View more on these topics

IFAs beat direct advisers on life and pension persistency

IFA persistency levels for life and pension business in the past year again proved better than for single-tied advisers, says an FSA report.

IFAs recorded the highest persistency for whole of life policies – 82.7 per cent, up from 81.3 per cent over four years – while direct advisers’ persistency increased from 77.3 per cent to 79.7 per cent. IFAs also had higher persistency for other life policies, rising to 67.5 per cent from 64.2 per cent. Direct advisers’ persistency fell to 47.8 per cent from 50 per cent.

IFA persistency levels for personal pensions rose to 43.6 per cent from 40.6 per cent while single tied advisers saw persistency levels fall to 43.5 per cent from 45.1 per cent.

Persistency has plunged by 27 per cent for personal pensions since 1993. The FSA puts this down to the rise of group personal pensions, where group policies often lapse when people change jobs.


Broker Talkback

Is the FSA doing enough to combat phoenixing in the mortgage market?

No 100%


Britain's “Forgotten Army”: The collapse in self-employed pension membership – and what to do about it

Pension scheme membership among employees has risen by more than five million in the past four years because of the policy of automatic enrolment into workplace pensions. But Britain’s army of 4.4 million self-employed people, who account for one in seven of the workforce, are not covered by automatic enrolment. Pension coverage among the self-employed […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm