Over half (55%) of workplace protection advisers have cited cost pressures on SMEs as their top concern for the forthcoming year. However, this also presents a consulting opportunity to ensure SMEs are getting maximum value from their workplace protection products.
The new research by Canada Life reveals that cost pressure challenges was closely followed by ongoing economic uncertainty (53%), with nearly half (45%) believing this will reduce the amount of business they write over the next 12 months. An additional two-fifths (42%) cited concerns about how costs will impact their fee revenues.
By contrast, the greatest opportunities for advisers are the increased focus on health and wellbeing (76%), followed by the increase in flexibility of benefits (43%), and the adoption of new technology (38%).
The survey, conducted at the start of the year, among 135 advisers, also reveals the key benefits advisers are looking for this year. Service ranked the highest, with three quarters of advisers selecting this option, with price (74%) and added value services (62%) coming in at second and third.
Dan Crook, Protection Sales Director, Canada Life, comments: “Whilst I understand advisers are suggesting that SMEs will be under greater cost pressures, which presents a risk to our industry, I also feel that employers’ and employees’ awareness of our solutions have been heightened as a result of Covid-19. So, it’s reassuring to see that workplace protection advisers also recognise an opportunity to attract SMEs to our market.
“It also makes sense that advisers see a significant opportunity in the health and wellbeing space. The pandemic has put this at the forefront of the global agenda, and the protection industry has readily met the changing needs of the UK’s workforce and their families during the toughest of times. This includes the launch of tech-driven, flexible solutions, such as our support services offered through WeCare and myStrength, our new mental wellbeing app.
“Looking ahead, we, as an industry, must work to continue developing our propositions to ensure advisers have the right tools in place to help employers and their employees get the support they need, when they need it.”
ENDS
Notes to editors
- Survey conducted among 135 advisers between 26th 31st January 2023.
Enquiries:
Press enquiries should be directed to:
Amelia Graham at Vested, 07393 477057, canadalife@fullyvested.com
Elle McAtamney at Canada Life, 07913 568213, Elle.McAtamney@canadalife.co.uk
About Canada Life:
Canada Life is part of a group of companies controlled by Great-West Lifeco Inc., a diversified financial services holding company headquartered in Winnipeg, Canada. Through its subsidiary companies, Lifeco has operations in Canada, the United States, and Europe. Great-West Lifeco and its insurance subsidiaries have received strong ratings from major rating agencies. Great-West Lifeco has over 30 million customers worldwide and £1.341 trillion assets under administration (as at 31.12.21).
Canada Life Limited began operations in the United Kingdom in 1903 and looks after the retirement, investment and protection needs of individuals and companies alike. As well as providing stability and security through its individual contracts, Canada Life Limited has grown to become the leading provider of competitively priced group insurance solutions.
Canada Life Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England and Wales no. 973271. Registered office: Canada Life Place, Potters Bar, Hertfordshire EN6 5BA. Canada Life Platform Limited, trading as Canada Life, is a subsidiary of The Canada Life Group (UK) Limited, and is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales no. 8395855. Registered office: Canada Life Place, Potters Bar, Hertfordshire EN6 5BA.