K Financial and Insurance Services
K Financial and Insurance Services
The Financial and Insurance Services Division includes units mainly engaged in financial transactions involving the creation, liquidation, or change in ownership of financial assets, and/or in facilitating financial transactions.
The range of activities include:
- raising funds by taking deposits and/or issuing securities and, in the process, incurring liabilities;
- units investing their own funds in a range of financial assets;
- pooling risk by underwriting insurance and annuities;
- separately constituted funds engaged in the provision of retirement incomes; and
- specialised services facilitating or supporting financial intermediation, insurance and employee benefit programs.
Also included in this division are central banking, monetary control and the regulation of financial activities.
This division contains the following ANZSIC subdivisions:
62 Finance
This subdivision contains the following ANZSIC groups:
621 Central Banking
This group contains the following ANZSIC class:
6210 Central Banking
This class consists of units mainly engaged in formulating monetary policy and performing central banking functions, such as issuing currency, managing the nation's money supply and foreign reserves, holding deposits that represent the reserves of other banks, and acting as fiscal agent for governments. This class also includes units primarily engaged in the prudential regulation, licensing and inspection of the financial sector.
Primary activities
- Central banking
- Financial regulatory service
622 Depository Financial Intermediation
This group contains the following ANZSIC classes:
6221 Banking
This class consists of units mainly engaged in operating banks (except merchant banks). Banks incur liabilities by accepting demand and other deposits and make commercial, industrial and consumer loans.
Primary activities
- Development bank operation
- Savings bank operation
- Trading bank operation
Exclusions/References
Units mainly engaged in
- performing central banking functions are included in Class 6210 Central Banking;
- operating building societies are included in Class 6222 Building Society Operation;
- operating credit unions are included in Class 6223 Credit Union Operation; and
- operating merchant banks are included in Class 6229 Other Depository Financial Intermediation.
6222 Building Society Operation
This class consists of units mainly engaged in operating building societies which accept deposits and provide specialised financing for home building or purchasing purposes.
Primary activities
- Building society operation
Exclusions/References
Units mainly engaged in
- operating development, savings and trading banks are included in Class 6221 Banking; and
- operating credit unions are included in Class 6223 Credit Union Operation.
6223 Credit Union Operation
This class consists of units mainly engaged in operating credit unions which accept members’ share deposits and provide loans to their members for various purposes.
Primary activities
- Credit union operation
Exclusions/References
Units mainly engaged in
- operating development, savings and trading banks are included in Class 6221 Banking; and
- operating building societies are included in Class 6222 Building Society Operation.
6229 Other Depository Financial Intermediation
This class consists of units mainly engaged in accepting deposits and providing finance (except units operating banks, building societies and credit unions). Also included are deposit-taking units engaged in money market dealing and operating deposit-taking merchant banks or finance companies.
Primary activities
- Bill of exchange discounting or financing (except by banks)
- Commercial finance company operation
- Depository financial intermediation n.e.c.
- Merchant banking operation
- Money market dealing
Exclusions/References
Units mainly engaged in
- operating development, savings and trading banks are included in Class 6221 Banking;
- operating building societies are included in Class 6222 Building Society Operation;
- operating credit unions are included in Class 6223 Credit Union Operation;
- providing non-depository credit intermediation are included in Class 6230 Non-Depository Financing;
- providing financial market transaction broking services (e.g. stock broking) and related activities on behalf of others are included in Class 6411 Financial Asset Broking Services; and
- providing financial investment management or advisory services or other services in the field of finance or investment (except insurance or superannuation), are included in Class 6419 Other Auxiliary Finance and Investment Services.
623 Non-Depository Financing
This group contains the following ANZSIC class:
6230 Non-Depository Financing
This class consists of units mainly engaged in non-depository finance. Non-deposit financiers do not incur deposit liabilities and are mainly engaged in providing credit or lending money, or in leasing machinery, plant or equipment purely on a financial service basis (i.e. without physically handling the goods). Units of co-operative housing societies (except co-operative housing society management services on a commission or fee basis) are included.
