In the wake of recent research revealing more than four thousand advisers still need to complete their minimum educational requirements by year’s end, a renewed call has been made for advisers to consider the general advice pathway.
This call has been made by Australian Advisory Operations Manager, Nathan Kassouah, as he and his firm seek to engage with advisers thinking of leaving the industry in the lead-up to the qualification standard deadline of 1 January 2026, or those who are still considering their options.
The incoming education standard mandates that financial advisers who don’t meet the ‘experienced provider’ pathway must hold a bachelor’s degree or higher in any discipline, and complete a professional year involving 1,600 hours of supervised practice. Additionally, all advisers must pass the Financial Adviser Exam by 31 December 2025 (see: Deadline Looming for Thousands of Advisers).
However, Sydney-based Kassouah says another way to continue working in the sector of risk insurance is to switch to only offering general advice.
…moving to a general advice methodology may require a different mindset
In advocating that a general advice proposition may offer a way forward for some advisers who have yet to meet the minimum education standards, Kassouah also makes the point that moving to a general advice methodology may require a different mindset when meeting clients seeking risk insurance. This shift in mindset is necessary, according to Kassouah, because the role of a general advice adviser is fundamentally different from that of a financial planner:
“Rather than conducting a comprehensive fact-finding process to assess a client’s full financial and personal circumstances and then providing tailored advice through a Statement of Advice, the general advice adviser focuses on educating the client,” says Kassouah, who continued:
“This involves presenting factual, product-specific information about insurance—such as the types of products available, the providers, the key features of each product, how they function at claim time, and the broader considerations clients should take into account when thinking about insurance.”
…the aim is to guide clients through an informative journey, helping them understand the role and importance of insurance
Kassouah says the aim is to guide clients through an informative journey, helping them understand the role and importance of insurance, and empowering them to make an informed decision about the cover they need to protect themselves and their loved ones:
“The adviser’s role is to explain to and educate the client on how each product works with the decision left to the client to make.”
In situations where an adviser is aware of some aspects of a client’s financial position such as the amount of debt remaining on their family home mortgage or investment property, Kassouah says the adviser cannot use that information to provide personal advice or make a recommendation about the appropriate level of insurance cover:
“Instead, the adviser’s role is to educate the client on what factors they should consider—such as personal debts and loans—when deciding on the level of cover they may need.
Kassouah emphasises he is strongly supportive of the full advice model and that there is no substitute for the tailored, comprehensive solution that personal advice practitioners provide, especially for clients with complex financial needs or those seeking holistic guidance across insurance, superannuation, and investments:
Rather than competing, general advice complements this model…
“Rather than competing, general advice complements this model,” argues Kassouah, where he says general advice offers a solution for advisers who are finding it increasingly difficult to continue providing risk insurance through the full advice framework: “It creates an alternative route that still delivers value to clients—particularly those whose primary need is life insurance—while preserving adviser involvement in a meaningful and compliant way. Together, the two models form a more flexible and resilient risk advice ecosystem,” he argues.
This latest call for advisers to consider the general advice option now and beyond 1 January 2026 follows robust discussion at the Riskinfocus 25 Risk Advice CPD Tour events in March this year, where majority adviser opinion across the six events differed when it came to deciding on the merits of the general advice proposition as an alternative pathway through which to deliver life insurance solutions.
While opinion varied across the six Riskinfocus 25 events, a national poll conducted around the same time returned this result:
See also: Latest Poll – General Advice for Risk
