Clive Allison, Market Director, Protection at Scottish Widows, said:

"We realise that many people do not like to plan for the unknown, however the importance of doing so cannot be underestimated. Our research shows that the majority of people clearly understand the benefits associated with protection products such as life, critical illness and income protection, but that many still don’t adequately protect themselves, their families and their homes.

It is extremely worrying that so many of us haven’t protected the things most dear to us – our families, our homes and our incomes which enable us to lead the lifestyles we do. Yet we feel that we cannot live without material items such as the internet or Sky TV.

I think that the main problems are that many people don’t really know how much it would cost them to take out these products and don’t realise how quickly they’d fall into financial hardship if they were unable to work due to illness.

Costs are perceived as high but customers don’t really know what the cost would be for them – in reality the cost can be equivalent to a monthly Sky TV package, or a couple of Starbucks coffees a week."