For ProtectionGuru’s Alan Higgs, IP and CI provide a good starting point for advisers wishing to start the protection conversation with clients and their families, as well as forming a crucial part of intergenerational wealth planning.
He said: “Many advisers will have clients whose children have left full-time education and are starting their own careers or moving out of the family home. At this stage, they will become less financially dependent on their parents, especially when they move into their own accommodation."
Higgs notes no parent would want to have to step in because ill health or serious illness has jeopardised their child’s ability to pay for their accommodation or their bills.
“At the ages we are discussing, the costs of IP and CI cover are particularly low and as such a conversation an adviser might want to have is should the client encourage their child to take out cover or even pay for it on behalf of their child.”
Higgs adds this can then open up the conversation with the child and hopefully lead to an ongoing relationship with all parties.
Ruth Gillbe is a freelance journalist
