Advisers have failed their clients when it comes to business protection as most have not recommended...
Advisers have failed their clients when it comes to business protection as most have not recommended suitable key person cover, according to one industry expert.
Speaking at the COVER Protection Forum, Mark Meads, head of sales, individual protection at Aegon Scottish Equitable, said advisers should not be afraid to expand their remit by starting to promote business protection.
He admitted there were reasons why business protection had not been encouraged by advisers. Namely, it was perceived as too complex and time consuming, with a lack of suitable clients, established connections and availability of tools and support.
Meads added that companies insured their tangible assets but often failed to ensure their own people. He said individuals are considered vital to businesses but that advisers had failed to recommend suitable cover for them and that those that had done so had recommended life cover only.
Meads said succession planning was also key to business protection to make sure the shares and especially control of the business fell into the appropriate hands.
