Midwinter prepares for LIF with AdviceOS upgrade
Midwinter has unveiled a series of enhancements to its insurance modelling capability within its cloud platform, AdviceOS, in a bid to accelerate the efficiency of life insurance advice generation.
The upgrade was released in two phases and rolled out to AdviceOS users over the past month, allowing advisers to compare the premiums, features, scoring and definitions of all insurance products.
Midwinter's managing director, Julian Plummer, said the enhancements will help provide advisers with more "streamlined insurance modelling" and "offset" the time taken to review their business models ahead of the Life Insurance Framework (LIF) reforms effective next year.
"The majority of advisers we have spoken with over the last few months have been preparing for next year's Life Insurance Framework changes," he said.
"Obviously the change in adviser remuneration is going to have an impact on adviser profitability, which means a higher focus on efficiencies within their advice practices."
The first phase of the upgrade sees the provision of 120 different modelling strategies for AdviceOS users, who are able to select insurance cover combinations from the following: life, total and permanent disablement, trauma, income protection, business expenses and child trauma.
The second phase draws on data provided by Rice Warner — who has worked with Midwinter since 2009 for the provision of insurance product comparisons, premium quotes and benefit research — to help advisers assess the strengths and weaknesses for each insurance policy candidate, ensure a consistency in occupation ratings and exception reporting.
According to Plummer, prior to the upgrade AdviceOS users could only compare a "limited number" of combinations of cover type for "inside and outside super".
"The benefit of these enhancements means that advisers can [now] concentrate on modelling the underlying insurance strategy regardless of the structure or how the insurance is packaged," he said.
Recommended for you
The Federal Court has dismissed a conflicted remuneration case brought by ASIC against the director of life insurance distributor Freedom Group, where Bali holidays and Vespa purchases were among sales incentives.
Policy and advocacy specialist Benjamin Marshan has left the Council of Australian Life Insurers after less than a year, having joined in March from the Financial Planning Association of Australia.
The declining volume of risk advisers meant KPMG has found a rising lapse rate for insurance policies arranged by independent financial advisers, particularly in the TPD and death cover space.
The Life Insurance Code of Practice has transferred from the Financial Services Council to the Council of Australian Life Insurers.
