Terms of Business Arrangement
You have appointed Senator Risk Management NZ ("we, us") as your broker in accordance with the terms of this agreement. By allowing us to continue to act as your broker you agree to be bound by the terms of this agreement. We agree to be bound by the terms of this agreement.
This agreement sets out the terms and conditions ("the terms") on which we will provide our services to you. These terms apply to all services we provide to you and are subject to any additional or alternative terms which we may advise you in writing. As your insurance broker we normally act as your representative regarding arranging insurance on your behalf. We will make all recommendations and suggestions to you regarding potential insurers based on your requirements however the final choice of insurer will remain your responsibility.
These terms apply until they are varied by agreement in writing between you and us, or until our appointment is cancelled. We may vary the services we offer you from time to time by written notice to you.
These terms are in addition to any other terms set out in any letter of authority, appointment, or authorisation signed by you, or any other terms we may provide you with from time to time to you. In the event of any inconsistency between these terms and such additional terms, the letter of authority, appointment, authorisation and additional terms will prevail over these terms.
We are members of:
(a) The Steadfast Group Ltd which supplies management, marketing, professional, technical and buying benefits and services to us.
Our business is governed by the Insurance Intermediaries Act 1994 and the Financial Advisers Act 2008
(a) The Insurance Intermediaries Act governs our handling of premiums, claims and investment monies.
(b) The Financial Advisers Act governs many aspects of our relationship with you. For more information see www.fma.govt.nz
Our role is limited to the provision of insurance brokering and risk management related advice and services. Under no circumstances do we or will we act as an insurer. Nor do we provide safety inspections, valuations or advice on every potential hazard or threat to your business. In particular
(a) we are not qualified valuers and you should always be sure to satisfy yourself that all sums insured are adequate.
(b) We cannot guarantee that all risks to your assets, person or business will be covered by any insurance we arrange. You should carefully read all policies and other documentation we issue so you understand what is or is not covered;
We may arrange insurance for you with insurers domiciled in New Zealand or elsewhere or a combination of both. We may engage the services and assistance of third party brokers, reinsurance brokers, consultants or others to assist us with the provision of the arranging and placement of such insurance for you.
We may provide you assistance with the placing and servicing of insurance for risks domiciled outside New Zealand, or the management of risks outside New Zealand. We may engage the services and assistance of third party brokers, consultants, insurance brokers, reinsurance brokers or others to assist us with the provision of such services to you.
We make no representation or warranty concerning the solvency or ability of any insurer to pay claims. In New Zealand, insurers are required to comply with the provisions of the New Zealand Insurance Companies (Ratings and Inspections) Act 1994, Schedule of Ratings and Notices of Election Not to be Rated as may apply from time to time. We will inform you of such ratings or non-rating in the terms of the above Act.
We will negotiate with insurers on your behalf and will do our best to ensure that policies and endorsements for insurance we place on your behalf are issued by your insurers promptly and correctly. These documents detail the precise terms and conditions relating to the insurance we have arranged for you and the information contained in them is important. You should carefully read and store these documents.
Upon our receipt of premiums and related statutory charges from you, we will deal with them in accordance the Insurance Intermediaries Act 1994.
Unless we tell you otherwise in accordance with normal market practice we will be remunerated by commission from the insurer when you enter into an insurance contract that we arrange (this includes renewal and some variations). We may also charge you a fee.
The commission is a percentage of the premium (excluding government charges, levies and taxes). Some insurers may pay us more than others. The rate of commission can vary according to the type of insurance and cover provided and the way the transaction is arranged. Commissions range between 5% to 25%
If we operate a binder on behalf of an insurer, we may receive a higher commission in respect of that business in accordance with normal market practice.
Where we arrange the placing and servicing of insurance overseas, our overseas representatives may also receive remuneration from insurers in accordance with normal market practice.
If you wish us to provide services in addition to those already agreed, we may charge you an additional fee. Such additional fees will be agreed with you prior to us undertaking those services.
