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2 Individual Protection – Adviser Guide
Explore our Life Insurance and Life plus Critical Illness cover, plus our excellent range of Support Services. Together, we’ll protect your clients and their dependents, whatever life throws their way.
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Individual Protection – Adviser Guide 3
About Canada Life
Our Individual Protection products
Benefits designed for your clients
Our Critical Illness cover benefits
Benefits designed for children
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Support Services
1000+ Rewards, on us
Cover and benefits – at a glance
Critical Illness benefits – at a glance
Our underwriting approach
Maximum cover and underwriting limits
Summary
Contents
4 Individual Protection – Adviser Guide
Financial ratingsWe hold strong financial ratings through our parent company, so you can rest easy when taking out a policy with us. We are wholly owned by The Canada Life Assurance Company. Canada Life is a subsidiary of Great-West Lifeco Inc and a member of the Power Financial Corporation group of companies.
How it all beganAlthough our business comes all the way from Canada – where we sold our first policy in 1847 – our Individual Protection is based in Bristol and Potters Bar. We have offices throughout the UK, Canada and Europe specialising in a wide range of financial services, from pensions to investments.
We are Canada Life with over 45 years experience covering thousands of customers throughout the UK. Our mission is to help people when they need it most.
About Canada Life
We now support
25,000UK Employers
2.8M UK Employees
£260BN of benefits
We are the biggest provider of Group Insurance in the UK
Rating Agency Measurement Great-West Canada Life 1
A.M. Best Company Financial Strength A+ A+
Dominion Bond Rating Service Financial Strength AA AA
Fitch Ratings Insurer Financial Strength AA AA
Moody’s Investors Service Insurer Financial Strength Aa3 Aa3
Standard & Poor’s Corporation Insurer Financial Strength Subordinated Debt
AA AAAA-
1 Canada Life Assurance Company (which owns 100% of Canada Life Limited) Source: Great-West. Ratings are correct as at 6 March 2019.
Individual Protection – Adviser Guide 5
When we re-entered the individual protection market in 2015, we brought our strength and experience to individuals and couples looking to protect themselves and their families.
6 Individual Protection – Adviser Guide
Our Individual Protection products
Level
£
Time
Premium remains unchanged
Cover amount
Increasing
£
Time
Premium increases each year
Cover increases each year
Decreasing
£
Time
Premium remains unchanged
Cover decreases each year
The level of cover reduces on a monthly basis based on a fixed yearly rate of 8%.
Both products are available on Level, Increasing and Decreasing terms.
Life Insurance Life Insurance plus Critical Illness cover
Makes a payment upon death or diagnosis of a terminal illness.
In addition to Life Insurance, Critical Illness cover makes a payment if your client is diagnosed with a serious illness.
Individual Protection – Adviser Guide 7
Inflation-linked option Trusts available
Optional benefits
Your client can inflation-proof their Level Term policy by choosing the inflation-linked option.
The amount of cover will increase in line with the Retail Prices Index each year. We will write to your client in advance to let them know what the increase in cover and premium will be. They do not have to accept the increase. However, if they do not accept it they will not be able to increase it again in the future.
Your client may benefit from writing their policy under trust.
• The payment can be held outside of their estate for Inheritance Tax purposes
• Trustees ensure the money goes to the most appropriate people, even where there is no will in place
• There is no need to wait for probate to make the payment
Both our trusts are split trusts. This means they are suitable for both our products: the critical illness is split from the life insurance so the critical illness can be held for the policyholder while the life insurance is held in trust for the beneficiaries.
Bare Gift Trust With this type of trust the donor must name their beneficiaries and what share of it they want each to receive. The trust is for the absolute benefit of named individuals. Once the trust has been established, the trustees cannot change the beneficiaries or the amounts they will receive.
Discretionary TrustThis type of trust is more flexible than the Bare Gift Trust. It includes a wide range of potential beneficiaries and allows further beneficiaries to be added after the trust is set up.
Individual Protection – Adviser Guide 8
A wide range of services
Benefits designed for your clients
Life InsuranceLife insurance is included in all our policies. On a joint life policy the payment is made to the surviving policyholder. Once it has been paid the policy ends. See page 13 for further
details of our comprehensive support services.
