Most of the content from Protection Guru last week focused on articles going deep into medical conditions to help adviser understanding of key medical conditions. Our Covering systemic lupus erythematosus (SLE) in critical illness insurance and How do critical illness plans cover stroke were two great examples.
Gary Waters told a few home truths in his article Good intentions, terrible outcomes: The truth about seven-day deferred IP. Much as I am a huge fan of Income Protection, I do worry that the manufacturing community all too often want to gloss over the shortcoming of such contracts. It sometimes feels a bit like the terribly politically incorrect Never Mind the Quality Feel the Width sitcom of the 1960s/70s. If you fancy a quick hour or and a half of TV as your parents or grandparents may have watched it, click the link above, but do not do so if you are easily offended.
On a serious note, there are major shortcomings in Income Protection plans that modern technology could fix, it is sad that insurers and reinsurers choose not to. Perhaps something for the FCA to consider in the Pure Protection Review. There are multiple avoidable poor consumer outcomes that could be fixed if only there was the desire from product manufacturers. Perhaps another reason why we need more competition.
Turning to a product that does demonstrate quality, Jason Coleman also looked last week at Vitality’s unique approach to supporting clients later in life.
Getting back to the detail needed to inform advisers we also concluded our three part analysis of Huntington’s disease and protection insurance, critical illness, life and income protection. – part three
If you have missed parts one and two here they are
Understanding Huntington’s Disease: A Guide for Protection Advisers – Part One
Genetic Testing, Huntington’s Disease, and Insurance: What Advisers Must Know – Part Two
In his Taking the heartache out of separation study, Jason particular looked at how The Exeter, Royal London and Guardian have taken innovative approaches to covering more than one life but being able to keep things separate when necessary.
Learn why not all life policies are the same analysis saw Jason highlight why there is so much more to compare than just premiums when evaluating value even for pure life plans. This is crucial information advisers need to know to fully meets FCA Consumer Duty advice requirements. If you are still just comparing price when making a recommendation you are falling a long way short of what the regulator wants so reading Jason’s study could be invaluable.
