in keeping up with these tools of trade. The less time spent on administration, the more time we can spend with our clients to set ourselves up as trusted advisers.

Evolving, and being the best at what you do in the market is so important for longevity.

WHAT HAPPENS NEXT?

As an industry, we need to continuously think about how we develop and keep up with the technology around us.

At a recent industry session, brokers were shown the concept for a driverless car which could calculate your safest routes. In the event of an accident, it could lodge your claim, find nearby repairers, and update details for policy renewal. This may seem far away still, but this car already exists, and this technology is on the horizon.

The pandemic era forced our industry to jump 10 years in technology. It was a big push in the right direction that many of us, who were reluctant to change, acted and pivoted to adapt, which has been all for the better.

Developing young professionals is the key to the evolution of the industry. Being part of the NIBA SA Young Professionals Committee, we are organising sessions that are appealing to young people, to motivate people to get into the industry so they don’t just “fall into insurance”, like so many of us did.

The next generation of talent will bring new and fresh ideas that are different to mine, just like my ideas are different to my father’s. Someone’s fresh idea will create a real difference, and that’s what we all need to embrace. We need to evolve with the times, as time does not stop.

WINNER OF THE SA/NT YOUNG BROKER OF THE YEAR AWARD Account Executive, Maxton

The Young Broker of the Year Awards are proudly sponsored by Vero

Navigating the new world of work

With mental health injury claims on the rise and legal cases testing the new world of work, it has never been more important for businesses to have policies and procedures that accurately reflect the ‘new ways of work’.

BY MARTIN WANLESS

FEATURE

Workers’ Compensation

To some, the ‘COVID years’ may seem like an aberration – a surreal period that falls into the ‘did that really happen?’ category.

Now that life has returned to a recognisable version of ‘normal’, and few of us recall with any great fondness the endless days, weeks and months in lockdown, it’s easy to fall into the trap of pushing everything we went through to one side.

However, there’s more than a significant reminder every day in the workers’ compensation space, with mental health claims on the rise and workers struggling to

strike a balance between work and personal life thanks to the continual presence of ‘work’ in many homes.

“Recent Allianz workers’ compensation claims data revealed workplace mental health injuries are continuing to rise, with active psychological injury claims increasing 12 per cent since the pandemic began,” says Leigh Ebzery, General Manager, Workers Compensation, Underwritten and Distribution Allianz.

Rizwan Haque, Strategic Broker Manager at icare, agrees external events have increased mental health claims significantly.

“The main challenge in workers’ compensation is tackling mental health issues. Currently, one in five Australians experience problems with mental health each year, and we believe that COVID-19, bushfires and floods have increased background mental health pressures on many workers.

“In workers’ compensation, we’ve seen a related growth in severe psychological injuries, with injured workers needing more time and resources to recover and return to work.”

Of course, the reality is that COVID-19 is still very much here. It’s not ‘over’, but we’re now living with it, which is why our current ‘normal’ isn’t quite ‘as normal’ as it was pre-2020.

And that is causing challenges for businesses, as well as posing questions for the workers’ compensation sector at large.

“Economically, COVID-19 seems to have had more of an indirect impact than direct disease impact, and it might be too early to conclude the overall longer impact of COVID-19, with extended periods of chronic disability due to the after-effects of an infection,” says Angela Bertoncin, Head of Workers Compensation at Zurich.

“If an infection is found to be compensable as work-related, is long-term COVID-19 then a qualified long-term disability?”

And the issue of psychological injuries is a key focus for legislators too and will undoubtedly be a key workplace focus.

“For example, a NSW Parliamentary Inquiry by the Standing Committee on Law and Justice is reviewing workers’ compensation in relation to issues around psychological injuries,” says Haque.

“A range of experts and industry organisations have made submissions

“One in five Australians experience problems with mental health each year, and we believe that COVID-19, bushfires and floods have increased background mental health pressures on many workers.”

– RIZWAN HAQUE, STRATEGIC BROKER MANAGER, ICARE

Protecting your clients’ greatest asset - their people.

We help businesses create a safe and protected workplace through risk mitigation and proactive claims management, local technical underwriting experts, real-time claims reporting and trend analysis together with wellbeing resources for employers and employees, plus much more.

