He added: “There’s an inert snobbery in our industry too. Advisers tend to go after the big boys. They don’t know how to approach SMEs.”
Between 2019 and 2020, policies taken out dipped 43.1 per cent to 11,975, according to the latest Swiss Re data.
This means on average just 0.2 per cent of the UK’s 5.82m SME population took out a policy last year, compared to 0.36 per cent the year before.
Overall, L&G Insurance saw its UK group protection gross premiums climb from £245m in H1 2020 to £274m in H1 2021.
In its latest financial results, the insurer said it intends to continue targeting "mid-single digit growth" in its UK protection revenues. It expects H2 2021 to deliver "greater operating profits" than H1.