{"id":8767,"date":"2010-12-07T18:23:06","date_gmt":"2010-12-07T07:23:06","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=8767"},"modified":"2020-02-06T08:13:33","modified_gmt":"2020-02-05T21:13:33","slug":"should-tpd-definitions-be-standardised","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2010\/12\/07\/should-tpd-definitions-be-standardised\/","title":{"rendered":"Should TPD Definitions be Standardised?"},"content":{"rendered":"<p style=\"text-align: center\"><a href=\"https:\/\/riskinfo.com.au\/polls\/should-tpd-definitions-be-standardised\" target=\"_self\" rel=\"noopener noreferrer\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1228         aligncenter\" style=\"border: 0px\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2009\/05\/vote-now.jpg\" alt=\"Vote Now!\" width=\"108\" height=\"47\" \/><\/a><\/p>\n<p>Following the announcement that the United Kingdom is to introduce standard TPD definitions next year, we ask whether\u00a0this could be the fore-runner of change in\u00a0the Australian life insurance market.<\/p>\n<p><!--more-->Our latest poll questions asks:<\/p>\n<p><strong><em>Do you agree that standard TPD definitions would benefit the consumer in the Australian life insurance market?<\/em><\/strong><\/p>\n<p>There are clear arguments both for and against this position.\u00a0 In the UK (see: <a href=\"https:\/\/riskinfo.com.au\/news\/2010\/12\/07\/standard-tpd-definition-to-be-released-in-uk\/\" target=\"_self\" rel=\"noopener noreferrer\">Standard TPD Definition to be Released in UK<\/a>) it was decided, after broad consultation with advisers, consumers and other industry stakeholders, that a standard set of TPD definitions, more &#8216;descriptive&#8217; headings and better consumer education\u00a0will lead to:<\/p>\n<ul>\n<li>Greater\u00a0clarity in the mind of the consumer<\/li>\n<li>Less TPD claims being denied<\/li>\n<\/ul>\n<p>On the other hand, whenever the case for standardising definitions is raised (TPD or other key critical illness definitions), there is a counter argument that standardising definitions will stifle any product\u00a0innovation and lead to a straight-out price war.<\/p>\n<p>For this question, it may be difficult to\u00a0develop an informed position on the principle alone.\u00a0 Rather, it may require all interested stakeholders to consider the finer details of the proposition. \u00a0In the UK, the Association of British Insurers will release its standard TPD definitions early in 2011 when it updates its Statement of Best Practice for Critical Illness.\u00a0 We will report these details when released.<\/p>\n<p>There are also differences that exist between the UK and Australian retail insurance markets. For example, most TPD definitions that exist in the Australian\u00a0market already possess many common key phrases to the extent that a significant proportion of advisers, researchers\u00a0and life company execs believe the differences between the large majority of TPD definitions lie mostly at the &#8216;edges&#8217;.<\/p>\n<p>The focus during 2010 in Australia has naturally centred on the implications of the Future of Financial Advice reform proposals, both\u00a0to the industry and to consumers.\u00a0 While this focus will continue into 2011, it is important to take a step back to also consider questions such as the future direction of insurance products themselves.<\/p>\n<p>Let us know what you think.\u00a0 Do\u00a0you believe standardised TPD definitions will be of benefit to the Australian life insurance consumer? &#8230;<\/p>\n<p style=\"text-align: center\"><a href=\"https:\/\/riskinfo.com.au\/polls\/should-tpd-definitions-be-standardised\" target=\"_self\" rel=\"noopener noreferrer\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-1228         aligncenter\" style=\"border: 0px\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2009\/05\/vote-now.jpg\" alt=\"Vote Now!\" width=\"108\" height=\"47\" \/><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Following the announcement that the United Kingdom is to introduce standard TPD definitions next year, we ask whether\u00a0this could be the fore-runner of change in\u00a0the Australian life insurance market.<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,49,4],"tags":[],"class_list":{"0":"post-8767","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-general","7":"category-polls","8":"category-products"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/8767","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=8767"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/8767\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=8767"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=8767"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=8767"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}