Paradigm Group’s specialist protection arm Paradigm Protect is to offer group risk products to its members to help them capitalise on significant growth in the market.
The move is designed to take advantage of opportunities thrown up by the Government’s auto-enrolment programme, Mike Allison, head of protection at Paradigm said.
Most employers offer life insurance – one of the three products under the group risk umbrella, along with group income protection and critical illness cover – as part of pension provisions, but he suggested the group risk panel launch would allow its member firms to make the most of new market opportunities.
The move comes as a study by insurer Swiss Re on group risk in the UK revealed that 310,000 more people became members of group risk schemes in 2015, compared with 2014.
Mr Allison said: “Over the past few months we have been having discussions with all the major players in the marketplace, and they have developed specific and, in many cases, unique propositions for Paradigm Protect firms.”
Richard Edwards, national broker development manager at insurer Unum – one of the firms on the panel – said: “We are always keen to develop opportunities with quality distributors such as Paradigm, and see this as a great opportunity for both parties to benefit.”
Last May, Paradigm Protect partnered with health insurance advice specialists ActiveQuote, allowing its members who are not active in the health insurance sector to refer clients and receive 25 per cent commission.
Adviser view
Roy Mcloughlin, IFA at London-based Master Adviser, called the move great news. He added: “Auto-enrolment is working, so it’s now time for employers to differentiate themselves by offering other benefits to staff, including things such as protection insurance.”
