Aegon latest to offer RDR commission guarantees
Aegon has offered a three month commission guarantee for individual pension, drawdown and onshore investment bond business to help advisers transition to the RDR.
The company will provide guarantees on commission quotes where the advice is completed by December 30.
The length of the guarantee varies depending on the type of business being written.
Aegon’s Secure Trustee Investment plan will have a commission quotation period of up to two months, while Aegon’s unit-linked guaranteed products will have a commission quotation period of one month.
Offshore bond business will have a commission quotation period until the end of the tax year on April 5, 2013, while corporate pensions business will have a commission quotation period of six months from when the advice is given.
Aegon marketing and transformation director Richard Dallas says: “Anything that would disrupt the provision of advice as we move into 2013 would be bad for customers.
“We will be providing a commission guarantee where the advice process has been completed by December 30, enabling advisers to honour the commitments they have made to their clients.”
Last month Aviva announced it would offer commission guarantee periods ranging from 30 days for bonds to three months for individual pensions.
Hudson Green & Associates principal Ian Hudson says: “This seems like providers trying to prolong the inevitable. It is not sending out the right message. The RDR is about raising standards, and the usual suspects are behaving like children.”