Real innovation in the protection market could be limited by the need for short-term gain, claims Bright Grey products director Roger Edwards.
The sector has yet to carry out the same level of market research and intense product development conducted by other consumer sectors and may never do so because of the structure of the business, Edwards told the protection products conference.
He said protection providers have not truly come to terms with exactly what consumers want and are inclined to add more features to existing products rather than create new products based on consumer demand.
Edwards said: “The protection industry generally carries out some focus groups and then launches the product which adds a few more bells and whistles to what was already on offer. Perhaps fully researched and developed products capable of truly capturing the mass market will never happen because board directors will be uncomfortable with the risk of up-front expense for potential long-term return.”