Research conducted by Legal & General shows that 88 per cent of brokers believe that they are not selling enough protection.
To come up with this result, Legal & General surveyed brokers at its Mortgage Club Autumn Conference, where the firm also found that Brexit has eclipsed robo-advice as the greatest threat to brokers, with 25 per cent of those asked fearing the results of the split between the UK and the EU.
With Legal & General’s recent report ‘Deadline to Breadline’ finding that only 10 per cent of UK adults have some form of income protection policy, the financial services company says that closing this ‘protection gap’ is of the utmost importance.
Just last week, Mortgage Strategy, in association with The Value Exchange, took part in a live Wired session where Andrew Montlake, Katie Pisanu and Jon Nixon discussed the important of mortgage protection. You can watch the recording here.
Head of intermediary protection Richard Kateley says: “The fact that only one in ten brokers believe their business is selling enough protection is evidence that our industry needs to do more to highlight the importance of protection.
“However, encouraging your client to discuss this topic is easier said than done when we live in a culture of reactiveness. The most successful brokers make protection a core part of the mortgage sale rather than an end of process consideration – and by this point, it is usually too late. We are happy to insure our pets, mobiles, iPad, or valuables yet none of these will pay our mortgage if or when life happens to us. When it comes to prioritising our own health and wellbeing, procrastination seems to come first.”
Legal & General Mortgage Club director Kevin Roberts adds: “As an industry, it’s clear we need to make more time for advisers to focus on what really matters. That’s why we’re committed to embracing technology to deliver the frictionless mortgage – removing some of the hassle while freeing up time for advisers to provide valuable discussion on protection.”