Same insurance cover, different price: ResearchBY KARREN VERGARA | TUESDAY, 3 JUL 2018 12:43PM![]() Group insurance remains cost effective and beneficial for members, but there's significant disparity among premium rates and the level of cover superannuation funds are offering, latest Rainmaker research reveals. Related News |
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FINANCIAL ADVICE ASSOCIATION AUSTRALIA
FINANCIAL ADVICE ASSOCIATION AUSTRALIA
A family man, business owner, cricket fanatic and financial adviser, David Sharpe has many facets. One of his biggest legacies, as he steps down as chair of the Financial Advice Association Australia, is leaving the profession stronger than he found it.








This is all very well and good but there is more than just the price when comparing group to the retail offering. Not only is retail cheaper than group but there are huge differences that been not raised in this article such as the following that are very important and can make a huge difference to people and their protection requirements. Some of the differences make the retail contract far superior and amplifies the value for price:
Retail contract is guaranteed renewable
Retail allows for future increase for specific events, birth of a child, mortgage etc without requiring underwriting
Retail allows for flexilinked trauma cover or own occupation TPD cover
Retail allows for income protection to age 70
Retail allows for guaranteed agreed value of income if required
Retail allows for premium freeze
Retail offer TPD own occupation definition, either outside of super or flexilinked
Retail allows for suspending of cover with the need to be underwritten once recommenced again
The list goes on and on so you can't simply say cover is the same as it's clearly not. When you can tailor what's appropriate for clients protection needs along with superior offering that can be obtained via a retail product along with value for money, you can't say all are the same as they are clearly not. There's a massive difference and hence why comparisons need to be done and articulated to clients by providing all the facts via educating them of the differences.