The Financial Conduct Authority (FCA) has revealed that 72% of the identified needs for protection customers are not covered, meaning the majority of consumers do not hold the product type aligned to their needs.
According to the regulator's interim report for its Pure Protection Market Study, published today (29 January, 2025), there was said to be evidence of a protection gap - the difference between potential pure protection needs in the population and the actual amount of coverage, which the FCA said suggests scope for market growth. Its consumer research found that 42% of adults aged 18 and over with online access held a pure protection product, while 58% did not. Of the 58% not holding a pure protection policy, 59% (around one-third of all adults) had not considered their protection need...
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