LifeQuote has launched a suite of short term income protection (IP) policies to support its existing IP panels.
The adviser portal and administration service from DirectLife says the launch follows demand from advisers looking for a cross-provider comparison and transactional service due to an increase in demand of a broader range of income protection policies.
The new service offers products with a payment period of one, two and five years with the sum insured based on gross annual income and the cover based on an inability to work through illness or injury or loss; it also covers both full time, part time and self-employed individuals.
LifeQuote said advisers are looking to provide income protection policies, often associated with mortgage sales, and where affordability is an issue, products providing cover for up to five years, but written on a long term basis providing a good alternative to more traditional products.
The insurers on the new panel are Aviva, Bright Grey, British Friendly Society including both their Protect and Breathing Space products, Exeter Family Friendly, Friends Life, Legal & General, Vitality Life and LV= including both their Budget IP and Personal Sick Pay products.
LifeQuote says it has also taken the opportunity to automate provider maximum benefit calculations with this release to simplify those seeking to identify the levels of cover that insurers offer.
Neil McCarthy, sales and marketing director at DirectLife, said: “Several factors are driving an increase in demand for short term income protection as an alternative to traditional IP. Housing inflation has meant that many buyers are stretching their finances, and this, coupled with the demands of the MMR, means that shorter term planning is often taking priority. The more buoyant employment market also creates opportunities to change job, which may necessitate a review of any benefits provided, stimulating demand.
“From an adviser’s perspective this is good news, but also necessitates having systems and processes in place that allow them to search across providers both on cover and price and be able to transact on a single platform.”