For Workers Compensation in WA and TAS, contact us today.

zurich.com.au/WC

Zurich Workers Compensation

This information is general advice only and does not take into account your objectives, financial situations or needs. You should obtain and consider the Policy Wording from zurich.com.au before making a decision. The issuer of general insurance products is Zurich Australian Insurance Limited (ZAIL), ABN 13 000 296 640, AFS Licence Number 232507 of 118 Mount Street, North Sydney NSW 2060.

ZU24344 V1 09/22 - TFMC-019131-2022

Compensation

LEGAL ROUND-UP

Some recent court decisions are changing the ways employers are looking at certain aspects of their relationships with their employees. Angela Bertoncin of Zurich outlines some of the key decisions you and your clients should know about.

• Kozarov v State of Victoria [2022] HCA 12 is a recent High Court of Australia decision that reaffirmed an employer’s duty of care to its workers to take reasonable care to avoid mental injuries in the workplace. This case helps shape the guidance to employers on how best to respond to identified risks of mental injury in the workplace.

• Is a gig worker an employee? In the case Wei v Hungry Panda Australia Pty Ltd and Ors (2022) NSW PIC 264

(2 June 2022), this question is of particular legal significance as the case is about a gig worker being recognised as an employee in relation to a workers’ compensation claim. This is a very grey area and can differ from case to case, jurisdiction to jurisdiction. However, in this case, no precedent was set in respect to whether a gig employee will be automatically categorised as an employee for workers’ compensation claim purposes. Hungry Panda conceded that Xiaojun Chen was an employee, and the Commission was not required to make a finding as to whether the deceased worker satisfied the definition of employee under the NSW Workers Compensation Act.

– ANGEL BERTONCIN, HEAD OF WORKERS COMPENSATION, ZURICH

that suggest employers need to deliver more psychologically safe workplaces in response to rising rates of mental health issues. The Committee continues to review the evidence and in due course may make recommendations.”

PROACTIVE APPROACH NEEDED

This new world in which we are all now operating needs careful navigation, and serious consideration is required to ensure workers’ compensation claims don’t skyrocket over the coming years.

Businesses worldwide are still figuring out just how to make the hybrid model work, but working from home can mean there’s no demarcation between home and work, and businesses need to have clear policies in place.

Ebzery says, “Our claims data has also revealed the leading causes of primary psychological injuries are ‘work related harassment’ and ‘work pressure’, which is why we believe that prioritising the wellbeing of employees is pivotal in building thriving workplaces for the future. To this end, we actively work with Australian businesses and expert mental health partners to inform and drive positive action on creating mentally healthy workplaces.

“This includes a proactive approach to prevention through appropriate workplace support programs. There is also a significant focus by governments, businesses and insurers to address this issue, and is found

• With the onset of changes in the Industrial Manslaughter in the Model Act (most recently WA in March 2022), industrial manslaughter is a reality check for business owners with Work, Health and Safety Prosecutors having a strong willingness to prosecute both corporate entities and individuals for industrial manslaughter. Some recent cases:

o R V Jeffery Owen. In recent common law development, Judge Cash QC of the Queensland District Court has sent a clear message with a jury convicting Mr Owen of industrial manslaughter, an offence punishable by up to 20 years imprisonment in Queensland. Since this case, we are seeing further cases across Australia.

o In June 2020, Brisbane Auto Recycling Pty Ltd was found to have committed industrial manslaughter and

in the Australian Work Health Safety Strategy 2012-2022.”

PRIME OPPORTUNITY FOR VALUE-ADDING CONVERSATIONS

From a broker’s perspective, of course, helping clients navigate this shift is a hugely important piece of work. Not only is it a fundamental part of a risk management strategy built for today, but it can be a huge value-add to the service provided.

“Regularly reassess how the client’s business is changing in how its workers are working,” says Bertoncin.

“COVID-19 may have changed business operating models and could have developed online markets. It is important to assess whether the worker is covered by workers’ compensation schemes in Australia as traditional business models change.

“There might be gaps in personal insurance, so it is important to identify what these gaps may be and look for alternative coverages to cover the gap.

“An example is travel and journey cover and requirements for coverage that goes beyond the normal business hours. As well as businesses moving into a gig economy environment.”

