FIA Awards Insights (Sept 7 2023)

INSIGHTS

Awards recognise leaders, help ‘raise the bar even higher’

• A rigorous process underpins the selection of winners, writes Lynette

Dicey

The FIA Intermediary Experience Awards commonly referred to as the FIA Awards were announced last week at a gala dinner in Sandon

The awards recognise a select group of product provider brands for their role in empowering financial advisory businesses, and through these businesses making positive contributions to improving outcomes for clients. The annual event is a calendar highlight for insurance and investment stakeholders

Lizelle van der Merwe, CEO of the Financial Intermediaries Association of Southern Africa (FIA), says the awards represent more than just accolades; they symbolise the culmination of hard work, innovation and a relentless commitment by financial product suppliers to improving the service delivery to intermediaries within the financial services sector. These awards have emerged as a touchstone of excellence and a testament to the dedication of our industry as

we to push the boundaries of what is possible, she says.

Winners are chosen through a rigorous selection process informed by a comprehensive and impartial assessment of thousands of FIA member responses. The rigorous process that underpins the selection of winners guarantees that recipients truly embody the values of integrity, innovation and client-centricity that as an industry we hold dear, says Van der Merwe. Brands that receive an award are not only being celebrated by their peers, but also earn the trust and respect of the broader advice community, she says, adding that the FIA Awards serve a deeper purpose of enhancing the lives of both FIA members and financial consumers.

This year s winners include the following: in the Non-Life:

Sustainability and affordability: finding a balance

management.

One of the biggest challenges facing medical schemes is balancing scheme sustainability while supporting affordability and value for members.

Personal Lines category the winner was Santam. Western National won the Commercial category while Hollard won the Corporate category. In the Life and Investment category, Sanlam won the Risk Award and Allan Gray won both the Investment Product: LumpSum Award and the Investment Product: Savings Award.

In the Product Supplier of the Year category, Momentum Corporate won the Employee Benefits Award while Discovery Healthcare won the Healthcare Award. The 2023 selection process rated more than 5,000 contracts across the employee benefits; healthcare; non-life insurance; and life insurance and investment disciplines.

The FIA reports that the overall service results achieved for 2023 were closely aligned with those recorded in the prior year, with an overall industry score of 77.87% compared to 77.93%. The best-performing brand across the eight award categories increased its score by just 1.81% over the prior year, demonstrating the competitive nature of the FIA Awards landscape, and confirming the already high service standards achieved in 2022.

There were some notable improvements in the intermediary experience ratings for brands in the investment lump-sum category this year, but overall service in respect of both personal lines and

commercial non-life insurance has been on a gradual year-onyear decline. The overall service indicator serves as an excellent predictor for non-life insurers on where they need to improve service standards, Van der Merwe says.

Overall, the awards shed light on the practices, strategies and solutions that have not only achieved success, but have also created positive and lasting impacts on clients. By showcasing these exemplary initiatives, we not only inspire others to emulate their success, but contribute to a collective elevation of industry standards.

Pointing out that improving outcomes for clients is a paramount goal for the entire industry, she says the awards play a pivotal role in this regard.

By recognising and disseminating best practices, we facilitate knowledge exchange, encourage healthy competition and foster an environment of continuous improvement. This, in turn, translates into enhanced products, services and strategies that ultimately benefit our clients, creating a financial services landscape that is safer, more efficient and more attuned to their needs.

Van der Merwe said the awards need to be viewed as a catalyst for ongoing transformation. These awards celebrate the achievements that push our industry forward, all the while propelling us to raise the bar even higher.

Benchmarks measure success, identify areas for improvement

The financial services industry is facing a challenging market beyond the effects of Covid-19 with headwinds in the form of retention, increasing premiums, new players in the market and regulatory requirements becoming more prevalent.

Additionally, revenue pressures are a growing concern that requires immediate attention and action.

