Media Centre - Group News

Poorer households lose out from ‘the insurance gap’

The insurance gap means some poorer households don’t have contents insurance

Some sixteen million people in the UK don’t have contents insurance, according to new research. And what’s more, they’re mainly from poorer households meaning they couldn’t afford to replace household items if they needed to. This is the insurance gap – where those who can’t afford cover could miss out.

Now a group of MPs, peers and charities are looking at how this could change. We’ll take you through what the insurance gap is and how it can affect poorer families. And we’ll also look at some of the ways that this could improve in the future.

What is the insurance gap?

As we explained above, the insurance gap is when poorer households can’t afford the cost of contents insurance. There are other reasons why they might not get contents insurance – such as that they don’t trust the insurance industry.

According to the research, the majority of those without contents insurance are tenants. It found that poorer households were also more at risk of burglary, arson and flooding – so contents insurance would definitely be important.

But the reason these households didn’t have contents insurance was because they couldn’t get an affordable policy. This meant that if they lost or broke a household item or there was a break-in, they’d have to cover the cost of new items on their own.

As these families are on lower incomes, it’s likely that they couldn’t afford to do this outright. The research shows that only a quarter of social housing residents have enough savings to replace a washing machine. This could mean they’d have to borrow from friends or family members to afford a new one, or to turn to credit. Or if they couldn’t do this, they’d have to go without.

This research was for the Financial Inclusion Commission. This is an independent campaigning body aiming to encourage financial inclusion. And this is the group who are looking to get rid of the insurance gap going forwards.

What is the Financial Inclusion Commission suggesting?

One proposal is that social landlords could automatically sign tenants up for contents insurance, but let them opt out of this. This would ensure that social tenants had contents insurance by default. If they still couldn’t afford to pay for it, they would be able to stop the cover.

Another initiative is to teach people about the value of contents insurance. If people understood how contents insurance could protect them in the event of a break-in or a fire, they might be less likely to opt out of its protection.

The Financial Inclusion Commission also said that the insurance sector needs to make sure that everyone has access to contents insurance. It’s now calling on the Government to develop a financial inclusion strategy, and this would ensure that all people were able to get the level of insurance cover they need.

One Advice Group appoint Nick Pearson as Group External Relations Manager

Nick Pearson, Group External Relations Manager at the One Advice Group

Harrington Brooks, one of the UK’s leading debt solution providers and part of the One Advice Group, has appointed Nick Pearson to the role of Group External Relations Manager. He starts with immediate effect and will be focusing on meeting the creditor partners with which the Group currently has circa £800 million of debts under management for 50,000 customers nationwide.

Nick Pearson – well known debt expert

Until recently, Nick was the Chief Executive of The Debt Counsellors Charitable Trust and has worked in the not for profit and commercial debt solutions sectors for nearly 35 years. He started as a specialist debt adviser at the Citizens Advice Bureau and held various senior positions for a number of different organisations including local authority councils, and independent advice centres.

From 2009 to 2013 whilst on the board of industry trade body, the Debt Managers Standards Association (DEMSA), Nick was instrumental in promoting industry best practice and a Code of Conduct which was formulated to protect the interests of the public and the lenders to whom they owe money.

More recently, Nick spent 2 years on the Board of the Institute of Money Advisers (IMA); originally the Money Advice Association; the only professional body acting solely for money advisers in England, Wales and Northern Ireland.

Nick commented: “I am pleased to be joining One Advice Group. The colleagues and management of the Group are clearly committed to ensuring that the needs and best interests of the consumer are at the very heart of the business so I had no hesitation in accepting this new challenge. I have always believed that the UK needs a mixed economy of free and fee charging debt advice provision to tackle the growing personal debt crisis in the UK.

“The consumer credit sector is facing significant change, with the Money Advice Service’s ongoing review of advice funding and the Government’s promise to introduce a statutory breathing space mechanism. While these initiatives should help, it is vital that consumers are able to access debt support easily, fairly and though whatever source best suits them.”

Nick’s remit at the One Advice Group

Matthew Cheetham, CEO of the One Advice Group said: “Through his expertise and dedication, Nick has established himself as a key voice in the debt resolution and money advice sectors. He is well respected and vocal in terms of his desire to influence policy, practice and create positive customer outcomes. He speaks with the experience of an advisor and with a consumer focused lens”.

Nick’s remit is to ensure Harrington Brooks and One Advice Group maintain excellent relationships with creditors and professional partners with whom customers have debts under management and to support with customer focused initiatives currently ongoing which will generate better outcomes for both Creditors and Customers.

Don’t get tricked, get treated: win £100 restaurant voucher this Credit Union Awareness Week

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This Credit Union Awareness Week, One Advice are our local credit union Manchester Credit Union – who are joining forces with credit unions across Greater Manchester to form SoundPound.

