AIA unveils new commission structure, products
“As we move to a single product line, we need to redefine the broader commission structure – and within that, we’ve also taken into account the broader context of good customer outcomes,” said Len Elikhis, responsible for products and vitality. Insurance company.
“We wanted to ensure fair and competitive compensation at all levels, and we wanted something easy to understand and disclose. The commissions we expect to pay will be very similar to the amounts we currently pay in both structures, but there will be potential swings and detours depending on the combination of activities the advisor writes. “
“The FMA has signaled that they are concerned that commissions vary by product, so our new structure offers the same rate regardless of the product at risk,” he added. “There were also concerns about production bonuses, and we refrained from them. “
When it comes to product upgrades, Elikhis says there were a few key points of difference between the AIA and Sovereign product suites, and the upgrades were designed with the goal of creating as much alignment as possible.
Future customers of AIA and Sovereign will benefit from all of these enhancements and will be able to migrate from Sovereign to AIA.
“In addition to combining the product suites, we took this opportunity to make some improvements to ensure good results for customers,” said Elikhis.
“We have introduced a medical advancement provision on our trauma product, which addresses concerns about outdated medical definitions. We have also developed the condition of critical illness or injury, which guarantees the payment of compensation if a client suffers from a serious injury or illness resulting in a period of hospitalization. This will give us the ability to cover a wider range of conditions. “
AIA’s new product suites will launch on Monday, August 5.