Dáil Consulting s Ineke

Prinsloo acted as an independent consultant to the Financial Intermediaries Association of Southern Africa (FIA) benchmarking study. She says that to adapt to the current market conditions, product providers have several tools at their disposal, including the emergence data and the FIAs independent intermediary benchmarking study as foundational capabilities, which can positively impact insurers relationships with their intermediaries and clients.

Product providers who leverage these tools effectively can gain a competitive advantage in the market and improve their overall performance, she says.

Benchmark data analysis can help the industry to understand their competitive position, compare their performance to their competitors and identify areas for improvement. However, it is crucial to ensure the accuracy and relevance of the benchmarks to the specific industry or company, as relying on generic standards can lead to inaccurate insights.

Conducting a benchmark data analysis can be challenging, especially when a single financial services

provider commissions the data.

As Prinsloo points out, selfserving bias can be a challenge that leads to the selection and interpretation of data that supports preconceived notions or desired outcomes.

Additionally, benchmark data stripped of short-term and long-term context only provides information on the accomplishments of internal teams without giving any information on the methods used to achieve those results or fundamental drivers of differentiated experiences. This can result in incomplete or inaccurate insights, which can hinder the development of effective improvement strategies.

Objective and unbiased benchmark data, such as the FIAs independent intermediary benchmark, supports and informs constructive and

positive actions that benefit all stakeholders in the financial services industry, she says.

By identifying areas for improvement and developing effective improvement strategies based on accurate and relevant data, product providers can enhance their competitive position, improve their performance and benefit their clients, shareholders and the industry. These actions can lead to a more robust, resilient financial services sector, aligned with the regulator s agenda of the financial services industry, while providing the necessary support for government s broader focus on sustainable economic growth.

Benchmarks are crucial to measuring success in each category, explains Prinsloo, providing a reference point for identifying areas for improvement and determining what good looks like.

“The FIA Intermediary Awards are founded on credible standards that adapt to the changing operating landscape, intermediary expectations and client preferences, she says.

The awards set the benchmark for intermediaries across seven industry categories to recognise insurers for their exceptional products, solutions and services offered through intermediated distribution channels.

They follow an independent process that rates and rewards product providers based on what is important to the intermediary and that aligns with changes in the intermediated business landscape.

The bespoke methodology developed for the FIA

guarantees that every vote counts in benchmarking, she says. Unlike other benchmarks that adopt a pay-for-play approach, every contract rated is considered in the overall weighting of the drivers, resulting in fair winners in each category based on an overall weighting voice of the intermediary. The streamlined and digitally enabled research platform simplifies participation while adhering to governance on identity and research standards.

The research follows a three-pronged approach to ensure only eligible respondents rate a product provider. The survey tool features a unique identifier link that cannot be forwarded, preventing block booking. The device is platform-agnostic and asks a few qualifying questions. Finally, the results undergo a rigorous defence mechanism and two independent audits to ensure utmost accuracy.

EXPERIENCES CONSIDERED

AND RANKED

FIA members experiences are considered and ranked in importance across seven standards of excellence, including the intermediary s overall satisfaction with the product provider, the perception of service, product and relationship quality with the intermediary, aligning with regulations in treating customers fairly, the trust in the provider, effective complaint resolution and the degree to which the product supplier enables the intermediary to be successful through their value offering to the market and clients.

Dr Ryan Noach, CEO of Discovery Health, says the scheme is focusing its efforts on finding the right balance to support affordability given the greater financial pressure on consumers, while offering the best value for members. The increase in health care costs, he adds, is being spurred by lifestyle-related diseases driving increased chronic disease burden and an ageing population – something that many health care economies around the world are grappling with.

