Important information about us
Preferential Ltd, is a Financial Advice Provider (FAP) licensed and regulated by the Financial Markets Authority to provide financial advice on Risk insurance. Our Financial Services Provider (FSP) number is 745555.
Areas, we can provide you with advice.
The following are the areas of personal or business risk and insurance advice that I can provide.
Personal risk insurance needs arising from:
• Untimely death (Life insurance)
• Suffering specified serious illnesses or disabilities (Trauma insurance)
• Suffering a permanent disability (Permanent disability insurance)
• Loss of income through sickness or disability (Income protection insurance)
• Needing timely hospital or specialist treatment (Health insurance)
Business risk insurance needs arising from:
• The loss of a key person through death or disability
• Retirement of business debt and other liabilities caused by death or disability
• Succession, partnership, and share purchase needs caused by death or disability
We do not give advice on life investment products including whole of life, endowment, unit linked insurance and insurance bonds.
We source insurance products from the following life insurance companies:
• AIA
• Partners Life
• Asteron Life
• Chubb
• Fidelity Life
• NIB
Our duties and obligations to you.
We have duties and obligations under the Financial Markets Conduct Act 2013 relating to the way we give advice. We are required to:
• Ensure you understand the nature and scope of advice you ask me to provide.
• Provide a service that is relevant to that agreed scope of advice and suitable to your circumstances and needs.
• Listen to your needs, concerns, preferences and to treat you fairly and with respect.
• Act with integrity and give priority to your interests and not my own.
• Exercise care diligence and skill.
• Meet the necessary standards of competence, knowledge, and skill required.
• Ensure you understand my recommendations and any associated risks.
• Keep you informed along the way and communicate in a timely, clear, and effective manner.
This is only a summary of the duties that we have. More information is available by visiting the Financial Markets Authority website at:
www.fma.govt.nz/compliance/role/financial-advice-provider/#dapDuties
Your obligations
Any advice provided as a result of this needs analysis can only be as good as the information received from you, so I ask that you provide me with the information I request. Without relevant and correct information about your personal, health and financial situation I run the risk of giving advice that is not appropriate to your needs. If you are unsure as to why I need certain information, please ask so that I can explain.
How we get paid
Commission
Fees and expenses: Preferential Ltd does not charge fees, expenses or any other amount for the financial advice provided to you.
You will not be billed or asked to pay any fees to us at any time even if the engagement of services or the products placed through this
engagement are terminated by either party.
If you decide to take any of our recommended life and health insurance through us, Preferential Ltd receive commissions from the
relevant insurance company. The amount of the commission is based on the amount of the premium and can vary depending on the
insurance company used and will be detailed at the time any advice is provided to you. The amount of commission is based on the
premium you pay. Typically, we will receive an up-front commission of between 100% and 254% of the annual premium you pay and
then an annual on-going commission of 7.5-30% of the annual premium you pay.
If I refer you to any other professionals or companies, I may receive referral fee or commission
Conflicts of interest
To ensure that we prioritise your interests above our own, we follow an advice process that ensures our recommendations are based on
your objectives, needs and circumstances. I further manage possible conflicts of interest by:
• Choosing product providers based on your needs and not on the commission we may receive.
• Avoiding any production requirements for one product provider
• Not accepting any gifts or incentives offered by product providers.
• Having access to a range of product providers
• Using third party product research as part of our analysis
• Having our processes audited annually by a reputable compliance adviser – Veritas HQ Ltd.
Confidentiality and use of Personal Information
1. It is understood that any information gathered for this needs analysis and used in any associated advice reports and for insurance
applications is personal and I undertake to keep this information confidential and secure.
2. The Privacy Act 2020 gives you the right to request access to and correction of your personal information.
3. Information provided by you or any authorised agent, will be used by me and any members of my staff or contractors I use for the
purpose of providing advice to you, marketing of other services I provide and may also be used by any:
a. Any locum adviser I have appointed to act on my behalf should I be incapacitated or absent for a long period.
b. Product or service provider when researching, analysing, or implementing any of my recommendations or variations
thereof; and
c. The Financial Markets Authority and/or any other regulatory body as required for audit or legislative purposes,
compliance advisers, assessors or by any claims investigators who may need access to such information; and
d. Other professionals such as solicitors, accountants, finance brokers, financial planners when such services are required
to complement this advice and as requested by you.
e. Prospective and actual purchaser(s) if selling my business.
4. Any personal information I gather throughout our advice engagement will be held by me in my office address detailed in this document
may be in paper format and/or electronic files and / or may be held remotely in secure electronic storage systems. I am required to keep
these records on file for a period of seven years or longer whether this engagement terminates or not.
Complaints and disputes
If you are not satisfied with our service or financial advice, please tell us as soon as possible so that we can try and resolve this for you to
the best of our ability. It is our intention to provide the best possible service we can for our clients and will do our best to try and resolve any
complaint received as quickly and effectively as possible. You can make a complaint by calling 0276202420 or emailing
admin@preferential.co.nz. You can also write to us at 257A Queen St, Richmond 7020.
We will follow our internal complaint process:
• We will consider your complaint and let you know how we intend to resolve it. Where possible, we try to resolve your complaint
immediately.
• If we are unable to resolve your complaint immediately, we will acknowledge your complaint within 2 business days. We may contact
you to get further information about your complaint.
• We aim to resolve complaints within 10 working days of receiving them. If we need more time to investigate your complaint, we will
let you know when you can expect to receive a response to your complaint.
• We will contact you by phone, email, or letter to let you know whether we can resolve your complaint and how we propose to do so.
If we cannot agree on how to fix the issue, or if you decide not to use the internal complaints scheme, you can Contact the Insurance and
Financial Services Ombudsman. This service will cost you nothing and will help us resolve any disagreements.
You can contact Financial Disputes Resolutions Service:
PO Box 10-845
Wellington 6143
0800 888 202
info@ifso.nz
For further information about how to make a complaint or about our dispute resolution
process, please refer to our website https://www.preferential.co.nz.
Information about Us: Version 1.2 08/01/2024
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