A major bank has confirmed that it experiences significantly fewer life insurance-related complaints when financial advisers are involved in the claims process.
ANZ has used its submission to the ongoing Parliamentary Joint Committee inquiry into the Life Insurance industry to note the value delivered by financial planners, at the same time as proposing the establishment of an industry-funded Claims Assistance Service for life insurance.
It said such a service was warranted in circumstances where some clients struggled to deal with the technicality of the processes.
“There is an opportunity for the life insurance and superannuation industries to play a greater role in assisting customers with the claims process,” it said. “This could be achieved through the establishment of an industry funded Claims Assistance Service for life insurance.”
The ANZ submission then went on to add: “We do note that [the] overwhelming majority of claimants with retail life insurance are supported by a financial adviser. We experience significantly less complaints where a financial adviser is involved in the claims process”.
“ANZ endeavours to make the insurance claim process as easy as possible for our customers. However, we appreciate that some customers may have difficulty with the claims process or will have particular requirements when a claim is made.”
“An independent, industry funded service could assist claimants (many of whom do not have an adviser) through the claims process from initiation to decision,” the submission said.
It said the proposed independent Claims Assistance Service for Life Insurance would be funded by the life insurance industry and superannuation trustees but that it would not replace existing external dispute resolution (EDR) mechanisms, but sit alongside them.
Source: Money Management