Medical schemes have taken different approaches to finding the balance between affordability and sustainability. Discovery Health Medical Scheme has successfully achieved that balance by investing heavily in new benefits and innovative approaches to maintain value for members while simultaneously improving the future health of members through preventative screening benefits, intelligent disease prevention and greater disease

The recent promulgation of the NHI Bill continues to garner significant attention. In its current format, the proposed bill restricts the role of medical schemes. Noach says while the current situation of inequitable access to quality health care in SA is untenable and unsustainable, limiting the role of private health insurance in a future NHI defeats the policy objective of expanding access to care. SAs private health care sector provides outstanding value for money to consumers and is one of the best in the world on this metric. It should be leveraged to collaborate with the public to extend access to high quality care. Intermediaries in the health care sector are facing regulatory uncertainty and a lack of clarity around their role in the proposed NHI.

Financial advisers play a critical role for medical scheme members, says Noach.

“Consumers have varying health care and affordability needs and require personalised advice to balance their financial and medical needs. Advisers offer members the experience and expertise, backed by in-

depth knowledge of a complex landscape, to offer members cover that s right for them. He adds that advisers will still play a fundamental role in providing sound advice in an environment with a viable universal health care solution, with top up cover through private medical insurance. Another challenge facing intermediaries is the limited opportunities for new business growth. New growth opportunities for advisers tend to sit outside the medical scheme industry, which requires advisers to increasingly advise on health insurance-type products. The introduction of low-cost benefit options within medical schemes will create a significant opportunity for growth within medical

schemes, says Noach. These low-cost options have yet to receive the green light. In 2022, Health Squared Medical Scheme went into liquidation after its solvency level fell below the regulated minimum requirement. Its demise, says Noach, illustrates how quickly a scheme can deteriorate if its key sustainability metrics become unbalanced, raising a spotlight on the importance of sustainable pricing for the long term. The industry today requires a financial adviser to also account for the long-term sustainability of a medical scheme in evaluating the underlying value of the medical scheme cover, looking beyond just price, when advising clients. A far more complex task than prior years.

INSIGHTS: FIA INTERMEDIARY EXPERIENCE AWARDS 2023

Firm delivers on its brand promise

The large number of intermediaries vying for clients in a highly competitive market makes it challenging for intermediaries to differentiate themselves and attract new business, says Jurgen Hellweg, CEO of Western National.

Faced with constant change in an ever-evolving insurance landscape, intermediaries face time-consuming and resourceintensive challenges. Added to this, disruption in the market caused by political, climate and energy risks has necessitated proactive risk management and contingency planning, he says.

Client-centric intermediaries, he adds, not only focus on finding the right insurance cover, but also work with insurers to assist clients in assessing their risk, implementing risk control and

discussing plans on how to resume critical functions should an incident occur.

Western National was the 2023 winner of the Non-Life Insurer of the Year in the commercial category at the Financial Intermediaries Association of Southern Africa (FIA) Awards.

What sets Western apart, says Hellweg, is the drive to consistently deliver on the business brand promise by being transparent about its products, services and processes and keeping intermediaries updated through regular broker communications.

“Open lines of communication with intermediaries allow them to stay connected, exchange feedback and address any issues promptly, he says. We

conduct regular broker surveys and actively listen to intermediaries concerns so that we can better understand where trust may be wavering. Queries from intermediaries are responded to promptly. According to Hellweg, this means acknowledging the query as soon as possible and providing an estimated timeline for resolution.

Even if the query cannot be resolved immediately, acknowledging it promptly demonstrates a commitment to addressing concerns in a timely manner says Hellweg. We continuously evaluate and streamline our internal processes to eliminate bottlenecks, minimise delays and improve turnaround time. A self-service option on the Broker Portal empowers

intermediaries to find answers to common queries and have access to current policy schedules and endorsements, as well as claims updates. In a similar vein, complaints are acknowledged promptly and dealt with through open lines of communication to brokers consultants and management via a dedicated complaints e-mail address. We allow brokers and clients to express their concerns and ensure we understand the issue from their perspective. Each complaint is taken seriously, regular updates provided and resolutions communicated and explained,” he says, adding that each complaint is regarded as an opportunity to learn and improve processes, services and training

Western National was named NonLife Insurer of the Year: Commercial Made ein Stockton and Thabo Modise collected the award.

