Tower gives risk insurance a face lift

TowerAustraliahas revised the commission structures, product definitions, features and ease of gaining coverage across its risk insurance products and has unveiled a new life insurance offering, Fast-Track.

The revisions include premium reductions to the group’s Life Protection Plan, Total Permanent Disability and Crisis Protection Plan, along with a new commission structure to include hybrid commission rates with dial-down flexibility.

As for Fast-Track, which offers life insurance without the need for blood tests or medical examinations, it has been designed for those consumers wanting quick and easy life insurance coverage.

“Our research has shown that many clients lead very busy lives so they don’t have the time, nor inclination, to deal with many of the requirements previously required to obtain life insurance,” Tower chief executive officer Jim Minto says.

“Under the Fast-Track criteria, the only upfront medical information required is a completed personal statement. If this is satisfactory, there are no medical examinations, no blood tests, and no time off work.”

The upgrade to its range of risk products

is predominantly in response to the dramatic changes within this sector of the industry in recent years, with Minto indicating more changes are to be expected.

“We have had substantial aggregation among key suppliers of risk products. There has been changes in the reinsurance sector and there is substantial pressure on advisers as they adapt to new practices under Financial Services Reform (FSR),” he says.

“Embracing FSR, being open and transparent, being close to consumers, and having the right products at the right price are the keys to success and leadership in this industry,” Minto adds.