Mr Rice's comments seem all very nice, knowledgeable and business-like. However, it's probably 200% correct to state that this same gentlemen has never sold life-risk insurance in his life and has absolutely no idea about the costs to put it in place for clients.

So while it might look good, it doesn't address down-home practicalities. How will newer advisers provide a living for themselves and their families until they have a substantial client base on the abysmal commission structure etc that the Trowbridge Report recommends? Will super fund members be provided with realistic advice about their insurance needs? Will group life insurance deliver sufficient, in terms of levels and quality of coverage, to prevent greater pressure on our welfare system than it currently has difficulty in managing now?

The Trowbridge Report, while recommending some worthwhile points, is fundamentally flawed because prospective clients don't line up to buy life-risk insurance - it was, still is, and seemingly will always need to be sold.

Reply to article

For original story, Click Here.