NZSURE – Client Agreement

This Client Agreement (‘Agreement’) sets out the services that we will provide to you, including any important information you should know before deciding to obtain financial advice from us.

About your Financial Advice Provider

NZSURE Limited (FSP615209) holds a Financial Advice Provider (FAP) licence issued by the Financial Markets Authority to provide financial advice.

About your Financial Adviser

I am a Financial Adviser (FSP#) and am giving advice on behalf of NZSURE Limited trading as NZSURE

My details are as follows:

Name:

 

Telephone:

 

Email:

 

Business Address:

 

Neither NZSURE nor I have been subject to a reliability event. A reliability event is something that might materially influence you in deciding whether to seek advice from me or from NZSURE. As an example, it would include legal proceedings against me, or if I had been discharged from bankruptcy in the last four (4) years.

Nature and Scope of My Advice

I am able to provide you with financial advice relating to your personal insurances and KiwiSaver.

We are able to provide financial advice from the following product providers:

Life and disability insurances

Partners Life, AIA, Cigna, Asteron, AMP and Fidelity Life.

Health Insurances

Partners Life, NIB, AIA, Southern Cross and Accuro.

KiwiSaver

Booster and Generate

Out of scope

We have agreed that my written financial advice will not provide advice on the following areas:

  • Insuring your home, contents, car and other asset insurance.
  • General tax advice.
  • Estate planning and asset protection.
  • Investment planning service
  • Any personal insurances not covered above.

NZSURE has referral partnerships and can refer you to a specialist adviser, with your agreement.

My commitment to you

As your Financial Adviser, I have a number of obligations that I must comply with. These include adhering to a Code of Professional Conduct for Financial Advice Services, legal duties prescribed by law and a requirement to meet certain standards of competence, knowledge and skill.

In addition to the above, I will:

  • Act in your best interests when providing financial advice.
  • Ensure that the financial advice is suitable for you.
  • Help you understand the advice process and any complex terminology.
  • Exercise care, diligence and skill in providing you with a financial adviser service.
  • Provide my financial advice in writing.
  • Maintain accurate records and keep them safe and secure.
  • Provide my services in a timely manner.
  • Keep your personal information confidential and restricted to only the parties who require it as part of the application process.

Your obligations

You have a duty of disclosure to advise me of any significant matters or changes that the insurance company should be made aware of before making their decision.

Timeframes

You will need to allocate approximately one (1) to two (2) hours for our first financial advice meeting. Several meetings may be required for the entire application and advice process to be completed.

I will contact you from time to time to see if your circumstances have changed or if I can be of any further assistance to you. I also encourage you to contact me if your situation changes and you require any changes to your loan.

How I am paid for my advice

Most of the time, our services are completely free. That’s because instead of being paid by you, we receive revenue from our product suppliers like banks and insurers.

We feel it’s important you understand how we are paid, after all we ask the exact questions to you when applying for Insurance.

My service to you includes understanding your requirements and personal situation, analysing the options available, researching the suitability of the products and/or Product Providers, and providing you with my written recommendations.

Both myself and NZSURE are paid in the form of a commission (‘Insurance Commission’) by the Product Providers if you take out a mortgage following my advice.

The commission received for implementing an insurance product pays for completing research and analysis of your information to ensure we select the most suitable product for you. The commission also covers the cost of my administration team that assist me to make the entire process efficient and stress free.

Insurance Commissions

The commission is between 50% and 100% of the first year’s premiums of your policy. The amount depends on which insurance company and which insurance policy you choose. I also receive a commission of between 3% and 20% of the premium for each year the policy remains in force.

In addition, NZSURE receives commission of between 0% and 130% of the first year’s premiums of your policy, depending upon which insurance company and which policy you choose.

For KiwiSaver we will receive a commission of between 0.25% and .50% of the service fee.

Fees and Expenses

In certain circumstances I may need to charge a fee for our time, but this will be discussed and agreed with you beforehand. More specific detail on this will be included with my written recommendations.

Circumstances where fees may be charged:

If you cancel or reduce your insurance cover within 24 months from the date of the policies inception the Insurance company will clawback the commission paid to NZSURE. NZSURE reserves the right to charge you a planning and placement fee for our work at a rate of $60.00 per hour for the number of hours involved in preparing your application. The fee would be required to be paid by the 20th of the month following invoicing.

How I manage any conflicts of interest

I have an obligation to act in the best interests of clients when making a recommendation. Should any actual or potential conflicts of interest arise during the advice process, I undertake to bring any such conflict of interest to your attention so that you may assess my advice objectively. At present, I have identified the following conflicts of interest:

Product Provider Commission:

  • If you accept and act on my advice, I will receive a commission. Conversely, if you do not accept and act upon my advice, I will not receive a commission.

To ensure that I prioritise your interests above my own, I follow an advice process that ensures my recommendations are made on the basis of your individual goals and circumstances.

I complete annual training about how to appropriately manage conflicts of interest. NZSURE periodically undertakes a compliance review of my advice process.

NZSURE also engage an independent compliance consultancy firm to conduct ongoing independent compliance reviews and audits.

In the event of a complaint or a dispute

The NZSURE website, www.nzsure.co.nz outlines the procedure to be followed if you have a dispute and/or wish to make a complaint about the financial advice or services provided.

Termination

This Agreement will remain in place until it is terminated by either party giving the other at least thirty (30) days’ written notice.

How we collect, use and share your information

NZSURE complies with the Privacy Act 2020.

In order to assemble your insurance application, I will require certain personal and financial information from you.

The information will be made available to your Financial Adviser, lender, and any other necessary third parties such as credit reporting agencies, government agencies, regulatory authorities, banks and non-bank lenders.

At times, I may be allowed or otherwise obliged to disclose your personal information by law (e.g., under Court Orders or Statutory Notices pursuant to taxation laws). I may also disclose personal or business information to other financial institutions and organisations at their request if you seek to obtain products and/or services from them.

Personal and business information may also be disclosed to:

 Professionals such as solicitors, accountants, insurance advisers and/or valuers when a referral is made at your request.
 If I intend to sell my Financial Adviser business, to any prospective purchaser of my business.
 The Financial Markets Authority, disputes resolution scheme and/or independent compliance reviewer as required for monitoring or compliance purposes.

From time to time, this information may be updated and/or changed. I undertake to advise you of material changes to any of the items or products/services noted above via email and/or via post.

11. Client confirmation

I/We confirm and declare to the Financial Adviser, the lender and any other information recipients that:

  • The information contained in the application is true and correct.
  • That where the Financial Adviser has assisted me/us to complete this application form, that I/we have authorised this and that the information contained in this application is true and correct.
  • I/We are at least 18 years of age.
  • I/We hold New Zealand permanent residency or citizenship.
  • I/We understand that our Financial Advice Provider is required to keep our information for a minimum of seven (7) years after our engagement has completed.

Special requirements or limitations that we have agreed.