Protection market review November 2018.
MACRO NEWS AND DRIVERS
Workplace life policies are not enough, experts warn – Group life insurance is a great benefit but relying on it for all protection needs could lull workers into a false sense of security, insurance specialists have warned.
2018 protection sales see strong growth – Protection sales have grown during 2018 with income protection performing particularly well, according to a fintech company's transaction data.
Majority of people unprepared for adult social care costs - Only 15% of adults say they are making plans for how they will pay for care they might need in the future while half of English adults say that they have never thought about how they will pay for care when they get older.
Breast cancer still biggest cause of CI claims - Breast cancer was the single most common cause of critical illness (CI) claims in 2017, accounting for 15%, according to Aegon figures, while a quarter (26%) of its CI cancer claims were for breast cancer.
Mortgage and protection networks unite under joint MD - The managing director of the Mortgage Support Network has been appointed to the dual role at sister network HL Partnership.
Britons seriously underestimate life cover needs - Britons are underestimating how much life cover they need, potentially putting their families at risk should the worst happen.
Growing your business could be as easy as talking about protection on a human level - Cura Financial Services grew their protection business by 16.5% over 18 months by using a positive, human approach to educate clients on the value of protection. Emphasising the tangible benefits of additional support services like Scottish Widows Care is one way to show how some protection plans can help a policyholder and their family in the here and now.
REGULATION AND LEGISLATION
Budget 2018: Extra £650m for social care a sticking plaster that 'only just staves off collapse', experts warn - Experts have criticised the government for again failing to tackle reform of care for the elderly with £650m in the Autumn Budget but no explanation of how it will be made sustainable longer term.
Budget 2018: Scullion 'relieved' following IPT freeze - Chancellor Philip Hammond yesterday announced that insurance premium tax (IPT) rates are to remain at the current level of 12%. The decision has come following an open letter from four major private medical insurance (PMI) providers calling for the freeze, supported by Association of Medical Insurers and Intermediaries (AMII) executive chairman, Stuart Scullion.
PRODUCT DEVELOPMENTS AND INNOVATION
VitalityLife enhances serious illness cover - VitalityLife has announced that ‘Dementia and FrailCare Cover' will now be offered to customers at no extra cost as part of Serious Illness Cover (SIC).
The Association of British Insurers and Department for Health and Social Care have launched an updated Code on the use of genetic testing in the insurance market - The Code is the sixth iteration of a long-standing agreement – previously called the Concordat and Moratorium on Genetics and Insurance - launched in 2001 between the ABI and the Government on how insurers use genetic information. Insurers have again committed to not asking customers about predictive genetic test results when applying for insurance.
Vitality offers Amazon Prime access to members - Vitality is offering its members a month’s access to Amazon Prime for every 160 Vitality activity points they earn.
Nearly a third would consider buying life insurance from bank - A recent survey of 2,053 UK consumers by Pacific Life Re has explored people's attitudes towards life insurance - what they would prefer to buy and how they would most like to buy it. According to the research, 30% of consumers would consider buying life insurance through their bank and 44% said that they would most likely purchase ‘death by accident' insurance.
Phil Jeynes: New products are no good without new business - Protection has really started to change over the last few years. While the upper echelons of most major insurers remain largely pale and male, we are seeing the tangible effects of industry efforts to redress the gender and ethnicity imbalance, with senior females gaining prominence and a more interesting array of faces populating panels and podiums at events.