A slight change in the way life insurance policies will be sold could have affect on the whole life industry according to latest reports.

A reshuffle will see a change in legislation which will see a ban on independent financial advisors taking any sort of commission for the selling of any sort of saving plan.

This change could potentially cost the industry hundreds of millions of pounds and will be introduced specially to allay fears of misselling amongst advisers. The proposal has been highlighted by the Retail Distribution Review.

The director general of the Association of Independent Financial Advisers, Chris Cummings, reportedly commented: "While many of the proposals will be positive for the IFA profession in the long-term, we do urge caution over the cost of proposals. The economic environment is incredibly challenging for firms and the additional costs, should not be underestimated."