Churn debate: AMP surprised

AMP general manager Investments and Insurance, Therese Singleton, says there is no reliable industry data on what is happening and this enquiry may help  However she reiterates the view that a quantatitive analysis of data may not provide clear answers to the question of whether there is churn as it doesn't address why each policyholder made the descision to switch.

"I don't know how big the problem is," she says.

One thing which may come out of the investigation is that the FMA may identify some advisers who have shifted books of business. Whether the FMA is able to investigate this further is unknown. 

Singleton says "most advisers are sick and tired of being tarred with the churn label" and sorting out the issue is a good idea.