Highlighting the everyday value of protection policies – 5 things you should read
26 May 2022
29 June 2022
With many individuals and households facing rising living costs and a squeeze on their income, there is a risk that valuable protection insurance products are seen by clients as a non-essential cost and therefore they may either forgo the cover entirely or cancel existing products.
Whilst clearly the overall value of any policy is the peace of mind and protection it provides in the event of a claim occurring, this can sometimes seem slightly abstract to people. Clients may ultimately feel that paying a monthly premium for little more than the promise of a pay out, in the event of something happening to them (that they deem unlikely) isn’t worth the cost.
Increasingly though, protection policies provide so much more and can offer clients a range tangible every day benefits that they are more likely to use and that can provide very real value, particularly if they’re facing financial challenges elsewhere.
In April of this year, a collaboration between the Protection Distributers Group, Association of Mortgage Intermediaries and Income Protection Task Force saw the publication of a ‘Guide to Saving Protection Policies’. These two guides, one adviser facing and one consumer facing, provide some useful tips and information on the importance and value of protection policies and why they shouldn’t be cancelled.
In support of this initiative, last week we published an round-up insight covering claim case studies and stories that can be used in client conversations. This week we turn our attention to the valuable support services offered by insurers and as highlighted in the guides. Sign-posting these to clients can be a great way of highlighting why their monthly premiums are well spent and why the policy they have is providing so much more than just the core cover.
Download the ‘Guide to saving Protection Policies’ here:
24/7 VIRTUAL GP SERVICES
At the top of the list in the guide are virtual 24/7 GP services. Unsurprisingly this is one of the most commonly selected benefits across our research services and something that many advisers and their clients clearly already see the value of. Arguably something most clients will find a use for and something that purchased privately can be quite costly, so well worth highlighting.
Whilst still only offered by a relatively small number of insurers, health MOTs can be extremely useful. Given the lack of availability of routine health screenings through the NHS (unless offered at a certain age milestone, e.g. 40), this is something that most clients could only do by going private and footing the cost themselves. Health screenings can be an important way of better understanding our health and where necessary making lifestyle changes.
MENTAL HEALTH SUPPORT
With a greater overall focus on the importance of mental health and wellbeing, one of the biggest challenges for many remains the availability of support services if required. This is a key area where the NHS is often stretched and depending on where someone is in the country, access to services may be limited or they may face long delays. Mental health support is something offered by almost all insurers, in some form.
SECOND MEDICAL OPINION SERVICES
Offered by an increasing number of insurers, second medical opinion services are another benefit that can provide enormous value to clients that have a health concern and wish to seek expert help. Again, whilst the NHS provides invaluable medical support, there is sometimes a limit to what it can do and for clients who are unhappy with a diagnosis, they may wish to use a second opinion service.
NUTRITIONAL AND WELLBEING ADVICE
A poor diet and nutrition can often be a major contributing factor in some of the common conditions that result in protection insurance claims. To support clients maintain a healthy lifestyle and hopefully prevent those conditions from arising in the first place, many insurers now include a range of wellbeing benefits and services, available for the client (and in some cases their family) to use at any time. The services can vary, but as our insight highlighted, some insurers give clients access to expert, professional guidance.
This document is believed to be accurate but is not intended as a basis of knowledge upon which advice can be given. Neither the author (personal or corporate), the CII group, local institute or Society, or any of the officers or employees of those organisations accept any responsibility for any loss occasioned to any person acting or refraining from action as a result of the data or opinions included in this material. Opinions expressed are those of the author or authors and not necessarily those of the CII group, local institutes, or Societies.