Protection options must be made clear

The government’s decision to add VAT to the price of all food sold at above ambient temperature has confused many.

The so-called pasty tax was introduced to make sure rules on the sale of hot food are fairly applied, but the lack of definition of ambient temperature looks likely to cause unnecessary complexity.

We are aware that protection products can be complex too and that there is a need to address the fact that sales have slipped. But the industry has started to design more simplistic products that are competitively priced and will have greater appeal to a wider market.

It can be a challenge to persuade individuals that having some life or critical illness cover, or income protection is important and that there are affordable options.

Advisers who traditionally sold menu plans may find that by adding simple products to their sales repertoire, they will have a greater chance of making a sale and increasing their customer database.

So whether someone is looking for a complex product or a simple one, there should be something to suit most people’s needs and budget.

Talking to an adviser will help clients put things into perspective and make sure that someone taking out protection for the first time can make an informed decision on what to buy.

And by finding a way to communicate as simply as possible the benefits of the different options available, understanding their protection options should be easier for clients.