Cirencester Friendly is broadening its product offering by launching a short-term benefit option to its My Earnings Protected income protection product.
The new option provides cover for up to two years per claim, giving members an affordable way to cover their household bills should they be unable to work due to illness or injury.
Cirencester Friendly says its new short-term benefit option has been introduced in response to demand from both advisers and consumers. According to Swiss Re data in 2021, most individual income protection sales are now for a limited term with the two-year cover period being the most popular option.
With the new short-term benefit option, the society’s My Earnings Protected product offers deferred periods ranging from one to 52 weeks, cover up to age 70 and a maximum benefit of 65% of income with a limit of £52,000 a year. As with all of Cirencester Friendly products, there is no loading for occupation, smoking or hazardous pursuits except motor sports.
The sales and underwriting processes also remain the same as for the Society’s long-term benefit option. There is also no reduction to the support services available, as it comes with the same range of additional benefits, such as fracture and hospitalisation cover, Friendly Voice offering mental health support and GP24.
Alan Waddington (pictured), distribution director at Cirencester Friendly, said: “As an organisation we want to be seen as the champions of income protection, making it more accessible and affordable. Our new short-term benefit option helps us to do exactly that and represents an exciting step forward for the society. We know how important it is for people to be able to protect their livelihoods, especially now when so many are feeling the financial squeeze.
“The short-term benefit option helps them do exactly that, providing them with the means to cover the essential bills, allowing them to concentrate on getting back to full health without additional stress.”