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Consumer protection campaign fails to raise necessary funds

The Tom Baigrie inspired Consumer Protection Insurance Engagement Campaign has failed to raise the necessary funding to take its plans forward.

In a statement released this afternoon, Baigrie says it was not possible to raise the £5m that the group estimated it needed to run a hard-hitting media campaign.

The group for 22 insurers and reinsurers had been brought together by Baigrie in an attempt to launch a joint media initiative to promote the need for protection.

Baigrie says: “The Consumer Protection Insurance Engagement Campaign has not achieved the agreement on funding that we had hoped and is therefore at an end for now.

“As the range of genuine issues became apparent it was clear that we could not seek to address them all, but for now should merely fully report them as vital learning points to inform subsequent efforts.

“Whether there is further action in the future is for others to decide. What is absolutely clear, and which everyone agreed upon, is that there is a great need to raise consumer awareness on the need for protection. It is therefore a great shame that the leaders of the protection industry could not agree to move forward and meet the costs. However, I feel there are valuable lessons to learn for the future.”

Baigrie says although his efforts have failed so far to create a marketing campaign to launch next year, he hopes it will set the stage for one in the future under different leadership.

He says: “While it could be said that this exercise has failed and thus been a waste of time and money, I see it differently. It has moved the original whimsy into the realms of concrete proposal and in doing so has found its limitations. In doing that it has clearly signposted the ways that are possible going forward and those that aren’t. While I have run out of resource and leadership ability, it remains open to those capable of leading the industry through its trade bodies and within the reinsurance sector, to take over the effort, fund its refinement and focus and bring it into a much needed reality.”

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Comments

There are 11 comments at the moment, we would love to hear your opinion too.

  1. I HAVE A BETTER CAMPAIGN 26th November 2009 at 4:18 pm

    I have a better idea to promote protection. Baigrie should bring together this group for 22 insurers and reinsurers and pumpt the £5m into an anti FSA RDR Campaign. That way post 2012 there would be an 10,000 more advisers able to stay in business and able to sell protections products!

    SIMON MANSELL

  2. well said that man

  3. This is a real pity as the whole industry could have benefited from a generic campaign. It was always going to be an uphill task trying to get 22 insurers to agree!

  4. 22 insurers and reinsurers cant find £5m to boost business…. pathetic….

  5. Why would it have to cost £5 million? Adverts don’t sell protection, advisers do! Or did..

  6. Protection products, particularly income protection desperately needs a better image and for the public to be informed and understand the value of this sort of insurance. It is only when people are confident enough to buy short term income protection that it will move from Cinderella status to achieve a decent level of market penetration. At this time of high unemployment, so many would have kept their head above water should they have taken this out prior to the recession. This would benefit from decent marketing – a lost opportunity for the industry

  7. Well done to Tom for his efforts so far.
    Industry concensus is always going to be an issue. It has for the last 30 years, and realistically unlikely to change because of individual agendas.
    Just to be contentious, I have to say this is not just a “support the adviser” issue. Protection for a large part of the consumer market will have to be through additional distribution channels. That’s reality!

  8. Rosemary Heaversedge 26th November 2009 at 7:45 pm

    Many years ago I read a quote from Churchill to the effect ‘everyone should have insurance writ large over their door…’ or similar.
    Would be really interested if anyone knew it.
    The government could benefit enormously from the savings on benefits that need to be paid when families are adequately insured on a reasonable basis.
    The British expectation that the government will take care of them has increased under the Labour government and individuals seem unable to plan anything other than an expensive holiday.

  9. Maybe this failed because of 1) apathy and/or 2)short arms and deep pockets. Or maybe 3) it was because all these companies realised their money would be better spent on promoting their own products and brands (which is what anyone with a grain of sense would do). Or 4) because throwing £5m at an advertising campaign would leave consumers a bit more aware of their needs but still trusting none of the brands offering to meet them – see 3) above.

  10. Rosemary, this is possibly what you were referring to:
    “If I had my way, I would write the word “insure” upon the door of every cottage and upon the blotting book of every public man, because I am convinced, for sacrifices so small, families and estates can be protected against catastrophes which would otherwise smash them up forever. It is the duty to arrest the ghastly waste, not merely of human happiness, but national health and strength, which follows when, through the death of the breadwinner, the frail boat in which the family are embarked, founders and the women and children and the estates are left to struggle in the dark waters of a friendless world.”

  11. We don’t have time to sell protection policies, we are to busy with TCF and the RDR to take care of clients needs.

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