Financial services technology provider iPipeline has seen its highest week for new income protection applications in a decade.
For the week beginning March 11, iPipeline received 3,280 protection applications submitted through its portals.
This was 8 per cent higher than the previous record total that was recorded in 2023 and included applications that cover any policy with income protection, be it standalone or part of a multi-benefit plan.
Mortgage Intelligence head of protection, Angela Davidson, said: “Income protection is the cornerstone of financial resilience, so this significant uptick in applications of late is something to celebrate.”
However, she warned the industry “can’t rest on our laurels” and must instead “keep beating the drum to maintain this upward trajectory and ensure the importance of income protection is raised on every occasion”.
“My hopes are that we continue to see advisers, and the industry alike, working together to protect more families to keep the roofs over their heads and food on the table,” she added.
These figures reflect rising income protection sales in general, with the Association of British Insurers announcing a 16 per cent increase in sales for 2023, compared to 2022.
In 2023, the ABI recorded 247,000 new policies, which was the highest recorded by the ABI since it began collecting data in 2000.
The recent activity on iPipeline portals, SolutionBuilder and Assureweb, shows income protection sales may continue to boom in 2024.
iPipeline product strategy director, Paul Yates, added: “In a climate of high interest rates and many still feeling the squeeze caused by double digit inflation last year, there seems to be a growing interest in a safety net to help address such financial shocks.”
Yates added he was “encouraged” by the activity, and that iPipeline will be relaying this to its partners, together with underlying trends from its data, which will help inform their growth strategies for 2024 and beyond.
tom.dunstan@ft.com
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