After the two parties fell out with the lenders wanting to execute with another policy writer, Tower has won the Court of Appeal backing to renovate policies sold through ANZ and National banks.

The Court of Appeal espoused a March 2009 verdict in the High Court that Tower was unconstrained to $70 million of premium income from customers of the lenders.

With insurance policies, the squabble is over some 100,000 accounts. Tower’s shares fell 2.1% to $1.84 today on the NZX.

ANZ, the new name of New Zealand parent ANZ National, required bolstering customers that they wouldn’t be underprivileged by the ruling. ANZ parent Australia & New Zealand Banking Group fell 1.2% to A$22.55 on the ASX. The NZX shares, which trail the parent Company, fell about 2% to $27.70.

John Body, ANZ’s Wealth Division manager said "Customers policies will not be impacted and policies will continue to be renewed and claims will be accepted and processed as usual. The banks and Tower would continue to work together to service these policies for customers and ensure they remain competitive”.

Tower Managing Director, Rob Flannagan said that he was very contented with the ruling, which upheld the agency concords between Tower and ANZ National Bank. He too sought to assure customers, saying they would persist to profit from the on hand relationship with Tower insurance.