{"id":29754,"date":"2015-05-26T15:56:03","date_gmt":"2015-05-26T05:56:03","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=29754"},"modified":"2025-05-21T14:29:28","modified_gmt":"2025-05-21T03:29:28","slug":"asteron-prepares-advisers-for-remuneration-change","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2015\/05\/26\/asteron-prepares-advisers-for-remuneration-change\/","title":{"rendered":"Asteron Prepares Advisers for Remuneration Change"},"content":{"rendered":"

The life insurance industry is on the precipice of one of the biggest changes it has ever seen, and advisers will need to alter the way their businesses operate, Asteron Life\u2019s Mark Vilo<\/strong> has warned.<\/p>\n

<\/p>\n

Speaking to advisers as part of a roadshow series run by the insurer to launch its latest round of product enhancements, Asteron Life\u2019s Executive Manager said advisers needed to prepare themselves for change.<\/p>\n

\u201cThe objective of John Trowbridge\u2019s report was to make change. It was to disturb, and to challenge the current environment \u2013 which is exactly what he has done,\u201d Mr Vilo said.<\/p>\n

\u201cAt some point in the future there is an expectation that this industry could end up as fee for service.\u201d<\/p>\n

He acknowledged that advisers were concerned about the remuneration model proposed in the Trowbridge Report, and said he had received numerous questions from advisers about how the model was calculated and where the various numbers had come from.<\/p>\n

At some point in the future there is an expectation that this industry could end up as fee for service<\/p><\/blockquote>\n

\u201cAdvisers are asking us: \u2018What does it [Trowbridge] mean for my business? So in response, we created the Asteron Life Remuneration Modeller.\u201d<\/p>\n

The Modeller enables advisers to assess the impact on their businesses if the Trowbridge remuneration recommendations are implemented.<\/p>\n

\"Asteron<\/a>
Asteron Life Executive Manager, Mark Vilo<\/figcaption><\/figure>\n

Using information such as how much new business the adviser is currently writing, how many new clients are seen annually, the amount of inforce premium the business currently has, and the remuneration model currently used, the Modeller compares what the business looks like now, against what it would like under an alternative remuneration model.<\/p>\n

\u201cThis will help you make decisions, even if they\u2019re small ones, that will help your business in the long term,\u201d Mr Vilo said.<\/p>\n

Mr Vilo did not confirm whether Asteron Life was in favour of the remuneration model proposed in the final Trowbridge Report, but told advisers that the insurer was investigating a wholesale-style product, with the flexibility to dial up commission to any level the adviser wished.<\/p>\n

\u201cIf you\u2019re thinking about the way products have evolved over time, our view\u2026 is that we need to question and challenge whether or not they are the way of the future. One of the things we put forward [in Asteron Life\u2019s response to the Trowbridge Interim Report] was the idea of having a form of \u2018naked\u2019 or wholesale pricing.<\/p>\n

\u201cYou, the adviser, could then act as a wholesaler, and dial up your remuneration to whichever rate you felt was appropriate \u2013 be it nothing, right up to 100% of the sum insured, or beyond.<\/p>\n

\u201cIt\u2019s an idea, and it\u2019s something we\u2019d like to explore with you as to whether we should pursue it.\u201d<\/p>\n

Mr Vilo added that he expected there to be some clarity on the future of the insurance sector very soon, with the Financial Services Council (FSC) likely to release its response to the Trowbridge Report to the Assistant Treasurer this week.<\/p>\n

\u201cWe need to get some certainty so we can start to move forward,\u201d he said.<\/p>\n

To access the Asteron Life Remuneration Modeller, please contact your Asteron Life BDM. For more information on the Asteron Life product upgrade, click here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

The life insurance industry is on the precipice of one of the biggest changes it has ever seen, and advisers will need to alter the way their businesses operate, Asteron Life\u2019s Mark Vilo has warned.<\/p>\n","protected":false},"author":1,"featured_media":29795,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[48,8,241,270],"tags":[4247],"class_list":["post-29754","post","type-post","status-publish","format-standard","has-post-thumbnail","category-company-news","category-compliance-regulation","category-conferences-and-events","category-remuneration","tag-feature","headers-new"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/29754","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=29754"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/29754\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/29795"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=29754"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=29754"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=29754"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}