LifeQuote has launched a premium-driven service to support the traditional ‘sum-assured’ approach, following a post-Mortgage Market Review borrower focus on cash flow.
The service allows advisers and their clients, who identify a protection insurance need, but who have limited cash available, to quote on what this will buy in terms of cover rather than necessarily what the optimal level of cover might be.
It has been designed to make it as easy as possible for advisers and is available in a number of product areas. They need only to tick the ‘premium driven quote’ box and they will receive a quote based on the premium their client wishes to pay.
The quote research then ranks the providers by the largest sum assured quotation generated, which advisers can export for client reporting.
It is available on term (level and indexed), whole of life, mortgage protection, family income benefits, term and standalone critical illness products. The service currently includes the majority of providers, with others having given their commitment to join over the coming months.
Neil McCarthy, sales and marketing director at LifeQuote, commented that feedback from brokers is that the MMR had put pressure on assessing a clients’ available cash flow and, as a result, many were having to disregard protection as unaffordable.
“The overwhelming view is that premium driven quotations should not be seen as a compromise as having some cover is vastly preferable to having none at all.”
peter.walker@ft.com
