Centrepoint Alliance advisers have agreed to use a hybrid commission structure for life insurance products from July 1.

CEO John de Zwart says nine in 10 advisers voted for the switch from upfront commissions to hybrid and level remuneration.

“I am very pleased that our advisers have shown such leadership and worked so co-operatively to make this positive reform in the best interests of clients, advisers and the whole life industry,” he said.

“This will remove any perception of conflict of interest in advising clients, while ensuring they can access the quality advice they need.”

Mr de Zwart says advisers will be rewarded for the advice they give with each life insurance sale.

“It will also encourage new advisers into the industry, which are vitally needed if we are to seriously tackle Australia’s chronic underinsurance problem. Many clients today have complex needs and high financial commitments that require personal advice from an expert to ensure their dependants and lifestyle are properly protected.”