AIG Life has introduced what it claims to be a different approach to critical illness (CI) insurance.
The cover introduces product flexibility for all budgets, value with unlimited Smart Health services for all the family and consolidates conditions.
In addition to including umbrella headings, AIG Life has grouped over 20 conditions under four broad headings. These groups focus on specific surgeries or the impact on daily life for customers, not the name of the illness. If the impact is the same, AIG Life says the customer will be covered – whatever the name of the condition. The headings are:
- Degenerative neurological disorder
- Reduced heart function
- Surgery to the heart, aorta or pulmonary artery
- Surgery via the skull.
Sue Helmont, marketing director at AIG Life, said: “These changes reduce condition numbers and represent a step change in CI market simplification, whilst enhancing the prospect of a successful claim.”
The MSA Trust, which represents over 3,000 people living with multiple system atrophy in the UK, has been lobbying the protection industry for changes to critical illness insurance. It has welcomed AIG Life’s approach to levelling the playing field for all degenerative neurological disorders.
“Congratulations to AIG for leading the way and recognising a pressing need to simplify critical illness cover. A move away from an arbitrary list of conditions is a much fairer system for people and more insurers should be thinking as AIG has,” said Karen Walker, chief executive of the MSA Trust.
“This innovative approach will give many more people the confidence that if they have a rare and terminal progressive neurological condition, like multiple system atrophy, they will in future be able to claim on their critical illness insurance,” she added.
“AIG Life’s philosophy is simple,” added Helmont. “Our aim is to deliver fairer customer outcomes. First and foremost, each condition we include must benefit the customer and because our new grouped conditions are based on impact not the cause, our cover has broadened. It also means advisers can be confident that cover keeps pace with new medical developments and won’t diminish over time.”