Steven Joyce’s hackneyed ‘nationalisation’ attack on Labour’s KiwiAssure policy shows he either doesn’t understand economics or needs a new dictionary, said Labour’s Finance spokesperson David Parker and SOEs spokesperson Clayton Cosgrove.
“Steven Joyce screaming about ‘nationalisation!’ and ‘the 1970s!’ sounds like a broken record,” said David Parker.
“Kiwis will see through it. They know KiwiBank had nothing to do with nationalisation. It is an extremely successful New Zealand-owned company that is raising standards, keeping banks competitive, serving the New Zealand community and keeping profits here.
“They know KiwiAssure will do the same,” said David Parker.
“The best John Key could muster today was ‘gimmick’. New Zealanders want better than that,” said Clayton Cosgrove.
“The shrill but baseless cries from National MPs show they have no argument against KiwiAssure. They know that, just like KiwiBank, it will work and Kiwis want it.
“New Zealanders have seen their premiums rise by 30 per cent over two years. They believe insurance companies are making money hand over fist.
“The insurance industry’s arguments against KiwiAssure have also been weak. What is the industry afraid of? Competition is good. If the insurance industry is functioning well then a new entrant should be welcomed, not pilloried.
“New Zealanders like the KiwiBank concept. It improves industry service, keeps other companies on their toes and keeps profits onshore. KiwiBank has branches from Kaitaia to Bluff and will not be exposed to a regional event like AMI was,” said Clayton Cosgrove.
“The insurance industry itself has argued it is logical for banks to get more involved in insurance. When IAG needed Commerce Commission approval for its takeover of part of AMI, it said banks will get into the industry, as some banks already have,” said David Parker.
“Kiwis want KiwiAssure. National should back it or get out of the way,” said David Parker.
4 November 2013 MEDIA STATEMENT