A Melbourne financial advice firm launched its own personal risk insurance offering.
New and existing clients of Hewison Private Wealth can now obtain life, TPD, income protection and trauma insurance, free from commissions.
Clients that take out policies will pay an annual fee-for-service comprising implementation of advice, ongoing reviews, alterations when changes are necessary and additional facilitation of claims.
"Where commission is concerned, it will be either rebated to the client or removed from the policy altogether, both of these options will reduce the net cost of the policy," managing director Andrew Hewison said.
"Clients can therefore rest assured in the knowledge that any product we recommend will have no biases whatsoever, meaning their insurance is truly working in their best interest."
The opportunity to offer new and existing clients with personal insurance that is aligned to their needs, without the worry of commission is an important, progressive step for Hewison, and the financial service industry as a whole, the firm said.
"Protecting your wealth should be just as important as accumulating it, that's why insurance is so important to a financial strategy. We're delighted to be able to offer personal insurance at Hewison Private Wealth, while ensuring our advice remains independent, and most importantly aligned to an individual's needs and objectives," Hewison said.
The firm believes its offering will be ultimately more cost-effective, as well as better aligned to client needs.
"The value over time from a monetary perspective can be significant. Removing commission out of a policy reduces a clients' premium by up to 30% for the life of the policy. But more importantly, commission free advice removes bias. Plus, our proactive review service will manage your needs with the option to reduce cover as your exposures or risks diminish," HPW senior risk adviser Marcus English said.