Blog: reducing the barriers to protection sales – Mortgage Strategy
It’s a familiar pattern: as mortgage demand softens and brokers’ incomes start to dip, protection sales rise again.
Networks consistently stress the importance of protection, yet the protection gap, between those who need cover and those who have it, is remarkably stubborn and appears to be widening.
The protection conversation can be challenging for some advisers. A mortgage is often a positive, exciting milestone, while protection asks clients to think about scenarios no one wants to dwell on. That is exactly why the conversation needs to be handled with care, empathy and confidence.
Finding time for the protection conversation can also become harder as the mortgage market becomes more challenging. In a fast-moving mortgage market, where product availability, pricing and deadlines can shift quickly, protection conversations can slip down the agenda. However, the importance of our clients being protected doesn’t get smaller just because we’re busy, so we need to find a way to simplify the process – or refer to a pure protection adviser.
Cancer Research UK estimates that one in two people will develop cancer in their lifetime, which underlines why protection should sit alongside the mortgage conversation. This becomes even more important when clients have dependants. In those cases, protection is not just about a policy; it is about helping families maintain stability if life changes unexpectedly.
This makes protection more than a bolt-on product; it should be considered in its own right. A mortgage is more than a transaction; it’s the foundation of someone’s future security. Protection helps strengthen that foundation.
Protection is just as important for renters, but they can be harder for advisers to access. Taking out a mortgage can be the trigger to help clients recognise the value of protecting their home and family, and brokers play a fundamental role in that moment.
Intermediaries accounted for around 80% of sales in 2024 according to the FCA market study on protection. It says: “Consumers don’t typically consider their needs proactively and intermediaries play a key role in helping them navigate the wide range of pure protection options available. Of the 58% who don’t hold pure protection, 59% have not considered their needs.”
The study found that protection sales depend on contacting consumers when they’re sufficiently engaged to make a purchase. To support good outcomes, the conversation still needs to happen. Whether it is handled by the mortgage adviser or referred to a trusted specialist, clients should not lose the opportunity to understand what protection could mean for them.
Protection is also a key cornerstone of Consumer Duty. To support good outcomes, whether we talk about protection ourselves at the time of the mortgage sale or refer it on, the conversation still needs to happen.
The most important thing is that clients have the opportunity to understand how protection could support them and their families. Whether that conversation is led directly by the mortgage adviser or supported by a trusted protection specialist, clients need access to the right guidance. Mortgage advisers are uniquely placed to start those conversations when clients are already focused on their financial future.
However, it also needs to be more than a one-off conversation. Consumer Duty requires firms to think about good outcomes over the long term, not just at the point of sale. Waiting until a remortgage five years later could mean missing significant changes in a client’s circumstances. Annual contact helps identify whether their circumstances have changed.
Protection is about more than meeting an immediate need. It helps clients build financial resilience while giving advisers another opportunity to provide ongoing support. We need to reduce friction in the buying process too. If protection is sold well, clients understand why cover matters and may be less likely to cancel if budgets come under pressure. Regular reviews also make protection part of the ongoing service clients expect.
Reducing friction also means addressing a common misconception: that policies do not pay out. In reality, the vast majority of claims are honoured; 98% of claims were accepted in 2024 with £5.3bn paid out, supporting customers when they need it most.
Ultimately, success isn’t about sales volumes; it’s about customer outcomes. When clients clearly understand why they are taking out protection, it stops being seen as an optional extra and becomes a valued part of their financial plan.
As advisers, we have both the opportunity and responsibility to close the protection gap. By embedding protection into every relevant conversation, simplifying the process and focusing on long-term relationships, we can help clients make informed choices that protect not only the mortgage, but the life they are building around it.
Toni Smith, director at Sesame Bankhall Group
