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Consumers must reconsider protection position, warns Canada Life

Canada Life is urging advisers to encourage their clients to reconsider their protection position following the changes introduced under the Welfare Reform.

Research by the insurer found three in four consumers believe they would not be able to maintain their current lifestyle for over a year if they were unable to work, or unable to obtain necessary benefits.

The same survey, which polled 650 consumers online, found the average savings of those of working age was £4,954, considerably less than the average UK salary of £26,728.

Head of marketing Marion Ware says while the research “highlighted some shocking statistics which would leave many people unprepared”, it is now up to the adviser to highlight their clients’ protection needs.

She says: “We urge all advisers to speak with their clients about income protection and discuss the importance of having this type of benefit available through the workplace.

“The fact that nearly one in four consumers think they could survive for over a year on their current finances, when only 15 per cent have any kind of income protection policy in place, is very worrying.”

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