tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Monday, October 14th, 11:36AM

Insurance

rss
Latest Headlines

FINANCIAL ADVICE NZ REACTION: Consumer focus welcome

Public confidence and trust in the life insurance sector is essential; life insurance contributes significantly to the financial well-being of New Zealanders. Reports like that released by the FMA and RBNZ on Tuesday play a vital role in highlighting areas where the sector can better serve New Zealanders, and importantly, maintain and grow public confidence and trust, Financial Advice NZ chief executive Katrina Shanks says.

Tuesday, January 29th 2019, 5:00PM

"Ensuring good consumer outcomes is the collective responsibility of all participants in the life insurance sector. We welcome the Report’s focus on ensuring good consumer outcomes and the central importance of this in the processes and practises that underpin conduct and culture.

"While the report is focused on insurance providers, certain sections relate to insurance advice and advisers. The report highlights the benefits of quality advice, stating that: “where a product is sold without advice, there is an increased risk of the consumer making an unsuitable purchase, as the policy document is often long and complex, and doesn’t aid understanding.”

"This once again evidences the value of advice and the significant contribution made by quality advisers.

"The report also addresses soft commission and intermediary commissions.

"We welcome the suggestion that qualifying criteria for soft commissions be reviewed and are focused on improving customer outcomes – whether for internal staff or intermediaries; this further supports consumer interests.

"We are supportive of a review of intermediary commissions to ensure the model is relevant and sustainable. It is essential that commission models are in the best interests of consumers, but also ensure that the life insurance advice sector can continue to provide this valuable service to New Zealanders.  

"Financial advisers add significant value to the customer both at the initial point of advice, through the life of the policy and when a claim needs to be actioned. The relationship between a quality adviser and the customer is based on obtaining the best outcomes for the customer. Ensuring good consumer outcomes is a core principle of Financial Advice New Zealand and our members. We welcome this Report and look forward to working with our industry partners in supporting the insurance needs of New Zealanders, and building public confidence and trust."

Tags: Commission Financial Advice New Zealand

« Advisers told: Get ready for major changeGovt confirms: Commission in the gun »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
Insurance Briefs

Employees are wanting health and life insurance
A new survey shows potential employees what life and health insurance benefits, but less than a third of employers plan to offer such benefits.

Chubb Life makes changes to trauma benefit
Chubb Life has made a series of enhancements to its Assurance Extra and Assurance Extra Business policies, including the addition of a new Continuous Trauma Benefit,

Resolution Life gets new president
Global life insurance group Resolution Life has appointed Moses Ojeisekhoba as its new President.

Today is Mindfulness Day - here's a new tool
Former Director-General of Health Sir Ashley Bloomfield gets involved with a new online mindfulness practice.

News Bites
Latest Comments
Subscribe Now

Cover Notes - Specific news aimed at risk advisers

Previous News
Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com
x