Full Disclosure, for their sake.

A long time client contacted me to say they would likely be cancelling one of their insurance policies because their employer was putting a similar one in place. At the same time they asked me to give my opinion on the new proposed coverage.

Some way down the email trail which had the proposed policy parameters was a round-robin memo from the HR person to all the employees that qualified for the scheme.

With regard to filling in the Life insurance application form this was their instruction alongside such standards as 'use black ink'

- "Let me know if you need any help. If you are not sure on a question you could always answer N/A - there are some wacky questions!"

My goodness! Lesson 1, Day 1, on your first day in life insurance, you are taught the importance of full disclosure of facts.
We all read far too regularly tales of insurance companies trying to 'wriggle out of claims' but is it any wonder when some people receive advice like my client received from their HR dept. Simply stating 'not applicable' because you don't understand the question is no way to go about things.

In this instance I was able to sit with my client and go through the form, answering any questions so that it was completed fully and correctly. Of course we all hope we never need to claim on an insurance but if that event does occur, it is surely for the best that the claim has the best possible chance of being paid without delay rather than 'wriggled out of'.

It is times like this I believe a trusted adviser can create value for a client. Financial products can be complex and can be complicated.

Sometimes paying for professional advice, even if just for a second opinion or a piece of guidance from someone who has done it many times before, can not only save time and hassle now, but can be the difference between a rejected claim - and an insurance payout that makes the difference in your family's future.