The new service will complete Exweb’s coverage of all the main product areas in the market and further reinforce its position as the most comprehensive portal service available to financial advisers.
The new service, expected to be launched in the first half of 2005, will enable IFAs to produce comparative quotes for individual PMI policies in a format consistent with the other Exweb quote services they already use. The service can help intermediaries to quickly and easily research the market and ensure compliance with the new FSA general insurance regulation. The service will be expanded to include corporate PMI schemes later in the year.
Under the new FSA rules advisers who wish to conduct PMI business will have to clearly demonstrate that they have taken all of the client’s needs and requirements into account when recommending a medical insurance plan. They will have to show that they have reviewed the market, presented clear quotations and explained how the plan is underwritten.
IFAs have shown strong demand for a new PMI quote service. Of the 800 firms questioned by The Exchange, 53% do not currently sell PMI policies but 71% did expect to sell them over the next 12 months. Of these the vast majority (93%) desired an internet based quote service like Exweb as opposed to some of the CD based quote services that currently exist.
The Exchange has partnered with Preferred Medical for the launch of this new PMI service. Preferred Medical is a specialist PMI adviser with 10 years of experience in the sector. Preferred Medical will supply the data for the quote service and will offer Exweb users a referral service via its PMI Club.
The PMI Club is a free service that gives IFAs access to a range of related information such as sample fact finds and reasons why information, a compliance checklist, provider literature, a dictionary of PMI terminology and frequently asked questions.
If an adviser is reluctant to carry out a sale, particularly in complicated cases, they can refer clients to Preferred Medical and receive an introducer’s fee. A trained PMI specialist will then deal directly with the client to conclude the sale, while providing a guarantee that the client will never be contacted for any reason other than the administration of the PMI scheme.
The PMI quote service on Exweb will cost IFAs £1.50 per quote or £18 per month for unlimited usage. As part of the launch campaign, a free month’s trial will be available.
David Child, managing director at The Exchange, comments:
“We have had great demand for a PMI quote service both from our IFA users and from product providers. The new service will help IFAs research the market on behalf of their clients and will give providers easy access to 20,500 financial advisers. This development will complete the product set on Exweb making it the only portal service to cover all main product areas.”
Mark Martin, managing director at Health-on-Line, comments:
“With nearly 6 million people covered today PMI is forming a more prominent part of financial planning. This service allows advisors to give up-to-date, accurate recommendations and submit paperless, signatureless applications electronically. It is warmly welcomed by us.”
