Financial Services Guide
Date FSG prepared: 30/10/2018
The financial services referred to in this guide are offered by Phoenix Insurance Brokers Pty Ltd, (PIB). Australian Financial Services License Number 229847. Phoenix Insurance Brokers may from time to time trade under its business name Rockingham Insurance Brokers.
Contact information for South Perth Head Office:
Phone: 08 9367 7399
Fax: 08 9367 7319
Email: firstname.lastname@example.org Postal: P0 Box 961 South Perth, WA 6951
This FSG may be provided by Atsure Pty Ltd AR No: 407271, Malcolm Campbell AR No: 000354521 and Shane Keyser AR No: 001259450 who are Authorised Representatives of the Licensee PIB.
Why do I need this Guide?
Our Financial Services Guide (FSG) provides you with information to help you decide whether to use the services that we offer. If you would like more information about anything contained in this Guide please do not hesitate to contact us.
What is in this FSG?
Our FSG contains important information about:
- the services we offer you
- how we and our associates are paid
- any potential conflict of interest we may have
- our internal and external dispute resolution procedures and how you can access them.
As well as this FSG, we may also give you a:
- Statement of Advice (SoA) and/or
- Product Disclosure Statement (PDS).
When will you receive a Statement of Advice?
We will provide you with a SoA if we provide you with personal financial advice. Personal financial advice is advice that takes into account any one or more of your objectives, financial situation and needs. The SoA will be your record of the personal financial advice provided to you, and will contain information on:
- the basis on which this advice is given
- our fees and commissions
- any interests or associations we have with financial issuers or other parties, which may have influenced the advice, we give you.
When will you receive a Product Disclosure Statement?
If we recommend a particular financial product to you, or offer to issue, or arrange the issue of a financial product to you, we will also provide you with a PDS, unless you already have an up to date PDS from the insurer. The PDS will contain information about the particular product to help you make an informed decision about that product.
PIB is responsible for the financial services provided including the distribution of this FSG. PIB holds a current Australian Financial Services Licence, our contact details and licence number are on the front of this FSG.
If you do not wish to receive our advice, we may deal on your behalf by carrying out your instructions. If you do not obtain advice, you face the risk that the insurance product/s you select will not fully take into account your objectives, financial situation or needs.
How to contact us?
You can contact us at any time to obtain information or provide us with instructions by telephone, fax, and email or in person.
What kinds of Financial Services are we Authorised to provide to you and what kind of Financial Product/s do those services relate to?
PIB is authorised to advise and deal in General Insurance Products to wholesale and retail clients. We will do this for you as your broker unless we tell you otherwise.
At PIB we offer a wide range of insurance services, including:
- reviewing your insurance needs and offering advice on cover options
- arranging insurance cover
- arranging renewals
- arranging policy alterations as and when required
- assisting you should you need to make a claim.
- arranging Premium Funding
- risk management
Will I receive personal advice?
You need to provide us with a list of your personal insurance objectives, details of current risks and any other relevant information, for us to be able to offer you the most appropriate advice possible. You have the right not to tell us if you do not wish to. However, if you do not, the advice you receive may not be appropriate to your needs, objectives and financial situation. You should read the warnings contained in the SoA carefully before making any decision relating to a financial product/s.
What information do you maintain in my file and can I examine my file?
We maintain a record of your personal profile, including details of insurance policies that we arrange for you. We may also maintain records of any recommendations or advice given to you. We will retain this FSG and any other FSG given to you as well as any SOA or PDS that we give or pass on to you for the period required by law.
If you wish to look at your file please ask us. We will make arrangements for you to do so.
Who do we act for as your insurance broker?
As your insurance broker we act on behalf of you, the client. This means that we act in your interests, not an insurance company. This is different to someone who does not act on your behalf, such as an insurance agent who acts on behalf of the insurance company.
Please note that PIB may engage in binder arrangements with some insurance product issuers, which means they have delegated to us their underwriting and/or claims settlement functions. When we act under one of these binders we are acting on behalf of the insurer, not the client. We will tell you when we are acting under a binder before we arrange the insurance for you. This will also be disclosed in our Statement of Advice.
How we are paid?
If we arrange insurance on your behalf we may receive a commission from the relevant insurance issuer/s. This is usually a percentage based on the amount of your premium, and may vary from one issuer to another, but usually falls within the range of 0 to 30% of your base premium.
We also may charge a Broker Fee to cover our costs of administration. At times, we may receive other material benefits from various insurance issuers.
