Hallmark Life Insurance Company Ltd and Hallmark General Insurance Company Ltd.

Date Made

Date signed: 2017-07-13

Sectors

Life Insurers

Enacting statement

In accordance with section 157(6)(b) of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“Act”), the Associate Minister of Justice hereby gives notice that he has granted the following exemption from the Act:

Commencement date

This exemption comes into force on 2017-07-14

End date

This exemption will expire on 2020-06-30

Exemption

As the Associate Minister of Justice, and pursuant to section 157 of the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“Act”), I exempt Hallmark Life Insurance Company Ltd and Hallmark General Insurance Company Ltd from the following provisions of the Act:

1. 1. Sections 10–71 inclusive.

Conditions

This exemption is made subject to the following conditions:

1. 1. The entity granted the exemption must inform the Ministry of Justice of any changes that may affect the exemption and/or conditions imposed by this written instrument within 14 days from when the change affecting the exemption occurs.
   2. This exemption only applies to the following financial activity offered by the Hallmark entities:
      1. Consumer Life Policies.

Statement of reasons

This exemption has been made for the following reasons:

1. 1. The loans to which these consumer life policies relate will have been checked and verified from an anti-money laundering perspective by the underlying credit providers.
   2. According to international findings, consumer life policies are considered to be lower risk products for money laundering and terrorist financing.
   3. The compliance burden to which both entities would be subjected if this exemption was not granted would be disproportionate to the money laundering and terrorist financing risks involved in the products offered.

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

Corrigendum

Previous exemptions

Hallmark Life Insurance Company and Hallmark General Insurance Company Limited