An overwhelming majority of UK workers will always seek financial advice before taking out any form of insurance, research published by The Exeter has indicated.

The group found that four out of five UK workers (80%) – an equivalent to over 26 million people – prefer to consult an adviser before buying an insurance product, including life cover, income protection, private health insurance, or a cash plan.

According to the report, which was based on a study of 2,000 employed adults in the UK, more than a quarter (26%) are willing to wait to purchase a policy if it means receiving independent financial advice first. However, 65% stated that they would not accept overly lengthy delays in the advice process.

The Exeter described the desire of employees in the UK for independent financial advice as “encouraging” and suggested it plays a key role in building consumer trust in insurance.

Director of distribution and marketing at The Exeter, Steve Bryan, added: “The role of the financial adviser will continue to be pivotal for our industry, especially in the evolving financial and regulatory environment in which we operate.

“The fact that 80% of consumers would delay or hold off on an insurance purchase until they had sought professional advice is a testament to the level of service provided by advisers. It also highlights a high level of consumer trust in the advice process, which is incredibly positive.”

However, the group also suggested more needs to be done when it comes to building consumer trust around whether a policy claim will be paid by an insurer.

While more than half of respondents (58%) – stated they were confident that an insurance company would pay a claim related to income protection, health insurance or a life cover product, just 15% said they were “very confident” this would happen.

The Exeter said this highlights a continuing challenge for the industry when it comes to educating consumers of the real-life value that the products offer in the event of illness or injury.

“Our research also reveals that there is more our industry can do to build trust with consumers around claim payments,” added Bryan. “The level of financial and wider support provided by the industry each year should be applauded, but if we are not communicating these messages to consumers in a way that resonates with them, then we are not doing ourselves justice.

“It’s therefore important that we work together to further improve our messaging around claims payments as an industry so that we can increase consumer trust in the products we sell.”

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