Tower wins battle over NZ insurance sales
NZ insurer Tower has won the right to continue insuring ANZ National bank customers following a High Court decision.
ANZ National and ING had sought orders preventing Tower from renewing bank customers’ insurance policies. Tower claimed ANZ National and ING wanted to offer these customers new policies through Vero Insurance.
The High Court rejected the claim, ruling Tower is entitled to continue to renew policies issued to bank customers, notwithstanding the fact Tower’s agency agreements with ANZ National had ended.
The insurance arrangements affected 110,000 policyholders and 196,000 policies.
Justice Edwin Wylie said the bank’s argument “overlooks the fact that when it sold Tower policies to its customers, those customers entered into a contractual relationship with Tower and became its customers as well”.
“In my view it is somewhat arrogant for the bank to now seek to interfere with that contractual relationship simply because it allowed the policies to be sold with its brands on them,” he said.
Tower has also made a counter-claim that ANZ National unlawfully passed “confidential and proprietary” information to Vero. A hearing date has yet to be set.
ANZ National and ING had sought orders preventing Tower from renewing bank customers’ insurance policies. Tower claimed ANZ National and ING wanted to offer these customers new policies through Vero Insurance.
The High Court rejected the claim, ruling Tower is entitled to continue to renew policies issued to bank customers, notwithstanding the fact Tower’s agency agreements with ANZ National had ended.
The insurance arrangements affected 110,000 policyholders and 196,000 policies.
Justice Edwin Wylie said the bank’s argument “overlooks the fact that when it sold Tower policies to its customers, those customers entered into a contractual relationship with Tower and became its customers as well”.
“In my view it is somewhat arrogant for the bank to now seek to interfere with that contractual relationship simply because it allowed the policies to be sold with its brands on them,” he said.
Tower has also made a counter-claim that ANZ National unlawfully passed “confidential and proprietary” information to Vero. A hearing date has yet to be set.