In some cases we may also receive an amount based upon volume or the profitability of insurance placed across our entire portfolio with that insurer over a period of time.
We sometimes pay a fee to a party who has referred you to us and pay this fee out of the commission received from insurers and fees you pay to us. We may also earn a fee if we have referred you to another party that performs work for you.
If we arrange premium funding for you, we may earn a commission from the premium funder. This is usually calculated as a percentage of the amount funded. We may also charge you a fee.
We reserve the right to set off any outstanding sums that you owe us in connection to any contract of insurance, from any money we receive on your behalf in relation to that insurance.
We reserve the right to make an administration charge for issuing replacement policies, certificates, copy policies or certificates requested by other parties.
In the event of a policy being cancelled mid term, and not replaced by another policy, we will refund the returned premium we receive from the insurer subject to any cancellation or administrative fee imposed by the insurer. In these circumstances we do not refund any proportion of any commission, brokerage or fee we have received.
If you pay by credit card we may charge you a non-refundable credit card fee. This fee will be shown on your invoice and reimburses us for the bamk interest, extra charges/costs and internal time generates for credit card use.
If your insurances were arranged by another party prior to our appointment:
(a) We will not be responsible for any payments made in relation to those insurances prior to our appointment (including payment of premiums and claims);
(b) We will review the relevant insurance policies within 60 days of our appointment, or as soon as practicable following receipt of the document(s), whichever is the later, and discuss with you any relevant issues we identify with those insurance policies; and
(c) We will not be responsible for the adequacy or appropriateness of such insurances for your needs, prior to our review and the implementation of any changes we recommend.
You should carefully read and understand the information we have provided to you in the Insurance Documents we have provided you. If you have not received or have misplaced this important document please ask for another one as it sets out your important obligations in relation to your insurance policies.
You must provide accurate, complete and timely information to us. You are responsible for all information you provide in any proposal, claim form or other material document. We are not responsible for checking the accuracy or completeness of any information you provide to us or any insurer. We will not be responsible for any consequences resulting from a failure by you to disclose all material facts to an insurer (including, without limitation, the possibility of your insurance policies being rendered void or limited).
If you want to vary any insurance e.g. By increasing the sum insured or adding other property, you must provide us with details of the changes you require and any other information you need to disclose to insurers Any adjustment to the premium will be advised to you.
You must advise us (or your insurers) in terms of the appropriate policy of an event or circumstance that may give rise to a claim or potential claim under your insurance policy(ies). If you do not inform us (or your insurers) of such a claim or potential claim you may prejudice your rights under your insurance contracts. You will be advised if you need to complete a claim form or produce documentation to support your claim.
After receiving your insurance documents from us, you must check them and advise us promptly of anything that does not meet your requirements. Any errors should be notified to us immediately.
You must pay the premium(s), any statutory charges, government levies, taxes, GST and fees when due as set out in our invoice(s), unless premium funding has been arranged. We will give full information about premium payment options when we provide quotations.
If you do not pay the premium on time, we are required to advise the insurer. The insurer has the right to cancel the insurance and you will not be insured. The insurer may also charge a short-term premium for the time they have insured the risk.
Please note that we have no obligation to fund any premium, taxes or fees (if applicable) on your behalf and we will have no responsibility for any loss you may suffer as a result of insurers cancelling the insurance or taking and prejudicial steps as a result of late payment.
We may correspond with you by electronic communication unless you instruct us not to do so. We may email to you information legally required to be provided to you. In such a case, you consent to receiving this information with an electronic signature. Electronic communications are not always secure and they may be read, copied or interfered with in transit. We are not responsible for any of the risks associated with electronic communication, including loss of data.
Health and Safety
In providing you with the services, we will comply with our obligations under the Health & Safety at Work Act and we expect you to assist us in doing so. Where we visit you this includes you ensuring, so far as reasonably practicable, that the safety of our people is not put at risk. Where required, both parties will consult, coordinate and cooperate with each other in respect of shared duties under the Health and Safety at Work Act so far as is reasonably practicable.
