Can my client transfer out?
Your client has the flexibility to transfer out at any time free of charge. Our open market option offers no lock-ins, no catches and no penalties.
What commission levels are paid on these retirement products?
Current commission limits are up to 3% initial on each payment and 1% of the fund each year. However, in line with the principles of Customer Agreed Remuneration (CAR), we believe that the commission conversation is one for you and your client and should be free from provider influence. In this context, we support the discussions outline in the recent Retail Distribution Review (RDR).
Is the UK ready for this American based product?
We believe the UK is ready and that you probably already have clients who are suited to this style of retirement product.
The core financial needs of people in or entering retirement are fundamentally the same wherever you are in the developed world. We've taken a concept that has proved successful in the US and Japan and tailored it specifically for use in the UK, particularly where differences in the regulatory and distribution environment have dictated changes be made.
For too long the UK retirement market has lacked product innovation with product choice polarised between annuities and drawdown. Lincoln i2Live represents a challenge to the status quo and a realistic middle-ground alternative which should suit a variety of different client profiles.
What support will I receive from Lincoln when recommending these products to my clients?
As with all new products, we recognise that initially you may be cautious about recommending Lincoln i2Live. However, we are already seeking and have gained panel approval with some of the major banks, networks and nationals and therefore we understand what concerns arise from your perspective, your compliance team perspective and how these can be overcome.
In practical terms we can offer you a variety of help and support in getting the business written:
-
We have paragraphs that help you write your 'reasons why' letters and cover a number of difference scenarios. These can often be an efficient way of clearly articulating your product selection decision.
-
Your Lincoln representative can help by taking time to speak and meet with you and your compliance colleagues.
-
Our own compliance professionals are happy to work and consult with you and your compliance teams if necessary.
Although it does have a number of innovative features Lincoln i2Live should hold no fear for you or your compliance departments. It is a personal pension, an income drawdown plan and a flexible unit-linked annuity with the option to include a guaranteed income for life. Simple as that! We have also gained panel positions with nationals and networks.
How do I summarise the benefits and what tools will be available to help me explain the product concept to my clients?
The product is innovative and we are very proud of the flexibility it provides. The benefits that it delivers for your clients are easy to summarise and to explain.
It offers your client:
-
control - your clients can consolidate their pension assets and select an income level to suit their needs within HMRC limits
-
protection - your clients can maximise the value of the pension for dependants and select the Income Guarantee Option to provide security of income
-
flexibility - your clients can select an investment strategy to suit their income needs and convert easily between the
Lincoln i2
Live products
-
potential - your clients can offset the effects of inflation (and associated longevity)
-
death benefits - your clients can select death benefits to suit personal circumstances through the joint life or dependant's guarantee options
We have a series of sales aids that you can use with your clients and also a video presentation from Simon O'Connor. Visual explanations of how the income guarantee works and comparison tables are all available on the adviser website www.lincoln-ifa.co.uk under the adviser tools and resources section.
What fund choice will my clients have?
We've engaged with Old Broad Street Research and respected fund managers and in consultation with them built a range of over 70 funds to fit the overall product proposition. The range covers a variety of asset classes and investment styles and should enable you to adequately reflect the different risk appetites of your clients and their own views on the market.
What are the basic costs?
There is one plan fee of £100 per annum regardless of the number of products. The annual investment fund charge depends on the funds your client chooses. These range from 0.5% to 2.43% per year.
If the Income Guarantee Option is selected there is is an annual charge of 0.95% of the value of the funds to which the guarantee applies.
Will your customer services team be on hand to answer any questions I have?
We have a dedicated team of highly experienced industry professionals working exclusively on the Lincoln i2Live product line. They will deal with your client's case from start to finish and have the product knowledge and market insight to add real value to the process. No call centres, no automated messages just real people delivering first-rate client service. We understand the importance of good service to your business and hence we have invested in the people and the system to make our proposition stand-out from the crowd.
How quickly will you deal with my client's application?
On a typical application we would:
-
Check the application on the day of receipt and notify you of any additional requirements.
-
On day of receipt, we will tell you who the case manager processing the application will be and how you can contact them.
-
We will actively chase ceding schemes until funds are received and keep you notified you of progress throughout.
We cannot finalise the application until all the transfers have been received from the ceding schemes therefore we are unable to predict exact timescales.
When can I contact you?
You can call our highly trained service consultants on 0845 642 22 22 Monday to Friday from 8am until 6pm, excluding bank holidays. You can also email them at
RI-Service@LincolnUk.co.uk.
|
