Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


nib NZ confirms ongoing investment in growth

Monday 25 August 2014

nib New Zealand confirms ongoing investment in growth following full year result

nib holdings limited (ASX: NHF), one of Australia’s fastest growing health insurers, today announced its New Zealand operations had contributed NZ$8.0 million or more than 10% to the Group operating profit of AU$72.3 million for the 12 months ended 30 June 2014. New Zealand’s second largest health insurer also confirmed its ongoing investment to grow the market and its share of the market.

The FY14 result is the inaugural full year contribution by the New Zealand business since nib acquired TOWER Medical Insurance in November 2012 and subsequently established the nib brand in New Zealand.

nib New Zealand CEO, Mr Rob Hennin, said the result was pleasing particularly given the significant level of upfront investment in the new brand and advertising.

“Since acquiring the business, we have spent a lot of time and effort transitioning and rebranding the business. With this complete and our New Zealand management team in place, we launched late last year a direct to consumer product range supported by a significant marketing investment and fronted by our brand ambassador Benji Marshall,” Mr Hennin said.

“Overall, the results have been very positive with more than 10,500 policyholder sales during the period, of which 40% have been direct to consumer. Adding to the good news, 57% of sales were to customers in our target under 40 years of age range and more than 50% joined online. The private health insurance market needs more participation amongst younger people and part of our challenge is to make products more attractive and affordable,” Mr Hennin added.

In addition to the success of the direct to consumer product range, nib said it has also invested heavily in the development of other distribution channels.

“We have strengthened our capability in the adviser channel by launching a new suite of products ranked best in the market. Adding to this we also partnered with Fidelity Life, New Zealand’s third largest life insurer, to further expand our distribution and through this arrangement now sell a bundled health and life insurance product,” Mr Hennin said.

nib also confirmed that due to the success of the company’s growth strategy it was maintaining its investment in modernising and growing the business.

“A robust New Zealand economy and pressures on the public healthcare system provide fertile ground for growing the private health insurance market. It’s only early days for us but with further investment, innovation and effort we’re confident about the future.”

“We also see a significant opportunity for nib to make a positive contribution to the national discussion about the future funding of New Zealand’s healthcare system as well as engage consumers to help them make better and informed choices about their health,” Mr Hennin added.

About nib New Zealand As the second largest health insurer in New Zealand, nib provides a range of health insurance options for New Zealanders, as well as for New Zealand companies who want health insurance for their employees.

nib provides value for money and affordable health cover to more than one million people in Australia and New Zealand. With over 60 years' experience, today nib is a truly Trans-Tasman business that offers innovative products and services, and greater value for our customers.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Sky City : Auckland Convention Centre Cost Jumps By A Fifth

SkyCity Entertainment Group, the casino and hotel operator, is in talks with the government on how to fund the increased cost of as much as $130 million to build an international convention centre in downtown Auckland, with further gambling concessions ruled out. The Auckland-based company has increased its estimate to build the centre to between $470 million and $530 million as the construction boom across the country drives up building costs and design changes add to the bill.
More>>

ALSO:

RMTU: Mediation Between Lyttelton Port And Union Fails

The Rail and Maritime Union (RMTU) has opted to continue its overtime ban indefinitely after mediation with the Lyttelton Port of Christchurch (LPC) failed to progress collective bargaining. More>>

Earlier:

Science Policy: Callaghan, NSC Funding Knocked In Submissions

Callaghan Innovation, which was last year allocated a budget of $566 million over four years to dish out research and development grants, and the National Science Challenges attracted criticism in submissions on the government’s draft national statement of science investment, with science funding largely seen as too fragmented. More>>

ALSO:

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

More:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news