Ebzery says, “We encourage brokers to inform clients of the intent to increase regulation regarding psychosocial risks and the recently launched global standards (ISO 45003) on managing psychological health.

ordered to pay a fine in the sum of $3 million. The directors were also sentenced to 10 months imprisonment based on reckless conduct (category 1 offence).

o In May 2021, Western Australia recorded its first conviction for industrial manslaughter against Mark Withers, director of MT Sheds (WA) Pty Ltd, who was sentenced to 2 years and 2 months imprisonment.

o More recently, in March 2022, the Northern Territory’s WorkSafe launched its first industrial manslaughter prosecution against Kalidonis NT Pty Ltd. The company faces a maximum fine of $10.3 million, and the company’s sole director a maximum sentence of 5 years imprisonment. Given the enhanced sentencing appetite of courts, the case will be followed closely as it unfolds.

“A range of experts and industry organisations have made submissions that suggest employers need to deliver more psychologically safe workplaces in response to rising rates of mental health issues.”

FEATURE / Workers’ Compensation

“The model Work Health & Safety Regulations have been amended to deal with psychosocial, and recently (June 2021), the first global standard (ISO 45003) on managing psychological health in the workplace was published. ISO 45003 provides guidance on managing psychosocial risk as part of an occupational health and safety management system.”

Of course, with any relationship between employer and employee, people are at the heart, and businesses are fundamentally important in helping employees return successfully to the workplace.

“Brokers can help clients understand that they are central to the recovery and return-to-work story,” says Haque. ”An employer with a strong connection with their workers gets a better outcome. At icare we are starting to see evidence that good, ongoing engagement with workers can increase return-to-work rates by around 20-25 per cent.

“Supporting workers early in a psychological claim is critical, alongside providing suitable duties and being active in recovery and rehabilitation at work.  Sometimes a simple weekly phone call from a boss to an absent worker to ask ‘are you okay?’ will spark a return-towork journey. “The link between early

intervention and a broker’s client’s premiums cannot be underestimated.”

There are many pieces to this jigsaw, but starting and continuing the conversation at least gets businesses on the path to creating their own future.

PREVENTION: BETTER THAN CURE

A focus on injury prevention is vital, as is using data to identify key trends within industry sectors, says Allianz’s Leigh Ebzery.

“We recommend brokers work closely with key stakeholders, including underwriters, to leverage the available data. This will enable understanding of the risk maturity of an organisation and their commitment to Workplace Health and Safety, as well as develop programs to address emerging issues, gain insights and assist in developing risk prevention strategies with trusted partners.”

“ We recommend brokers work closely with key stakeholders, including underwriters, to leverage the available data.”

– LEIGH EBZERY, GENERAL MANAGER, WORKERS COMPENSATION, UNDERWRITTEN AND DISTRIBUTION, ALLIANZ

EMPLOYEES AND MEMBERS –THE FOCUS FOR

While COVID-19 vaccination claims haven’t reached the volume that may have been feared, other employment claims continue to dominate. But could a simple step in the process save insureds a lot of time and money?

BY MARTIN WANLESS

When it comes to risk management for any business, only a multifaceted approach will truly have the requisite impact needed.

And that’s no surprise – the world businesses are operating in is increasingly complex, with emerging and evolving risks, which are compounded from an insurance perspective by a market that’s been challenging to say the least.

“In uncertain economic times, claims increase in number and value under Management Liability (ML) policies,” says Matt McPhee, Berkley Insurance Australia.

“Crime/theft claims are more prevalent, employment practices liability (EPL) claims increase and claims against directors are more likely.”

Maya Lazarus, Brooklyn Claims Manager, says most of their management liability claims come from EPL.

“We expected to see more unfair dismissal claims around the vaccine mandate, but we haven’t, and most of the claims are on the back of performance management, mostly in blue-collar industries,” he says.

“The main hotspots continue to be EPL, sexual harassment and crime,” says Christian Garling, Managing Director of FTA Insurance.

“Occupational health and safety, and the investigations and fines that go with that, are also a concern.

“Many states in Australia have made the insurance of penalties uninsurable now. It’s good in the sense that the penalty is now no longer insurable if it relates to constructionrelated issues, but the defence costs are still insurable and the defence costs are often the same or more than the actual penalty.

