In light of concerns that the Life Insurance Framework (LIF) will present many difficulties for the industry, a group of advisers have launched their own research to uncover the likely effects of the reforms.
The group, with the support of two dealer groups, has launched a survey aimed at understanding the industry’s sentiment towards the reforms and what implications they will have for business owners.
Life Insurance Direct chief executive Russell Cain – who is helping coordinate the research along with Foundation Life Insurance and Mortgage Broking managing director Patrick McLaughlin – said the reforms have left a number of practice owners questioning whether they will be able to continue operating their business under the proposed model.
“For consumers [the closure of advice businesses] could mean less choice, higher costs of accessing life insurance and a reduction in the level of specialised advice,” Mr Cain said.
“Results and findings from the survey will help the adviser groups to develop an alternative approach to retail life insurance, which protects both the interests of the current and prospective policy-holder, the ongoing viability and service levels of the adviser,” he said.
The 10-question survey launched by the group will be open until 11 September 2015.
If you would like to take part in the research, the survey can be viewed here.