CLS Money is to review every customer who did not take up protection advice at the time of their mortgage.
The Essex based mortgage broker has engaged specialist protection advisers, specifically to speak with existing customers and recommend suitable policies for both life and general insurance.
Recent research by the company demonstrated that customers are more likely to want to invest in protection when they have got used to making their mortgage payments.
Clayton Shipton, managing director of CLS Money, said: “We believe that protection advice goes hand in hand with every mortgage transaction, but not everybody is ready to take on the extra cost of protection at a time when buying a property has, in many cases, stretched them financially. It is easy to forget to ensure a follow up is made to discuss and review the situation again.
“As advisers, it is up to us to check in regularly and ensure that customers are given the chance to act, which is why we believe in a ‘second time’ approach. Even if they are unable to take up the recommended levels of cover today, putting something in place and building to the right level is a good way to start.
“I would urge all adviser firms to become more proactive in the protection market. Not only is it an area which can yield significant earning opportunities as the property market cools, but also, more importantly, customers will be properly covered.
“In my experience, customers are aware of the need to safeguard their families but see their priority as being able to afford the mortgage and associated costs first. In an ideal world, everyone would have the insurance they need, rather than what they can afford.”
