Real Insurance founder Richard Enthoven says direct life insurance makes cover accessible to families who otherwise would be uncovered as “not all Australians can afford or need financial advice”.
He cited Roy Morgan data, which he said “shows that the channel used to purchase insurance has a strong correlation with satisfaction levels”.
“Given developments in technology, Australians are becoming increasingly confident about doing things themselves that they previously couldn’t do, like researching life insurance online and then purchasing it directly,” Mr Enthoven said in a statement.
According to the Family Protection Survey, which was commissioned by Real Insurance and conducted by CoreData, around 38 per cent of respondents surveyed do not have any life insurance, while just over 22 per cent said they don’t feel confident that the insurance they have is adequate for their needs.
Around 40 per cent of respondents said they have not chosen caretakers for their children in the event of their death, while just over 56 per cent said they do not have a will.
The survey asked 1,000 Australian parents in April 2017 about the methods they use to protect their families.
Two hundred respondents were surveyed each from New South Wales, Victoria, Queensland and Western Australia, while another 200 came from the remaining states and territories.
Typical self promotion! So Australians may be able to do “things” for themselves but they do not have a clue regarding the many aspects of income protection, trauma and TPD any and own definition insurance, let alone the implementation of an appropriate insurance plan. Furthermore, good luck with the claims experience without the assistance of a dedicated adviser!
If Mr Enthoven is so adamant that direct insurance is the answer to the underinsurance issue shouldn’t he also published his Real Insurance’s claim decline figures verse advised insurance?
Conveniently left out the bit about direct insurance being often more expensive than that of advised insurance, oh and of course that minor point that advised insurance a much better quality product – but hey, lets not let the facts get in the way of a good story! I’m yet to have a client where I wasn’t cheaper than their group or direct insurance premiums.