Foresters Friendly Society launches Introducer Scheme
Thursday, December 5, 2013
Foresters Friendly Society has launched an Introducer scheme designed for people interested in making others aware of the mutual Society and its products. The Society will pay Introducers a fee for customer leads if the introduction results in a policy being taken out. The scheme covers Professional Introducers (Financial Conduct Authority regulated persons) and Casual Introducers (non-Financial Conduct Authority regulated persons).
Following the implementation of the Retail Distribution Review (RDR) at the end of 2012, the way customers access financial advice, and therefore savings and investment products, has changed. Following the RDR, fewer customers can afford to access financial advice through Financial Advisers and as a consequence customers are doing more themselves in deciding what financial products are available and suitable to their needs. Further to this change, Foresters has launched its Introducer scheme, which is a means for such customers to consider the merits of the Society's products that are on offer.
The RDR was designed to improve standards of financial advice and, through banning commission payments on investment related products, eliminate any bias to product providers from financial advisers. The common sense objective of improving the quality of financial advice is positive, however the more evident requirement of customers to pay for advice services has led to many not being able, or willing, to access financial advice, especially on regular savings plans with smaller premiums.
To become a Foresters Introducer there is a simple legal agreement to sign. This sets out the responsibilities of Foresters Friendly Society and the Introducer, and includes details of the fees payable when introductions are converted into a policy purchased by a customer. Introducers are also required to complete a short test to ensure they understand what the introduction process covers.
Once the Introducer has been approved, they are able to make introductions to Foresters. Following the lead, our professional team will send out product information within 3 working days and will manage the introduction through to possible sale. When introduced customers decide to purchase a policy, the fee will be paid on the first policy set up within 30 days of the first premium collection. Fees range from between £10 - £240 and are fixed per product, regardless of the amount being invested.
Commenting on the introducer scheme, Patrick Smith, Sales Manager at Foresters said: "With the introduction of the Retail Distribution Review, many advisers and retired advisers are looking at ways of supplementing their businesses. We believe the Introducer scheme is just one way they can achieve this. We have already seen many Professional and Casual Introducers sign up to the scheme and we look forward to working with our Introducers to grow the level of business generated through this channel."
For more information on how to become an introducer, please contact our Adviser Services team on 0800 954 2474 or email firstname.lastname@example.org.
Please note that by law introducers may not provide financial advice or assistance in any way to the person being introduced. Following the introduction, the customer lead will be handled solely by Foresters Friendly Society.