If you were unable to work due to an injury or illness, suffered a critical illness, or faced an ultimately death – you (or your family) may be very grateful that there was a protection policy in place.
Yet research shows that only 26% of UK adults have a life policy, with a far smaller percentage having either a critical illness or income protection plan.
The same survey also set out why some felt a protection plan was not for them:
- ‘It’s too expensive.’
- ‘Don’t see the benefit of having it.’
- Don’t trust the insurer to pay out in the event of a claim.’
(Source: Royal London, March 2017)
All understandable concerns, but do make sure you talk to us first before writing it off, and let’s briefly consider each of those points.
1. It’s too expensive
Costs will, understandably, vary due to age, health, lifestyle, extent of cover required, etc.
Once we’ve established your needs, we can search for the most suitable deals. You may even be pleasantly surprised at what can be delivered, as the insurance industry is both highly competitive and innovative.
Additionally, it seems that the average Brit spends £124 a month on little luxuries, such as takeaways, taxis and snacks.* So, bu cutting out a few items each month you may swiftly find the money to help fund a protection policy that puts your mind at rest.
(Source: *Scottish Widows, January 2018)
2. Don’t see the benefit of having it
It’s often difficult to contemplate needing a protection policy, until you really need it! But surely it is better to: ‘have something in place and hopefully not need it, than to need something and unfortunately not have it’.
You can, of course, try to sort it out yourself online, but you might find that when you’re confronted by a raft of options, it makes sense to take advice.
3. Don’t pay out!
In fact, 97.3% of all claims were paid out in 2016, equating to £13m a day!
– 99.5% of all claims were paid out.
– Average payout of £75,000 (term), £4,750 (whole of Life).