The latest Swiss Re Term & Health Watch report, the industry’s annual analysis of new individual long-term protection sales in the UK has landed, and for individual income protection, there is genuinely encouraging news.
Individual Income Protection Bucks the Trend
While the broader protection market saw modest overall decline in new business volumes in 2025, individual income protection bucked the trend, delivering strong continued growth. In a year shaped by economic uncertainty, budget-conscious consumers, and a subdued mortgage market, IP stands out as a product whose time has clearly come.
The report highlights that advised channels proved far more resilient than the wider market, a pattern we at the IPTF have long championed. Income protection is, by its nature, a conversation-led product. It requires an adviser to explain complexity, connect the dots between a client’s lifestyle and their financial vulnerability, and make the case for a product that protects the most fundamental asset most people have – their ability to earn. The data reinforces what our Let’s Talk IP podcast, our 7 Claims Stories series, and our ongoing adviser education work all point to advice matters, and it works.
Also notable is the continued rise of multi-benefit solutions, with the average multi-benefit policy now incorporating 2.63 benefits, which is a 5% increase since 2020. Advisers are responding to tighter client budgets not by scaling back protection, but by structuring it more efficiently. This is smart, client focused practice.
The FCA’s ongoing Pure Protection Market Study adds important context. With scrutiny focused on product value and distribution practices, the industry has both an obligation and an opportunity to demonstrate that IP delivers real, tangible outcomes for customers. Our Profile of an IP Customer research in collaboration with Iress and member claims statistics link directly to this.
Looking ahead to IPAW 2026 (21–25 September), these market signals give us real momentum. Growing sales, advice-led resilience, and rising consumer awareness of income vulnerability.
The case for income protection has never been stronger. Now is the time to build on it.
In Their Own Words
“The continued growth in individual income protection sales is one of the most encouraging signals in this year’s data. At a time when consumers are making increasingly careful decisions about how they prioritise their spending, the resilience of the individual IP market underlines the clear value customers place on protecting their income and financial security.
It is also particularly positive to see the important role advice-led distribution continues to play in supporting customer understanding and access to appropriate protection solutions. We look forward to continuing our work with partners such as the IPTF to build on this momentum and help broaden awareness of the value income protection can provide.”
Jennifer Gilchrist, Senior Industry Affairs Manager, Market Units L&H Reinsurance, Swiss Re
