Downturn boosts benefits’ appeal

Economic instability has raised the profile of benefits amongst consumers, with 39 per cent saying they are more important to them in the current market, according to research from Canada Life Group Insurance.

One in three of the 1,058 surveyed claimed they would think benefits were more important if their family were to expand, while 29 per cent thought they would be more relevant if they were nearing retirement.

Previous research from Canada Life Group Insurance has highlighted how few consumers actually have any protection in place. Only 9 per cent had an individual income protection policy, 5 per cent had group income protection and just 3 per cent held group critical illness cover.

Marion Ware, head of marketing for Canada Life Group Insurance says: “The current climate has undoubtedly affected people’s views on their finances, but this research goes to show just how much importance the ‘credit crunch’ has also put on the value of benefits.

“In addition, factors over and above the economic instability are also having an effect on the importance of benefits, with many agreeing they would reassess the position of their benefits package depending on their health and personal situation.

“It is, however, worrying to see that even though consumers are recognising the increased importance of benefits, very few have actually acted to take out individual protection products or have access to protection products through their employer.”