Asteron announces pre-FOFA upgrades

Asteron has announced a range of product enhancements as part of a stated plan to help its advisers navigate through upcoming Future of Financial Advice (FOFA) reforms.

At Asteron's national roadshow, currently taking place, executive general manager Jordan Hawke is reinforcing to advisers that the group is committed to partnering with advisers. The group has announced a 10 per cent discount to its income protection product over the life of the policy for all new business from 15 August to make the comprehensive policy more affordable for new clients, and to put Asteron back in that competitive space in the market, Hawke said.

Asteron has also introduced an additional 5 per cent commission for advisers using the technology solution EQ to incentivise advisers to use the platform.

A large barrier to people taking up insurance is the lengthy process from application to underwriting to completion, and by removing the e-application form and speeding up the completion time it removes some of the barriers that have been there, Hawke said.

Asteron is trying to encourage advisers to continue to go down that track and make the mindset transition from paper to electronic, so Asteron is offering the extra 5 per cent commission up to 18 October, he said.

Hawke also welcomed the recent announcement by Assistant Treasurer and Financial Services Minister Bill Shorten that he would reconsider a ban on risk commissions within super for individual policies. 

"I'm not concerned about throwing bricks where they need to be thrown, my job is to represent advisers in the industry," Hawke said in reference to criticism of the original proposed ban.

"But you've also got to be prepared to throw a bouquet and it's great that [Shorten] has listened to sensible debate and is reviewing his position on that, you need to applaud his ability to listen and respond to that."

Hawke said he was pleased that the industry and all the advisers had aligned around the issue of insurance commissions in super and had taken up the challenge in communicating to the regulators and their local members the importance of maintaining payment choice for customers and recognising the need to be paid for quality advice.