Our commission will be calculated based on the following formula:
X = Y% x P
In this formula:
X = our commission
Y% = the percentage commission paid to us by the insurer.
P = the amount you pay for any insurance policy (less any government fees or charges included in that amount).
Our employees who will assist you with your insurance needs are paid a market salary.
PIB have commercial arrangements with three general insurers, Allianz, QBE & Zurich which include programs which offer profit share arrangements. The amount of profit share is determined by the amount of premium earned by the insurers when compared with claims experience with certain product lines such as property and motor insurance. Due to the contingent nature of insurance, and the way these arrangements are set up, it is not possible to know the amount of profit share to which we may be entitled until at least 3 months after the end of each qualifying period.
The profit share arrangement with Zurich includes an annual entitlement which is used purely for the development of our staff through various training and educational services that they offer.
If we give you a SoA, we will list in that document any fees, commissions or other payments we, our associates or anyone referring you to us (or us to any insurer) will receive in relation to the policies that are the subject of the advice.
When you pay us your premium it will be banked into our trust account. We retain the commission from the premium you pay us and remit the balance to the insurer in accordance with our arrangements with the insurer. We will earn interest on the premium while it is in our trust account or we may invest the premium and earn a return. We will retain any interest or return on investment earned on the premium. If PIB receives a premium refund from your insurer on your behalf it will be held in our trust account for a short period of time. We may earn interest on this money until it is forwarded to you.
See below for information on our Steadfast association and commissions.
Associations and relationships we have
PIB is a shareholder of Steadfast Group Limited (Steadfast). Steadfast has exclusive arrangements with some insurers under which Steadfast will receive between 0.5 – 1% commission for each policy arranged by us with those insurers. This is used to operate Steadfast. Depending on the operating costs of Steadfast and the amount of total premium we place with the participating insurers in any financial year, we may receive a proportion of that commission for all products arranged with the participating insurers in each financial year, at the end of each financial year
As a shareholder of Steadfast we have access to member services including model operating and compliance tools, procedures, manual training, legal, technical, banking and recruitment advice and assistance, group insurance arrangements, product comparison and placement support, claims support and group purchasing arrangements. These member services are either funded by Steadfast, subsidised by Steadfast or available exclusively to shareholders for a fee.
Steadfast has a shareholding in Macquarie Premium Funding. If we arrange premium funding with Macquarie Premium Funding for you, under its agreement with Macquarie Premium Funding, Steadfast will receive 0.5% of your insurance premium (including government fees or charges). As an equity shareholder of Macquarie Premium Funding, Steadfast may also receive dividends from profits of Macquarie Premium Funding. The amount of the Steadfast dividend is based on the share of profit attributable to funding arranged by Steadfast shareholders. The payments (commission and dividends) that Steadfast receives from Macquarie Premium Funding are used to operate Steadfast. Depending on the operating costs of Steadfast and the amount of total business we place with Macquarie Premium Funding in any financial year, we may receive a portion of those amounts at the end of each financial year.
You can obtain a copy of the Steadfast’s FSG at www.steadfast.com.au
PIB has entered into an agreement with Lyall Underwriting Agency Pty Ltd to provide new products and services to clients of PIB which will be underwritten by Hollard Insurance Company Limited.
The shareholders of Lyall Underwriting Agency Pty Ltd are either Directors and / or employees of PIB. As shareholders they may from time to time expect to receive a share in the company’s profit based on a profit share formula after deduction of claims and expenses. The % of profit payable may vary and is not guaranteed.
If you ask us to help you arrange premium funding, PIB may receive a commission from the premium funder, which ranges from 0 – 2 % of the amount funded.
What should you do if you have a complaint?
PIB has a Complaints Handling Procedure, and is a member of the Australian Financial Complaints Authority (AFCA). If you have a complaint we will try to resolve your complaint quickly and fairly. Please contact our Complaints Officer at PIB.
If your complaint is unresolved after 20 days or not resolved to your satisfaction you have the right to refer the matter to the AFCA. They can be contacted at:
Australian Financial Complaints Authority
Telephone: 1800 931 678 (free call)
In writing to: Australian Financial Complaints Authority;
GPO Box 3, Melbourne VIC 3001
What arrangements do we have in place to compensate clients for losses?
PIB holds a current Professional Indemnity Insurance policy. The policy covers us and our representatives (including our authorised representatives) for claims made against us and our representatives by clients as a result of the conduct of us, our employees or representatives in the provision of financial services.
If you have any further questions about the services provided by PIB, please do not hesitate to contact us.
Please retain this document for your reference and any future dealings with PIB.