The new study, based on a survey of 5,000 UK adults, highlights a worrying disconnect between accident risk and financial preparedness among manual workers. Nearly one in four (23%) believe they are likely to experience a workplace accident within the next one to three years, higher than the national average of 19%. Despite this heightened awareness, just 4% hold Income Protection policies, and only 1% have Accident-Only Income Protection (AOIP) cover.
The findings also show that 36% of manual workers, more than the national average of 34%, have never considered how they would cope financially if they suffered a non-fatal accident that affected their ability to work. However, the research points to a clear opportunity: one in three respondents (33%) said they would be more likely to purchase AOIP if pricing were more affordable, and 15% would consider it if there were clearer examples of what such policies do and don’t cover.
National Friendly’s forthcoming Bruised Britain #2 – The Mishap Gap report will explore these themes in greater depth, offering new insights into how everyday accidents impact lives and livelihoods across the UK.
Graham Singleton, CEO of National Friendly, said: “We're excited to launch this insightful research that reveals a compelling market opportunity that benefits all stakeholders in the protection ecosystem.
“Among a study of 5,000 consumers, we have addressed perceptions, costs and attitudes relating to accidents in Britain today. Many people are living in the aftermath of an everyday accident which has temporarily or permanently altered the course of their life, work and finances. As a specialist provider, with a mutual heritage spanning over 150 years, National Friendly sees non-traditional protection policies such as Accident-Only Income Protection and short-term protection like Friendly Shield as a vital stepping-stone for those who would otherwise remain unprotected - getting people onto the protection ladder and opening doors to broader conversations.
“While the report looks at the impact of accidents across all consumers, we’ve drilled down to focus on underserved groups in society including those in manual work that may be more likely to have an accident and can often be overlooked by the protection industry.”
Paul Foody, Chief Operating Officer at LifeSearch, added: “In conversations we have with customers – and as evidenced in the National Friendly research – it’s increasingly apparent that consumers are becoming more aware of the different types of risks they face and how these might affect their household income. Advisers need to consider those risks when recommending products and respond to the individual’s financial resilience as well as their type of work, interests, and lifestyle.”
