COVID-19 ‘Drives Popularity Of Income Protection Insurance - QuoteLifeCover.com
by Liz Seyi Digital marketing managerIt
is not exactly news that the coronavirus crisis has profoundly altered the ways
in which many of us think about our lives and our health. Now, however, we are
beginning to see statistics emerge that help illustrate this, including with
regard to sales of income protection cover.
According
to data recently released by the London-based analytics and consulting firm
GlobalData, more than half (52%) of respondents to its 2020-21 UK Insurance
Consumer Surveys said the pandemic had influenced their decision to buy income protection insurance
during 2021. This compared to the 37.4% recorded for this same measure in 2020.
Such
a finding should not, of course, surprise anyone given the considerable
disruptions brought to people’s personal finances by the pandemic, whether or
not the virus directly and personally affected them or their loved ones.
What else is clear from the statistics?
The
most frequently purchased type of personal income protection insurance during
2021, the study found, was accident and sickness cover, which accounted for a
44.6% purchase share. The next most popular was comprehensive cover at 39.8%,
followed by unemployment protection at 15.6%.
Comprehensive
policies are those that don’t just include unemployment cover, but also provide
protection in the event of an accident or illness rendering the policyholder
unable to work.
“Individuals have become increasingly wary”
Senior
insurance analyst at GlobalData, Beatriz Benito, commented about the findings:
“Individuals have become increasingly wary about the unprecedented events of
the last two years, rethinking how best to protect themselves now and in the
future.
“The
UK’s furlough scheme prevented mass redundancies, yet many individuals still
felt the financial squeeze. Some consumers may feel more vulnerable to job
losses and health concerns than in the past and are therefore examining ways of
protecting themselves in an uncertain economy.”
Benito
also pointed out that soon after the effects of the pandemic began to make
themselves felt in the UK, insurers temporarily took their unemployment cover
off the market amid fears of an imminent escalation in job losses.
If
it wasn’t for insurers making this decision to temporarily suspend the
availability of unemployment cover, Benito said, “the proportion of income
protection policies accounted for by unemployment cover would be significantly
higher today.”
We’ll help make you more aware of your protection insurance
options
If
you have been considering income protection insurance for yourself - and
perhaps comparing it to other protection products such as critical illness cover - you may understandably be confused about exactly what is
available, or interested in benefitting from further specialist advice.
Our
team at QuoteLifeCover.com can leave
you well-informed on your options, so that you make only the most suitable
choice for your needs. Please do not hesitate to call us now, on 0800 316 6917,
to take advantage of our completely free - and no-obligation - quotation
service.
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Created on Apr 4th 2022 00:09. Viewed 216 times.