Shepherds Friendly found that 81% of people who rent or have a mortgage do not hold income protection cover. The survey also found that 44% of those without cover had children under 17, while 28% were single. These findings reinforce the scale of the protection conversation alongside mortgage borrowing, particularly where household income is concentrated in one earner.
AI could help advisers identify clients whose mortgage records suggest a protection review may be timely, automate routine follow-ups and produce clearer meeting preparation. However, firms should avoid relying on automated prompts alone: needs analysis must consider sick pay, savings, benefits, existing cover, health disclosures and clients’ priorities. Under Consumer Duty, communications should be understandable and designed to support informed decisions rather than simply drive product take-up.
- Build protection prompts into purchase and remortgage journeys.
- Use plain language to show the consequences of income interruption.
- Maintain adviser review of all needs, exclusions and suitability discussions.