BT looks to improve insurance access

As part of its new offering, clients are now able to pay for life insurance through super rollovers, BT national life insurance product manager Scott Moffitt told ifa.

“I think it simplifies the access of [insurance] for a lot of people,” he said.

“There is confusion around whether the amount of insurance around superannuation is adequate and this enables them to still contribute to their superannuation fund and really… to access better insurance.

“It provides an easy way to do it rather than taking from their own back pocket or making a separate contribution. They can actually simplify their financial arrangements by making that rollout.”

BT said the group will pass on a 15 per cent tax benefit upfront and in each following year as part of the arrangement.

Income protection will be available through the superannuation products including the Super Plus IP feasibility linking option which splits the policy inside and outside of superannuation.

In further adviser product changes, BT has also included a new remuneration option in the lead-up to implementation of the Future of Financial Advice (FOFA) reforms.

BT advisers now have an initial commission-only option, providing them with one year’s commission without trail commission and with the premium also adjusted accordingly.

“We’re continuing refining remuneration models based on what the advisers are asking for … and this provides them with greater flexibility,” Moffitt said.