Life Insurance Online

Ludders_2

payless wrote: »

Although ludders I'm sure your signature is in breach of the site rules.

Point taken and signature updated. The only reason for adding the info to my signature was for this thread only. I wanted the posters to know that I am a Director of Moneyworld.com so they would be more careful with the infomation they supplied knowing I would comment on any inacurate information.

Ludders_2

dunstonh wrote: »

I think the point being made is on nil commission terms not full commission terms. That said, I do think mic2002 has failed to take into account the cost of advice.

Yes, its easy for us to beat Cavendish and the like but I (and most IFAs) are not geared up to run a factory line of applications at £25 a go or whatever it is now. Its a completely different type of market and business model. So, it doesn't really matter if we can beat them like for like when you arent retailing on that same model.

I refer you to the first post of this thread in which mic200202 clearly states that he can easily beat the 'best buy' companies' premiums with full commission policies. All of us know that this claim cannot be substantiated and therefore might lead to confusion. I have asked for evidence of this claim to be posted and so far nothing has appeared. I am still waiting.

Ludders_2

mic200202 wrote: »

Well, Ludders, I ran some quotes through comparing the examples on the MSE articles...ie Female 30NBD n/s 200k for 20 yrs mortgage term etc.Compared that to Cavendish online quotes, and I was still was able to get a cheaper premium,even with full commission. There was not the massive differecne I was expecting to see.

Like Dunstonh says, its down to the fact that different distribution channels will have different rates,comm terms etc.

The chart clearly states SMOKER so comparing non smoker rates to smoker rates is not realistic.

Also the rates today are lower than stated on the MSE chart which is only an example and is updated every few months..

To assist you in your research I have compiled the following;

MSE chart quotes
Female 30NBD smoker 200k over 20 yrs mortgage life £7.80 pm.

The cheapest full commission policy I found is £9.00 pm.

The cheapest premium on our web site is £6.02 p.m.

Can you honestly beat £6.02 p.m. using a full commission policy??

Evidence please as requested earlier.

Ludders_2

payless wrote: »

I often discount on full advice , but no way could I process at £25!! ( commision or fee)- but then I take repsonsbility for the advice surrounding the suitability of a policy and selecting the provider, guidance on completion of health questionnaries , provide all the paperwork printed, and supply SAEs

The only difference between your company and mine is in the area of advice. We do not give advice on the suitability of a policy to web based apllicants however we do offer guidance on completion of applications and health questionnaries, we provide all the paperwork printed at no extra cost and supply SAEs.

A discount operation does not automatically mean poor service levels!

mic200202

Ludders wrote: »

The chart clearly states SMOKER so comparing non smoker rates to smoker rates is not realistic.

Also the rates today are lower than stated on the MSE chart which is only an example and is updated every few months..

To assist you in your research I have compiled the following;

MSE chart quotes
Female 30NBD smoker 200k over 20 yrs mortgage life £7.80 pm..

Sorry Ludders, your're right here, it should have been on smoker rates.That made my standard quote come out at £7.85.Hardly a big difference.My point is that I was looking at the examples given on MSE which is what people will be guided by ( I know rates will change etc). The fact that there is no advice given for a cheap as chips policy should be highlighted and explained further.

Ludders_2

mic200202 wrote: »

Sorry Ludders, your're right here, it should have been on smoker rates.That made my standard quote come out at £7.85.Hardly a big difference.My point is that I was looking at the examples given on MSE which is what people will be guided by ( I know rates will change etc). The fact that there is no advice given for a cheap as chips policy should be highlighted and explained further.

MSE state on the list of best buys:

However beware that the fact they’re ‘execution only’ means they just find you the price without giving any advice. If you'd like advice, to ensure you have the right cover or come back if it's not, read the Getting Advice section.

Thats seems to be plain English?

One further point, the policies supplied by the discounters which are "cheap as chips" are exactly the same policies as you supply. There is no difference in quality! I am sure that is not what you were trying to infer just clarifying the situation.

payless

Ludders wrote: »

The only difference between your company and mine is in the area of advice. We do not give advice on the suitability of a policy to web based apllicants however we do offer guidance on completion of applications and health questionnaries, we provide all the paperwork printed at no extra cost and supply SAEs.


!

fair enough, as you will know not all discounters do this .

--
Was going to type up my views about " no advice sites" but decided against it..

Ludders_2

payless wrote: »

fair enough, as you will know not all discounters do this .

--
Was going to type up my views about " no advice sites" but decided against it..

It is fair to say that the quality of service varies from company to company in the discount market just as it does on the advisory side. We aim for very high standards as I am sure you do.

We also have qualified individuals giving advice to clients and therefore understand your points of view clearly. Maybe we have a different attitude to other discounters?

mic200202

Ludders wrote: »

Thats seems to be plain English?

It may be to you and me, however,the significance of this would be lost on the general public.There is a difference between putting this statement in and highlighting it thus ' SHOULD THERE BE ANY DOUBT OVER THE SUITABILITY OF A POLICY FOR FOR YOU OR IF YOUR CIRCUMSTANCES MAY INVOLVE ANY OF THE FOLLOWING; A SINGLE PARENT WITH DEPENDENTS;RECENTLY DIVORCED;CANCELLING AN EXISTING POLICY AND YOUR HEALTH HAS CHANGED; LIVING TOGETHER AS AN UNMARRIED COUPLE;MEDICAL HISTORY COMPLICATIONS; etc etc (you know the others...)

THEN YOU SHOULD SEEK ADVICE BEFORE COMMITTING YOURSELF TO PURCHASE SUCH POLICIES'

- just an ever so slightly different emphasis,don't you think.And rather more in line with treating customers fairly.


[/Quote} One further point, the policies supplied by the discounters which are "cheap as chips" are exactly the same policies as you supply. There is no difference in quality! I am sure that is not what you were trying to infer just clarifying the situation.[/quote]

I was using this to describe a philosopy of sales of complex products that is driven only by price (and rather worringly endorsed by MSE on this basis alone).The illusion to the general public is that all such policies are the same only differentiated by price.This is a state of play that has also been allowed to develop in sales of car and house insurance, ie you usually only find out what you've got when you make a claim.