What Does A Protection Advisor Do?

What does a protection advisor do?

A protection advisor essentially educates and guides clients on insurance products and services. We are knowledgeable about various insurance products, and our advice is personalised and tailored to the client’s needs, lifestyle and budget.

What’s the difference between going to a protection advisor like yourself versus your bank?

First of all, not all banks offer insurance products. A protection advisor usually has access to several providers, which is important for price comparison and also to look at product features that offer additional benefits.

For example, one provider may offer private GP services or global treatment cover, while others don’t. Your own bank may not offer additional benefits within their product range, and their level of comparison is often limited.

Added benefits within a protection product can be incredibly valuable. For instance, they could pay a fixed amount per day should you need to spend time in hospital, or allow you to chat to a mental health professional. Fast-tracking you through the system and bypassing long NHS waiting lists can be life-saving.

You can also get enhanced critical illness cover, which is exclusive to protection advice. As well as cover for critical illness conditions such as cancer, heart attack, stroke and over 40 other illnesses, the insurer would also pay a partial amount for less advanced illnesses, including some cancers which require minimal treatment. This is excellent value, and not available when applying directly to the provider.

What services does a protection advisor offer? What do you offer at The Mortgage Store in Wilmslow?

I offer life cover, critical illness cover and income protection. They are the core products known as the Protection Triangle. When I sit down with clients, the first thing I do is give an overview of these core products to give you a full understanding of the benefits of each one.

We then talk through your priorities and which of these are most important. I would then show examples of the cost, making any tweaks for your needs and budget from there.

Just to give a brief breakdown of what each product would protect, life cover is designed to pay out on death or in the event of being diagnosed with a terminal illness, with less than 12 months to live.

Critical illness cover provides a lump sum should a client become critically ill. Then, income protection is slightly different in that it provides a monthly income, rather than a lump sum. This product pays out should a client become ill, either critically or with more minor illnesses or injuries – including a bad back, for example.

Other insurance products are available to cover clients for accidents, sickness, unemployment and active lifestyles, as well as protection solely for mortgage payments, which pay for a limited period of time. Most protection advisors will be able to advise on these products.

Do I need to have a mortgage or be applying for one to discuss my protection needs? When should I get mortgage protection insurance?

No, you don’t need a mortgage to speak to a protection advisor. Life cover can be taken out to provide for a family or partner in general, not just for a mortgage. The same is true for critical illness cover.

While some clients like to make sure their mortgage is protected, critical illness cover could also provide a lump sum to pay for large expenses. For example, it could pay for adaptations to the home should a client become physically disabled, or to pay for private treatment outside of the UK.

It could simply give you a sum to lean on during the recovery period before returning to work. There’s also the option of children’s critical illness cover, providing a lump sum whilst caring for a sick child.

If you are looking to protect a mortgage, I recommend speaking to a protection advisor as soon as possible – ideally at mortgage application stage.

Depending on your health and lifestyle, the insurance provider may wish to write to your GP for further information, which can take some time to process. That could delay the plan from starting when the mortgage completes, and leave you unprotected.

Does it cost for an initial consultation or conversation with you to find out more?

No, I don’t charge clients a fee. Instead, I receive a commission from the provider.

We’ve covered the main points here, is there anything else you want to add?

Just that it’s completely understandable for a client to think that because they have protection benefits with work, they don’t need to consider personal protection.

But although death in service and private health care insurance are great benefits to have,

they will be lost if you change jobs or are made redundant. Plus, if these benefits are at the discretion of the employer, they could quite easily be taken away.

Instead, I like to view these benefits as a second layer of protection. They are brilliant to have, but shouldn’t be solely relied upon. In terms of sick pay with work, there will come a point when the employer stops paying – whether you are well enough to return to work or not.

This is where income protection insurance is highly valuable, as it can start to pay a monthly benefit once that sick pay stops. It’s a really great product to have.

Lastly, all protection advisors should periodically review their clients’ protection plans to ensure they continue to meet their needs – and that is something I do.

Key Takeaways:

• Protection advisors educate and guide clients on insurance products and services, offering personalised advice tailored to individual needs, lifestyle, and budget.
• Protection advisors typically have access to multiple providers, allowing for better price comparison and access to exclusive product features such as enhanced critical illness cover and additional benefits such as private GP services.
• The core protection products, known as the Protection Triangle, are life cover (lump sum on death or terminal illness), critical illness cover (lump sum on diagnosis of a critical illness), and income protection (monthly income for illness or injury).
• Benefits provided through work, such as death in service or private healthcare, can be lost if you change jobs or are made redundant, so should not be solely relied upon.
• Protection advisors should periodically review clients’ protection plans to ensure they continue to meet their needs.