Why Should You Buy a Protection Policy?

In In The Press by PCH Staff

In this article we aim to dispel those frequent misconceptions that make people think they just don’t need protecting.

It is a fact that there is a massive disparity between the amount of life and protection insurance people in the UK currently have versus the amount they actually need or should have. This so called ‘protection gap’, the amount of sum assured people don’t have has been estimated to be as much as £ 2.3 trillions by some industry commentators.

The question is, why don’t people have cover in place ? Here are some of the common reasons or comments people give for not buying protection insurance cover and our analysis of how we might challenge them.

1. I am young fit and healthy…
A. So was Superman (Christopher Reeves) – but unexpected accidents can and do happen.

2. It won’t happen to me …
A. Many people, such as Kylie Minogue now say differently : “I was surprised when it happened to me, but it did”. 1 in 3 people will contract cancer at sometime in their life.

3. The State will provide …
A. The state does provide a subsistence level of support, but are you prepared to let your family subsist on £455.22 per month, the maximum employment support allowance?

The above statements are all based on the presumption by people that one can simply ‘avoid’ the need for life cover. As we have discussed in other articles, burying your head in the sand is never the answer.

4. I will leave it for a couple of months/ until after my holiday/ until next year …
A. What’s going to change in the next couple of months ? Other than an increase in the need for cover !

5. I am going to shop around …
A. The market is competitive, that is true. Are you ‘shopping around’ because advice given in the past was bad, the products recommended were inappropriate or too expensive? Is it simply the price ?

Everyone procrastinates and puts off vital tasks, it’s part of being British after all ! In the final analysis if something worries us (for example the thought of our own illness or mortality) or could cost us money, it will always be something we want to put off. Protecting your family though should surely be a priority.

6. It’s too expensive …
A. There really is no such thing as a free lunch but solid, simple cover is cheaper than you think. Start your plan now and the cost will seem like nothing in 18 months or so.

7. God will provide…
A. Probably not, but do you think you’re reading this article and considering speaking to Premier Choice Healthcare by accident ? There’s really no need to rely on chance – take control of your own future – give us a call.

8. I get cover from work …
That’s great, lets review your employment contract so we can quantify what you get and check it covers you and your family adequately. Cover provided through work rarely takes account of key life events like getting married, having children, buying a house and so on.

The commonest objection is always going to be based on the ‘price’ especially if the premiums are an on-going, regular commitment. Remember though that life cover is actually cheaper than most people think. Plus after you budget to pay a premium, over time it will fade into the background and inflation means that in a few years valuable cover will remain in place for a premium that costs you virtually nothing.

9. Insurance doesn’t pay out …
A. That’s what many newspapers have led us to believe over the years, mainly because as we all know, “bad” news sells papers. However, 96% of insurance claims are paid out. It is our job to choose the plan that suits your requirements and works when you need it.

10. I don’t believe in insurance …
A. We’ve all come across friends and relatives who didn’t have cover and turned out to need it – Sadly too many people ‘believe’ only after an incident, but by then it is too late.

11. My parents will look after my children …
They spent a life time bringing you up. It’s not fair to ask them to do it all over again at this time of their life especially if something happens to you. Taking responsibility for our own lives and families is part of the joy of growing up and becoming functioning adults.

Have confidence in your protection cover – The UK insurance industry is one of the most tightly regulated industries in the world. This should give peace of mind that policies work well and in the interests of the consumer. Add this to the fact that insurers actively engage with regulators and the public to discover the best way to fulfill insurance needs. This means that prospective purchasers of insurance can be sure that they really are taking ownership of their protection needs.

There’s a whistle stop tour of common objections we find to putting life and protection cover in place – contact Premier Choice Healthcare and we will gently ease you through the why’s and wherefore’s of your cover requirements and make sure you don’t become part of the Protection Gap.

Premier Choice is award winning in ensuring individuals, families & companies have the right insurance to face the unexpected with advisors throughout the UK to assist you.