The income to be generated as a pure protection specialist post-RDR should not be under-estimated, an IFA network has said.
Tenet has reported a "gathering momentum" of protection training demand among its adviser firms in the last 18 months, and estimated 35 to 40% of firms were ramping up protection in their financial planning propositions.
Keith Richards, group distribution and development director at Tenet, said: "The motivation for advisers to focus on protection is not necessarily driven by a positive or by foreseen opportunity. It is because of the risk of not being able to continue to operate in the investment area.
"But in some firms, as advisers have become specialists and more focused on protection they have been very profitable."
Tenet estimated roughly 10% of firms would become pure protection specialists post-2012.
Richards added that when sold properly protection could be "hugely profitable" for firms.
He said: "The problem for some advisers is that it is a lot more emotive. And from their clients' perspective it is all about spending money and generally involves negative conversation around life expectancy as opposed to the positive one of investing money and generating returns."
