The Federal Opposition has foreshadowed supporting changes to insurance inside superannuation to overcome unintended consequences.
As well, it has indicated a willingness to listen to planner arguments around commissions in the context of the Life Insurance Framework (LIF).
Addressing the Financial Services Council (FSC) Insurance Summit, Opposition Financial Services spokesman, Stephen Jones argued that it was possible to fix problems with respect to insurance inside super without changing the overall policy thrust.
He said that there was a willingness to look at some of the undesirable consequences with a view to making the policy work better.
On life advice commissions he said that while Labor accepted the prima facie argument against commissions it was open to be being persuaded on the merits of the issue.
Comments
Stephen Jones did say the same thing last week at the AIOFP conference.
However he also made it plain he would wait on the current review process to conclude and not commit to anything until that occurred later in the year.
Now Jane Hume has included Treasury as the oversight on this issue one wonders how it may yet be politicised.
Jones / Labor hypocrisy:
1) Life commissions are conflicted and you don’t like them. Fine any and all remuneration has conflicts.
LIF has been a total disaster and you want to exacerbate that. Just crazy given the existing disaster and the noted Over Seas issues too, yet you want to follow the same proven failed NIL commissions as UK and NZ = Real Smart NOT !!
What’s worse = Intra Fund Advice.
Paid for by Hidden Commissions, non disclosed and on a massive scale of effective fees for no service as the majority of Super Fund members don’t get Advice but are all charged the extra “admin fees” = Hidden Commissions to pay the Intra Fund Advisers at Industry Super.
So if you don’t like Commissions it must be the case you can’t support the current Hidden Commission remuneration structure of Intra Fund Advice at your buddies Industry Super.
2) Strangulation by massive over Regulation.
Utter madness and ever increasing Regs and Red Tape costs are the only thing that ever comes out of Canberra, Pollies, ASIC, FARSEA, AFCA, TPB, etc.
Whilst Jones and Labor seem to now acknowledge these problems.
Labor have NEVER voted down any increase in BS Regs, Red Tape increases and ever increasing laws.
Labor are as much the problem as the LNP.
So please don’t try to pretend Labor have helped.
All of Canberra have created this absurd Gordian Knot of crazy over Regulation, crazy Red Tape costs and 9 conflicted and over lapping Regulators we have to answer too.
Please stop the rubbish and fix it.
The mums and dads of Australia need it fixed.
Agree 100% with your comments.
Sounds like an empty election promise to me...
If they need to be persuaded it means their mind is already made up, despite the clear and obvious impact the LIF changes have had on the industry. When the ALP wins the next election, say goodbye to commissions and the insurance industry, that is if it survives that long.
Let me put in terms you will understand Stephen.....KEEP LIFE COMMISSIONS AND YOU GET MY VOTE.
And for anyone who believes this I have abridge to sell you in Sydney, along with a herd of flying pigs.
Labor started this rot by blaming us for the GFC to assure their friends in union super got the upper hand over us, and that the rivers of gold kept flowing into their political (& personal) coffers. None of this situation that we currently face has not had Labor's intense pushing and political jockeying behind the scenes.
The current culture and leadership team at the corrupt ASIC, who authored, published and pushed through the LIF report were all created in the Labor Gov directed era.
The LNP are inept deaf idiots who are only realising too late and doing far too little still to right the wrongs, but anyone who believes that the authors and creators of our destruction, Labor, are a better alternative needs to do everyone a favour and remove themselves from the voting pool & for the good of mankind, with that shallow thinking ability, the gene pool as well.
wow so... if I vote Labor (which I dont), just go kill myself? Aren't you a lovely person.
When it comes to Financial Services Legislation, Union dominated Super funds steer the ship, not politicians, and those bodies have always been intent on destroying any competition to the honey pot. I'll remind you that 99% of submissions on FoFA called for a letter offering clients the ability to "opt out" of advice and yet 1 and only 1 submission from Industry Super funds called for "Opt in" and what was adopted. What you're seeing now is the typical pre election banter where Pollies will say anything "we're open to X" or "we'll consider Y".
The current landscape has come about through increasingly political maneuvering...on both sides of the ALP/LNP divide.
We seem to be going down a globally driven CCP regime path. Are there any financial advisers operating in China?...
Yes, the (CCP) state!
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