We understand that it can sometimes be hard to recommend products to your clients, which exclude certain illnesses or circumstances.

To make it easier for you to discuss an Income Protection Plan (IPP) with your clients, we’ve decided to remove ALL exclusions from our plan. The previous exclusions on the policy were:

• Pregnancy
• HIV
• Terrorism

By removing all the exclusions to the plan, we feel our product is now more transparent and easier to understand.

Maximum Benefit amount increased
Our maximum benefit amount has also been increased to £150,000, it was £125,000. This will provide an earner of £300,000 with a 50% benefit of £150,000 a year, tax-free.

At the same time as enhancing our product offering, we also improved our pricing position. Our rate adjustment will see our IPP becoming more competitive, here are a couple of examples:

Example 1 Mr Brooks age 33, non-smoker Occupation: Chartered Surveyor Salary £30,000 - maximum yearly tax-free benefit of £15,000 To age 65 (level) 26 week deferment period as Mr Brooks' employer will pay out sick pay for 6 months £16.59 Reviewable (Commission £281.78) £21.44 Guaranteed (Commission £364.37)

 

Example 2 Mrs Penn age 37, non-smoker Occupation: Pharmacist Salary £50,000 - maximum yearly tax-free benefit of £25,000 To age 60 (level) as Mrs Penn plans to retire early 8 week deferment period as Mrs Penn is self-employed £73.89 Reviewable (Commission £1,256.28) £92.48 Guaranteed (Commission £1,572.48)

Standard Life rates are as at 12 November 2007. Figures are for illustration only and are not guaranteed.

Competitor Information
Take a look at the following competitor research table to see how the features of Standard Life’s plan compares in the market place:

The Income Protection gap currently stands at £170bn*, probably because few people think that covering their income is a necessity or perhaps they are unaware that products like Standard Life’s IPP actually exist at a reasonable cost. Discuss and recommend an Income Protection Plan as part of your holistic advice process and help close that gap.

* Source: Swiss Re Term and Health Watch Report 2006

For more details and links to literature, please visit our Income Protection Plan page on adviserzone or contact your Protection & Healthcare Account Manager.

Quotes are available from Webline, Assureweb and the Exchange.

No guarantees are given regarding the effectiveness of any arrangement entered into on the basis of these comments.

Links to other newsletter stories

Selling Income Protection to mortgage clients

Income Protection case study

60 Seconds

What does the future hold for Critical Illness Plans?

Switching health insurance is easy

Low cost high value healthcare options

Treat yourself to a holiday with business healthcare

AskTECH

Standard Life Healthcare's customer service is recognised at Health Insurance 2007 awards

Useful links

• adviserzone homepage
• Techzone
• The Cutting Edge

Your feedback

Tell us what you think of our newsletter.
Give feedback here

Newsletter preferences

•click here to update