Gannon talks leads, not leaks
Leads – not leaks – is the real story of last year, according to Newpark general manager Darren Gannon.
Saturday, January 7th 2012, 6:04PM 
10 Comments
by Benn Bathgate
Gannon was speaking to Good Returns in the wake of a story in the Sunday Star Times citing a ‘leaked’ email he sent to advisers which, the story claimed, suggested commissions influence insurance advice.
“It wasn’t a leaked email, it was an email I sent out to the market, for a start, so not leaked,” he said.
“My email was quite clear saying to people there is a new insurance company [Partners Life] in the marketplace and its really, really important for the good of the industry, the good of agency agreements, the good of everybody that people do what’s right for their clients first and foremost, but you need to be responsible and you need to do what you can to maintain your retention rates.”
He said the point of the email – to safeguard persistency – “is not a new thing.”
“I’ve been in the business 27 years and the industry has always had persistency criteria in agency agreements, there is nothing new that I can see being brought into the market that hasn’t been around since day dot.”
In the email Gannon urged advisers to maintain their OnePath retention rates, saying “all advisers must spend time on the retention of business sold as this going forward will become more and more important, not only with OnePath but all carriers.”
Gannon said the message in the email was simple.
“Hang in there, work hard, keep your retention rates up there, it’s good for everybody, it’s good for the industry, don’t do anything silly in the short term to jeopardise that.”
He said he was disappointed that the story distracted from the success of a leads programme Newpark had undertaken this year.
“We’ve generated 8,000 brand new leads for advisers in the market this year, we thought that was a pretty positive story,” he said.
“That has transformed into our group being up 42% on written API for this year – that is massive," he says.
Benn Bathgate is a business reporter for ASSET and Good Returns, email story ideas to benn@goodreturns.co.nz
| « Business insurance focus for 2012 | Selling through employers » |
Special Offers
Comments from our readers
If there is a better policy available for your client which is also cheaper than the one they have - whichever companies these happen to be with - isn't it your responsibility to let your client know?
I'm pretty sure I read something about regulatory requirements stating you must put your client first??
If that is what advisers are doing isn't that a good thing?
The same cover with six of my nine insurance companies all come in better priced than this (some marginally) and one is over $300 per month cheaper and with enhanced benefits (some can't offer cover due to maximum entry age)
I will always do the right thing for my client, so I have informed him today of his options.
Here is the dilemma:
1) If I take him to the least expensive better benefits insurance company, that is called "churning".
2) If another adviser does the same that is called "good business".
Do I wait around for another adviser to do "the right thing for my client" and loose the business, or do I risk the "wrath" of an insurance provider who says I am a "churner".
I know where I am and that is for the good of the client and have an appointment with him on Monday to complete an application form.
Regarding claims history; All insurance companies started out with no claims history and that did not stop them cementing their name in the market place.
At the end of the day the client rules, but he bases his decision on what he needs with education, knowledge and understanding.
Commenting is closed
|
|
Printable version |
|
Email to a friend |