We will ‘navigate this journey together’

• Financial advisers have a front-row seat to witness winds of change fanning insurance landscape

South Africans tend to veer towards a glass half-full attitude.

However, there is usually a silver lining to be found somewhere, said

Butsi Tladi, president of the Financial Intermediaries Association of Southern Africa (FIA) speaking at the recent FIA Awards. I m very optimistic about our country and its ability to overcome challenges, she said. She revealed that the FIAs focus on constructive engagement and on finding a positive narrative for the industry and the country has paid off. The World Federation of Insurance Intermediaries has voted for SA to assume the presidency of this global organisation in 2024.

The World Federation of Insurance Intermediaries provides global leadership, develops solutions and coordinates actions to promote the insurance intermediary industry at international level. It also enables the exchange of information on global issues and goals that all national associations of intermediaries have in common.

SA will be leading efforts for insurance intermediaries to speak with one voice to international institutions and regulators throughout the world, said Tladi.

South Africans are quick to gloss over the country s achievements and focus almost myopically on our shortcomings. It s worth taking a pause to acknowledge that just in the past month we navigated complex geopolitics and clawed back some of the ground lost in the position we assumed with regard to the Russia/Ukraine conflict; in a month dedicated to gender equality, we hosted a successful gathering of women business leaders in the Global South at Brics; SA hosted a successful netball world cup; our women’s football team achieved the highest level in the history of our participation and we progressed the issue of equal pay for equal work; and, finally, we are once again united in our support for our national rugby team.

She said leaders have a duty to continue to maintain a perspective that is balanced and recognises that our democracy is young and that even more established democracies around the world grapple with their own set of challenges.

We should not forget that growth and progress often come with their own trials and, together, we will continue to navigate this journey toward a stronger, more resilient society.

Pointing out that the insurance landscape is constantly evolving, Tladi said advisers have a front-row seat to witness these winds of change

In this era of rapid globalisation and technological disruption, we find ourselves grappling with several issues that demand our attention and innovation. Advisers around the world share similar concerns about growing protection gaps, that insurer appetite is shifting and it is becoming increasingly hard to obtain cover for certain categories of risk.”

Chief among these concerns is the increasing frequency and

sophistication of cyberattacks. These attacks not only put sensitive client data at risk but also threaten the stability of our entire industry, she said. Our clients depend on us to safeguard their interests which means we need to harness the power of technology to streamline our processes, enhance customer experiences and create tailored solutions that address evolving risks. Another concern is climate change, which is no longer a future threat but a present reality.

The insurance industry faces increasing claims due to natural disasters. We must find ways to adapt, and support sustainable practices that mitigate these disasters. Insurance solutions of the future have embraced sustainability considerations and have these at the core. We can take a leadership role in advocating for environmentally responsible practices.”

A third concern relates to the increasingly complex global regulatory frameworks. Conceding that navigating these regulations can be a daunting task, particularly for advisers offering solutions in multiple jurisdictions, she said the industry needs to continue to actively engage with policymakers to shape regulations that foster innovation while maintaining integrity and security. Simultaneously, it needs to invest in continuous education to ensure compliance and help clients navigate these intricacies.

Another industry-wide challenge is a growing shortage of skilled professionals.

We must attract and retain the brightest minds to ensure our industry s future prosperity.

To achieve this requires investing in training programmes and mentorship initiatives to nurture young talent. By providing opportunities for learning and growth, we can ensure a steady influx of skilled individuals into our industry.

While the challenges facing the industry are formidable, they are not insurmountable, said Tladi. By embracing innovation, collaboration, sustainability and education, we can not only overcome these challenges but also thrive in this ever-changing landscape.

WE MUST ATTRACT AND RETAIN THE BRIGHTEST MINDS TO ENSURE OUR INDUSTRY S FUTURE PROSPERITY

Butsi Tladi safeguard interests.

