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Tenet gives advisers 50 per cent PI reduction

Keith Richards 480

Tenet is giving advisers a 50 per cent discount on their professional indemnity insurance excess as they gain their statement of professional standing.

The PI cover will be provided by Tenet’s Guernsey-based subsidiary Paragon Insurance and the deal is available to all network members from this month.

Last month, Tenet announced it had launched a permanent run-off professional indemnity insurance policy for retiring network members.

In July, the network announced it is offering 50 per cent reductions on the cost of professional indemnity insurance excess for claims involving risk-rated and multi-asset funds.

Tenet distribution and development director Keith Richards says: “The advisory sector has generally been open minded to evolution for some time. We believe the FSA should have offered a dividend reflected in regulatory levies for higher qualifications, so advisers would have been given some additional tangible incentive to begin juggling the balance between day-to-day business and studying for higher qualifications.”

Chapters Financial director Keith Churchouse says; “I think there is the potential over the course of the next year for Tenet to increase its market share significantly. Making itself more attractive with offers like this is a good way of pulling in numbers.”

PMI Independent Financial Advisers director John Stewart says: “I think this decrease in PI cover would persuade me to consider Tenet if I was looking to move to a network.”

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Comments

There are 3 comments at the moment, we would love to hear your opinion too.

  1. Should the article not read a 50 per cent discount on their professional indemnity insurance premiums and on the amount of their PI policy excess?

    The existing wordings aren’t exactly a model of clarity.

    That aside, I for one naturally welcome the prospect of my PII premiums reducing from 4.5% of my turnover to 2.25%. Well done Tenet.

  2. A 50% reduction appears very attractive. A 50% discount on an original pricing model that was expensive may not be as attractive! I hope that Justin gets in contact as a rate of 2.25% on turnover appears expensive even after applying the 50% “reduction”

  3. Why would network ARs need PI insurance?

    Even if there was a market for AR PI would it insure the AR against claims made against them by the network? Doubt it.

    Are they being misled?

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