Most private client practices adopt a reactive, matter-based, contact initiated approach. As a result the firm only knows what clients choose to share and that maybe very little. It’s easy to see how the clients’ arrangements and their life situation can become quickly misaligned.
Does your firm actively ask or enable clients to self report changes in their circumstances?
Why Clients Do Not Self-Report
Communication constipation may not be due to a lack of will. It is tempting to think clients understand the significance of life events to their legal arrangements and would naturally get in touch when things change.
The evidence does not support this.
Even the people who engaged thoughtfully with the original will drafting process do not necessarily keep their advisor up to date. Is this through willful neglect or ignorance?
Guidance from the Association of Lifetime Lawyers is clear:
Arrangements should be reviewed every five years, or following any significant life event.
In practice, most existing wills have been reviewed neither on a time basis nor on an event basis.
The question is not whether your clients’ circumstances have changed since their wills were drafted. They have. The question is whether your firm knows about it.
So whose fault is it?
Well, does it matter? There is strong evidence of an impending Inheritance timebomb so perhaps a more relevant question is “what can be done?”
If one adopts the view that will owners want to keep their arrangements relevant to their life circumstances then, it seems to us, the challenge is:
- To keep the will owners informed
- To overcome procrastination
Beyond Communications Constipation
Firms have a duty of care to keep their clients informed and to act in their best interests. It seems to us to follow that this means that firms should initiate regular communications outreaches that speak specifically to their will owners. This, we suggest, means using specific, jargon free language that helps put regulation changes, relevant life events and age specific advice in context.
Obviously firms can add content to their website but what if their existing clients are not avid followers (we can state with confidence ‘they are not’). Would best practice not be for firms to ensure they have up to date contact information which they use to proactively send relevant information?
Innovate to enable action
We all procrastinate. We also have a tendency to believe we will live forever
Firms can consider more innovative ways to enable their clients to engage. Rather than expecting clients to ring in to book a meeting, firms can look at enabling a greater degree of self-service and ‘any-time’ actions that enable client convenience whilst minimising consumption of firm’s admin and fee earner time.
Next Best Steps
We all procrastinate. Why not make an exception and contact us for a chat. We specialise in helping private client teams to transition from passive to proactive management of their existing clients