CHELTENHAM, UK, JUNE 12TH, 2017 –
iPipeline® – a leading provider of next-generation solutions and services to the life and pensions market – has announced their latest new business figures. They reported a 36 per cent increase in the number of completed new business protection applications in Q1 2017, based on provider supplied data, as compared to same period last year. Income Protection is one of the fastest growing product lines for iPipeline – transactions increased by 25% between Q4 2016 and Q1 2017 and by 60 per cent from Q1 2016 to Q1 2017. Whole of Life and Over 50s plans saw the strongest growth, with a 200 per cent increase from Q1 2016 to Q1 2017.
Multi-benefit plans have been particularly popular when buying Family Income Benefit. In March 2017, 60 per cent of Family Income Benefit transactions and 32 per cent of Income Protection transactions were generated as part of a multi-benefit plan. iPipeline also noted that when Income Protection is sold as part of a multi-benefit plan, it is most often written alongside Decreasing CI.
Among the longer-term trends, iPipeline noted that multi-benefit sales have increased significantly, from 2 per cent of protection transactions in July 2015 to over 12 per cent in March 2017 (which in effect reduces the total number of transactions recorded per client). There has also been a movement towards single life plans over joint life plans, rising from 63 per cent of term policies in January 2013 to 72 per cent in March 2017.
Mark Dennison, Principal at LightBlueUK said: “It’s good to see Income Protection increasing as it’s usually the most important protection product for people of working age. Hopefully, these positive figures will be replicated across the industry and we can continue the upturn in sales of recent years.”
Ian Teague, Managing Director at iPipeline said: SolutionBuilder is changing how advisers quote and engage and this is facilitating greater sales of Protection products. With SolutionBuilder, advisers can research, quote and apply for multiple products all at once. They can highlight to the client immediately what additional cover they could receive based on budget. With this is mind, advisers are better able to cover their clients faster, safer and better.”
“These stats show that iPipeline’s innovation and partnerships with Distribution businesses and Integration partners are assisting the market growth indicated in the recent 2016 industry-wide protection sales news,” added Teague. “It also suggests that this growth will continue into 2017 so there is scope for the industry to be optimistic. Our approach is to create tools that support great advisers addressing clients’ multiple protection needs.”