“Although there is some reduction in loss history due to the removal of the penalty, the defence costs make up the majority of the cost, so it remains high.”

THE IMPORTANCE OF CYBER AWARENESS

Cyber is an ever-present threat, which Lazarus says SMEs are still not placing enough importance on.

“We still see SME insureds not placing enough importance, awareness and

investment in upgrading their IT systems and cyber security, even post-COVID-19.

“Working from home arrangements have created an additional exposure, especially for SME insureds that are not tailored for the new work environment. This resulted in an increase in social engineering claims and fidelity claims by employees. Some of the latter have been going for a significant period undetected.”

Lazarus also says that there has been an increase in claims against not-for-profit social groups following the expulsion of a member.

“The disgruntled member then challenges the organisation’s rules and we have seen these matters taken all the way to the Supreme Court. Post-COVID-19, people are adjusting to socialising again in groups and at times, this can lead to expensive legal battles.”

– MAYA LAZARUS, BROOKLYN CLAIMS MANAGER

“WE STILL SEE SME INSUREDS NOT PLACING ENOUGH IMPORTANCE, AWARENESS AND INVESTMENT IN UPGRADING THEIR IT SYSTEMS AND CYBER SECURITY, EVEN POST-COVID-19.”

Protecting Directors.

Together.

Solving complexity with our new Australian Directors & Officers Liability policy wording

Our broad wording incorporates two new market leading features that help your clients move one step ahead.

Liberty’s innovative Defence Select claims condition offers the right to appoint any law firm, at their market rates. We’ve also provided, as standard, common costs allocation language to provide clear pathways for partially covered matters and insureds.

Discover more

FEATURE / Management Liability

WHY INFORMED CLIENT CONVERSATIONS ARE STILL ESSENTIAL

When working with management liability clients, it’s important that insureds understand fully what the policy covers, says McPhee.

“The cover provided by ML policies remains poorly understood by insureds. In our opinion, brokers should clearly outline the cover provided, remind insureds about the claims made and notified basis for ML

policies, and encourage them to make timely notification of claims to prevent the effects of late notified claims.”

Lazarus believes that by emphasising the role management liability plays within an overall risk management strategy, brokers can have more considered conversations with clients.

“We believe the most impactful way to emphasise why a management liability policy is an essential part of a company’s risk management is by sharing war stories (claims examples) and the total incurred

for claims that would have hit the insured’s back pocket if they didn’t have an ML policy in place,” he says.

“These figures can be quite scary. Employment claims, for example, can be highly emotional, driven at times by animosity from both sides, which means there is a lot of to-ing, and fro-ing, negotiating not with the claimant but with the insured. Therefore, legal costs are at times not in proportion to the settlement payout.”

With EPL a major source of claims, it’s important for businesses to understand the best course of action when dealing with terminations and redundancies, and a fundamental piece of the process may be regularly overlooked.

Garling says, “The best course of action for an insured thinking about making somebody redundant or terminating their employment is to get legal advice.

“The most common thing we see is insureds proceeding without legal advice –legal advice is not expensive in comparison to a situation ending up in court, and lawyers will tell you exactly what you can and can’t do and how you should do it.”

And that’s just one of several conversations brokers can have as part of a broader risk management process that will help keep clients close.

“A broker that provides risk management strategies to clients will keep those clients for longer and build deeper relationships with them,” says McPhee. “Risk management steps like ensuring safety standards are documented and enforced can save clients time and money in the long run.”

THE IMPORTANCE OF RISK MANAGEMENT AND MANAGEMENT LIABILITY

A business with a well-documented and enforced WH&S procedure was able to successfully negotiate a workplace investigation that threatened to shut down the whole business. The insured kept their WH&S procedures documented, and new employees were thoroughly inducted before they were allowed to enter the workspace.

When an incident did occur, the insured was able to show the investigator their WH&S procedures and demonstrate that all employees were fully briefed.

The result was that the investigator finalised their report without an adverse finding against the business, and the business carried on uninterrupted. The management liability policy paid the costs of the WH&S investigation.

