Insurer Legal & General predicts that the high net worth sector will become an ever-important area of the life and critical illness market.
This is based on the increase in personal wealth through property and business. House prices have tripled in value in the past ten years, resulting in appreciating assets for homeowners. In addition, over half a million people start up their own business every ten years.
Legal & General defines high net worth as a value of individual life insurance over £600,000 or critical illness over £350,000. Policies with these values require an enhanced level of service.
Bonnie Burns, Legal & General’s Protection Marketing Director says: “High net worth customers are growing in number. However you classify them, high net worth customers often require more complex underwriting, for example detailed financial and medical evidence, and therefore require a bespoke approach. This type of customer expects more than just a good price. It is about service, service, and service.”
Life insurance: News update: April 2007