Together, they want to make sure you do not get tricked by shiny offers made by slick national lenders – which may lead to costly repayments and financial stress, and instead, get treated fairly by a local credit union – who offer One Advice staff online and in-branch services, great loan deals and an easy way to save through your pay as our payroll partner.

As a not for profit organisation, SoundPound exists for the people of Greater Manchester – and NOT for faceless bankers in London.

Thousands of people are choosing not only to borrow with SoundPound partner credit unions but save too – keeping £24 million in the local economy.

So, to mark the launch of the Greater Manchester credit unions partnership during Credit Union Awareness Week (Oct 16-20), the SoundPound consortium is offering you the chance to win £100 for a restaurant of your choice by answering one simple question:

Thousands of people choose to save for a rainy day with their local credit union. How much do people across Greater Manchester currently save with the SoundPound credit unions in total?

1. £5 million
2. £400,000
3. £24 million

Email your answers to hello@soundpound.co.uk by October 20, leaving your full name and contact details. For the full terms and conditions, visit the SoundPound website.

To learn more about joining your local credit union, visit: www.manchestercreditunion.co.uk

Chris Lochman, Our New Head Of Compliance

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How has your first week been at the One Advice Group?

My first week has flown by. I’ve spent time meeting key stakeholders, understanding business processes, reading documentation, listening to calls and asking an abundance of questions. My first impressions are very positive, everyone has been welcoming and very helpful.

What experience do you have?

I have worked in the Financial Services sector for circa 12 years, two years for a Building Society as an Internal Auditor and 10 years within the Insurance sector undertaking various Compliance roles. My last few roles have been at RSA, Co-op Insurance and CPP Group. My last role involved working for a company with offices around the world, the experience of working with people from different countries and cultures was very interesting (and challenging!).

What challenges do you face?

When new to a business and/or industry the main challenge is often around understanding the business model, identifying key stakeholders and establishing a degree of control in the areas of responsibility. I believe this will take time and effort but is very much achievable. My intention is to spend time with stakeholders from all areas of the business to improve my understanding of departments.

What do you love about your role?

Working in Compliance presents you with a variety of challenges on a regular basis (days are rarely the same); it’s the challenge aspect that I love about my role. People often can have a negative view of Compliance as we can be the bearer of bad news from time to time. I enjoy changing this perception by helping people understand our role within the business and how we can assist the business in succeeding.

What personality traits are best suited for your role?

I think you need to have a good attention to detail, be pragmatic and level-headed whilst applying a commercial lens. My role requires me to consider the ‘bigger picture’ and implications of any decisions made. I’m a big believer that Compliance Teams should provide guidance and constructive challenge to the business whilst also providing solutions.

How are you going to improve colleagues and customer experience?

From a colleague perspective, I’ll always be available to provide help and support and from a customer perspective, I’ll look to drive a customer-focused culture, improving our processes where possible to enhance the customer experience.

What do you like to do outside of work?

Outside of work, I like football (big Everton fan), running, tennis, skiing and travelling. Having moved house in May, a lot of my hobbies are currently on the back burner until all of the decorating is complete (apparently it’s “essential”). However, in November I’m visiting Thailand for two weeks so I’m currently trying to plan the trip!

One Advice Group Colleague Survey is a Success!

The One Advice Group colleague survey results are in

We carried out the One Advice Group colleague survey last month for the third year running – and we had a really positive response from our people.

When we launched the #ExpressYourself survey, nearly a third of colleagues completed it in the first 24 hours. That was really encouraging to see and it showed that people really did want to share their thoughts with us.

It’s really important in the Group that we give everyone the opportunity to tell us what they think. This is part of our mission, vision and values. And continuously improving what we do doesn’t just help our colleagues. It’s also a benefit for our customers, affiliates and any other stakeholders.

Read more to find out some of the results of the One Advice Group colleague survey – and what we’re doing to value our people.

Biggest ever response

For the One Advice Group colleague survey 2017, almost nine in 10 employees completed the survey. This is the biggest ever response for #ExpressYourself and it was a really positive reaction. It means the people in the One Advice Group are really engaged and see the value in the feedback they give us.

Responses were provided from colleague to director level, showing that everyone wanted to get involved. And when we compared the results of the One Advice Group colleague survey 2017 with the 2015 survey, they showed we had improved in all areas measured.

It was also great to see that the vast majority of colleagues say they care about how our customers are treated. In fact, 98% of our colleagues say they agree or strongly agree with the statement. This is definitely positive as it shows that we’ve got the right people on board to shape the future of the business.

There was a real mix of people who responded to the One Advice Group colleague survey as well. In fact, nearly a third of respondents say they have been here less than two years.

It’s really important that we have input from the whole spectrum of our colleagues. That way, those who have been here for a longer time can see what we’re doing right since our FCA authorisation – and our new colleagues can bring fresh ideas about what we can do to improve.

