The fact-find process: Knowing the client

Financial advisers are trained to help you discover and understand your financial goals and insurance needs and to recommend suitable solutions.

Six stages to making an informed decision

Before you purchase a policy, your financial adviser will first need to go through a fact-find process with you so that you understand what decisions are involved, the options available and your rights as a consumer.

A fact-find process involves progressive stages, during which your financial adviser gathers pertinent information, identifies and analyses your financial needs.

Stage 1: Establish and define the client-representative relationship

Your financial adviser or representative will introduce his company, disclose his status and explain his role and the types of financial advisory service and products he can provide.

Stage 2: Gather all data, including goals

Your representative will identify your financial needs, starting with a ‘know your client’ (fact-find) form.

He relies on the information you provide to assess your situation.  For this process to be effective, you should be as forthcoming as necessary and communicate what your goals and objectives are. The recommendations are appropriate to the extent you are prepared to provide all relevant information.

Stage 3: Analyse and evaluate financial status

Your financial adviser will analyse all information gathered and evaluate your financial situation in relation to your objectives.

Stage 4: Develop and present recommendations

The analysis and evaluation of the information provided form the basis for recommendations made.

Your financial adviser will customise solutions and provide options that can reasonably meet your needs and objectives.  He will explain to you the basis of his recommendation as well as the costs and charges involved, and the features of the recommended products.

Your financial adviser is required to present you with a Recommendation in writing.  A copy of the Fact-find form, Needs Analysis and Recommendations will be given to you.

Stage 5: Implement recommendations

Before you decide on buying, take time to evaluate the advice and weigh the recommendations given by your financial adviser.

Insurance companies are required to grant a "14-day free look period".  If you decide within 14 days of the delivery of the policy that it does not meet your requirement, you may unwind your purchase and receive a refund of premium.  However, you may be charged for the cost of any medical examination, and if you had bought an investment-linked plan, you may suffer investment loss if the unit price has fallen.

Stage 6: Review with client periodically

Monitoring and reviewing your policies with your adviser on a regular basis help to ensure that you are on track to achieving your financial objectives.

Contact your adviser when significant changes occur in your life, such as marriage or the birth of a child, as these events impact your financial needs and goals.

Contact any one of our member companies to put you in touch with a financial adviser.