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:

Ministerial Exemption: Hallmark Life Insurance Company Ltd and Hallmark General Insurance Company Ltd.

1. 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. Sections 10–71 inclusive.
2. This exemption is made subject to the following conditions:
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.
3. This exemption has been made for the following reasons:
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.
4. This exemption comes into force on the day after the date I grant this exemption.
5. This exemption will expire on 30 June 2020.

Any person wishing to provide comment on this notice should contact the Criminal Law Team at the Ministry of Justice by emailing international.crime@justice.govt.nz.