How do I find the right financial adviser for my needs?

Arranging appropriate insurance is one of the best things that you can do to protect yourself and your loved ones financially. As with anything in life, the types and quality of insurance policy out there varies hugely – and what you need to insure today may change as you enter different stages of life.

For many people who are just starting out on the road to getting their insurance sorted, these considerations can make the whole process feel daunting! Fortunately, that’s where insurance advisers like Plus4 can help.

Working with an insurance adviser who is also a registered financial service provider will make getting the right insurance much easier. And, because they know the ins and outs of available insurance products like the backs of their hands, you’re much more likely to end up with the perfect policy for your circumstances. 

Keen to work with an insurance adviser? Here’s how to make sure you choose the right one for your needs.

Before you engage anyone, it’s important to understand a few basics about the different types of financial advisers out there (yes, there is more than one!)

It’s worth noting that insurance advisers are not the only type of registered financial service providers who can assist with insurance. 

Many mortgage advisers and investment advisers will provide this service too – however, they are not always specialists in this area. To give clients a comprehensive service, some providers will have both mortgage and investment specialists within their organisation.

Within the field of insurance, different advisers are expert in different types of insurance products.

Risk advisers

Risk insurance advisers specialise in insuring people – both in their personal capacity (for example life, Income, trauma, and health insurance) and in their business capacity (for example key person cover or shareholder protection).

Fire & General advisers

Fire and general advisers insure ‘things’ – for example your house, contents, car, boat and more. They will also cover business and professional insurances such as professional indemnity and public liability.

Will I be charged any fees, other than the cost of the insurance policy?

Generally, most advisers won’t charge a fee for advising on and arranging your insurance policies – instead, they make their income in the form of a commission from the insurance company. 

Occasionally, if an adviser has had to put in a substantial amount of work and you choose not to go ahead with the policy, they may charge a fee for their time – however this should be discussed and agreed prior to the work being done.

Are there any other questions I should be asking before I choose an adviser? 

The very first question you should be asking is ‘are you a registered financial service provider?’ This ensures the adviser is legally entitled to be helping you decide what the best insurance is. The Companies Office also offers a comprehensive online register of all New Zealand providers, enabling you to verify any adviser’s status – you can access the register here.

Ask for Credentials

You can also expect the adviser you’re working with to provide you with a business statement that lists their credentials and the services they’re able to offer. If this isn’t presented upfront, make sure you ask for it.

Regardless of what type of financial advice you’re looking for (insurance, mortgage, investment or otherwise), before you appoint your adviser, make sure you check their credentials and qualifications – after all, they are helping you to protect your financial future!

Peter Ogilvie

Ultimately, here in New Zealand, we are fortunate to have a highly regulated financial advice sector. That means there are plenty of well qualified people who have the specialist skills to help you make the very best decisions about your financial future. 

Contact me if you need assistance or advice today.