Planners urged to focus on client education

financial-services-council/colonial-first-state/platforms/

5 August 2011
| By Benjamin Levy |
image
image
expand image

Advisers have to work with their clients to make sure they understand their insurance policies, according to Colonial First State general manager of advice Marianne Perkovic.

Speaking at the Financial Services Council annual conference, Perkovic said that moving to a customer understanding model throughout the advice process means that an adviser has to make sure that clients clearly understand the policies they are getting and the implications of those policies.

“Most complaints around giving advice on insurance concern policy terms that the client didn’t understand,” Perkovic said.

It would also help solve the underinsurance problem, she said.

Advisers will have to educate their clients if they hope to grow the industry, Perkovic said.

“We need to grow this industry, and how we can do that is to work in education and information, and helping the industry move to a customer understanding model, providing simpler products, and educating clients on how they need to protect their wealth,” Perkovic said.

Advisers also needed to work on executing an insurance process properly, she added.

Advisers should consider leveraging off platforms for their insurance products for clients, Perkovic said.

Pressuring platforms to include multiple insurance providers would help provide more choice for clients, she said.

Homepage

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months 1 week ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

3 weeks 1 day ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

2 weeks ago

One licensee has lost 27 advisers in the past week, now sitting at zero, according to the latest Wealth Data figures....

3 weeks 1 day ago

TOP PERFORMING FUNDS