06 WINTER PROTECT NEWSLETTER people. • 30% of Gen Z and 36% of Millennials have reviewed their cover in the last 6 months compared to 17% of Gen X and 13% of Boomers. • 22% of Gen X and 31% of Boomers have never reviewed their cover compared to just 9% of Gen Z and 8% of Millennials. In the constant debate about annual statements from Providers, one relatively simple solution is for advisers to create one themselves – showing what clients have, and, as importantly have not, can often prompt a conversation with your customers. Click here to read the report. What’s in store for 2025? FCA Review into Protection Since the Protection regulation was introduced in 2005, the FCA has very much left the industry to continue without too much interference. Protection is often linked to GI regulation and some of the broader themes such as Consumer Duty implementation apply to distribution of Protection products. However, it has never had its own specific focus… until now! So, the announcement of the review was something of a shot across the bow, as they feel there is a need to look closely at why the Protection market isn’t working well. Presently they are in an informationgathering phase and we know that they want to ensure that the consumer is at the heart of the advice process and that commission arrangements are maximising good outcomes. The next phase will be a data-collecting exercise from Providers, some firms and then their pronouncements following the review in the same way MMR reviewed the Mortgage Market. Paradigm Protect are engaged with both the Regulator and Providers on this, and will keep you updated. New Entrants and/or New Products During 2024, we saw the final closures of Aegon and AIG Life - which incidentally is also a part of the regulator Protection Review as they will look to see that there is a healthy market and why Providers are exiting the Life space. Whilst we have seen products go, we have also seen activity from Providers to increase their footprint in the intermediary space, e.g. Scottish Widows have added IP to their proposition, Royal London have added Second Death Term to their range, and there
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