PPS Mutual Limited

Date Made

Date signed: 2026-07-27

Sectors

Life Insurers

Enacting statement

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

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 PPS Mutual Limited (PPS) 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. This exemption applies only to the Profit Share Benefit provided by PPS Mutual Limited through the Multiple Life Policy to eligible PPS Mutual Limited members or their estates. 
   2. PPS must ensure that members cannot add money to, top up, transfer, redeem, or surrender the Profit Share Benefit.  
   3. PPS must notify the Ministry of Justice within 10 working days of any change in circumstances that may affect the exemption or any of its conditions. 

Statement of reasons

The exemption has been made for the following reasons: 

1. 1. There is a low risk of money laundering and terrorism financing through PPS because:  
      1. The exemption applies only to the Profit Share Benefit, not to PPS’ wider insurance business.   
      2. Members cannot add money to the benefit, top it up, transfer it, sell it, surrender it, redeem it, or choose how the supporting funds are invested.
      3. The Profit Share Benefit is payable only when a member dies, is diagnosed with a terminal illness, or reaches age 65. 
      4. Payments can only be made to eligible PPS members or their estates, in New Zealand dollars, and into New Zealand bank accounts.
      5. Any refund of unused premium is applied to the outstanding loan balance and is not paid directly to the customer.
      6. PPS will not receive or order international wire transfers for the Profit Share Benefit, and the benefit will not involve domestic cash transactions. 
   2. The obligations imposed on PPS 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.