Advisers have a key role to play in ensuring the protection industry adapts to the challenges of new technology, industry figures have claimed.
Speaking at the Protection Review Conference at London's The Landmark hotel today (19 July), delegates discussed the need to retain a human touch in a sector that is increasingly dominated by digital innovations and facing the rise of start-ups eager to attract market share from the big players.
But far from sidelining the advice process, technology was seen as a way of increasing customer engagement and cutting through unnecessary jargon with the help of intermediaries.
Rhys Williams, strategy director at marketing firm Quietroom, encouraged the sector to learn from digital-based start-ups such as Lemonade and Jetty, which use simpler language to boost product uptake.
Technology is not "the be-all and end-all", he said, pointing out that online firms have increased customer involvement by involving humans in the process, rather than just relying on algorithms.
The continued involvement of advisers was seen as key in a sector still struggling to convince people of the need to take out protection products.
Richard Kateley, head of intermediary development at Legal and General, told the conference: "For robo-advice to really work, [customers] have to want to buy - and that is where advisers come in to tell them where they need protection."
Freelance journalist Iona Bain echoed this point and pointed out that the demand for human involvement is still strong among tech-savvy millennials.
Highclere Financial's Alan Lakey added: "It is not how clever you are, it is how you explain it to the client - taking concepts and making them simpler. The industry is appalling at it. If you can change that, it will help in uplifting sales of protection."
simon.allin@ft.com
