The insurer has today published Rethinking Protection, a report which outlines a series of proposals to help raise awareness of protection needs and encourage UK families to plan
for the unexpected.
Figures from the insurer show that less than a quarter of families feel fully protected against unexpected financial shocks such as bereavement and serious illness, yet many under-protected people are ignoring their concerns. Only four out of ten families have life insurance in place, should the worst happen. The number of families with critical illness cover or income protection is even lower, at around 12% and 8% respectively.
Efforts to improve the protection market by publishing transparent claims data and making the claims process quicker and simpler, are gradually helping to build consumer confidence. However, Aviva believes that opportunities to remind people of their need for protection are still being missed.
Aviva is calling on the government and industry to work together to ensure that customers get the information they need at the most appropriate times, and to take advantage of changes in the financial services market to put protection at the heart of financial planning.
Louise Colley, protection director for Aviva says:
"Protection is the bedrock of financial planning and gives families the confidence that they can build their futures without fear of the unknown. We believe every family deserves to understand the financial risks they face and the importance of protection. By working together, the government and the industry can make sure that families have the stability they need."
