Consumers are failing to reap the rewards of tax relief on life insurance, according to a recent stu...
Consumers are failing to reap the rewards of tax relief on life insurance, according to a recent study.
The research, commissioned by moneysupermarket.com, revealed that while 51% of all UK adults have some form of life insurance, only 9% said this was a pension term assurance (PTA) policy, and 31% said they would not even consider PTA. Another 41% confessed they did not know whether it is something they should consider.
Moneysupermarket.com said widespread ignorance has led to these decisions and highlighted the need for consumer education. Advisers should also ensure they fully explain the various options available to clients, it added.
Commenting on the findings, Roger Edwards, product director at Bright Grey, said: "I'm not surprised by the findings of the research. But it's not just PTA that people are unclear about, it's protection in general. They don't know the difference between PTA, critical illness, mortgage payment protection insurance, income protection and payment protection insurance."
