Financial Planners

Never before have Financial planning firms operated in such a volatile investment environment and under increasing regulatory scrutiny. CPR Insurance has a deep understanding of the industry and the effects of increasing legislation such as ASIC’s Regulatory Guide 126 (RG126), which formalises the insurance requirements for financial planners, and arranges the best available cover to suit. They obtain tailored insurance coverage providing peace of mind to all Australian Financial Services License Holders.

 

Why do I need cover?

The policy must cover the acts of the licensee and its representatives and all past and present Authorised Representatives including its Subsidiaries.

 Some of the exposures that a Financial Planner could face are allegations for misleading and deceptive conduct, inappropriate financial advice or poor profiling of clients, failing to recommend adequate levels of insurance or to arrange insurance, inappropriate estate planning resulting in financial loss, breach of privacy, fraud and dishonesty of their employees and authorised representatives

 

What Cover is available?

There are only a few insurers that are able to provide a Civil liability policy that indemnifies the licensee against liability for an economic loss suffered by their retail clients. This could  be a breach of the relevant sections of the Corporations Act by the licensee or its representatives.  Coverage for breaches that arise from fraudulent and dishonest conduct is also provided, including all cover for misleading or deceptive conduct under all statutes, but also for Intellectual property (including breach of copyright), defamation, fraud or dishonesty of principals, partners, directors or employees (including theft of third party money or securities), Loss of documents cover and most importantly Defence costs

You should also seek Policy Features which include aflexible definition of what is an approved product (those approved in writing by the policyholder’s investment committee) and products also not on the approved product list, but which are the subject of written guidelines from the policyholder. A broad definition of insured to include temporary contract labour, self-employed persons, labour-only sub-contractors under the direction and direct supervision of the policyholder, Automatic cover for subsidiaries and Worldwide territorial cover.

There should be cover for findings and awards by external dispute resolution bodies. Some policies include Court attendance costs, an extended reporting period, property cover for lost documents, Quasi judicial costs and even a Legal advisory Panel. Also available are extensions for authorised representatives (past and present) including for activities for Margin lending and gearing, Mortgage services, Non-life insurance, Life insurance and Fidelity.

 

How do I obtain a quote for cover?

Insurers like Australian Financial Services License Holders that can demonstrate a positive approach to risk management. Insurers will require an Underwriting submission to be provided with Information including a proposal form, a copy of a Financial Services Guide, a copy of a Statement of Advice, a copy of the current Approved Product List, a copy of the complaints register and full claims experience including full details of all paid and outstanding matters. Start up operations will need to also provide resumés for all principals, partners or directors and details of any past claims with previous Licensees.

 

Who can help?

It is important to work with professionals who understand your industry and your insurance needs.  An insurance broker's role is to act as your representative and work in your interests, seeking the best cover at the best price for you from market knowledge. Robert Cooper has been the Insurance Broker for many small to medium Financial Planning groups in Queensland and assisted with many of their claims. So call a good Insurance Broker.  

Call CPR.- Experts who will save you!

Regulation RG126 - Financial Planners Insurance Requirements

Examples of claims against Financial Planners

Latest News

CPR joins Ausure

We would like to announce to all our Clients, Prospective Clients, Suppliers and Insurers, that Cooper Professional Risks Pty Ltd trading as CPR Insurance Services, will be leaving National Adviser Services Pty Ltd (NAS) and joining Ausure Pty Ltd as a Corporate Authorised Representative from 5 March 2018.

Fundamentally, there is no difference to you, except our Invoices will look a little different, and the Banking details will be in a different name and account number. Everything else at CPR stays the same.

There are a number of reasons we have made this decision, but the primary reason is for what we believe is best for our clients.

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Special offer to CPR Insurance clients

Employsure are providing a FREE Business Health Check to all our clients and gives you the opportunity to receive an analysis of the health and safety requirements in your workplace. Also. Employsure  will review your employment agreements as well as your wage rates helping you to avoid workplace claims.

Ordinarily this would cost you at least $1,250 but because you are a CPR Insurance client, it is free!

It involves the following review for you.

SAFECHECK

A specialist Work Health and Safety Consultant will visit your workplace and carry out:

A review of your business’ current work health and safety policies, procedures and systems to identify areas of concern or non-compliance

Following the review, you will receive a report summarising the findings and the health and safety

Status of your workplace

WAGE CHECK

A Wages Adviser will review your rates of pay and produce a Wage Check report.

The review will be conducted against the industrial instrument applicable

A report will be supplied advising if the wages are compliant and what steps to take to achieve compliance

CONTRACT REVIEW

A Document Consultant will review an employment agreement and provide recommendations.

The review will highlight compliance issues with the Fair Work Act 2009 as well as best practice

The report will make recommendations to achieve compliance and provide protection to your business.

This will remove any areas of potential dispute and risk

So what do you have to lose? Contact us on 07 3123 1137 and arrange 

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