Life insurance guidelines need to be set
The life insurance industry cannot move forward from the life insurance framework (LIF) until education and professional guidelines are set, Bombora Advice's chief executive believes.
Speaking on a panel at Money Management's Adviser Risk Policy breakfast last week, Wayne Handley said rather than moving on from LIF, it was time to start setting benchmarks,
"We're going into a three-year review period where the industry's structure can change considerably. We are going into a time when advisers are going to be judged on their performance but they don't know what the benchmarks are going to be," Handley said.
"I don't know of any other profession that has or that will go through that, when there is an exam but we don't know what the parameters and guidelines are and that to me is a concern piece of this whole movement.
"And until the guidelines have been set, how can we possibly move on?"
Integrity Resolutions principal, Col Fullagar, agreed, adding that rather than moving on, an alternative solution could be used.
"I think if Steven Bradbury had decided it was time to move on, he probably would not have won the gold medal," he said.
"The other way of approaching it is not to ask those people to move on but to provide an alternative solution that is so compelling that they accept that solution rather than fighting against something they see as inadequate at the moment."
However, Priority Advisory Group risk adviser, Chris Jurukovski, said it was time to move on from the LIF.
"It is probably is time to move on, we've been to-ing and froing for a very long time and I think the guidelines that have been set have not been ideal but they're not the worst," Jurukovski said.
"But I also think that we need to accept them and get on with what we do best."
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