While this is meant to ensure consumers are not sold unsuitable products, it concerns me that industry bodies and the FSA clearly continue to focus on the sales and compliance issue while failing to address the fundamental issue of product design. Yes, sales must be compliant, but if the right products aren’t widely available on the market then no amount of advised sales will improve the situation.
There has been a significant amount of negative publicity around PPI and mortgage payment protection insurance (MPPI) indiscriminately, and the faults of PPI should not be allowed to tarnish or discourage the take-up of either product. But surely, without well-designed products available in the market, no amount of good PR will, or should, encourage take-up.
As designers and underwriters of these products, we could see the one-size fits all product of the 1970s just would not be suitable for customers of a regulated 21st century, and in 2004 began the research and investment into our products which culminated in the launch of the Assurant Solutions Matrix last month. While one size may still fit some, it can’t fit all.
We are proud to be the first to launch an unbundled product of accident, sickness and unemployment in any combination, with over 250,000 policy options to make the cover bespoke, with a choice of single or monthly premium. The Matrix is not absolute, but it is a blueprint for change and we expect it to evolve to keep apace with consumer needs.
t is for lenders and brokers to take the Matrix approach and make these products widely available. We’ve done the hard work to bring it to market, now the industry needs to embrace this approach and encourage its penetration into the market for the benefit of consumers, and the product’s continued survival.
Ian Moffatt
Sales and marketing director
Assurant Solutions
