Scottish Equitable has launched a range of marketing material designed to aid IFAs promoting income...
Scottish Equitable has launched a range of marketing material designed to aid IFAs promoting income protection as research compiled by the group has indicated 95% of the UK's working population do not have income protection.
Scottish Equitable predicts income protection to be the next big area of growth for intermediaries. Research from the group has shown that although the average family spends £2154.21 a month, mortgage repayments only account for one-third of this amount, so if the main income provider became unemployed and was only covered for mortgage protection, there could be a huge shortfall.
Heather Armstrong, head of marketing at Scottish Equitable Protect, said: 'Today's direct debit lifestyles means several areas of family life may be at risk should a key source of income disappear. Our research shows mortgage repayments typically account for one-third of families' average monthly outgoings, so in many cases, income protection cover might be more appropriate than simply mortgage payment protection.'
She added: 'It is estimated that 95% of the UK working population has not adequately covered their income, but personal borrowing continues to increase. IFAs should encourage their clients to think about protecting their income as a first step in any financial health check.'
Call 0800 600 1402 or log onto www.scottishequitable.co.uk/protect
