The firm says rebroking policies is often critical in giving best advice if a better product or rate is offered in the market.
It says competition in the market means that investment bond launches often offer enhanced allocation and remuneration which can encourage low persistency rates.
SimplyBiz, which supports almost 4,000 advisers after its acquisition of Compliance First this year, says the fees versus commission debate is over-simplistic and the solution lies in changing the way that products are designed rather than the way that advisers are paid.
Marketing director Matthew Timmins says: “Insurers change their terms on a regular basis to be more or less competitive whenever they feel it is necessary so it makes perfect sense for advisers to continually review what is best for their clients.”
SimplyBiz says the commission system helps many clients access advisers by removing the cost of advice as a barrier.
Timmins says: “As a profession, we have got far too carried away with the debate over fees versus commission. Most IFAs serve a wide marketplace and have several hundreds of clients. The idea that they dump everyone not earning megabucks is frankly ridiculous and the direct opposite of the Government’s declared objectives.”