Financial Planner​s

Financial planners professional indemnity insurance

Risk Advisory Hub is the leading insurance advisory firm for financial planners in Australia. Our team has in-depth understanding of RG126 requirements as well as the challenging local and global market conditions facing financial planning businesses. We know the insurers to trust to provide a comprehensive and compliant financial planners professional indemnity policy for you.

We work closely with financial planning firms of all sizes, securing policies for hard-to-place risks, as well as reduced premiums, resulting in long-term relationships with most of our clients. Trust Risk Advisory Hub to advise on the right insurance coverage for you and offer expert support to handle even the most complex of claims. 

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Your insurance options

As a holder of an AFSL licence, your insurance requirements are determined by the Corporations Act 2001. We will work closely with you to fully understand your policy terms, in the context of your business operations, to ensure that your coverage is RG126-compliant. 

Frequently Asked Questions

What are the minimum requirements for a policy?

Where the total revenue from financial services provided to retail clients is

  • less than $2 million, there is a minimum limit of $2 million for any one claim
  • greater than $2 million, there is a minimum limit equal to the actual or expected revenue from clients, up to a maximum of $20 million. 

It is your requirement to purchase adequate cover, which may require higher limits. Limits can possibly be increased depending on the turnover of your business and subject to ASIC guidelines. 

What types of coverage is included in a policy?

Your professional indemnity insurance policy must cover against loss or damages suffered by retail clients due to breaches under Chapter 7 of the Corporations Act 2001. Current AFCA compensation caps are as follows:

  • $542,500 for claims of direct financial loss 
  • $271,500 for general insurance broking disputes 
  • $14,500 per month for life insurance income stream disputes 

Interest and limited costs may be awarded on top of these caps. Some exclusions also apply – contact our team for more information. 

Are there any policy limitations?

Our team will work with you to fully understand your business needs and risks, to ensure any recommended insurance policy provides you with coverage for any risks you face. 

How long does my coverage last?

Our policies are usually active for 12 months, but we could also negotiate 18 months if requested. Chat to our team further for details. 

Can my policy be customised?

Of course. We understand that every financial planning firm is different, which is why our team works so closely with you in the discovery phase to understand the ins and outs of your business to determine the best policy for your needs, and one that still sits within your statutory requirements. For example, financial planning firms that provide MDA services will need cover from specific insurers with an appetite and capacity for this exposure. 

Can you look after claims as well?

Please visit our page on claims advocacy to understand how we can advocate for you if you find yourself in a claims dispute. 

Get in touch

Please get in touch to discuss your business and commercial insurance requirements or for a free, no obligation quote.