Our next steps are to make recommendations and form action plans with each department to make specific improvements. By doing this, we can be sure that we target changes in the right areas.

Solutions from Listening Groups

After the One Advice Group colleague survey, we’re now carrying out Coffee Sessions and Listening Groups to get feedback from our employees. This will allow colleagues to expand on the responses they gave in the survey. And this means we can all work together to improve the One Advice Group.

We really want to encourage all colleagues to submit solutions that work for the whole business. We value everyone’s opinion and by opening the floor to feedback in this way, it means we can source really innovative ideas to make things better for everyone.

Want to see more about what we’re doing for our colleagues? Keep an eye on our One Advice Group LinkedIn page or our One Advice Group Glassdoor page for updates.

Independent review into debt advice sector seeks evidence

Evidence for debt advice funding review

An independent debt advice funding review is looking at the current debt funding model to see if anything should change. It will focus on the issues that those with money worries face to ensure they get the support they need.

And now, the review is calling for evidence to support its research into debt advice funding. This means that any recommendations will have the data to back them up. And this will help customers get more positive outcomes.

We’ll take you through the debt advice funding review so you understand why it’s happening. And what’s more, we’ll also explain how it can help consumers.

Why is there a debt advice funding review?

The purpose of the review is to take a closer look at debt advice funding. It’s a response to the increasing demand for debt advice as well as the growth in unsecured borrowing. The Money Advice Service (MAS) is behind the review, and it wants to make sure that there’s enough advice to meet needs.

The focus of the review is:

  • how much debt advice consumers need now and will need in the future,
  • the cost of this debt advice,
  • where the funding should come from for debt advice,
  • benefits of the current debt funding structure and any improvements needed, and
  • how the debt advice sector will incorporate any changes required.

Peter Wyman CBE is leading the independent debt advice funding review. He was a senior partner at PwC for several years and was also President of the Institute of Chartered Accountants in England and Wales. His report to the Debt Advice Steering Group, HM Treasury and the FCA is due in July 2018.

What the call for evidence means

This new request will allow any relevant parties to submit evidence about the current picture of the debt advice sector. It should help to give an overview of the people currently getting debt help, the demand for this and its funding.

According to Wyman, “there is a widespread view that funding arrangements for debt advice need reconsideration.” Hopefully seeking evidence from experts on the debt advice sector will help to address any issues with the market. This should also mean that people actually dealing with those in debt have a say about how help gets funding.

Andy Briscoe, chair of both the Money Advice Service and the Debt Advice Steering Group, said: “Each year 1.5 million people seek help from the debt advice sector to cope with over-indebtedness, and these numbers are likely to increase.

“Meanwhile, the current sources of funding for this vital service are coming under pressure.”

If you have any evidence to submit to the review, you can do this by emailing MAS before December 8 2017 at debtadvicefunding@moneyadviceservice.org.uk

Growth and Personal Development at the One Advice Group

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The theme for last years #ExpressYourself survey was Growth.

To get feedback on how important growth and personal development is to colleagues we asked the following questions:

  • Do you want to develop, learn and grow?
  • Do you, your colleagues, team members and friends at work want to know more about the opportunities for growth?
  • Have you discussed and identified areas for growth in your personal development plan?
  • Do you sometimes struggle to explain development opportunities to your colleagues?
  • Do you want some ideas as to how you can demonstrate growth as part of your one-two-one?

69% of colleagues believed their manager encouraged and supported their growth and 43% believed they were encouraged to grow and develop.

A new approach

As a result of colleague feedback, within the last year there has been a new approach to the way training is created at the One Advice Group by introducing modular based training.

This means that all training modules are designed to be “off the shelf” and form part of a new starter’s journey into their role and on-going development.

Challenging conversations

Each month all Team and Senior Managers at One Advice Group are invited to attend a classroom based training session led either in house by HR and the Learning and Development Team or by Wirehouse, our HR Solicitors. The sessions include a number of soft skill and HR related subject matter.

Challenging conversations

In July the Group ran a course on Challenging conversations. This focused on why conversations can be difficult and how to structure the conversation effectively using questioning and listening skills. The managers were also given real-life scenarios on a number of potentially difficult subject matters such as inappropriate clothing and mis-use of social media, to discuss best practice techniques.

A range of different tool kits have also been devised so that Coaches and Managers can support customers and colleagues with things like dealing with mental health issues and how to embed vision and values.

Annual refreshers

As part of our regulatory requirements all employees at One Advice Group complete monthly training and an online assessment on a number of important subjects. In July all colleagues completed their data protection module to refresh the data protection principles, sensitive data and the consequences of non-compliance. It is also signposts risks such as phishing, and what colleagues individual responsibilities are when it comes to protecting the data of both our customers and creditors.

