Risk software popularity continues to climb
The number of planners using risk software continues to rise, according to a 2013 Investment Trends report.
The 2013 study revealed 89 per cent of planners now use risk software within their businesses, up from 87 per cent in 2012 and 82 per cent in 2011.
The trend was revealed in the Investment Trends July 2013 Planner Risk Report, which surveyed 1,159 financial planners.
"The software allows planners to more efficiently provide risk advice, and the ongoing research and integration enhancements allows them to better leverage off this software to facilitate the growth in their risk business," Investment Trends senior analyst Recep Peker told Money Management.
It said XPLAN is the most widely used software, with 49 per cent of planners saying they use it. This is up from 41 per cent in 2012.
COIN was the second most used software, with 23 per cent using it, up from 19 per cent.
Planners use XPLAN the most for risk research, while COIN is used for statement of advice and insurance company proprietary software for creating insurance applications.
Planners have increased the level of annualised risk premiums they have written by 5 per cent over the last year, showing that risk remains a key area in advice.
Planners are spending less time with clients talking about insurance needs, which fell to 18 per cent of client time after reaching the highest level recorded in the seven years of this study last year at 20 per cent.
"The volatility in the markets that lasted most of 2011 and 2012 had driven planners to focus on increasing the role of insurance advice within their businesses, but the return in confidence earlier this year has meant planners were able to write a lot more non-risk business this year," Peker said
"An outcome of this is that they are again spending the normal amount of time talking to clients about their insurance needs."
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