“THE BEST COURSE OF ACTION FOR AN INSURED THINKING ABOUT MAKING SOMEBODY REDUNDANT OR TERMINATING THEIR EMPLOYMENT IS TO GET LEGAL ADVICE.”

– CHRISTIAN GARLING, MANAGING DIRECTOR OF FTA INSURANCE

Key PI

Key FI

Key D&O

Key Crime

Wellington Underwriting Agencies specialise in labour hire/recruitment, complex

and

INSURER STRENGTH RATINGS

S&P GLOBAL INSURER FINANCIAL STRENGTH RATINGS

The following is a list of S&P Global Ratings insurer financial strength ratings assigned to insurance companies in Australia and New Zealand. Ratings as at 20 September 2022

Contact: Craig Bennett, S&P Global Ratings, 03 9631 2197

NEW ZEALAND RATING

NON-LIFE INSURERS

AA Insurance Ltd.

AA-/STABLE

AIG Insurance New Zealand Ltd. A/NEGATIVE

Aioi Nissay Dowa Insurance Co., Ltd

A+/STABLE

Allianz Australia Insurance Limited AA-/STABLE

Berkshire Hathaway Specialty Insurance Company AA+/STABLE

Chubb Insurance New Zealand Ltd.

Factory Mutual Insurance Company

Great Lakes Insurance SE

Hallmark General Insurance Co. Ltd.

Hannover Life Re of Australasia Ltd.

IAG New Zealand Ltd.

AA-/STABLE

A+/STABLE

AA-/STABLE

BBB+/CreditWatch Negative

AA-/STABLE

AA-/STABLE

Medical Insurance Society Ltd. A/STABLE

Mitsui Sumitomo Insurance Co. Ltd (New Zealand Branch) A+/STABLE

QBE Insurance (Australia) Ltd. A+/STABLE

Society of Lloyd’s A+/STABLE

Southern Cross Benefits Ltd. A/STABLE

Southern Cross Pet Insurance Ltd. A/STABLE

Teleco Insurance (NZ) Ltd.

BBB+/STABLE

The North of England Protecting and Indemnity Association Ltd. A/NEGATIVE

Tokio Marine & Nichido Fire Insurance Co. Ltd. (New Zealand Branch) A+/STABLE

Vero Insurance New Zealand Ltd. AA-/STABLE

Vero Liability Insurance Ltd.

AA-/STABLE

Zurich Australian Insurance Ltd. AA-/STABLE

HEALTH INSURERS

NIB NZ Ltd.

Southern Cross Medical Care Society

LENDERS MORTGAGE INSURERS

A-/STABLE

A+/STABLE

Genworth Financial Mortgage Insurance Pty Ltd. (NZ Branch) A/STABLE

QBE Lenders’ Mortgage Insurance Ltd.

LIFE INSURERS

Asteron Life Ltd.

Hallmark Life Insurance Co. Ltd.

Medical Life Assurance Society Ltd.

Resolution Life New Zealand Ltd.

AUSTRALIA RATING

NON-LIFE INSURERS

AAI Ltd.

A/STABLE

AA-/STABLE

BBB+/CreditWatch Negative

A/STABLE

A-/STABLE

Resolution Life Australasia Ltd. (New Zealand Branch) A-/STABLE

REINSURERS

HDI Global Specialty SE

AA-/STABLE

Achmea Schadeverzekeringen N.V. A/STABLE

AIG Australia Limited

A/NEGATIVE

Allianz Australia Insurance Ltd. AA-/STABLE

Allied World Assurance Co. Ltd. A/STABLE

Berkshire Hathaway Specialty Insurance Company AA+/STABLE

BHP Marine & General Insurances Pty Ltd. A-/STABLE

Chubb Insurance Australia Ltd. AA-/STABLE

Factory Mutual Insurance Company A+/STABLE

Great Lakes Insurance S.E (Australia Branch) AA-/STABLE

Hallmark General Insurance Co. Ltd.

BBB+/CreditWatch Negative Insurance Australia Ltd.

