Context
The British Insurance Brokers’ Association (BIBA) has launched a new guide for members, which is currently publicly available, to assist with explaining to their customers the dangers of cutting back on essential cover during the cost-of-living crisis.
Key points to note
At a time of high inflation and the growing prospect of a recession, people and businesses are all looking at ways to reduce or contain expenditure. Insurance is no exception while premiums in general have been increasing.
Graeme Trudgill, BIBA Executive Director said:
“Cutting back on cover could be a false and dangerous economy resulting an increase in underinsurance, a reduction in resilience and a greater potential for non-disclosure and fraudulent claims.
This guide will help brokers explain the reasons behind the premium inflation we have seen and how to explain the value of insurance while supporting customers in meeting their budgetary concerns.”
The guide includes tips on ways customers can contain premium spend without compromising protection.
Next actions
None – for information and awareness.