The Financial Planning Association and the Association of Financial Advisers (AFA) have formed a joint life insurance taskforce.

The taskforce’s mission is to map a future for the industry that delivers the best outcome for consumers.

“The aim is to create greater understanding of financial advice, the role of advisers and how life insurance commissions offer consumers an affordable way to access life insurance advice,” AFA CEO Philip Kewin says.

The taskforce will comprise two senior representatives from each association, plus four advisers.

The Australian Securities and Investments Commission will review the Life Insurance Framework in 2021 to determine if the commissions cap has improved the quality of advice. This move is also linked to a contemporaneous examination of general insurance intermediaries’ commission arrangements.

The taskforce will provide a view of what is required from the industry after that, the AFA says.