INSIGHTS: FIA INTERMEDIARY EXPERIENCE AWARDS 2023

Organisation celebrates 15th anniversary

• Newly elected board members introduced at ceremony

The Financial Intermediaries Association of Southern Africa (FIA) celebrated a significant milestone at the recent FIA Awards the 15th anniversary of the association.

Since its inception in January 2008, the FIA has been a beacon of unity, advocating for advisory businesses within the financial services landscape.

The FIA is a nonprofit organisation, founded and funded by members. The association emerged from the merger of the South African Financial Services Intermediaries Association and the Independent Broker

Council, followed by the integration of the Life Underwriters Association of SA 15 years ago. The merger was the culmination of a dream for a unified voice to promote and represent the business interests of advisers to financial services stakeholders throughout SA. The FIA is a trade association that represents members at Business Unity South Africa (Busa), the Financial Sector Transformation Council (FSTC), the Insurance Sector Education and Training Authority (Inseta) and the World Federation of Insurance Intermediaries (WFII). Its membership is made up of a network of diverse advisory businesses that share passionate individuals, industry experts and thought leaders committed to driving positive change and advancement in the financial services sector. The FIA represents more

than 1,600 advisory businesses.

The association is unique in that it is multidisciplined: members operate in healthcare, financial planning, non-life, employee benefits and investments (discretionary investment managers).

The association s eight executive committees meet on a quarterly basis these committees consist of industry experts who engage in collaborative projects and initiatives with other members, driving impactful solutions and innovations. Members make a collective contribution to important discussions and policy advocacy efforts that shape the future of the industry.

The FIA offers a wide range of benefits to accommodate the diverse needs of its members. These include an opportunity to contribute to the ongoing development of the regulatory

framework in SA to manage the risk of increasing compliance costs and complexity. Members are also provided with complimentary continuous professional development training, access to industry trends and insights via weekly communications, webinars, member events and networking opportunities.

In addition, members can actively participate in decisionmaking processes, influence organisational direction and shape policies that will lead to a sustainable and positive impact on business; highlight intermediary businesses as an active contributor to the collective growth and success of the industry; and join one of 25 branches across the country to connect and engage with like-minded businesses on key developments in the industry.

The FIA and its members

Brokers handle complexities

The current insurance environment presents a set of challenges for both insurers and corporates. Coenraad de Bruin, head of specialist insurance at Hollard Insure, says the rising cost of capital and reinsurance, the evolving risk landscape and challenges presented by an overstretched and compromised infrastructure have made the task of offering and procuring cost-effective coverage increasingly complex.

Understanding these challenges is crucial for corporates to ensure they enjoy appropriate cover. The upward pressure on premiums that policyholders may be experiencing across various lines of coverage are the result of catastrophic losses, increased reinsurance costs, high loss ratios, depreciation of the rand as well as social inflation

At the same time, the business environment is witnessing rapid changes in risk profiles with technological advancements, geopolitical uncertainties, cyber threats and climate change all contributing to the hard market Insurance brokers, says De

Nash Omar and Coenraad de Bruin received the award for Non-Life Insurer of the Year: Corporate on behalf of Hollard.

have engaged on a number of activities including the Two-Pot Retirement System, National Health Insurance, the Conduct of Financial Institutions Bill, OMNI-CBRs (the FSCA quarterly reporting requirements), revised Joint Standard on Cybersecurity &

the revised

and Deposit

and the Fica/grey listing. The FIA’s newly elected board members were introduced at the ceremony, with Butsi Tladi (AlexForbes) being re-elected as president of the FIA and Ronald King (PSG

Wealth Financial Planning) as newly elected vice-president.

