Berkshire Hathaway Specialty Insurance Company

Date Made

Date signed: 2026-07-27

Sectors

Financial Institution (general)

Enacting statement

In accordance with section 157 of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“the Act”), the Associated Minister of Justice hereby gives notice that she has granted the following exemption from the Act: 

Ministerial Exemption: Berkshire Hathaway Specialty Insurance Company

Commencement date

This exemption comes into force on 2026-07-27

End date

This exemption will expire on 2031-07-27

Exemption

As the Associate Minister of Justice, and pursuant to section 157 of the Act, I exempt Berkshire Hathaway Specialty Insurance Company (“Berkshire Hathaway”) from the following provisions of the Act in relation to the proposed activity of offering and issuing “complying instruments” under the Construction Contracts Act 2002 (Retention Bond): 

1. 1. Sections 10-71 (inclusive)  

Conditions

This exemption is made subject to the following conditions:  

1. 1. Berkshire Hathaway must inform the Ministry of Justice of any changes that may affect the exemption within 10 working days of when the change occurs. 

Statement of reasons

This exemption has been made for the following reasons:  

1. 1. There is a low risk of money laundering and terrorism financing through Berkshire Hathaway because:
      1. The Retention Bond operates in a way where the head contractor has little to no control over the funds paid to Berkshire Hathaway.  
      2. The funds can only be paid out if covered events occur.  
      3. Evidence on the covered event must be provided to Berkshire Hathaway before the funds are paid out.  
      4. Due diligence is conducted before any claim payout.  
   2. The obligations imposed on Berkshire Hathaway would be disproportionate given the low risk of money laundering and terrorism financing.  
   3. The exemption granted has a low impact on the integrity of the anti-money laundering and countering financing of terrorism system in alignment with section 157 of the Act.  

Contact

Any person wishing to provide comment on this notice should contact the Anti-Money Laundering and Countering Financing of Terrorism Team at the Ministry of Justice by emailing amlcft.exemptions@justice.govt.nz.