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Insurance Business | 19 Jun 2013, 12:00 AM Agree 0
A former broker has conducted an investigation into the policy wordings of various insurers, concluding that consumers are being duped into purchasing "inferior" products. Can intermediaries save the day?
  • Peter Finn | 19 Jun 2013, 03:09 PM Agree 0
    It would be a good idea for 'Get Informed' to get themselves informed on how difficult ASIC has made it for Brokers to deal with 'Retail Clients' - especially in the area of domestic Householders.

    Insurance Brokers were, virtually, forced to 'turn their backs' on dealing with this level of client because the return is not worth the risk.

    As a result of ASIC's actions, the outcome that Brokers predicted, came about and small ' retail Clients were left unprotected, as far as obtaining professional advice is concerned.

    I, certainly, can't see Brokers queuing up to sign up this type of client.
  • Bob Wonnacott | 19 Jun 2013, 05:08 PM Agree 0
    100% agreed! I have been using a similar phrase for a long time to that mentioned concerning consumers believing that all policies are the same with the addition that they believe that insurers are charging different premiums for that same product - which of course adds to the negativity that many people have about the insurance industry. What I want to know and what we should all be asking is why is no one doing anything to educate the public? Why are most of us part of an association such as NIBA, Steadfast etc if those associations are doing nothing to educate the public on our behalf and if they answer as they usually do 'it's the cost' then how can Real Insurance afford to run countless adverts on practically every channel (including Fox) practically all day long whilst providing inferior products with inferior premiums? And........maybe the most important question of come ASIC is allowing adverts to promote insurance products to the public the way the direct market does in complete contradiction to the way we are allowed to present ourselves and insurance under the compliance rules and regulations. Is it not possible for INSURANCE BUSINESS as a voice of our industry to interview ASIC and our associations and get some answers to these questions with a view to something being actually done rather than just verbalised on paper? Maybe INSURANCE BUSINESS could be the catalyst that starts the tidelwave of action!
  • Kate Fairley | 21 Jun 2013, 06:20 PM Agree 0
    Thanks Bob, that's why I've launched Get Informed. I didn't see a lot being done for my industry and decided to take action. I have a lot of positive engagement with consumers and business owners on the social media pages, and have made traction with Today Tonight in producing a story around supermarket insurance products.

    Peter, today's Buyer Beware on social media was targeting consumers who may run a business from home and the key things to be concerned about:

    Many brokers would agree with you however it's my personal belief that you should always value add to your service offering no matter how much business a client places with you.

    It's about giving free information to consumers so they understand what an insurance broker does, and the next time they're having a conversation around the BBQ there's someone there to tip the scales in favour of brokers.

    The damage to our industry has been done over a long period of time so it's going to take a lot to fix, and it has to be done from all sides, domestic included.
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