Welcome to Future Insurer #18!
It’s sometimes hard to see the forest from the trees with so much InsurTech News. In this fortnightly newsletter, I’ll be picking out some of the most interesting #insurtech and #insurance developments from the past fortnight.
If you’re new here, welcome! 👋 Make sure to hit subscribe if you want to receive this each fortnight. Now onto this week’s top picks…
In this edition’s news:
⚡No longer cryptic – new proposals for regulation unveiled
The Australian Treasury has released a consultation paper seeking stakeholder views on regulation of digital asset platforms. It’s the third proposal in as many years. The proposal will require local platforms that hold a certain threshold of Australians assets ($1,500 for an individual; $5 million in aggregate) to obtain an Australian Financial Services Licence. The proposal follows other jurisdictions including Singapore and Hong Kong in licensing crypto platforms.
💲 Data is the new oil, and it pays
Outsourced arrangements are in the spotlight after the UK’s Financial Conduct Authority fined Equifax 11 million pounds in relation to the 2017 data breach exposing personal data of 13.8 million UK consumers. The UK arm of Equifax had outsourced the storage of data to Equifax’s parent company that in turn suffered the significant data breach. The decision highlights the importance of regulated entities monitoring outsourced arrangements.
🚀 Howden Ventures – we have lift off!
Howden has launched Howden Ventures with 500m GBP of capacity from Lloyd’s underwriters Tokio Marine Kiln, Chaucer and Liberty Specialty Markets. According to Howden Ventures head Tom Hoad, the capacity “is to be deployed across pretty much any type of risk that comes in that we think we want to support”. Exciting times and looking forward to seeing this one grow.
⚖️ Federal Court rules on continuous disclosure case
The Federal Court of Australia has ruled in favour of the Australian Securities and Investments Commission in a long running case against ANZ Bank, one of the big 4 banks in Australia. The Court found that ANZ contravened continuous disclosure laws by failing to inform the ASX that the underwriters of the placement had bought nearly a third of the shares. The decision is significant as it is one of few continuous disclosure cases that have been handed down.
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Tim Chan is an insurance & insurtech lawyer at global law firm Norton Rose Fulbright and Founder of The InsurTech Lawyer blog. He regularly advises insurers and startups on emerging legal issues affecting the industry. Follow Tim on Twitter: @timinsydney
Disclaimer: This newsletter provides general information only and does not constitute legal, financial or other professional advice. It does not address the circumstances of any particular individual or entity. You should seek your own professional advice.
