These are the headline findings of new research released by Zurich, to coincide with the launch of a national program of adviser roundtables on life insurance reform.

The June survey of 207 advisers active in the life insurance market found that 37 per cent would respond to the new framework by increasing their focus on efficiency. Broadening the advice offering and target market is also on the agenda for many practices, with 26 per cent indicating they would focus on more holistic (rather than risk specific) financial advice, and 23 per cent seeking to specialise in market segments with higher value clients.

When asked to nominate the single biggest driver of improved efficiency, 55 per cent indicated a more flexible, less onerous compliance regime was critical, with a further third (33.1 per cent) indicating that automation and technology would underpin efforts to adapt to the evolving advice landscape.

In releasing the research, Ms. Kristine Brooks, Head of Distribution for Zurich’s Life and Investments business, said the findings were encouraging because they indicate advisers have already started to reposition themselves for the future.

“Rather than looking backwards, advisers are clearly starting to think about those aspects of their business where there are opportunities to drive more value in the future”, said Ms Brooks.

“Importantly, they are focussing on those parts of the value chain which are most within their control.

“The findings also put life insurers and licensees on notice to be more innovative and customer centric in the way they support the client engagement processes of advisers,” she said.

“The support must be tangible too; for example our newly launched quote and application platform – ZXpress– cuts the application time by up to 30%, delivering advisers a significant efficiency boost and improving the client experience”.

When considering the forces that would impact their businesses the most over the longer term – consumers self-serving online and the overall health of the economy were seen to be just as significant as remuneration changes. 61 per cent of respondents rated consumer self-service in the top three most impactful trends, compared with 56 per cent who included remuneration changes in their top three, and 50 per cent who said the overall state of the economy was a key driver of the health of their business. 35.3 per cent nominated the advent as robo-advice in their top three.

“Whilst the ability to embrace and adapt to change is a given, the most successful advisers are those who aren’t just reacting to change, they are looking forward and anticipating it”, said Ms Brooks.

Zurich’s national program of life insurance reform roundtables are designed to allow advisers to work in partnership with Zurich on a blueprint for the future of life insurance advice.

Commencing on 14 July and occurring over the month thereafter in Brisbane, Sydney, Perth, Melbourne and Adelaide, the workshops provide an opportunity for advisers to share insights, challenges and ideas on how to partner more effectively with their insurer panel.

Key findings of research:

Many advisers see room for improvement via efficiency

• 37 per cent will respond to the new framework by increasing their focus on efficiency
• 55 per cent indicated a more flexible, less onerous compliance regime was critical
• A further 33.1 per cent indicated that automation and technology would underpin efforts to adapt to the evolving advice landscape

Many advisers are re-thinking their value proposition and business model:

• 23 per cent seeking to specialise in market segments with higher value clients
• 26 per cent indicating they would focus on more holistic (rather than risk specific) financial advice

Beyond remuneration, trends that advisers are most concerned about include:

• 61 per cent of respondents rated consumer self-service in the top three most impactful trends
• 50 per cent said the overall state of the economy was a key driver of the health of their business
• 3 per cent nominated the advent as robo-advice in their top three.

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