Insights ¦ FVT Bereavement guide v6 Web

Key Take Aways

1. Vulnerability is circumstantial, not defined by age or demographics, and can affect individuals at any stage of life.

2. Many clients and families experience vulnerability due to emotional distress, lack of knowledge, or complex legal/financial processes, particularly post-bereavement.

3. Vulnerability is not always disclosed; advisers should recognise behavioural or decision-making difficulties as potential indicators.

4. Effective support requires proactive identification of changing needs—emotional, practical, and financial.

5. Pre-bereavement planning, including Wills, protections, and Lasting Powers of Attorney, is essential in mitigating future vulnerability.

6. Building trust and understanding family dynamics before bereavement streamlines post-death support.

7. Signposting clients to statutory, commercial, and third-sector services ensures holistic care.

8. The third sector, including the National Bereavement Service, provides vital free support.

9. Advisers should assist with estate documentation, advance care planning, and digital asset access to ease stress.

10. Comprehensive ‘support packs’ and proactive engagement with executors enable smoother estate administration.

11. Firms should implement contingency and succession planning to ensure organisational continuity and client support.

12. Emotional resilience and staff training in vulnerability awareness are critical in handling bereavement cases.

Key Statistics

• 604,707 deaths occurred in the UK in 2019, illustrating the regularity of bereavement in financial advice.

• Few people openly discuss death, yet it is inevitable, reinforcing the need for proactive planning.

• Over half of Samaritans calls come from people in distress (not actively suicidal), showing the prevalence of emotional vulnerability.

• ONS mortality estimates are often used by advisers to approximate death timing in planning.

• Most employed clients receive 3–5 days’ unpaid bereavement leave, with variations depending on employer.

Key Discussion Points

• Vulnerability is fluid and requires ongoing assessment, not a one-time check.

• Early, empathetic engagement with bereaved clients can significantly reduce future burdens.

• Updating Wills and Powers of Attorney before bereavement mitigates risks and stress.

• Third-party service signposting (public, private, voluntary) is central to comprehensive support.

• The third sector provides cost-free, specialist services complementing statutory and commercial provision.

• ‘Death rehearsals’ with clients can identify logistical and planning gaps.

• Executors and beneficiaries benefit from accessible information packages.

• Documenting funeral wishes and digital assets prevents administrative complications.

• Internal and external contingency/succession plans ensure business resilience and continuity of support.

• Emotional impacts of bereavement may trigger irrational decisions; advisers must adapt accordingly.

• A combined approach of emotional sensitivity and practical guidance enhances advice quality.

• Increasing complexity of bereavement-related tasks demands compassionate, tailored professional support.

Document Description

This article is a practical guide for senior financial services managers, outlining how to support bereaved clients through a vulnerability-aware approach. It stresses proactive planning, effective signposting, and emotional care, highlighting the role of statutory, commercial, and third-sector services. The guide advocates robust internal systems, ongoing vulnerability assessment, and adviser training to strengthen trust, resilience, and client support during one of life’s most difficult transitions.