[The Wrap] Regulators say they are not trying to demonise life insurance
The FMA/Reserve Bank Conduct review of the life insurance industry effectively gave the sector a fail and had little positive to say about it.
A key theme is that insurance companies and advisers aren't interested in customer outcomes. Insurance is all about sales and commissions, they say.
Basically the regulators tarred all insurance advisers with one brush. This sort of scaremongering is unwarranted. Most advisers I know are trying to do the right thing for their clients.
One of the things that is really hard to reconcile with the report is life insurance is about protecting people and therefore very focussed on customer outcomes. To suggest companies are just flogging product and then forgetting about it doesn't add up.
Click the button below to subscribe and will have free unlimited access for a limited time to full article and all other articles on the site.
You will also be able to comment on articles on Good Returns.
