Understand the costs before you decide.
The cost of advice, the insurance premium and any remuneration paid to an adviser are separate things. We explain costs upfront before advice so you know what you are agreeing to.
Start with the Financial Services Guide
The FSG explains services, remuneration arrangements and the complaints process for the licensee and authorised representatives. Read it alongside any advice and product documents relevant to your circumstances. This page explains the concepts; it does not replace those disclosures.
Read the Financial Services Guide (opens in a new tab)Fees and commissions are different
An advice fee is a charge for an agreed service. An insurance premium is the cost of the policy. A commission is remuneration associated with the policy and paid under the relevant insurer arrangement. More than one form of remuneration may apply.
Before proceeding, ask about any initial advice, implementation or ongoing charge, the amount or calculation method and what is included. The applicable arrangements are explained in the FSG and advice disclosures. We do not publish a universal fee or commission rate because your actual service and policy arrangements need to be clear.
Ask about the dollars, not only the percentage
Equal commission percentages can still produce different dollar remuneration when policy costs differ. They do not, by themselves, remove possible financial incentives. A recommendation needs to be explained around your circumstances, the policy terms and the comparison scope.
ASIC's rules generally require informed consent for certain insurance commissions connected with personal advice to a retail client, with exceptions including some renewal arrangements. The required process and disclosures are explained where they apply.
A price is only one part of a comparison
A direct policy and an advised policy may not be like for like. Definitions, exclusions, waiting periods, underwriting, features and future premium changes all matter. We do not promise that either channel is always cheaper or that the prices are identical.
EvolvU compares options from 11+ insurers on our approved product list. That is a defined selection of available options, not every product in the market. We explain the options considered and the limits of the comparison.
Questions about remuneration
Will I pay an advice fee?
Any applicable advice fees and the scope they cover are explained upfront before advice. Ask what you would pay, when it is payable and whether any later service has a separate cost. Do not assume that an introduction, a full review, implementation and ongoing services are all the same arrangement.
Who can receive a commission?
Depending on the arrangement, an insurer may pay commission associated with a policy. Ask which parties receive it, the rate, the dollar amount where it can be calculated, how often it is paid and what services are included. The FSG and advice disclosures explain the arrangements that apply.
What are upfront and ongoing commissions?
An upfront commission may be paid when a policy is issued. An ongoing commission may be paid while it continues. These are different from an adviser fee charged to you. The actual rate, amount, frequency and services should be clear before you decide to proceed.
Is insurance bought direct always the same price?
No blanket price comparison is reliable. Direct and advised policies may differ in definitions, exclusions, underwriting and features. Compare the actual quote and terms, including how premiums can change, rather than assuming one channel always costs less or the same.
If percentages are the same, are the commission dollars the same?
Not necessarily. Where remuneration is a percentage of policy cost, different policy costs can produce different dollar amounts even at the same percentage. Equal percentages do not mean there is no possible financial incentive. Ask about both the percentage and dollars.
Does ongoing commission mean every service is included?
Do not assume that. Ask what ongoing administration, advice, review or claims-related help is available, who it is available to and whether another fee could apply. The agreed service scope and current disclosure documents explain your arrangement.
Which insurers do you compare?
EvolvU compares options from 11+ insurers on our approved product list, not every insurer or product in the market. Product access and suitability can depend on your circumstances. Ask which options were considered and what limits applied to the comparison.
What should I be told before I consent to an insurance commission?
Where the informed-consent rules apply to a commission in a personal-advice situation, you should be told the insurer if known, the commission rate, how often it may be paid, the period it covers and any related services. The information should also state that consent is required by law. You should receive a copy of your written consent, or the written record of verbal consent, as soon as reasonably practicable.
What does an approved product list mean for a comparison?
An approved product list is the range of products an adviser is permitted to use. It is not every insurer or product in the market. Ask which options were considered, what limits applied, why the scope fits the agreed advice, and how any commission or other incentive is disclosed.
If I pay an ongoing advice fee, what happens each year?
For an ongoing advice fee, the adviser must obtain your written consent each year before charging the fee. They must give you written details of the services and fees for the coming year. This is different from an ongoing insurance commission, so ask separately what service is included, how long an arrangement lasts and how you can end it.
What a clear scope looks like
Before personal advice, ask what the service covers, what it does not cover, what information is needed and what documents you will receive. The Financial Services Guide explains the provider, services, remuneration and complaints process. Advice disclosures explain the recommendation, its scope, fees and important consequences.
If you compare advisers, ask the same questions of each: what is included, what a fee covers, when it is payable, which products can be considered and who receives any commission or referral benefit. Take time to read the documents before deciding.
Want to ask about the advice process?
Tim and the EvolvU team can explain what is involved and how costs may apply before you decide whether to continue.
Review my existing cover