Doubts cast on claims planners rushing to sell life insurance

AXA general manager of financial protection Michael Rogers has cast some doubt on market speculation that more planners are selling more life insurance.

Rogers said in AXA’s experience the number of planners selling life insurance has remained more or less constant during the downturn, but that these planners are selling more.

“What we're seeing is probably 200 to 250 advisers who write the lion’s share of life insurance in Australia, rather than more advisers writing more insurance.

“Their sales volumes have jumped by double digit figures, and we’re talking here 20 to 25 per cent increases.”

Rogers was speaking at a media function held in Sydney yesterday on the progress of the group’s financial protection business for the six months to June 30.

New business was up 23 per cent to $58.8 million, and individual life new business was up 19 per cent to June 30.

In March last year AXA invested $30 million into a development program for the financial protection division, focusing on service, relationships and product.

Rogers said the increases were due to product and service improvements under the development program and a dramatic improvement in planner perception.

“We selected some pivotal metrics (under the program) that are important to clients and advisers, and we have made significant inroads."

He said in particular that AXA’s recently launched Risk Learning Program, a free service for AXA aligned and non-aligned planners, had succeeded in equipping planners with risk insurance sales skills, including client engagement and behavioural research.