Alternative options to trust arrangements appear to be highly popular with advisers and their clients for securing life insurance payouts, the latest Health & Protection Individual and Business Protection Report has found for the first time.
Data supplied by six insurers showed that those which used alternatives to trusts saw generally higher take-up of those arrangements than trusts alone, as evidenced by Guardian and Royal London.
The figures also revealed how few policies are included in trusts or other arrangements with only one of the six, Guardian at 75%, having more than half its new life plans secured this way.
For other insurers, the figure ranged between 21% and 37% for new business.
When considering all in-force policies the figure was smaller ranging between 20% and 34%, although Guardian was again the standout with 74.5% of policies.
Four major insurers did not share any data on this subject – HSBC Life, Legal & General, LV= and Scottish Widows.
The full results and analysis can be found in the Health & Protection Individual and Business Protection Report which is available for all advisers, intermediaries and brokers to download for free from this link or by clicking on the front cover below.
