CompaniesMay 1 2015

LV latest to roll out regulated online advice service

twitter-iconfacebook-iconlinkedin-iconmail-iconprint-icon
Search supported by
LV latest to roll out regulated online advice service

LV has become the latest provider to launch a regulated online advice service for the retirement income market, in conjunction with online adviser Wealth Wizards.

Clear Online Retirement Advice (Cora), aims to close the advice gap and remove the barriers that stop what LV referred to as ‘middle Britain’ seeking support.

LV also claims the service will help advisers grow their client base, as it will seek partnerships to allow them to provide full, online advice to people approaching retirement with lower fund values.

A spokesperson for LV said that the retirement income recommendation service would cost £199. If those recommendations were taken on then the service would cost £499, but the spokesperson added these costs were not concrete yet since the product was still in testing.

Cora is designed to save advisers time and create revenue by providing additional efficiencies in lead generation and automated fact find, the firm said. The service has video content and savers whose particular circumstances require it can also access real advisers.

It has an income shaping tool that produces a free report outlining all the choices that pension savers now have, and their pros and cons, and secondly an interactive advice process.

LV said that at the end of the advice session a report which makes specific recommendations based on individual financial circumstances is produced.

It launches next month for final sets of live tests which will be carried out on LV’s customers and supported by LV’s in-house advice team.

This follows Just Retirement who launched a ‘simplified’ advice service last month, which it said is designed to help retirees with medium-sized pension funds navigate new at-retirement freedoms.

At that time, the annuity specialist said it believes the simplified route is key to tackling the “advice gap”. The firm said the new service is initially being offered to other pension providers, who are facing growing regulatory demands, with Phoenix Group becoming the first to sign up.

John Perks, managing director of LV Retirement Solutions said: “Cora has deliberately been built in a way that it is an adviser supported model, not an adviser removed model and it will help to bring advice to those who tend to be sceptical of financial advisers.

“Wealth Wizards has spent years developing online accumulation advice and this venture built on their technology, with us providing the expertise in the retirement income market to create something truly new to the market.”

ruth.gillbe@ft.com