Personally, I don’t think we share some of the fantastic outcomes achieved for our clients enough. Afterall they are something to be proud of, particularly when it’s a big win for them financially.
We hear the feedback, we see the impact, but today I want to share a recent example, of the immediate impact an insurance review can have.
I’m currently undertaking a review with an existing client where we were able to add a fair amount of value when they first joined Hewison Private Wealth. In this case, the client was paying premiums in excess of $110,000 across all of their policies each year. Granted this is more than most people would need, but whether you’re paying that much, or much less, you’ll find this relatable if you are auto-renewing insurance policies year after year.
When the client came to us their policies hadn’t been reviewed for some time and had become priced a little out of the market. Through various pre-assessments and some restructuring, we were able to have some of the insurance replaced to achieve total premiums of just under $90,000.
In addition, because we operate on a fee for service basis, we also gave all policy commissions back to our clients, which represented a further $24,000.
So, in the first year the value that we created for the client was just under $50,000.
Staggering really. Not only do those premium savings continue each year whilst the policies are in place, but the commission savings are also ongoing. Therefore, value over a number of years becomes quite significant.
Admittedly, large cases like the above are probably among the 1%, especially for personal protection. Some business purpose cases for buy/sell and key person strategies can often be on this scale collectively, however, for the most part, insurance premium outlays are not to this extent.
The point I am emphasising with this client story is the significant value we can deliver, regardless of the scale of overall premiums. We have had many great wins for our insurance clients, whether it's $1,000 or $10,000 in savings directly back to the client, each is just as important and valuable to the next.
We might be able to do the same for you, but you won’t know until you look under the hood of what you do, or don’t have in place. The Risk & Insurance team at Hewison can uncover this pretty quickly, we encourage you to take action and we can do the heavy lifting for you.
Hewison Private Wealth is a Melbourne based independent financial planning firm. Our financial advisers are highly qualified wealth managers and specialise in self managed super funds (SMSF), financial planning, retirement planning advice and investment portfolio management. If you would like to speak to a financial adviser on how you can secure your financial future please contact us 03 8548 4800, email firstname.lastname@example.org or visit www.hewison.com.au
Please note: The advice provided above is general information only and individuals should seek specialised advice from a qualified financial advisor. The views in this blog are those of the individual and may not represent the general opinion of the firm. Please contact Hewison Private Wealth for more information.