Friends Provident has set its sights on becoming the first UK provider to offer protection cover to clients through a wrap platform.
The insurer's chief executive Trevor Matthews says Friends is currently in discussions with a "number of players" over potential plans to offer protection on wrap, which would encompass existing client assets.
Already in use in more established wrap markets, such as Australia and South Africa, protection on wrap is seen by providers as a logical step forward for the industry.
While Matthews agreed with Friends' decision to cease its wrap development six months before his arrival at the company, he says the firm is still keen to participate in the marketplace.
"I am interested in getting protection around some of these platforms," Matthews says. "So that people put money on a platform and hit a button and can attach some life cover."
A Friends spokesperson says the firm is currently in the "exploration and investigation" stage, as it seeks to determine the level of market appetite for the product.
The company refuses to put a timeframe on any possible entry to the wrap protection arena as it would need time to build interfaces with existing wrap propositions.
Matthews says he is hopeful Friends will be the first UK player to bring the product to market.
"I don't expect this will change the world dramatically, I think it is just a nice extra facility that makes some sense," he says.
"It has taken off to a good extent in Australia, so I would be very keen to roll that out over here."
Novia CEO Bill Vasilieff admits while his new platform has yet to discuss protection options, he says any product designed to protect wealth is going to appeal to customers.
"We are keeping it on the back burner until next year. It is not something we will put any thought into until then," Vasilieff says.
Nucleus chief David Ferguson says there is "reasonable demand" for protection over wrap, but does not expect too much movement in the market for at least six months.
Standard Life Savings communication head Mark Polson says wrap protection is not the number one issue for platform-based advisers at the moment.
"Protection on wrap, whether as a bureau service or as a portfolio protection concept is not new and is something we've had under consideration for a while," he says.
"But in terms of developments to Standard Life wrap, advisers have highlighted other areas they feel are higher priority for them and we are concentrating on those at the present time."
Meanwhile, Matthews expressed his willingness to develop employer-based wealth management solutions.
"There are opportunities to do more in the workplace, offer more than just the pension," he says.
"I would like us to be involved in that so that when somebody joins an employer they can take a pension but they could also go into an ISA or share incentive scheme, that's a big deal."
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