BT Extends Discount Offer

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BT says it will extend its 25 percent discount offer on the first year’s premium for lump sum policies, to 31 July 2020 to help advisers and clients during these uncertain times.

The insurer says in a statement that the discount applies to new BT Protection Plans Term Life, Total and Permanent Disablement and Living Insurance policies with stepped premiums.

“This effectively gives clients three months of free cover. It will be automatically applied through BT’s quote software LifeCENTRAL+, and through premiums modelled in Iress Risk Researcher and other adviser research software,” it says.

Steve Craig, Head of Adviser Distribution, Life Insurance, BT, says: “We’re continuing to make the discount available to help advisers and clients during these uncertain times, when insurance is so important, but affordability may be an issue for some clients.”

The insurer notes that the Reserve Bank’s latest chart pack for the Australian economy indicates a dip in consumer sentiment to near GFC levels, and a continuing downward trend in household consumption.

“Meanwhile, BT’s Financial Health Index survey results show that Australians’ belief that “paying for life insurance is money well spent” and that it is “critical to protect what you have”, has held steady during the coronavirus crisis (February to April 2020), compared to the same time last year.

It notes that among the respondents surveyed for its Financial Health Index:

  • In Feb-Apr 2019, 39 percent agreed that life insurance is critical to protect what you have
  • In Feb-Apr 2020, this was 41 percent
  • In Feb-Apr 2019 34 percent agreed that paying for life insurance is money well spent
  • In Feb-Apr 2020, the percentage was the same, 34 percent.

Click here for more information on the discount offer.



3 COMMENTS

  1. I can’t understand why any adviser would recommend this given we now have a 2 year clawback. In saying that it must be popular given they are extending it.

  2. You would want a price Guarantee for a minimum of two years No Increases allowed !!
    Problem after that though is what sort of increase is the client going to get ? Then here you go again based on the client screaming about the cost. You change them to someone who can provide the client with the same or better definitions at a cheaper cost and ASIC come down on you for “twisting” business.
    Its hard to win at this in the long term for all concerned.

  3. Why not offer it for Year 2 as opposed to Year 1?
    If you run the numbers the adviser is paying for the discount, by a reduction in upfront comms.

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