Life assurance commission

[nutcase]

The wife has been shopping around for life cover, 20yrs term (not decreasing)

Had pretty good service from an intermediary, but on the paperwork from Legal & General it says they will be paying commission to the tune of 6% to the financial advisor, equivalent to a grand (or in other words 15 months worth of premiums) immediately.

That sounds pretty furkin high to me, for a couple of emails and phone calls.

Before we decide how to proceed, does anyone know if this is standard, or they're taking the pi$$?

[Sarnie]

Its pretty standard.

Life Insurance commission is directly related to the size of the premium. If he is getting paid around a thousand pounds then I'm guessing that your premium is around the £45-£50 a month mark.

The commission paid to the advisor, is paid out of your premiums.

[jdearden]

Il do it cheaper for you if you would like.

[nutcase]

Thanks for the replies guys. Called Legal in the end and they did a quick quote based on same details, was a tenner more a month!- so I'm happy for the guys to take the commission as they're clearly able to use buying power to get a better deal.

Win/win.

[dalenorth]

Yes, I agree it seems like alot, but theres many background costs that go into the advice process and it would also depend on what way the adviser is taking his commission (upfront or on the drip)

As long as your getting a good deal, and are happy with the ongoing servicing, then why worry?

Dale

[fandango_c]

Try Sainsburys life assurance.

It's a L&G product, but I think their rates may be better than L&Gs.

[sumo69]

If you think the commission is unreasonable forthe work done, you can ask him to rebate part to you.

This can be in the form of a payment to you (which would be taxable) or via a reduced premium for the duration of the policy.

HTH

David