Other board members include Theoniel McDonald (Wealth Associates), Dr Nolwandle Mgoqi (AON South Africa), Peter Olyott (Indwe Risk Services), Lara Wild (Marsh Africa), Gericke du Plessis (Smit & Kie Brokers), Isobel Rohwer (The One Legal Financial Consulting Service), Caron

Whitfield (OLEA South Africa), Zahir Anter (Overberg Wealth & Risk Management), Rob Lansdell (Profin Financial Solutions), Roy MacLachlan (Clan Consulting Solutions), Errol Masinga (Marsh Africa), Gerhardt Meyer (PSG Wealth Financial Planning), Greg Setzkorn (Setzkorn, Harvey, Dodds & Associates), Barry Taylor (Integrisure) and George Dell (MitonOptimal).

Bruin, have emerged as crucial intermediaries amid these challenges, playing a pivotal role in helping businesses navigate the complexities of the current insurance environment. The knowledge and expertise of brokers allows them to advise on the cover required and also ensure their clients gain access to the appropriate markets.

Brokers understand the risks faced by corporates and can identify potential gaps, offer risk management strategies and ensure policyholders gain access to the right insurers. In this challenging environment relationships are key, he adds. “Our strong broker network provides deeper insights into the evolving needs

of our clients. This allows us to offer innovative products, adapt to emerging risks and find solutions that address specific challenges faced by corporates and small businesses alike.

The FIA survey showed that trust was one of the key reasons a broker would place business with an insurer. Trust means policyholders have confidence that insurers will be there to support them financially when they suffer an insured loss.

Policyholders must be certain not only that their insurer wants to pay insured losses but also that they have the financial resources and stability to do so. Trust comes to fruition in a positive customer experience for brokers and policyholders.

Winning the Corporate Insurer of the Year award, says De Bruin, showcases Hollard s commitment to policyholders and its ability to deliver tailormade solutions across multiple lines of insurance. Navigating one of the hardest insurance markets in recent memory was made possible by the collaborative efforts of our accomplished brokers and talented underwriting teams.

Improvement gaining momentum

The best improved performance by a brand in the FIA Awards was Momentum

Corporate in the Employee Benefits category.

The product supplier in this category has shown the most improvement for the best performing brands, with a +1.8 gain” says Dáil Consulting’s Ineke Prinsloo, an independent consultant on the study.

This is noteworthy because Momentum Corporate also improved their score year on year, and in a category that has historically received lower ratings from members. This improvement is an example of how brands differentiate themselves by positively changing their performance and becoming market leaders in categories that are under pressure to deliver to intermediaries expectations.

This year, the Investment category best performers outperformed the industry standard by a large margin.

Prinsloo said two brands showed an improvement in their year-on-year score and are outperforming the industry average by an average of 10 points, achieving scores above the 85 mark.

That is a truly exceptional performance, regardless of the category, industry or product,” she says. It s great to see brands differentiating themselves by positively changing their performance and becoming market leaders in their respective categories.

In recent months insurance companies have been informing clients that they can t protect them against the collapse of the national electricity grid. The announcement that

policyholders can no longer claim damages from a grid failure has resulted in a decline in non-life personal lines of 3.4 index points, indicating the challenges posed by the disruption, changes and uncertainty introduced by insurers wording changes. According to Prinsloo, the ambiguity and mid-term changes in contractual terms and conditions has created problems in relationships. This year s awards reflect the dissatisfaction of intermediaries and their clients with the handling of contractual conditions and exclusions, which are a risk every South African inadvertently faces. She says in the broader Life and Risk categories, the Investment product suppliers outperformed the Risk categories by a substantial margin. Only one insurer scored above the 80 mark in the general Risk category,

WINNER!

For the second year in a row, we’ve won FIA’s Product Supplier of the Year for Employee Benefits.

This prestigious award reaffirms our brand promise that people are not just part of business, they are the heart of it. Thank you to our Momentum Corporate employees and our clients. And especially to the financial advisers who voted for us again in 2023.

Dumo Mbethe Gaileen Eaton and Timothy Wridgway collect the award on behalf of Momentum Corporate for Product Supplier of the Year: Employee Benefits.

must define, measure and compare standards of success as seen through the lens of their partners, the intermediaries. By collaborating, co-creating, enabling and delivering on the standards intermediaries deem important, insurers can achieve true success.

