Life Insurance Blog
Header

Weekly Life Insurance News Roundup

July 30th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Let’s not ignore personal cover
THE National Disability Insurance Scheme is a long-awaited and welcome federal government initiative designed to provide much needed support for those born with or those who later incur a significant disability. Successful passage of this important reform would be significant progress. However, the debate around the NDIS is being framed in a way that largely ignores the broader problem of underinsurance. We believe this represents an opportunity for the life insurance and superannuation industry because by supporting the NDIS we can also raise awareness of the significant protection gap that exists and reinforce the importance of personal insurance.

Fight against new churn regime
Concerns about risk insurance policy churn raised by life insurance companies have presented a challenge for risk-focused dealer groups ever since the topic was publicly debated some years ago.

Weekly Life Insurance News Roundup

July 23rd, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Association of Financial Advisers tackles churning
“We congratulate the FSC for inviting industry discussion on current adviser practices and adviser remuneration, and for paving the way towards a bigger picture debate,” he added. When it comes to one of the big issues raised by the FSC Paper, churning, Klipin concedes that the practice does exist, but claims that it is rare “and limited to a few isolated advisers”.

Insurance, superannuation keeps finance recruitment above water
Recruitment in the financial services industry is expected to stabilise over the next 12 months after a year of contraction, according to Michael Page International. According to the survey, stability will be the buzzword in financial services hiring over the next 12 months.

Raiders poised for battle as ClearView rejects bid
THE takeover battle between businesses linked to corporate raider Gary Weiss and his one-time employer, Guinness Peat Group, will be fascinating for the spectacle of Weiss and friends picking apart and outmanoeuvring his alma mater, if not for the outcome of the battle itself.

Weekly Life Insurance News Roundup

July 16th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

BT’s life policies to fuel profit
BT Financial Group says growth in life insurance will be second only to superannuation over the next five years as it outlines plans to capture a larger share of Australia’s national wealth pool.

BT flags wealth “land grab”
BT Financial has launched a new aligned dealer brand as part of the group’s broader ambition to grow by securing a larger chunk of superannuation and life insurance assets. The new brand, BT Select, is a business-to-business group targeting multi-partner independent financial adviser practices. The target is 120 practices to be assembled over three years with the key method of recruitment being direct contact.

Life risk insurance defies gloom to post steady growth
In an environment where superannuation and investment funds under management remains stifled, life risk recorded steady growth during 2011, according to new research by DEXX&R.
(more…)

Weekly Life Insurance News Roundup

July 9th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Restoring the logic to TPD insurance
Col Fullagar suggests that the need for an underlying logic in any risk insurance recommendation, including TPD, is an important component of safe advice. The debate about the merit or otherwise of total and permanent disability (TPD) insurance started when the product was first introduced in the 1970s and it has continued unabated ever since.

Handle churn through dealer groups, don’t target advisers
The Financial Services Council (FSC) should develop standards to force dealer groups and life companies to manage individual advisers churning business rather than punish the entire industry, reveals an opinion survey of independent advisers conducted by Asteron Life.
(more…)

Weekly Life Insurance News Roundup

July 2nd, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Accountants get green light for AFSLs
The government has finally announced that it is altering exemptions on accountants providing a broader range of financial advice. The minister for financial services and superannuation Bill Shorten announced on the weekend that a new limited Australian Financial Services Licence (AFSL) is expected to see up to 10,000 accountants become licensed and able to increase the range of financial advice they offer.

Ex-Guardian FP adviser pleads guilty
A former Guardian Financial Planning financial adviser has pleaded guilty to falsifying 65 insurance applications between August 2009 and May 2011.
(more…)

Weekly Life Insurance News Roundup

June 25th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

CommInsure adds to restructured advice team
CommInsure has added to its newly restructured retail advice distribution team with the appointment of Ben Bancroft as national accounts manager. Tony Smith, former head of national accounts departed CommInsure for ClearView Wealth in February, prompting a reshuffle.

Depressed? You’ve got Buckley’s getting insurance
PEOPLE with a history of depression, insomnia or stress are being denied access to insurance, with health experts accusing the industry of systemic discrimination against those with even mild mental health problems.
(more…)

Weekly Life Insurance News Roundup

June 18th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Former AFA president mourned
Former Association of Financial Advisers president and former South Australian state director, Michael Murphy, has died at the age of 66, after a six year battle with cancer.

Insurers gear up to push income protection
With the governments of New South Wales, Victoria and Queensland looking to cut workers’ compensation, income protection would become crucial, particularly for people who might have relied on government support when sick, injured or unable to work, CommInsure general manager of retail advice Tim Browne said.
(more…)

Weekly Life Insurance News Roundup

June 12th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Ebix acquires Australian firm
Ebix, which provides on-demand software and e-commerce services to the insurance industry, has acquired Fintechnix, a supplier of web based straight through processing solutions to the Australian life insurance and wealth management sectors.

Life insurers pay out $4 billion in 2011
The 10 biggest life insurers paid out just under $4 billion in claims in 2011 – up 11.4 per cent from 2010, according to research conducted by The Risk Store. The amount of money paid out in claims has increased by 96 per cent since 2006, said Risk Store managing director Peter Wincott.
(more…)

Weekly Life Insurance News Roundup

June 3rd, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

Direct life insurance up but credit insurance flat
Overall direct life insurance sales have grown 11.3 per cent in 2011 and in-force annual premiums are up 10.9 per cent despite flat growth in credit-related insurance sales, according to Rice Warner. Term, income protection and accident insurance business in-force premiums are up 17.4 per cent and have grown more rapidly than traditional adviser-sold and superannuation fund risk insurance in 2011.

‘Churning’ should be addressed at the underwriting stage
Underwriters should exercise the whip hand when it comes to dealing with churning in life insurance. That is the analysis of Synchron, which has claimed that in order to address the issue of ‘churning’ the responsibility should fall on the underwriter to determine whether to continue with an insurance policy.

Benefits of a safety net
Income protection premiums are deductible but often overlooked. If you are thinking about income protection insurance, it could be financially worth your while to prepay a year’s premiums before June 30 and bring forward a handy tax deduction. But that doesn’t mean you should grab any old policy.
(more…)

Weekly Life Insurance News Roundup

May 27th, 2012 | Posted by Editor in News - (Comments Off on Weekly Life Insurance News Roundup)

AIA adds superannuation payment option
Financial advisers will be able to offer clients a range of AIA’s priority protection products with payment through their superannuation following a range of upgrades announced by AIA.

Tower lifts first half profit 83pc
The insurer’s profit rose to $23.6 million in the six months ended March 31, from $12.9m a year earlier, the Auckland-based company said in a statement. Tower’s policy liabilities dropped to $671,000 in the period from $8.4m a year earlier, while revenue climbed 14 per cent to $295.7m.

Insurer warns life won’t get easier
THE boss of TAL Limited, one of Australia’s biggest life insurers, has issued a dour outlook for the economy, warning that consumer spending and business confidence across Australia will continue to deteriorate across the next 12 months.
(more…)