Income Protection in 2025: Why More People Are Finally Paying Attention

For years, protection insurance, income protection, life cover, critical illness,has been something people knew they “should” look at, but often pushed down the to-do list. That seems to be changing.

Recent research from Simpli Financial Solutions shows that:

• 51% of advisers expect demand for income protection to rise in 2025

• 44% predict growth in life insurance
  

That tells us something important: more people are waking up to the reality of financial fragility, and the need for a safety net.

Why the shift?

There are a few reasons behind the rise in demand:

• Everyday pressures. With the cost of living still high, people are more aware of what would happen if their salary suddenly stopped.

• Uncertainty. Illness, job loss, or accident can happen to anyone, and people are asking tougher questions about “what if.”

• Awareness. Campaigns and conversations are helping people see protection not as a luxury, but as a foundation of financial security.

The Income Protection Gap

Despite this increased demand, the gap is still huge. Research from Drewberry Insurance found that only 1 in 11 people in the UK have income protection.

Even more striking, many people overestimate the cost:

• On average, people think income protection costs nearly £60 a month for a healthy 35-year-old.

• In reality, policies can start from less than £25 a month.
  

That difference matters, because it shows that affordability isn’t always the barrier, understanding is.

Why now matters

The earlier you act, the more options you’ll have. Premiums are usually lower when you’re younger and healthier, and waiting doesn’t just risk higher costs, it can mean being declined altogether if health changes.

Protection isn’t about being pessimistic. It’s about being practical. Think of it as building a safety net under life’s tightrope. You hope you’ll never need it, but if you do, it could make all the difference.

A question for you

More people are taking protection seriously in 2025. Are you one of them?

If you’d like to explore your options, income protection, life insurance, or critical illness cover, let’s talk about how to make sure you and your family are properly covered.

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The information in this article is for guidance only and should not be taken as financial advice. Policies vary between providers, and the right choice will depend on your individual circumstances. Always speak with a qualified adviser before taking out any form of protection insurance.