The importance of being protected

Research shows we’ve never borrowed as much as we do today. The UK has gone through the £1 trillion barrier and it’s not all tied up in house purchases – over £210 billion is non-mortgage debt.

Worryingly, the UK savings ratio is low - less than half the level of the early 1990s. People are saving less and have less put away. We’re living in a buy now, pay later culture.

Our ability to sustain this level of debt and our lack of savings is highly dependent on us continuing to bring in a monthly wage - have you thought what would happen if that stopped for unforeseen reasons?

Did you know you can protect yourself against death and serious illness, or where you are unable to work through accident, sickness or unemployment?

The cost of protecting yourself against these risks is surprisingly small, but too few people in the UK have adequate protection for themselves and their families. According to a recent survey by Swiss Reinsurance*, the protection gap (the difference between the existing cover for people’s debts and the level of cover needed to provide just basic protection for themselves and their loved ones) has increased to £2.3 trillion.

Unfortunately, understanding the numerous options for cover from the many companies who offer policies can put people off seeking protection. This is where a professional adviser can understand your individual circumstances, establish your needs and advise on affordable solutions.

At Openwork we’ve a UK-wide network of advisers who possess specialist knowledge in protection. They have access to advanced software that will help analyse and determine your needs and they can fully explain the specialist products that will meet these needs. This allows us to recommend suitable solutions for virtually all mortgage, family and business protection situations.

*Published June 2006