Each week the mystery shopper seeks advice from independent advisers in the UK. The aim is to find out whether advisers are delivering the goods when it comes to the all-important initial telephone contact between client and adviser. It is only intended to evaluate this first interview, and it is understood that further meetings would be necessary before final decisions could be made. The purpose is not to expose poor selling practices, but to show constructively any weaknesses in the advice process.
This week, the mystery shopper visits Bath. The shopper is looking for some sort of income protection (IP) cover. She is a single mum and an IT professional with a mortgage. Six months ago she was diagnosed with depression and bipolar and wants to safeguard herself against any period when she might need to stop working for medical reasons.
Adviser: Insight Financial Advice (independent)
Address: 40 Long Barnaby, Midsomer Norton, Somerset BA3 2TZ
Speed of response: 10.13am. One ring and put through to an adviser. 5/5
Telephone manner: Friendly and professional. 5/5
Relevant qualifications: Diploma in Financial Planning and CeMap. 5/5
Payment method: With protection policies providers typically pay a commission. 5/5
Guidance: The adviser said the difference between mortgage protection and IP is that the former will just cover the mortgage while the latter will replace the income lost. However, he said that it was unlikely lenders would cover a pre-existing condition and if they did the premium would be much higher. Alternatively, she could look at critical illness cover which pays a lump sum. 5/5
Knowledge: Adviser sounded knowledgeable and was able to give the shopper a clear idea of her options. He urged her to find out about the level and duration of sick pay from her employer. Armed with this information the adviser said he would be better placed to find an appropriate provider to suit her needs. 5/5
Website: www.insightfa.co.uk
Email: leebarrow@insightfa.co.uk 5/5
Verdict: Shopper’s choice. The adviser offered the shopper plenty of detail about the various product options, was confident about what he could do for her and lifted her spirits regarding her financial wellbeing.
35/35
Adviser: Combined Financial Strategy (independent)
Address: 38 Gay Street, Bath, Avon BA1 2NT
Speed of response: 10.29am. One ring and transferred to an adviser. 5/5
Telephone manner: Friendly and professional. 5/5
Relevant qualifications: DipFS. 5/5
Payment method: Fee or commission depending on the policy. 5/5
Guidance: The adviser said IP policies will not pay out because she has already been diagnosed with depression, so they will exclude any pre-existing conditions. He advised her to speak to her mortgage broker to see if they could find her relevant cover as they tend to deal with more niche providers. He also asked her to check her sick pay benefits with her employer. 5/5
Knowledge: The adviser sounded knowledgeable about her options, but she felt he did not make a big enough effort to consider which providers, if any, might suit her needs. 3/5
Website: www.cfsorg.com
Email: jonathan@cfsorg.com 5/5
Verdict: The adviser answered quite a few questions the shopper had, but she would have liked it if he had gone a little further in trying to identify providers who might offer her suitable cover.
33/35
Adviser: Fidelius (formerly Moneywise IFA)
Address: Alexander House, James Street West, Bath BA1 2BT
Speed of response: 10.56am. A three-step process to get to an adviser was outlined by a receptionist. 2/5
Telephone manner: Friendly and professional. 5/5
Relevant qualifications: In the absence of an adviser, qualifications never came up. 1/5
Payment method: Payment was not discussed as the shopper was unable to speak to anyone that could give advice or guidance. 1/5
Guidance: The shopper was left waiting to speak to an adviser as a promised call from the new business manager never came through. 1/5
Knowledge: The issues of concern for the shopper were never explored. The shopper felt that the process to speak to an adviser was unnecessary and long-winded. 1/5
Website: www.fidelius.co.uk
Email: advice@fidelius.co.uk 5/5
Verdict: The shopper failed to a qualified professional. The length of time it would take before she could speak to one was a little off-putting.
16/35
Adviser: Morgans Financial Group (independent)
Address: Morgans Ltd, 41 Gay Street, Bath and North East Somerset, Bath BA1 2NT
Speed of response: 11.13am. After being put on hold by a receptionist for 5 minutes the call then dropped out, the shopper got through faster the second time around. 1/5
Telephone manner: Friendly and professional. 5/5
Relevant qualifications: Diploma in Financial Planning and an Associate of the Personal Finance Society. 5/5
Payment method: Fee or commission depending on premium and type of policy. 5/5
Guidance: The adviser said that her diagnosis will have an effect on any cover she might end up with. He also urged her to find out about her work sickness benefits. The adviser said with a pre-existing condition it would be hard to find a provider, but not necessarily impossible. Additionally, if she was able to get cover, the longer the policy start date is deferred until the cheaper the policy will be. 5/5
Knowledge: The adviser said that once she finds out about her sickness benefits from her employer, he will be able to explore her cover options more fully. 5/5
Website: www.mfgl.com
Email: mark.flaskett@mfgl.com 5/5
Verdict: Although it took a while to get through to a qualified adviser, the shopper felt the experience was positive as the guidance given was clear and helpful. The adviser was friendly and spoke with authority about the market.
31/35