AA-/STABLE

Liberty Mutual Insurance Company Limited A/STABLE

Medical Insurance Australia Pty Ltd. A-/STABLE

Mitsui Sumitomo Insurance Company Limited A+/STABLE

QBE Insurance (Australia) Ltd. A+/STABLE

QBE Insurance (International) Ltd. A+/STABLE

Society of Lloyd’s

A+/STABLE

Sompo Japan Insurance Inc. A+/STABLE

Southern Cross Benefits Limited A/STABLE

The North of England Protecting and Indemnity Association Ltd. A/NEGATIVE

Tokio Marine & Nichido Fire Insurance Co., Ltd. A+/STABLE

XL Insurance Company SE AA-/STABLE

Zurich Australian Insurance Ltd. AA-/STABLE

LENDERS MORTGAGE INSURERS

Arch Lenders Mortgage Indemnity Ltd. A/STABLE

Genworth Financial Mortgage Insurance Pty Ltd. A/STABLE

QBE Lenders' Mortgage Insurance Ltd. A/STABLE

LIFE INSURERS

AIA Australia Ltd.

A+/STABLE

Challenger Life Company Ltd. A/STABLE

Hallmark Life Insurance Co. Ltd. BBB+/CreditWatch Negative

MetLife Insurance Ltd.

A+/STABLE

Resolution Life Australasia Ltd. A-/STABLE

Westpac Life Insurance Services Ltd. A+/STABLE

REINSURERS

Aspen Insurance UK Ltd.

A-/STABLE

Berkley Insurance Company A+/STABLE

General Reinsurance Australia Ltd. AA+/STABLE

General Reinsurance Life Australia Ltd. AA+/STABLE

Hannover Life Re of Australasia Ltd. AA-/STABLE Hannover Rück SE AA-/STABLE

HDI Global SE A+/STABLE

HDI Global Specialty SE A+/STABLE

Munchener Ruckversicherungs-Gesellschaft (Munich Reinsurance Co) AA-/STABLE

Munich Reinsurance Co. of Australasia Ltd. AA-/STABLE

Pacific Life Re (Australia) Pty Ltd AA-/STABLE

QBE Blue Ocean Re Ltd. A+/STABLE

RenaissanceRe Europe AG A+/STABLE

RGA Reinsurance Co. of Australia Ltd. AA-/STABLE

SCOR Global Life Australia Pty Ltd. AA-/NEGATIVE

SCOR Reinsurance Asia Pacific Pte Ltd.

Swiss Re Asia Pte. Ltd., (Australia Branch)

Swiss Re International SE

A+/STABLE

AA-/NEGATIVE

AA-/NEGATIVE

AA-/NEGATIVE

Swiss Re Life & Health Australia Ltd. AA-/NEGATIVE

Transatlantic Reinsurance Company

* See page 59

Global disclaimers

A+/CreditWatch Positive

INSURER STRENGTH RATINGS

BEST’S FINANCIAL STRENGTH RATINGS

The following is a list of AM Best Financial Strength Ratings (FSRs) assigned to insurance companies in Australia and New Zealand. Ratings as at 21 September 2022

