The article addresses the concept of "advice gap" as the true challenge of the insurance industry, arguing that the frequently debated "protection gap" may only be a consequence of a deeper problem. The author suggests that before there is a protection gap, there is often an advice gap that is not properly recognized by the sector.
The text explains that most people and businesses do not regularly reflect on financial or operational risks, and that the sector has become divided between two extremes: highly personalized advice reserved for large clients, and digital distribution based on the premise that clients make better decisions with sufficient information alone. The author warns that information is not synonymous with understanding, and that making coverages or online simulators available is not the same as helping someone understand the consequences of being underinsured.
Concrete examples are given, such as a 35-year-old individual with children and a mortgage without protection for death or disability, self-employed workers without concrete retirement plans despite knowing about demographic challenges, and small businesses with coverages that are misaligned with their current reality. The article argues that in many cases, the deficit is not in the supply of products, but rather in the inability to help clients understand and adequately cover their risks.
The author concludes that the next major transformation in the sector should not be about creating more products or new distribution channels, but rather about finding ways to ensure that more people and businesses receive contextualized and relevant guidance. Technology and artificial intelligence can play a decisive role in democratizing advice, complementing the work of agents, brokers, and consultants instead of replacing it.
