Post-COVID awareness and affordability driving demand, new data shows
A vast majority, or 95%, of mortgage and financial advisers has reported a sharp increase in protection product sales with life insurance, income protection, and critical illness cover leading the trend, according to data from Primis.
The mortgage and protection network’s May survey highlights shifting customer priorities, with 69% of advisers attributing the growth to increased awareness of protection needs in the wake of the COVID-19 pandemic. Another 10% said better affordability was helping more clients secure cover.
Life insurance was the most commonly recommended product, while demand also rose for family protection and private medical insurance, reflecting a broader shift towards financial resilience.
A separate report, however, points to a gap in coverage across the wider market, with millions of UK mortgage holders still lacking income protection. The shortfall leaves many borrowers financially vulnerable — particularly as mortgage costs fluctuate — while also representing a potential growth area for advisers focused on bridging the protection gap.
Still, confidence among advisers remains strong, with 95% optimistic about the market’s future direction.
“It’s great to see that customers are recognising the increasing importance of protection, above and beyond their mortgages,” said Craig Hall (pictured right), director of strategic partnerships at LSL Financial Services.
“2025 has been publicised as a big year for mortgage maturities, with the second half of the year seeing the majority of the activity. This trajectory will continue into 2026.
“We have also seen an increase in purchase activity during the first half of the year following reductions in the base rates, swap rates and mortgage pricing, which reduces borrowing costs providing more disposable income to address protection needs.
“Whether borrowers are coming off five-year deals or two-year deals, they are likely to see their monthly repayments vary significantly, some borrowers may face payment shocks while others will see a reduction in their monthly mortgage payments. This highlights the need for independent mortgage and protection advice.”
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