Financial planners who provide risk advice cited rising premiums as their top challenge in 2020, according to a survey.
Investment Trends’ ‘2020 Planner Risk Report’ found 61% said rising premiums were their top challenge followed by compliance obligations (53%) and paperwork/admin requirements (50%).
The research house’s associate research director, King Loong Choi, said: “When asked to describe in their own words how insurers helped them navigate COVID-19, planners most often acknowledged premium relief for impacted clients, proactive business development manager (BDM) contact and streamlined online processes.
“Competitive premiums matter for planners and their clients in their choice of insurer, but it isn’t the sole factor. Planners highly value proactive support, meaning that insurers that provide quality BDM support, ongoing communications and quick turnaround times will stand out.”
The majority (80%) of the respondents said they made changes to their delivery of risk advice as a response to the disruptions as a result of the COVID-19 pandemic.
They also said they engaged with clients more frequently (30%), scrutinised premium levels (23%_, and quality of service (23%) when selecting insurers, and accelerated their technology adoptions in their risk advice process (22%).
However, only a quarter of the respondents rated their main insurer as ‘very good’ compared to 57% in 2019.
NEOS was the most highly-rated insurer in terms of satisfaction with 56% of users rating it as ‘very good’. ClearView followed at 54%, and Zurich rounded out the top three.