The success of your people is our business.

whereas the investment counterparts or divisions scored well above the 85 to 90 mark.

In the highly competitive medical schemes category, the top three positions were closely contested, all scoring above 80 in satisfaction ratings. However, says Prinsloo, other brands in this category have experienced a decline in their level of satisfaction, which could be indicative of the disruptions and changes that may be brought about by the looming National Health Insurance (NHI).

“Scoring well on the eight standards of excellence is an imperative for medical schemes sustainability in future the reason why customers of intermediaries would consider paying an additional premium for health care convenience and higher quality of care in the private sector, she says.

Prinsloo says that “instead of trying to meet a smorgasbord of strategic initiatives,insurers

Discovery Health is proud to have been awarded

We are thankful for the partnerships we have forged with you and are inspired to further our vision and commitment to innovation. The Future of Healthcare. .

Driving optimal outcomes for clients

relationship he says.

That s not to say intermediaries don t face challenges. According to Punt, among the key challenges facing intermediaries are succession planning and a changing knowledge base.

Worldwide we have an ageing intermediary force, and this is especially true for independent brokers. As more intermediaries retire, the industry naturally experiences a diminishing knowledge base. That, coupled with the nature of the financial advice space changing, means that teams of planners move from the fixed or more technical knowledge of the past to a more client-centric knowledge set. This change, he adds, holds opportunity for practices that can leverage existing knowledge equity and transform towards future knowledge

Seven standards of excellence

In tandem with the awards, the FIA conducts an intermediary experience survey to establish a reliable benchmark for how advisory businesses view their ongoing interactions with financial product suppliers. The survey evaluates the intermediary experience across seven standards of excellence including overall satisfaction.A high score on each measure helps FIA members to maintain service standards to their clients, the financial consumer. The key themes revealed by this year s survey centre around

product quality, service quality, trust, a shift in competitive dominance and differentiation.

When it comes to product quality, the survey found the perspective on the product has evolved. In 2022, product quality was considered a table stake. However, in 2023 product quality has gained higher focus and was the second-highest standard in prominence. This shift reflects the rapid changes in the industry and how the importance of different aspects of the intermediary offering can

shift over time. More than 30% of respondents said service quality was the most important factor. The FIA says regardless of the category, effectively dealing with queries and having well-

Allan Gray won two awards: Product Supplier of the Year: Investment Product Savings and Product Supplier of the Year: Investment Product Lump Sum. Karabo Maboa and Gladness Rupare collected the awards.

trained and responsive staff are key considerations for non-life insurance companies to ensure an excellent level of service. In the savings category, consistent communication throughout the query process is a key driver of service satisfaction, while in the lump-sum category, the need for knowledgeable staff is more important than consistent communication Industry indices indicate trust to be affected by changes and responses to market challenges. Trust, according to

through new financial planners joining the team.

Intermediary businesses must look at knowledge as a diverse asset to be acquired, retained and developed to ensure clients needs continue to be met,” he says.

Another challenge is economic and regulatory constraints. Global economic uncertainty, along with changing regulations, brings unique challenges for those in the financial adviser space While SA has a robust regulatory framework within this space, the strained local economy can lead to continued margin pressures. Businesses must see their ability to innovate and plan ahead as a lever. We are entering the new era of digital by design that requires intermediaries to set milestone plans to solve constraints. Booming data, business

the survey report, is the cornerstone of insurance. The survey results and the importance ratings given to trust unequivocally indicate that it is the most critical factor in the industry. To establish trust, insurers must stick to their brand promise and deliver consistently, regardless of the market conditions. Since trust is a culmination of several factors, it is imperative to engage with intermediaries to identify the elements of trust and why they may be wavering in their faith that insurers are consistently delivering on their brand promise.

