Legal & General has made a number of updates to its income protection (IP) proposition.
These include the removal of generic alcohol and drug exclusions, an increase in the overall maximum benefit limits, the introduction of an Income Guarantee specifically for specific NHS workers, and extended support services.
Legal & General has also introduced more competitive pricing on its IP products.
The maximum IP benefit limit has been increased from £200,000 a year (£16,667 a month) to £240,000 a year (£20,000 a month). This applies to employed and self-employed customers taking out a plan on a Standard or Low-Cost basis. Legal & General is also raising the limit on increasing IP plans to £168,000 a year (£14,000 a month). These increases will enable customers to protect a higher percentage of their salary at the outset.
In July 2018, Legal & General introduced special terms for NHS doctors, nurses and surgeons. This second development sees the introduction of an Income Guarantee for these individuals, set at £3,000 a month. The £1,500 Income Guarantee is unaffected and will remain in place for anyone who does not meet the criteria of being an NHS doctor, nurse or surgeon.
In addition, the insurer has removed policy wording concerning the generic exclusion of alcohol and drug abuse.
Legal & General’s Nurse Support Services (NSS) benefit is now available across its Life Insurance (LI), Family and Personal Income Plan (FPIP), income protection (IP), Relevant Life Plans (RLP) and Business Life Insurance (BLI) intermediary product range.
Customers on an IP plan will now have access to contact details and information on the NSS support services and they are able to access this at any point in the life of their policy. The service is available to the life insured and their immediate family, and offers support for a variety of areas such as mental health, bereavement and serious illness.
Mark Jones, product director at Legal & General, said: “Offering quality cover at a competitive price is something we are committed to at Legal & General and that’s exactly what these enhancements to our income protection plans do. Not only have we improved pricing, but these changes also include the addition of new features such as our Nurse Support Services benefit.
“Whether it’s helping to keep up with mortgage repayments or covering day-to-day costs, income protection really can make a big difference to the lives of customers. We recognise that intermediaries are already doing great work across the country to ensure people have this type of cover and it’s our job as a provider to continually ensure that our proposition is of the highest standard.”