Conflict of Interest
It is our official policy to avoid wherever possible conflicts of interest which could result in client disadvantage or detriment, but where these may be unavoidable, to disclose these to you and obtain your informed consent.
Refer to our website to read our official Conflict of Interest Policy www.senator-risk.com/documents
Privacy Act 2020
We will hold any personal information that you provide to us in accordance with the Privacy Act 2020, Any such information that we request from you will be used pursuant to the provision of the services.
It may be necessary for us to pass your information on to insurers and other product or service providers which may provide us with additional support in connection with our provision of the services.
Unless you instruct us not to do so, we may also contact you in connection with other products or services that we feel may be of interest or benefit to you.
You have the right to access and correct any of your personal information that we hold. Such information is held by us at 188c Broadway Avenue, Palmerston North.
Non-Dissemination of Material
Our communication with you, your employees or agents, whether written or oral are provided solely for your information and use in connection with any engagement and must not be used for any other purpose without our prior written consent. No other party is entitled to rely on any of our reports, information or advices for any purpose whatsoever, and we disclaim any responsibility to any such third party who has had communicated to them the report, information or advice provided by us to you as part of any engagement. You indemnify us by you or any of your agents, where such information and documentation is false, misleading or incomplete.
Complaints and Disputes
As a registered financial service provider, we are required to and are members of the Financial Services Complaints Limited (FSCL) dispute resolution service. This is a requirement of our registration and of the Financial Service Providers (Registration and Disputes Resolution) Act 2008.
Our Disputes Process is explained in full on our website at www.senator-risk.com. If you do not have access to the internet please ask us and we will provide you with a hard copy of our complaints policy.
As a requirement of membership of our chosen dispute resolution provider, we are required to and have a complaint internal dispute resolution process. What this means is that, if you have a complaint of any type about our services or our products, you are encouraged to notify us of your complaint and we will attempt to resolve it internally before it is referred to our externally complaints resolution service.
Either party can cancel our appointment by giving us no less than seven (7) business days written notice of cancellation.
Upon such cancellation notice being received, we will cease providing you services and:
(a) Withdraw from any negotiations in progress, including, without limitation, any claims or renewals of policies;
(b) Return any premiums we have received from you but not yet disbursed; and upon request, deliver to you copies of relevant correspondence we have had with your insurer in respect of any current claim.
If a contract of insurance is cancelled before the expiry of the period of insurance, we may refund the net premium we receive from your insurer(s). In no circumstances will we refund our fees, commissions or brokerage charged when the policy was arranged.
We will not cancel your contract of insurance without written instruction from a person(s) who is/are authorised to represent each of the parties who are named as insured in the contract of insurance or the approval of any interested parties noted in the contract. We cannot cancel a policy without the insurers approval and some insurance contracts contain a non-cancellation clause or cancellation or cancellation penalties which, for the avoidance of doubt, you will be responsible for paying.
We will keep all information you provide us about your business confidential and only disclose it in the normal course of negotiating, arranging and administering your insurance and, except where disclosure is required by law or where the information is already in the public domain.
You consent to being entered into our marketing database and, for the purposes of the Unsolicited Electronic Messages Act 2007, you are expressly consent to receiving email communications from us with regard to our business or the insurance industry. You may revoke such consent at any time, and we will remove you from our marketing database.
Any failure by us to enforce any right or obligation under these terms, will not in any way limit or waive our right to subsequently enforce such right or obligation.
If any part of these terms becomes invalid or unenforceable for any reason whatsoever, the remaining terms will continue to apply subject to any modifications as is necessary to continue to give them effect.
These Terms of Business Arrangement are governed by the laws of New Zealand and the parties submit to the exclusive jurisdiction of the New Zealand Courts.
We accept no liability for instructions received until we acknowledge receipt and acceptance of the instructions to you in writing.
No cover or action by us shall be deemed to be taken or given until confirmation by us in writing.
We shall be entitled to rely on all written instructions without further enquiry, including email instructions.
