Biba brings out own range
MONEY MARKETING - 15TH FEBRUARY 2007
The British Insurance Brokers' Association is introducing loan, income and mortgage payment protection products through a tie up with British Insurance.
Biba's status as a trade body means eyebrows have been raised over the launches.
Chief executive Eric Galbraith says the move is designed to improve consumer confidence in payment protection insurance following bad publicity over regulatory action taken against several providers.
He says: "This recent attention has shaken consumer confidence in buying payment protection insurance from non-broker channels and the time is right for brokers to seize their market share. We are providing our members with the right tools to do this."
British Insurance will offer training and marketing support for brokers selling payment protection insurance as one of these tools.
Loan payment protection starts at £2.50 a month per £100 of monthly cover with mortgage payment protection and income payment protection beginning at £2.45 and £3 a month per £100.
Lifesearch head of protection strategy Kevin Carr says: "I am sure this product, being through Biba, is better than other payment protection insurance products on the market."
Carr says if the trade body is profiting directly from the products, it is likely to be more willing to defend members who are selling the products.
