Leading life insurer AIA Australia today announced that more than 1,000 advisers have now signed on to its popular transition to hybrid program, supporting them as they transition to the new life insurance reforms confirmed by the Government last week.
In the almost two years since the program’s inception, over 1168 advisers have joined to transition from up-front commissions to hybrid, improving the long-term recurring revenue in their business with support from AIA Australia.
The transition to hybrid program is designed to help advisers manage their cash flow as they move to a hybrid commission model, which can provide greater value than up-front commission structures over time.
AIA Australia’s Chief Retail Insurance Officer, Pina Sciarrone, said the popularity of the program to date was testament to advisers’ willingness to transition to a hybrid commission structure but require support to do so to reduce the cashflow gap.
“We developed our transition to hybrid program in response to feedback from advisers, and it is great that the program has been received so well.” said Ms Sciarrone.
Based on AIA Australia’s calculations, advisers who take part in the program could increase the value of their business by as much as 71% by the start of the fourth year, and as much as 93% at the end of year 10.
Adviser Daniel Lane who is authorised with specialist risk Licensee Affinia, signed on to the program 18 months ago, says it has allowed him to grow his business sustainably.
“When you consider what is going to deliver long-term sustainable income for the business in future, a hybrid commission structure makes sense. This type of program is a great way to make the transition, so I’m not surprised it’s been so popular with other advisers.”
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About AIA Australia
AIA Australia Limited is an independent life insurance specialist with over 40 years’ experience building successful partnerships. One of the country’s leading life insurers, AIA Australia offers a range of products that protect the financial health and welfare of more than three million Australians.
AIA Australia is the one of the country’s largest group life insurers by market share and works closely with major financial institutions and corporate partners. In addition, AIA Australia offers retail insurance products through financial advisers and a valued network of affinity partners.
By having a partnership philosophy at the core of its business, AIA Australia is focused on building sustainable relationships that add true value to its business partners. Numerous industry awards, including AFR Smart Investor Life Company of the Year, CANSTAR’s Innovation Excellence Award, the AFA Innovation Award for the Best Risk Product of 2014 and ANZIIF’s Life Company of the Year (2013 and 2012), stand as testament to the success of our commitment to productive partnerships.
AIA Australia is part of the AIA Group, a market leader in life insurance across the Asia Pacific region for over 90 years.