- information in relation to the application for, provision and administration of insurance, such as your contact details, date of birth, employment details, health information, details of previous insurances and past insurance claims and criminal records;
- financial, billing and invoicing information;
- if you visit our website, we will collect personal information that you submit, such as via online forms; and
- any other personal information you otherwise provide to us.
We may collect personal information in a number of ways, including:
- directly from you via our website, telephone, in writing or email; and/or
- indirectly from third parties, if necessary. For example, your employer, referees, insurers, premium funders and other third party service providers or publicly from available sources.
You authorise us to contact such third parties for the purposes of providing you with the information or services that you have requested.
Our purposes for using and disclosing your personal information:
- assessing and managing your insurance application and policy;
- managing and processing payments;
- communicating with you about our products and services;
- conducting market or customer research;
- administering claims;
- developing, establishing and administering alliances and other arrangements with other organisations in relation to the promotion, administration and use of our services;
- telling you about our other service offerings which we believe may be relevant (if you have requested to receive this);
- statutory or regulatory reporting;
- internal or external audit; and
- any other purpose notified to you at the time your personal information is collected.
- insurers, reinsurers, other insurance intermediaries, insurance reference bureaus and industry bodies;
- assessors appointed by insurers to assess or investigate your claims;
- others named on your policy as co-insureds;
- service providers engaged to provide services to you in relation to your insurance (such as providing repairs);
- third parties who help manage our business and provide our services, including our third party service providers, such as payment system operators, IT suppliers, lawyers, accountants, other advisers and financial institutions;
- any other entities notified to you at the time of collection; and
- courts, law enforcement, regulators and other government agencies to comply with all applicable laws, regulations and rules
- PSC Connect NZ Ltd as our Financial Advice Provider Licence Holder.
You must not provide us with personal information of any other individual unless you have the express authorisation of that individual to do so. If you do provide us with such information about another individual, before doing so you:
- warrant that you have that individual's consent to provide their information to us.
- warrant that you have that individual's consent to provide their information to us.
- for the purposes we have agreed to; and
How To Contact Us:
Why do we have a Complaints Procedure?
The Financial Service Providers (Registration and Dispute Resolution) Act requires all financial service providers (FSP) to be registered, to be members of an approved external dispute resolution scheme and to have a compliant internal complaint process.
But legislation is not the only reason that we have a complaints procedure. It is actually best practice for any client servicing business which relies on client retention and referral to others. The best result for any complaint is quick resolution and this is facilitated by having a robust process in place for handing complaints and attending to client concerns.
What is a complaint?
According to the International and Australian Standard AS ISO 10002, a complaint is defined as:
An expression of dissatisfaction made to an organisation, related to its products, or its complaints-handling process itself, where a response or resolution is explicitly or implicitly expected.” (“Product” also means “Service”).
While many of the complaints received by an insurance broker are often targeted at the insurer and their handling of the policy or claims transaction, there are still common areas of dissatisfaction which clients complain about and these range from severe breaches to low-level gripes. They may include (but are not limited to):
- Delayed response to client communications
- Inadequate response to client communications
- Lack of follow-up on claims progress
- Amount of Broker fee charged
- Incorrect coverage placed or errors made when processing a transaction – e.g. incorrect excess applied
- Delayed renewal terms or terms not received until after the due date
- Failure to place cover which may or may not have resulted in client financial loss
- Dishonesty or misrepresentation
This list is by no means exhaustive, particularly when regarded in the light of the broad definition and as client service professionals we should take note whenever clients voice concerns about our handling of their account.
Levels of complaints
Level 1 Complaint:
These are complaints which are less complex, do not require lengthy investigation, and are unlikely to result in financial loss to the client. For example, a client complains that they have not received a progress report on a claim lodged a month ago, or that the excess quoted on their invoice schedule does not match what has been sent to them in the policy schedule.
In this case we immediately acknowledge the client’s concern in writing, (or verbally followed up by a letter within 5 working days if no email address provided), and then aim to turn around these types of complaint within 24 hours.