Contact: Mr. Rob Curtis Co-CEO & Managing Director

A. M. Best Asia-Pacific (Singapore) Pte Ltd.

Tel: +65 9633 6118

Email: rob.curtis@ambest.com

AUSTRALIA RATING

LIFE, ANNUITY AND ACCIDENT

General Reinsurance Life Australia Ltd. A++/STABLE PROPERTY/CASUALTY

Ansvar Insurance Limited A-/STABLE

First American Title Insurance Company of Australia Pty Limited A/STABLE

General Reinsurance Australia Ltd A++/STABLE

Guild Insurance Limited A-/STABLE

Pacific International Insurance Pty Limited B++/NEGATIVE

The Hollard Insurance Company Pty Ltd

A-/STABLE

The New India Assurance Company Limited (Australia Branch) B++/STABLE

Rating Disclosure: Use and Limitations: A Best’s Credit Rating (BCR) is a forward-looking independent and objective opinion regarding an insurer’s, issuer’s, or financial obligation’s relative creditworthiness. The opinion represents a comprehensive analysis consisting of a quantitative and qualitative evaluation of balance sheet strength, operating performance and business profile or, where appropriate, the specific nature and details of a security. Because a BCR is a forward-looking opinion as of the date it is released, it cannot be considered as a fact or guarantee of future credit quality and therefore cannot be described as accurate or inaccurate. A BCR is a relative measure of risk that implies credit quality and is assigned using a scale with a defined population of categories and notches. Entities or obligations assigned the same BCR symbol developed using the same scale, should not be viewed as completely identical in terms of credit quality. Alternatively, they are alike in category (or notches within a category), but given there is a prescribed progression of categories (and notches) used in assigning the ratings of a much larger population of entities or obligations, the categories (notches) cannot mirror the precise subtleties of risk that are inherent within similarly rated entities or obligations. While a BCR reflects the opinion of A.M. Best Rating Services, Inc. (AMBRS) of relative creditworthiness, it is not an indicator or predictor of defined impairment or default probability with respect to any specific insurer, issuer, or financial obligation. A BCR is not investment advice, nor should it be construed as a consulting or advisory service, as such; it is not intended to be utilised as a recommendation to purchase, hold or terminate any insurance policy, contract, security, or any other financial obligation, nor does it address the suitability of any particular policy or contract for a specific purpose or purchaser. Users of a BCR should not rely on it in making any investment decision; however, if used, the BCR must be considered as only one factor. Users must make their own evaluation of each investment decision. A BCR opinion is provided on an “as is” basis without any expressed or implied warranty. In addition, a BCR may be changed, suspended, or withdrawn at any time for any reason at the sole discretion of AMBRS.

NEW ZEALAND RATING COMPOSITE

Quest Insurance Group Limited B/STABLE

LIFE, ANNUITY AND ACCIDENT

American Income Life Insurance Company (New Zealand Branch)

BNZ Life Insurance Limited

A/STABLE

A u/NEGATIVE

CIGNA Life Insurance New Zealand Limited A/STABLE

Co-operative Life Limited B++/STABLE

DPL Insurance Limited B++/STABLE

Fidelity Insurance Limited A-/STABLE

Fidelity Life Assurance Company Limited A-/STABLE

Foundation Life (NZ) Limited A-/STABLE

General Reinsurance Life Australia Limited (New Zealand Branch)

Momentum Life Limited

A++/STABLE

B++/STABLE

Partners Life Limited A- u/POSITIVE

Pinnacle Life Limited B/POSITIVE PROPERTY/CASUALTY

Accuro Health Insurance Society Limited B+/NEGATIVE

Aioi Nissay Dowa Insurance Company, Limited (New Zealand Branch) A+/STABLE

Beneficial Insurance Limited B++/STABLE Brightsideco Insurance Limited B u/NEGATIVE

Consumer Insurance Services Limited B+/STABLE

First American Title Insurance Company of Australia Pty Limited (New Zealand Branch) A/STABLE

FMG Insurance Limited A/STABLE

General Reinsurance Australia Ltd (New Zealand Branch) A++/STABLE

Mitsui Sumitomo Insurance Company Limited (New Zealand Branch) A+/STABLE

New Zealand Medical Indemnity Insurance Limited B+/STABLE

Pacific International Insurance Pty Ltd (New Zealand Branch) B++/NEGATIVE

Police Health Plan Limited

A-/STABLE

Provident Insurance Corporation Limited B /STABLE

The Hollard Insurance Company Pty Ltd (New Zealand Branch) A-/STABLE

The New India Assurance Company Limited (New Zealand Branch) B++/STABLE

Tokio Marine & Nichido Fire Insurance Company Limited (New Zealand Branch) A++/STABLE

Tower Limited A-/STABLE

Union Medical Benefits Society Limited A/STABLE

Veterinary Professional Insurance Society Incorporated B/STABLE Virginia Surety Company, Inc. (New Zealand Branch) A/STABLE

NIBA EVENTS

NIBA stages a variety of educational and social events across Australia for the whole intermediated insurance community.

UPDATE

2022 NIBA SUMMIT | PROGRAM

WHERE: The Establishment, 252 George St, Sydney 2000

WHEN: Wednesday 12 October 2022 The 2022 NIBA Summit will shine a spotlight on the key principals that represent the very best in the profession. Delegates will hear from the Hon. Stephen Jones MP, Assistant Treasurer and Minister for Financial Services, Holly Ransom, Founder and CEO of Emergent and Chris Mackinnon, Regional Head of Australia and New Zealand, Lloyd’s, plus many other speakers.

