Vulnerability

Question 1

What are the 4 triggers of vulnerability

Answer 1

Health (eg physical disability)
Life events (bereavement)
Resilience (low or erratic income)
Capability (lack of knowledge on financial matters)

Question 2

6 consequences of vulnerability

Answer 2

Increased stress
Becoming reckless with risk
Reduction in ability to manage investments/affairs
Disengagement with the market
Scams
Fall behind on bills/debts
Purchase inappropriate products
Misselling

Question 3

Name 4 ways adviser can help deal with vulnerable clients

Answer 3

Using clear language at all times
Up to date staff training
Internal policies to identify and monitor vulnerable clients
Tailor their communications for vulnerable clients
Signposting

Question 4

How was Tanya eligible for Bereavement Support for Alex to claim?

Answer 4

As she should have paid NIC’s for at least 25 weeks in one tax year since 1975