Level 2 Complaint:
A Level 2 Complaint is a complaint that cannot be resolved within 24 hours as it requires research into the cause and time to gather all the details. It may require lengthy discussion and potential negotiation with insurers and the client.
We will immediately acknowledge the client’s complaint in writing attaching our Complaints Policy, and advise that we are investigating this complaint and will attempt to have the complaint resolved within 20 working days. We then conduct the necessary investigations, ensuring that each and every conversation is fully documented and retained in a complaint file specifically for this client. This also means that all information is kept in one place should the complaint escalate. Once the complaint is resolved we ensure that it is included in our annual review of complaints to ensure that we are monitoring possible trends and improving processes in the affected areas.
Sometimes no matter how compassionately and comprehensively we manage a complaint, the client will wish to take the matter further and they are entitled to do so if the complaint remains unresolved for a certain length of time. The complaint is referred to a dispute resolution service.
Guidelines can be found at:
(FDR is the Reserve Scheme set up under legislation to which all advisers contribute a levy).
It is important to record complaints made by a client, not only to monitor common occurrences to ensure that internal processes and staff are working effectively, but to ensure compliance with the Registration and Dispute Resolution Act. This record, called ‘Complaints Register’, is retained in a safe place accessible only to management staff, who are responsible for keeping this updated and conduct an annual review of register.
How we strive to manage complaints effectively
All complaints are acknowledged immediately in writing, or verbally if the client has not provided an email address and followed up by post within 5 working days.
For Level 2 Complaints, we always ensure that the Complaints Policy is sent to the client.
We endeavour to provide a compassionate and objective response to our clients no matter who is at fault.
We seek clarification where necessary, by asking relevant questions in a non-accusatory manner.
We make appropriate investigations to ensure that we have all information necessary to make a fair and balanced judgement.
Even if a complaint is taking a while to resolve, we keep in touch with our client(s) at least every fortnight, to advise them of progress.
Web Site Terms and Conditions of Use
By accessing this web site, you are agreeing to be bound by these web site Terms and Conditions of Use, all applicable laws and regulations, and agree that you are responsible for compliance with any applicable local laws. If you do not agree with any of these terms, you are prohibited from using or accessing this site. The materials contained in this web site are protected by applicable copyright and trademark law.
- Use License
Permission is granted to temporarily download one copy of the materials (information or software) on Senator Risk Management NZ’s web site for personal, non-commercial transitory viewing only. This is the grant of a license, not a transfer of title, and under this license you may not:
- modify or copy the materials;
- use the materials for any commercial purpose, or for any public display (commercial or non-commercial);
- attempt to decompile or reverse engineer any software contained on Senator Risk Management NZ's web site;
- remove any copyright or other proprietary notations from the materials; or
- transfer the materials to another person or “mirror” the materials on any other server.
This license shall automatically terminate if you violate any of these restrictions and may be terminated by Senator Risk Management NZ at any time. Upon terminating your viewing of these materials or upon the termination of this license, you must destroy any downloaded materials in your possession whether in electronic or printed format.
The materials on Senator Risk Management NZ’s web site are provided “as is”. Senator Risk Management NZ makes no warranties, expressed or implied, and hereby disclaims and negates all other warranties, including without limitation, implied warranties or conditions of merchantability, fitness for a particular purpose, or non-infringement of intellectual property or other violation of rights. Further, Senator Risk Management NZ does not warrant or make any representations concerning the accuracy, likely results, or reliability of the use of the materials on its Internet web site or otherwise relating to such materials or on any sites linked to this site.
In no event shall Senator Risk Management NZ or its suppliers be liable for any damages (including, without limitation, damages for loss of data or profit, or due to business interruption,) arising out of the use or inability to use the materials on Senator Risk Management NZ’s Internet site, even if Senator Risk Management NZ or a Senator Risk Management NZ authorised representative has been notified orally or in writing of the possibility of such damage. Because some jurisdictions do not allow limitations on implied warranties, or limitations of liability for consequential or incidental damages, these limitations may not apply to you.
