Advisors report surge in protection sales

May 20, 2024 by Brendan O'Neill

Mortgage Advisors

A new survey of mortgage advisors has found that close to half of them are experiencing a rise in the amount of protection business they are doing compared to last year.

This survey was produced by Mortgage Solutions. In total, 47% of the advisors that took part in it said that they were selling greater numbers of protection products to their clients than at the same time in 2023. A further 31% indicated that the amount of protection business they were doing had fallen compared with this period last year. 22% told the survey that it had remained at around the same level.

Many of the advisors that participated in the survey stated that they were not surprised by the rise in protection business that they are seeing. A combination of economic factors leading to drop-offs in mortgage business combined with the new Consumer Duty rules were cited as reasons for it.

Access Financial Services CEO Karl Wilkinson echoed those sentiments. He told Mortgage Solutions that:

“During a time of high costs, economic volatility and increasing arrears and repossessions, clients appreciate the peace of mind that protection affords them.”

He then went on to point out that it was a very good way for mortgage advisors to keep a healthy flow of work and money coming in during periods when mortgage business is a little slower.

One of the many advantages of completing the CeMAP mortgage advisor course is that it qualifies an advisor to offer advice on protection products as well as mortgage ones.