F&TRC benchmark for protection firms
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The Finance & Technology Research Centre is to benchmark the commission options and tele-underwriting processes on offer from protection providers.
The project was agreed following the latest meeting held by F&TRC’s Protection Forum last month.
Distributors at the meeting pointed out that tele-underwriting systems can vary widely across the protection market, with advisers getting to grips with different sets of rules and processes.
They were also concerned that prov-iders’ range of commission options cannot always be obtained easily.
Plan Money director Peter Chadborn says: “The protection industry is way out of step with the rest of financial services when it comes to remuneration options. Non-indemnity commission is not right for all and too big a step for many, so more options should be made available.”
F&TRC director Ian McKenna says: “The issues addressed by the forum are those raised by distributors. We then discuss the issues as a group before agreeing whether or not to begin the process of possible improvement by measuring and benchmarking what each provider currently does in a certain area.”
F&TRC will report its findings in June.
The forum group has also agreed to work on a draft statement of good practice on collecting customer signatures for online applications.
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