2022 NIBA SUMMIT | CELEBRATION DINNER

WHERE: Ivy Ballroom, Level 1/320 George St, Sydney 2000

WHEN: Wednesday 12 October 2022

After the program concludes, join us for the Celebration Dinner as we toast to NIBA’s 40th year anniversary and honour the very best in insurance and broking. At the dinner, we will announce the national winners of the 2022 Stephen Ball Broker of the Year award, sponsored by QBE, and the Warren Tickle Young Broker of the Year award, sponsored by Vero. We will also announced the Lex McKeown Trophy and the 2022 General Insurer of the Year and 2022 Underwriting Agency of the Year.

2022 NIBA NSW SEMINAR | CLAIMS MANAGEMENT 101

WHERE: Aon, 201 Kent St, Sydney NSW 2000

WHEN: Thursday 20 October 2022

This seminar will cover the subtle art of successfully submitting claims across property, liability and professional lines. The seminar will be presented by Kelvin Hui, a Technical Specialist in professional lines at Proclaim, who specialises in managing claims on behalf of underwriters and insurers across several lines of insurance.

2022 NIBA VIC SEMINAR | SMASHES, SUPPLY AND SUM INSURED

WHERE: Oscar’s Hotel, 18 Doveton St S, Ballarat Central VIC 3350

WHEN: Friday 21 October 2022

Join us for an engaging seminar, presented by NTI, on key trends in heavy motor from an industry and broker perspective.

2022 NIBA UAC WA UNDERWRITING EXPO

WHERE: Crown Perth, Great Eastern Hwy, Burswood WA 6100

WHEN: Wednesday 9 November 2022

NIBA and UAC return to Crown Perth in November, offering local underwriters and insurers the chance to present to the local broker market.

DISPLAY ADVERTISING INDEX – OCTOBER 2022

If you’d

2022 NIBA SA

WHERE: Adelaide CBD

WHEN: Friday 11 November 2022

2022 NIBA WA

WHERE: Perth CBD

WHEN: Wednesday 17 November 2022

2022 NIBA NSW CHRISTMAS

WHERE: Petersham Bowling Club, 77 Brighton St, Petersham NSW 2049

WHEN: Friday 18 November 2022

2022 NIBA QLD CHRISTMAS BOWLS

WHERE: The Boo, 126 Breakfast Creek Rd, Newstead QLD 4006

WHEN: Thursday 24 November 2022

through NIBA, please contact Tony May today on (02) 9459 4303

close to

the

at

INSURANCE BROKERS CODE OF PRACTICE

NIBA launched the 2022 Insurance Brokers Code of Practice on 1 March 2022, with the Code taking effect on 1 November 2022. Given the significant updates to the Code, this period allows Code Subscribers time to understand and implement the new obligations within their organisations. The 2014 Insurance Brokers Code of Practice will be in effect until 31 October 2022.

For a copy of the Code, visit niba.com.au/code

S&P GLOBAL RATINGS

*For the S&P

IA0722p58-60

Ratings Definitions visit: https://www.niba.com.au/resource/standardandpoors.pdf

of this the S&P Information in any form is prohibited without S&P’s

or (b) make any warranty, express or

written

as

Neither S&P, its affiliates

the results to

25/7/2022 1:40 pm

by Insurer Financial

included therein or derived therefrom, or

make any express or

including any warranty of merchantability or fitness for a particular purpose or use, or (d) shall in any way be liable to Insurer Financial Strength Ratings or any recipient of the S&P information for any inaccuracies, errors, or omissions, regardless of cause, in the S&P information or for any damages, whether direct or indirect or consequential, punitive or exemplary resulting therefrom.

Ratings are statements of opinion, not statements of fact or recommendations to buy, hold, or sell any securities.

S&P Global (Australia) Pty. Ltd. holds Australian financial services licence number 337565 under the Corporations Act 2001. S&P Global credit ratings and related research are not intended for and must not be distributed to any person in Australia other than a wholesale client (as defined in Chapter 7 of the Corporations Act). Ratings are based on information received by Ratings Services. Other divisions of S&P Global may have information that is not available to Ratings Services.