According to Royal London, the integration of protection, particularly income protection with welfare benefits is not on the governments agenda.
The mutual insurer is lobbying the government to integrate welfare benefits with protection products. Gareth Evans, head of corporate affairs for Royal London said that if there is a recession, the relationship between welfare and protection could become a big issue.
Mr Evans said: " "We are going to lobby the government to make sure that protection products, particularly income protection, that is more readily sold, and is ring fenced from other welfare benefits provided by the state that people can claim .
He added that it was important for people to see that welfare benefits are not sufficient to replace income and that there isnt any security for consumers if they loose their jobs or cannot work because of illness or disability . People need to provide adequately for themselves but in doing so must ensure that they are not ruling themselves out of any entitlements from the state.




