For a huge majority of people in the UK, their income will pay for everything they need and want in their lives – from the simple, such as putting food on the family table, to the luxury, such as overseas holidays.
Ultimately, it is our ability to earn an income that dictates the ability to deliver these things.
So, it could be a constant surprise to see income protection languishing in 3rd place in a league of just 3 protection products. It doesn’t seem to reflect the risk that income protection takes away, it’s as if the UK public has got their priorities wrong.
However, it isn’t just the public themselves that are to blame – everyone within the protection industry has a part to play. Like all of the best routes to success, it doesn’t have to be complex. If we stick to some simple commitments, income protection can soon be the problem child no longer.
3 steps to success:
Engagement and acceptance
Firstly and most difficult to overcome is the need for consumers to accept that they have a responsibility to protect themselves against ill health. We need to find new ways to truly engage consumers, helping them understand the crucial need to protect their income and importantly, feel good about doing so.
Adviser priorities
Secondly, advisers themselves need to accept their responsibility in putting income protection first. There have been many good reasons why income protection fell down the pecking order in the past, but while the CI market becomes more and more complex, income protection has been on steady curve of improvement and simplification.
Affordability and options
Finally and, according to many, the most important factor in determining the long-term success of this product – affordability. Recent additions such as short-term claim period plans ensure a viable income protection plan is now achievable at a lower cost.
A closing thought
At The Exeter, we’re proud of the income protection plans we offer and the vital, life changing cover they have provided our members over the years.
In our view, income protection should be the bedrock of financial advice. With less and less holding this crucial product back, can you take the opportunity to make this happen?
2017/2071
