The Financial Services Reform Act presents a great opportunity for intermediaries to shape the future and grow their business, an insurance leader told the NIBA Convention yesterday.

ICA Executive Director Alan Mason said the Act will “fundamentally change our industry and distribution from a business focused on product and pricing to one of service and advice”, he said.

Outlining recent market research using focus groups that included small business operators, he said “the plethora of different types of insurance” are confusing customers. “They are looking more and more to brokers to provide expert advice, get the best deal, minimise confusion and most of all, provide personal contact.”

Mr Mason also predicted that the industry will achieve tax reform over state governments’ oppressive charges. “Ultimately, the push for [tax reform] has to come from consumers, and our market research has shown how little understanding people have of the amount of tax they are paying or, for that matter, whether they are underinsured or have the right amount.”