Primary activities
- Co-operative housing society operation (except co-operative housing society management services on a commission or fee basis)
- Credit card issuing operation
- Non-depository financing
- Non-depository home lending operation
- Non-depository money lending operation
Exclusions/References
Units mainly engaged in
- deposit-taking financial operations are included in Group 622 Depository Financial Intermediation; and
- providing financial asset investment consultancy services, or in managing the operations of co-operative housing societies on a commission or fee basis, are included in Class 6419 Other Auxiliary Finance and Investment Services.
624 Financial Asset Investing
This group contains the following ANZSIC class:
6240 Financial Asset Investing
This class consists of units mainly engaged in investing money on their own account in predominantly financial assets such as shares, bonds, bills and financial derivatives (including mortgages), excluding units of separately constituted superannuation funds. Also included are investment type unit trusts mainly engaged in holding financial assets, as well as financial holding companies holding shares in subsidiary companies.
Primary activities
- Charitable/educational trust or foundation operation (investment type; in predominantly financial assets, except trust management services on a commission or fee basis)
- Friendly society operation (investment type; in predominantly financial assets)
- Holding company operation (viz. holding shares in subsidiary companies)
- Investment operation (own account; in predominantly financial assets; except superannuation funds)
- Mutual fund operation (except fund management on a commission or fee basis)
- Unit trust operation (investment type; in predominantly financial assets; except trust management on a commission or fee basis)
Exclusions/References
Units of holding companies mainly engaged in activities other than holding shares, or of trusts or funds mainly engaged in producing goods or services (rather than merely investing money) are classified to the appropriate industry classes in accordance with their primary activity.
Units mainly engaged in
- providing benefits through separately constituted funds are included in Class 6330 Superannuation Funds;
- underwriting new security issues or in buying or selling stocks, shares or other financial securities for others are included in Class 6411 Financial Asset Broking Services;
- managing (e.g. on a commission or fee basis) financial asset investments for others (except for separately constituted superannuation funds), or units mainly engaged in providing trustee or financial asset investment advisory services, are included in Class 6419 Other Auxiliary Finance and Investment Services;
- renting and leasing non-financial intangible assets such as patents and trademarks are included in Class 6640 Non-Financial Intangible Assets (Except Copyrights) Leasing;
- operating residential property trusts are included in Class 6711 Residential Property Operators; and
- operating non-residential property trusts are included in Class 6712 Non-Residential Property Operators.
63 Insurance and Superannuation Funds
This subdivision contains the following ANZSIC groups:
631 Life Insurance
This group contains the following ANZSIC class:
6310 Life Insurance
This class consists of units mainly engaged in providing life insurance and life reinsurance covers.
Primary activities
- Life insurance provision
- Life reinsurance provision
Exclusions/References
Superannuation funds managed by life insurance companies are included in Class 6330 Superannuation Funds. This exclusion does not relate to statutory funds of life insurance companies for the purpose of conducting superannuation business - such funds are part of the assets of the life insurance companies.
Units mainly engaged in:
- providing insurance cover for hospital, medical, dental, pharmaceutical or funeral expenses or costs are included in Class 6321 Health Insurance; and
- providing general insurance cover (except health or life) are included in Class 6322 General Insurance.
632 Health and General Insurance
This group contains the following ANZSIC classes:
6321 Health Insurance
This class consists of units mainly engaged in providing insurance cover for hospital, medical, dental, pharmaceutical or funeral expenses or costs.
Primary activities
- Dental insurance provision
- Funeral benefit provision
- Health insurance provision
Exclusions/References
Units mainly engaged in
- providing life insurance and life reinsurance cover are included in Class 6310 Life Insurance; and
- providing general insurance cover (except health or life) are included in Class 6322 General Insurance.
6322 General Insurance
This class consists of units mainly engaged in providing general insurance cover (except life and health insurance).
Primary activities
- Accident insurance provision
- All risks insurance provision
- Fire insurance provision
- General insurance provision
- Household insurance provision
- Insurance provision n.e.c.
