{"id":60318,"date":"2022-04-05T15:15:14","date_gmt":"2022-04-05T04:15:14","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=60318"},"modified":"2024-10-30T08:43:46","modified_gmt":"2024-10-29T22:43:46","slug":"latest-poll-risk-commissions","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2022\/04\/05\/latest-poll-risk-commissions\/","title":{"rendered":"Latest Poll &#8211; Risk Commissions"},"content":{"rendered":"<div id=\"polls-274\" class=\"wp-polls\">\n\t\t<div class=\"pollHeader\"><strong>A 60\/20 commission model will sustain a viable risk-focussed advice business.<\/strong><\/div><div id=\"polls-274-ans\" class=\"wp-polls-ans\"><ul class=\"wp-polls-ul\">\n\t\t<li>Disagree <small>(70%)<\/small><div class=\"pollbar\" style=\"width: 70%\" title=\"Disagree (70% | 191 Votes)\"><\/div><\/li>\n\t\t<li>Agree <small>(23%)<\/small><div class=\"pollbar\" style=\"width: 23%\" title=\"Agree (23% | 62 Votes)\"><\/div><\/li>\n\t\t<li>Not sure <small>(7%)<\/small><div class=\"pollbar\" style=\"width: 7%\" title=\"Not sure (7% | 20 Votes)\"><\/div><\/li>\n\t\t<\/ul><div style=\"text-align: center\"><\/div><\/div>\n\t\t<input type=\"hidden\" id=\"poll_274_nonce\" name=\"wp-polls-nonce\" value=\"e4dca20075\" \/>\n<\/div>\n\n<p>Our latest poll seeks your updated view, a little more than 12 months since we asked you the same question about what level of commission will sustain a risk-focussed advice practice.<\/p>\n<p>We&#8217;re re-visiting this question following the release of ClearView&#8217;s recently-released 2022 Reform Agenda, in which the wealth manager strongly reinforces its support for the continuation of life insurance commissions, stating:<\/p>\n<p>&#8220;The commission model is globally-accepted, economically rational and reflects how consumers prefer to pay for life insurance advice.&#8221;<\/p>\n<p>Clearview&#8217;s agenda document adds that risk commissions enable product manufacturers to cover the full or partial cost of life insurance advice and that without this subsidy, the majority of Australians would not be able to access adequate protection (see: <span data-sheets-value=\"{&quot;1&quot;:2,&quot;2&quot;:&quot;Leave Commissions Alone - ClearView&quot;}\" data-sheets-userformat=\"{&quot;2&quot;:513,&quot;3&quot;:{&quot;1&quot;:0},&quot;12&quot;:0}\"><a href=\"https:\/\/riskinfo.com.au\/news\/2022\/04\/05\/leave-commissions-alone-clearview\/\" target=\"_blank\" rel=\"noopener\">Leave Commissions Alone &#8211; ClearView<\/a>)<\/span>.<\/p>\n<blockquote><p>&#8230;current life insurance commission rates in Australia are appropriate<\/p><\/blockquote>\n<p>In unequivocally supporting the retention of risk commissions, however, the wealth manager also notes it believes &#8220;&#8230;current life insurance commission rates in Australia are appropriate, capped at 60% upfront and 20% ongoing&#8221;, adding that any further changes are unnecessary and would have a detrimental impact on consumers, society and the life insurance industry.<\/p>\n<p>Where do you stand on the question &#8211; not of retaining life insurance commissions, but whether &#8211; if retained &#8211; a 60\/20 upfront and renewal model would be sustainable for risk specialist advice businesses.<\/p>\n<p>A year ago, the adviser view on this question was very clear, as the final poll numbers indicate below:<\/p>\n<figure id=\"attachment_60322\" aria-describedby=\"caption-attachment-60322\" style=\"width: 689px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/220405-Latest-Poll.png\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-60322 size-full\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/220405-Latest-Poll.png\" alt=\"\" width=\"689\" height=\"196\" srcset=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/220405-Latest-Poll.png 689w, https:\/\/riskinfo.com.au\/news\/files\/2022\/04\/220405-Latest-Poll-300x85.png 300w\" sizes=\"auto, (max-width: 689px) 100vw, 689px\" \/><\/a><figcaption id=\"caption-attachment-60322\" class=\"wp-caption-text\">This poll was conducted with Riskinfo readers during February 2021<\/figcaption><\/figure>\n<p>Last time, we asked a slightly different question, which sought to compare the viability of an advice business operating under a 60\/20 commission cap with one operating at 80\/20. This latest poll, however, is focussed solely on whether the 60\/20 commission model will sustain an Australian risk specialist advice business and &#8211; perish the thought &#8211; enable it to operate profitably.<\/p>\n<p>Has your thinking changed at all since we covered this issue early last year? Or does the 60\/20 commission cap remain seemingly a bridge too far for most advisers when it comes to future business sustainability? Tell us what you think, and we&#8217;ll report back next week&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Our latest poll seeks your updated view, a little more than 12 months since we asked you the same question about what level of commission will sustain a risk-focussed advice practice. We&#8217;re re-visiting this question following the release of ClearView&#8217;s recently-released 2022 Reform Agenda, in which the wealth manager strongly reinforces its support for the [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":60335,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8,49,270],"tags":[],"class_list":["post-60318","post","type-post","status-publish","format-standard","has-post-thumbnail","category-compliance-regulation","category-polls","category-remuneration"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/60318","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\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=60318"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/60318\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/60335"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=60318"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=60318"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=60318"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}