Protection: do we really care?

For COVER's editor, Paul Robertson, it's a case of wondering if protection markets really matter.

Sometimes in life we take stances and form opinions based on our experience of the environment we find ourselves in. Then occasionally we are reminded why the scientific community is always telling us that anecdote is not proof, even if lots of people have experienced the same thing. In short, we are we are forced to examine these perceptions in a new light.

What am I gibbering about? Well, take a look at the protection sector. These markets are really quite social. Most of the provider's senior people have been around the market for some time and know their colleagues in other providers quite well. They really are an affable bunch, and are often seen socialising with each other.

If they hold one thing in common it is that they really do see the social benefits of protection insurance. Many are genuinely evangelical on the damage that is done to families when misfortune strikes and people are forced to fall back on the state's meagre help. They, and a sizeable number of IFAs I come into contact with, really do care.

So move on to the ABI's Savings and Protection Conference this week in London. It was partitioned into six sessions.

Take session one; it was a panel discussion. Here's the agenda:

- What is the role and potential impact of the new consumer education agency (Consumer Financial Education Body)?
- How has consumer behaviour changed in recent times and how is it likely to evolve in the future?
- What do consumers need in terms of savings and protection products?
- How can consumers be supported to recognise their needs?

Great a protection talk to kick off, I thought. Well how much of that agenda was covered? Just the first point.

The next session was Retirement income and covered pensions.

Then came the protection session. The agenda:
- In light of the coalition government, where do we think the balance will lie between state and private provision in 2020?
- What is the economic and social case for encouraging people to protect themselves and their families?
- How should state and protection insurance benefits interact (e.g. employment and support allowance, job seekers allowance etc.)?
- How might this work in practice? Are there international examples which the UK could look to learn lessons from?

How much covered? Despite the only protection specialist on the ABI's panel, Aviva's Richard Verdin, putting in a sound effort. Again only the first point, and that in terms of Pensions.

The next was on Long Term care and covered it in two talks with questions cut short at the end. After a keynote political speech from the new Minister of State For Pensions the rest of the day covered pensions.

Even a pensions journalist I talked to noted the lack of protection at the Savings and Protection Conference.

So my point? I am beginning to question if the insurance industry, as a whole, cares about protection at all. After all pensions are where the big money is.