Changes to our business – information for AMP customers

25 October 2018

As a valued customer we’d like to provide you with more information about some changes at AMP.

There’s nothing you need to do

It is important to understand that:

  • Terms and conditions of existing life insurance policies will be retained, so there’s nothing you need to do.
  • If you are a member of the AMP KiwiSaver Scheme or hold another AMP investment product, nothing changes.
  • If you have AMP general insurance, there are no changes.

As always, if you have any enquiries or would like to make changes to your policy, AMP KiwiSaver Scheme or investment, we’re ready to assist. If you need to make an insurance claim, we’re standing by to help. If you have lodged an insurance claim, or are currently receiving claim benefits, we will continue to provide you with our full support.

Business changes

AMP has entered into an agreement to sell its life insurance businesses in Australia and New Zealand to Resolution Life. Subject to regulatory approvals, the sale and change of ownership is expected to be completed in the second half of 2019.

The separation will establish AMP New Zealand’s wealth management business as a standalone business unit, moving to become a specialised provider of wealth management and advice services.

Thank you

We remain committed to providing the best outcomes for you. If you have any other questions, please contact us

Personal insurance

Terms and conditions of existing policies will be retained:

  • Life Insurance
  • Income Protection
  • Trauma Cover
  • Disability Cover
  • Other personal insurance products issued by AMP Life (including formerly National Mutual Life Association (NMLA))

General insurance

There are no changes:

  • Home and Contents Insurance
  • Business Insurance
  • Car Insurance
  • Rural Insurance
  • Other General Insurance

KiwiSaver

There are no changes (this includes AMP Essentials).

Investments

There are no changes:

  • AMP Investment Trust
  • WealthView
  • New Zealand Retirement Trust & My Super
  • Superannuation Master Trust
  • Personal Superannuation Scheme
  • Savings and Investments Portfolio
  • State Sector Retirement Savings Scheme
  • Personal Managed Funds and Future Lifestyle Plan
  • AMP Retail Superannuation
  • Other AMP investment products

Employer offerings

There are no changes:

  • KiwiSaver for employers
  • NZRT for employers

 

Terms and conditions of existing policies will be retained:

  • Business Risk Protection Plan
  • Businesstrack
  • Other business insurance products issued by AMP Life (including formerly National Mutual Life Association (NMLA))  

1.     What is wealth protection, mature and wealth management?

Wealth protection includes AMP’s life insurance products, such as Lifetrack and RPP. Mature (or conventional) products include some of our older products – insurance products (some with an investment component) – which have been closed to new business for some time. Wealth management includes AMP’s investment products, such as NZRT and our AMP KiwiSaver Scheme.

2.     Who is Resolution Life?

Resolution Life is an international insurance and reinsurance group whose management has a 15-year track record in providing quality service to in-force insurance customers. Click here for more information on Resolution Life.

3.     What is Resolution Life’s track record when it comes to paying insurance claims?

In 2018, AMP New Zealand customers received more than $233 million in claims and we have a strong record of paying all rightful claims. Resolution Life also has a long track record of providing high quality customer experiences and support.

4.     Are my funds safe? Is there enough money to pay my insurance policy if I need to make a claim?

We’re ready to help if you need to make a claim and your investments, including the AMP KiwiSaver Scheme, are not affected.

Life insurance policies in New Zealand (including your insurance policy) are overseen by the Reserve Bank of New Zealand, which requires funds to be set aside to make sure there is always enough to pay any claims.

Funds invested in AMP New Zealand superannuation and managed investment products are held on behalf of investors by an independent Supervisor licensed and overseen by the Financial Markets Authority, and that Supervisor provides oversight of the Manager who must act in the best interests of members.

Providing valued and high-quality advice and looking after your financial wellbeing is at the heart of what we do, and that’s what we continue to be focused on every day.

5.     Is AMP still financially strong?

AMP continues to be a financially strong organisation and our customers are well protected.

The transaction is expected to improve AMP’s capital strength by reducing the volatility of our earnings, strengthening the balance sheet and providing an ongoing income stream through the economic interest in the future earnings of mature and an interest in Resolution Life.

AMP holds significant amounts of surplus capital to allow us to manage the company well through all kinds of business conditions. We currently have surplus capital well above the minimum we’re required to hold.

6.     Do I still have an AMP Adviser?

Yes, and your Adviser is ready to help if you have any questions or would like to discuss your products or services.

Important information

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The information included in this article is of a general nature and is not a substitute for financial or other professional advice. To the extent that the information constitutes advice, it is class advice only. Before taking any action, you should always seek financial advice or other professional advice relevant to your personal circumstances. For personal financial advice, we recommend you contact your adviser or if you don't have an adviser, contact us on 0800 267 263 and we can put you in touch with one. 

A disclosure statement is available from your adviser, on request and free of charge.