The Intermediary –- May 2026 - Flipbook - Page 10
The new age of
acute: variable pay, short-term contracts, and
protection
limited sick pay mean that a few months off work
conversations
can be disastrous.
Stephanie Charman,
chief executive,
Association of Mortgage
gage
Intermediaries (AMI)
Debt burdens are also higher, with student
loans, credit cards and car finance commonplace.
Housing costs take up a substantial share of
income, and missed payments can quickly lead to
arrears or even repossession.
Ammer Mohammed, founder of Protectix, says:
M
any younger people see protection as either
too expensive, too complicated or simply
something they can think about later.
Research consistently shows that consumers
believe protection products cost around twice
as much as they actually do, while many younger people remain
unclear about the differences between life insurance, critical
illness cover and income protection.
This is where brokers play such an important role: protection
conversations should not be treated as an optional add-on to the
mortgage process – something most people do not encounter
until their mid-30s. They are a vital part of helping clients
build financial resilience and protect their homes, lifestyles and
future plans. The industry also needs to recognise that younger
consumers expect different forms of engagement.
Gen Z and Millennials are digital natives who increasingly
seek information through social media, online content and peer
recommendations. Brokers may get far better engagement via
platforms like TikTok and Instagram than email. We can certainly
learn from the better ‘finfluencers’, many of whom are helping
to make conversations around money, protection and financial
resilience more accessible to younger audiences.
However, it is equally important to recognise that not all online
financial content is responsible or well-informed, and some
influencers may lack the qualifications or expertise needed to give
appropriate guidance.
That is why professional advice remains so important.
Social media can play a valuable role in raising awareness and
encouraging engagement, but brokers and advisers are still crucial
in helping consumers understand complex products properly
and make informed decisions that are right for their individual
circumstances. Advisers need to combine digital engagement with
clear, accessible conversations that cut through complexity and
help clients understand real-life risks in relatable terms.
It is also vital that we use the right language to communicate
with younger clients, who may disengage from conversations
“Younger clients may have fewer assets, but they
can still have considerable liabilities such as rent,
debts, dependants, shared bills, career risk and
family responsibilities. The risk is not just death
or serious illness. It is financial interruption.”
Lakey adds: “Borrowers today, especially
younger ones, are often stretching themselves to
get onto or stay on the property ladder.
“Higher interest rates, stricter affordability
rules and general inflation mean that many
households are operating with very narrow
margins. That in itself is a form of risk: there is
less slack in the system if something goes wrong.”
Digital engagement
Gen Z and Millennials are digitally native. They
often start their financial journeys online, seek
advice from social media influencers, and expect
transparency and control.
“Technology has fundamentally reshaped
how younger generations engage with all forms
of information, and financial services are no
exception,” Lakey explains.
“For Gen Z and Millennials, the default
starting point is digital: a search engine, a
comparison website, a social media clip, or a
recommendation from an online community.”
Schofield notes that it is not just the medium,
but the tone of communication that must
change, adding: “Young clients switch off
quickly if they feel they’re being ‘sold to’ with
technical terms. We try to explain everything in
straightforward language – ‘what this does for
you’ rather than ‘product features and benefits’.
Stories over statistics. Real-life scenarios –
someone their age who was off work for six
focused solely on death or worst-case scenarios, for example.
Positioning protection around financial resilience – maintaining
independence, protecting income, safeguarding a rental home
or giving families breathing space during illness can be much
more effective.
The brokers who succeed in bridging the generation gap
will be those who make protection conversations feel relevant,
approachable and part of normal financial planning rather than
something separate or intimidating.
Ultimately, good protection advice is not just about selling a
policy, it is about helping younger consumers feel financially
secure in an increasingly uncertain world.
Product innovation is playing a
vital role in bridging the generation
gap. Flexible protection products
[...] make it easier for younger
clients to start small and adapt as
their circumstances change"