Another key themeis the continued shift of competitive dominance. The report notes that analysing top-rated brand contracts and comparing them to smaller brands can help

intelligence and technology are yet other challenges, he says. Technology is by far the biggest change opportunity and one that will have the greatest impact. Intermediaries need to prepare themselves to be future-ready by being data-led in their practices.

To achieve this, he says advisory practices must move towards a more phygital approach, blending the human approach with technology in an intuitive fashion. Being data-led and using the information at their disposal is paramount to evolving with the needs and opportunities within the client base, says Punt. The ability to develop an engaged client narrative and ensure data-led client engagement and processes are key to transforming this challenge into opportunity. Punt says that to thrive in

insurers predict market share and identify areas for improvement. This allows insurers to make informed decisions about enhancing their performance and staying ahead of the competition. Top brands continue to relinquish their voice in intermediary market share, which is a proxy for market share, relationship and consideration.

The survey says there are seven standards driving overall satisfaction. At the top of the list is service excellence which saw a 30% increase in importance.

This includes effective query resolution and turnaround time to resolution.

The second most important criteria is business enablement.

This includes removing complexity and offering solutions that streamline the

2023 and beyond, intermediaries must be aware of and accept the challenges they face and leverage the opportunities these present.

To remain relevant, intermediaries must constantly relook the advice value proposition. This should involve associating with the right partners to expand and grow a future-fit practice. It is only by adapting and implementing the necessary changes that intermediaries will be able to grow a viable lifetime practice and ensure their client base is faced with as few intermediary changes as possible.

This is the second consecutive year that Sanlam has won the Long-Term Insurer of the Year in the Risk category at the FIA Awards.

Jean Lombard, CEO at Sanlam Risk and Savings, says the award “is hugely affirming

value chain. Although this is the second most important criteria, support for business enablement dropped 5% in this year s survey, compared to 2022.

In third place and gaining 7% in importance in this year’s survey is product quality. This includes suitability to the broker book and personalisation and adaptation to clients.

Relationship quality takes fourth position. In fifth position is trust in the insurer. Interestingly, the FIA notes that overall trust in the industry has become challenging, which impacts relationships.

Complaints handling is in sixth position. Complaints are part of the service delivery and insurers need to be constantly learning and improving while resolving complaints and problems. This means they

that we re delivering on our promises to empower more South Africans to be financially confident, secure and prosperous. Given that these awards set the standard locally and beyond they re also a good indication that we meet the global benchmark. Revealing that Sanlam prides itself on its partnership with advisers and brokers, he says these awards serve as an important reminder of the complex relationships required between all financial service industry stakeholders to drive optimal outcomes for clients. We know that choosing the right intermediary and product provider is pivotal for people to access the right cover for their unique circumstances. This bolsters resilience so individuals can rebuild from financial setbacks, when life s curveballs come knocking,” he says.

need effective resolution processes and capable and empowered staff. The last standard is about aligning to fairness principles. The report maintains that fairness is an outcome, rather than an entity. Insurers need to join forces to provide better solutions to shared customers, going beyond their regulatory obligation

The overall service has shown a remarkable increase in this year s measure with a 30% increase in importance, says Lizelle van der Merwe, CEO of the FIA. “Members are sending a clear message to product providers to step up in all aspects of service excellence, but to prioritise effectiveness in dealing with queries, and provide resolutions to problems in an acceptable time.

Sanlam was named LongTerm Insurer of the Year: Risk. Jacques van den Heever and Ashona Singh received the award.

Sanlam is honoured to be recognised by the Financial Intermediaries Association of South Africa as winner of the 2023 Intermediary Experience Award in the category: Long-term Insurer of the Year - Risk.

We appreciate this acknowledgement and will continue to work alongside intermediaries to empower clients to live a life of confidence.

For the second consecutive year, Sanlam proudly retains the Long-term Insurer of the YearRisk title.

YOU’RE ONLY AS SUCCESSFUL AS THE TEAM YOU HAVE SUPPORTING YOU.