Barry Lambert
Big accountancy-based financial planning dealer group Count Financial has confirmed that some of the savings that generated the strong growth in dividends in its latest financial results were achieved by a decision not to pay for professional indemnity (PI) insurance with inadequate coverage.
Count revealed the benefits of its PI approach at the same time as announcing its annual results to the Australian Securities Exchange, but acknowledged that it was currently in the process of having its alternative compensation arrangements reviewed by the Australian Securities and Investments Commission.
At the same time, it revealed that its net compensation costs in 2008 had amounted to $0.03 million, compared with $0.13 million in each of the previous two years.
Count executive chairman Barry Lambert has been a vocal critic of the current PI arrangements for financial planning practices.