- Revisions and Errata
The materials appearing on Senator Risk Management NZ’s web site could include technical, typographical, or photographic errors. Senator Risk Management NZ does not warrant that any of the materials on its web site are accurate, complete, or current. Senator Risk Management NZ may make changes to the materials contained on its web site at any time without notice. Senator Risk Management NZ does not, however, make any commitment to update the materials.
Senator Risk Management NZ has not reviewed all of the sites linked to its Internet web site and is not responsible for the contents of any such linked site. The inclusion of any link does not imply endorsement by Senator Risk Management NZ of the site. Use of any such linked web site is at the user’s own risk.
- Governing Law
Any claim relating to Senator Risk Management NZ's web site shall be governed by the laws of New Zealand without regard to its conflict of law provisions.
Your Duty of Disclosure
To make an informal assessment of the risk and calculate the appropriate premium, your insurer needs information about the risk you are seeking to insure.
For this reason, before you enter into a contract of insurance, you have a duty under the Insurance Contracts Act 1984 to disclose to your insurer every matter that you know, or could reasonably
be expected to know, is relevant to the insurer's decision whether to accept the risk and, if so, on what terms. The duty also applies when you renew, extend, vary or reinstate a contract of insurance.
You do not have disclose anything that:
- Reduces the risk to be undertaken by the insurer;
- Is of common knowledge;
- Your insurer knows, or in the ordinary course of its business, ought to know; or
- If the insurer has waived your obligations to disclose.
If you do not comply with your duty of disclosure, your insurer may be entitled to reduce its liability in respect of a claim or may cancel your contract of insurance. If the non-disclosure was fraudulent, the insurer may be able to avoid (or cancel) the contract of insurance from its beginning, This would have the effect that you were never insured.
One important issue to be disclosed in the history of losses suffered by the person seeking insurance or any closely associated person or entity. As you are responsible for checking that you have made complete disclosure, we suggest that you keep an up to date record of all such losses and claims.
If you have any questions about whether information needs to be disclosed to your insurer, do contact us.
Conflicts of Interest Policy
Senator Risk Management NZ prides itself in putting clients' legitimate interests first and foremost and at all times endeavors to provide quality professional advice and arrange suitable contracts of insurance with sound insurers at competitive premiums.
It is our official policy to avoid wherever possible conflicts of interest which could result in client disadvantage or detriment, but where these may be unavoidable, to disclose these to the client and obtain the client's informed consent.
If any member of staff has any doubts these should be raised with Nick Kaspers.
As a general guide:
a) Where comparable quotations are obtained we will not recommend products which earn higher rates of remuneration, where to do so would be against the best interests of the client with particular regard to the scope of cover provided or the cost to the client.
b) We do not have any close links with insurers or with parent, subsidiary or associated companies or other organisations which provide services to policyholders. Where a client is referred to another service provider the details of the referral will form part of the client records'.
c) Where we offer any supplementary or 'bolt on' product to enhance a client's overall protection (such as motor uninsured loss recovery), this will always be made clear verbally and in documentation issued to the client. The client will always have the option of not taking up the offer of supplementary or 'bolt on' products.
d) Where we use a binding authority, placing facility, preferred insurer or selected panel the arrangement will be regularly reviewed to ensure that the scope of cover, the security of the insurer and the premium rates are competitive. (Where there is any doubt, the existence of the arrangement should be disclosed to the client.)
e) Our premium finance arrangements are reviewed regularly to ensure that the interest rates are competitive. (Where there is any doubt, the existence of the referred financier should be disclosed to the client.)
f) Any fees charged by is will be fair and reasonable for the work undertaken and will only be payable as agreed with the client and as stated in our written terms of business.
g) We do not accept any gifts, (including benefits in kind), uneconomic 'soft loans'or other inducements from product providers where to do so would not be compatible with the duty we owe our clients. A full record or any gifts or benefits accepted will be maintained.