Is a specific protection trade body the best result advisers can aim for? Richard Verdin introduces a different option.
It is therefore reasonable to suggest that, at this stage in the intermediary association life cycle, the last thing that anyone needs is an Association of Protection Insurance Intermediaries (APII) to sit alongside all of the others listed above.
This observation may not be seen as particularly helpful to those planning an association to represent the interests of protection insurance intermediaries. But, ultimately, if you want to see a great outcome, now is the time to speak and maybe be outspoken.
Search for a new ‘super-group’
Studying each of the association models might give people some ideas on how they may want to organise themselves (or not). However, under the current constructs, intermediaries’ voices are not carrying as far as they might, simply because so far they have not organised themselves into a ‘super-group’.
The ABI is a good example of a well constructed ‘super-group’, representing diverse yet often aligned interests, with its structure of board and board committees covering investments, general insurance, long-term savings and life insurance businesses.
Perhaps it is time for a new ‘super-group’ to represent intermediary interests in the same way, squeezing in advisers, non-advisers and all the various product lines? Perhaps it is time for the Association of Professional Financial Mortgage & Insurance Intermediaries (APFMII), or more simply the Association of Professional Intermediaries (API) to come up with a similar corresponding structure to that of the ABI?
Whatever you think of the ABI, in many ways it is an effective association for its members. As an organisation, its business is to be well organised, well connected and resourced appropriately, representing the interests of a large number of product providers across various market segments, which are actively involved in every type of distribution you can possibly imagine.
It is not sure that intermediary representatives will be able to set aside their own preferences to make anything like API happen, but they should at least think about it and perhaps even talk about it.
The consequences are of course for the membership to experience. However, for those pleading a lack of resources or influence then maybe, just maybe, now is the time to take stock and think a little more strategically about ‘what if’, rather than ‘what is’.
Everyone wants a vibrant, strong, engaged sector, well represented in all the important and urgent developments. So why is it only intermediaries who are not organised to participate fully, coherently or completely effectively in a powerful, valuable, dynamic and increasingly ‘under the microscope’ insurance segment?
Government is, consumer representatives are, the regulator is, as are insurers. Intermediaries represent the missing link in the chain.
It is to be hoped that the stars align and that those with the very best intentions succeed in developing an appropriate voice. Perhaps restructuring all organisations into one is just too much to hope for. But as my head of year scrawled (in red ink) across my last ever end of year school report: ‘Hope springs eternal.’
Richard Verdin is managing director, protection at Aviva UK