- Mortgage insurance provision
- Motor vehicle insurance provision
- Owner’s liability insurance provision
- Reinsurance (except life) provision
- Third party insurance provision
- Travel insurance provision
- Worker’s compensation insurance provision
Exclusions/References
Units mainly engaged in
- providing insurance broking services are included in Class 6420 Auxiliary Insurance Services;
- providing insurance cover for hospital, medical, dental, pharmaceutical or funeral expenses or costs are included in Class 6321 Health Insurance; and
- providing life insurance and life reinsurance cover are included in Class 6310 Life Insurance.
633 Superannuation Funds
This group contains the following ANZSIC class:
6330 Superannuation Funds
This class consists of units of separately constituted funds mainly engaged in providing retirement benefits.
Primary activities
- Approved deposit fund (superannuation) operation
- Pension fund, separately constituted, operation
- Superannuation fund, separately constituted, operation
Exclusions/References
Units mainly engaged in
- investing money on their own account in predominantly financial assets (e.g. shares, bonds, bills etc, including mortgages) are included in Class 6240 Financial Asset Investing; and
- managing or in carrying out the operations of separately constituted superannuation funds on a commission or fee basis are included in Class 6419 Other Auxiliary Finance and Investment Services.
64 Auxiliary Finance and Insurance Services
This subdivision contains the following ANZSIC groups:
641 Auxiliary Finance and Investment Services
This group contains the following ANZSIC classes:
6411 Financial Asset Broking Services
This class consists of units mainly engaged in trading in stocks, shares or other financial assets on behalf of others, or in underwriting financial asset issues. Also included in this class are units mainly engaged in buying, selling and trading in mortgage documents for others.
Primary activities
- Commodity futures broking or dealing (on a commission or transaction fee basis)
- Financial asset broking service (on a commission or transaction fee basis)
- Stock broking or trading (on a commission or transaction fee basis)
- Trading of mortgages operation (on a commission or transaction fee basis)
Exclusions/References
Units mainly engaged in
- investing money in financial assets such as shares, bonds, bills, etc, on own account are included in Class 6240 Financial Asset Investing; and
- providing investment management or advisory services, or arranging home loans for others on a commission or fee basis, are included in Class 6419 Other Auxiliary Finance and Investment Services.
6419 Other Auxiliary Finance and Investment Services
This class consists of units mainly engaged in providing nominee, trustee, investment management or advisory services, arranging home loans for others, or other auxiliary finance or investment services not elsewhere classified. Also included in this class are units of incorporated stock exchanges.
Primary activities
- Arranging home loans for others (on a commission or fee basis)
- Auxiliary finance service n.e.c.
- Clearing house operation
- Co-operative housing society management service (on a commission or fee basis)
- Credit card administration service
- Executor service
- Finance consultant service
- Financial asset investment consultant service
- Insurance fund management service (on a commission or fee basis)
- Money changing service (non-bank)
- Nominee service
- Portfolio, investment, management service (on a commission or fee basis)
- Security valuation service
- Share registry operation
- Stock exchange operation
- Superannuation fund management service (on a commission or fee basis)
- Trustee service
Exclusions/References
Units mainly engaged in
- dealing in financial markets on behalf of others (e.g. stock broking) and related activities are included in Class 6411 Financial Asset Broking Services; and
- operating charitable/educational trusts or foundations mainly engaged in investing in financial assets are included in Class 6240 Financial Asset Investing.
642 Auxiliary Insurance Services
This group contains the following ANZSIC class:
6420 Auxiliary Insurance Services
This class consists of units mainly engaged in providing insurance broking or agency services, or other services to insurance such as consultant, claim assessment or adjustment services.
Primary activities
- Actuarial service
- Claim adjustment service
- Claim assessment service
- Insurance agency service
- Insurance broking service
- Insurance consultant service
Exclusions/References
Units mainly engaged in
- trading in financial assets on behalf of others (e.g. stock broking) and related activities are included in Class 6411 Financial Asset Broking Services; and
- providing nominee or trustee services are included in Class 6419 Other Auxiliary Finance and Investment Services.