Here’s what colleagues have to say

Natalie in Compliance: “I liked that it was fun and interactive to keep us engaged in the training whilst delivering the key message about DPA.”

Leigh in Operations: “It has reminded me the importance of all aspects of DPA in doing my job and how I can apply these to my role.”

Susan in Operations: “Just the right level of information and length of session. The professional trainer engaged the group and imparted the information in a knowledgeable and fun way.”

Brian in MI: “Paul kept us all engaged and most importantly he made a subject that can be boring FUN, this is the key to helping people firstly pay attention and also learn is it make it fun.”

Elli Smithson in Change Management: “The trainer was excellent, her delivery was witty and concise. The materials varied to meet different styles.”

John in MI: “A good refresher on what I had learnt previously but probably forgotten. I also learnt some new things from the trainer and the other learners, as the session was open to the floor for input.”

Bernie in Open-Door: “This was a great refresher session as it enabled me to liaise with other managers and hear their views. It also enabled me to look at my own strengths/development areas of this subject by bringing to life a variety of scenarios.”

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Aspire to be a Team Coach?

This year we have also updated and improved our Team Coach Development Scheme, the newly titled Aspire. This training is designed to bridge the gap between an advisory role and the team coach role by looking at subjects such as Coaching and Feedback.

 

The improvements keep on coming as a result of #ExpressYourself

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Savvy spending

We now have The One Card for all colleagues in the One Advice Group which offers discounted rates that have been negotiated with some of our local partners, stores and Chamber of Commerce network.

Not only does this help our 365 employees support the local economy, part of our commitment to Responsible Business, but it also means colleagues get handy discounts to help them save and be money savvy.

Coffee, carpets and clothing is now cheaper for colleagues as is servicing their cars, servicing their boilers and training sessions for photography and personal development.

When colleagues came together for the annual Group wide communications brief, they received a card with a link to the intranet informing them all about it.

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Enhanced holiday buy scheme

We’ve also updated the Holiday Buy Scheme to a salary exchange agreement, which potentially means colleagues they pay less National Insurance Contributions (NIC).

This year colleagues have the opportunity to buy 3 extra days with the deductions taken over different months to ensure their end of month salary is not detrimentally affect.

The Group appreciates that work life balance is important.

Reward and Recognition at the One Advice Group

In the annual #ExpressYourself colleague survey, reward and recognition is always a contentious topic. It’s not something the Group have shied away from discussing and there’s been some really positive actions taken as a result of listening to the colleague voice.

Last year 32% believed they were paid fairly for the work they do.

  • So there was a review of the pay bands to benchmark against market indicators and a small group of colleagues were identified to receive an increase.
  • We also reviewed and implemented an enhanced performance related pay scheme which culminated in those rated ‘exceptional’ receiving a higher increase in salary.
  • In April a review was conducted of the Groups maternity and paternity pay which resulted in enhanced payments to reward loyal employees with over 2 years and 5 years’ service.

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The survey also revealed that 45% of colleagues believed they were recognised for their achievements and contribution.

And 52% stated they thought One Advice Group has a culture that recognises and celebrates success.

The survey indicated that colleagues thought the Group don’t do enough about recognition – for example with simple thank you’s – so in consultation with the Team Managers, we launched some recognition cards. These are to support our values and also allow ‘in the moment’ recognition. We now have a draw every month and 4 cards are picked at random from an average of 50 cards received per month. The lucky colleagues that are chosen win £25 of Love to Shop vouchers.

We also supported the launch of the ABCD awards in Operations and IVA, our two biggest departments, linking it to the Star of the Month awards. The recognition criteria is linked to our mission, vision and values, celebrating colleagues that go above and beyond in their service provision to customers.

 

It’s #ExpressYourself time again

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Until the 18th August colleagues across the Group will be expressing their opinions about life at One Advice Group in our annual colleague survey, #ExpressYourself.

Some key stats and commitments came out of last year’s findings, so today’s blog focuses on wellbeing.

Last year 51% of colleagues believed that “the organisation cares about my well-being”

  • To improve this there was a focus on January being a month of wellbeing in which the Group provided health checks, boot camps, nutrient advice and a stepping challenge for colleagues. 80% of colleagues got involved.
  • And a commitment was made to support Mental Health Awareness week annually, included linking activity to our Employee Assistant Programme – Health Assured. As a result the Health Assured website attained 391 hits from colleagues at the One Advice Group.

Head of Marketing, Jodi Hamilton, said: “Wellbeing month was great – it was very engaging. Many of our colleagues linked our Fitbits, Strava, Runkeeper exercise/step counters to an app called My Virtual Mission and challenged ourselves to walk from Manchester to Madrid, 1296 miles away.

“People were swimming, cycling, running and walking like mad to get us there. Each morning we eagerly checked out our progress via the app then chatted about it at work. Without really intending, it really got me involved and made slogging off those extra pounds from Christmas much easier.”