While industry lobbyists have been kept busy of late with debate raging over the definition of independence, advisers associated with the Life Insurance Customer Group (LICG) have been actively pursuing their agenda in the background.
Peter Corrie, an LICG supporter and director of self-licensed firm Rynco, has approached the NSW Chamber of Commerce recently, in addition to a number of federal parliamentarians, to argue against the government’s proposed changes to life insurance remuneration.
“The chamber has the power and influence with the government, particularly the present government, to challenge these regulations,” Mr Corrie said in a letter to stakeholders, seen by Risk Adviser.
“It also has enormous financial resources and a legal team to be effective in changing arrangements for the benefit of business.
“Politicians… on both the Liberal and Labor sides need to know that they have made a grave mistake by not acting in the interests of the life insurance industry, licensees, financial advisers/planners or the consumer.”
The email chain indicates that lobbying efforts against LIF are still ongoing within the industry and the LICG itself is still operational.
The lobby group has faded from the spotlight since a number of its members were defeated in their push to change the AFA constitution in late 2016.
A number of LICG members subsequently left the AFA membership, Risk Adviser understands.
Speaking to The ifa Show, the podcast of Risk Adviser’s sister publication, in March in his first media appearance as AFA chief executive, Philip Kewin said uniting the AFA membership was a top priority for his leadership.
It is very important for the LICG to keep up the fight. It is going to be very easy to prove in the future that the LIF will have a worsening effect on underinsurance and that clients are worse off. Its a shame that the FPA and AFA will never stand up to the instos and FSC who pay them not too.
Well said Squeaky
So Phil, you’re suggesting we just roll over and let the life companies get their way with a 2 year charge-back period? Not to mention cutting commissions? You should study up on the circumstances that brought about the famous saying, “All that is required for evil to triumph is for good men to do nothing”. Peter Corrie is to be applauded for his efforts.
What a great idea – let’s continue to poke the bear until it totally turns on us. LIF is here, just get on with our Life [Insurance] adviisng and work within the framework that has been clearly set down and begins to operate from 1 Jan 2018. I’m sure somewhere down the track, Bill Shorten would love to completely pull the [commission] rug from under our feet…don’t keep giving them justification to do so!