Waiver of premium benefitAt the start of their policy, your clients can choose to pay an additional premium. By doing so, if they are unable to do their usual job for at least 13 weeks due to illness or disability, they won’t have to make their payments.This benefit will continue for as long as they are unable to work, but expires when they reach the age of 70 or the policy ends.On joint life policies, this benefit is available to each of your clients. There is a seperate charge for each of them.
Individual Protection – Adviser Guide 9
Critical Illness coverCritical Illness cover is only available with Life Insurance plus Critical Illness plans.If a policyholder is diagnosed with a critical illness while the policy is in place, we will make a payment.
There are 52 core critical illness conditions and 44 additional critical illness conditions.
Single life insurance Joint life insurance
A core illness claim
We will make a full payment for a core illness claim. The plan will then end.
We will make a full payment for the first core illness claim. The plan will then end.
Additional illness claims
We will pay 25% of the amount of cover, up to £25,000. The plan will continue in case your client(s) needs to claim again.
Your client make up to four additional or child specific claims in total.
Your client can make up to six additional or child specific claims in total (see page 11).
Once your client has made four claims, we can still pay a claim if they:
• Are diagnosed with a core critical illness • Are diagnosed with a terminal illness.• Die• Are totally and permanently disabled (providing they
took out this optional extra)
The plan finishes when we have paid the claim.
Once your clients have made six claims, we can still pay a claim if one of them:
• Is diagnosed with a core critical illness • Is diagnosed with a terminal illness• Dies• Is totally and permanently disabled (providing they took
out this optional extra)
The plan finishes when we have paid the claim.
Terminal Illness coverAll our policies will make a payment if the person with cover is diagnosed with a terminal illness which a consultant confirms will lead to death within 12 months.
On joint life policies the payment can be made if either person is diagnosed with a terminal illness.
Our terminal illness cover runs to the end of the plan. Once a payment has been made the policy ends.
10 Individual Protection – Adviser Guide
52 Core critical illness conditions
Our Critical Illness cover benefits
Aorta graft surgery
Aplastic anaemia with permanent bone marrow failure
Bacterial meningitis resulting in permanent symptoms
Benign brain tumour resulting in permanent symptoms or with specified treatment
Benign spinal cord tumour resulting in permanent symptoms or with specified treatment
Blindness permanent and irreversible
Brain abscess with specified treatment
Brain injury due to anoxia or hypoxia resulting in permanent symptoms
Cancer excluding less advanced cases
Cardiac arrest with insertion of a defibrillator
Cardiomyopathy of specified severity
Cauda equina syndrome with permanent symptoms
Chronic lung disease advanced stage respiratory failure
Coma resulting in permanent symptoms
Coronary artery by-pass graft
Creutzfeldt-Jakob disease resulting in permanent symptoms
Deafness permanent and irreversible
Dementia resulting in permanent symptoms
Encephalitis resulting in permanent symptoms
Heart attack
Heart failure
Heart valve replacement or repair
HIV infection caught from a blood transfusion, physical assault or accident at work
Intensive care requiring mechanical ventilation for 10 consecutive days
Kidney failure requiring permanent dialysis
Liver failure of specified severity
Loss of hand or foot permanent physical severance
Loss of independence
Loss of speech total permanent and irreversible
Major organ transplant from another person
Motor neurone disease resulting in permanent symptoms
Multiple sclerosis with clinical symptoms
Myasthenia gravis with specified symptoms
Neuromyelitis optica (Devic’s disease) with clinical symptoms
Paralysis of a limb total and irreversible
Parkinson’s disease resulting in permanent symptoms
Parkinson plus syndromes resulting in permanent symptoms
Peripheral vascular disease requiring bypass surgery
Primary pulmonary arterial hypertension of specified severity
Pulmonary artery surgery
Removal of an eyeball due to injury or disease
Removal of a complete lung
Rheumatoid arthritis of specified severity
Severe Crohn’s disease treated with two surgical intestinal resections or removal of entire large bowel
Spinal cord stroke resulting in persisting symptoms
Stroke resulting in persisting symptoms
Structural heart surgery
Syringomyelia or syringobulbia with surgery
Systemic lupus erythematosus with serious complications
Third degree burns covering at least 20% of the surface area of the body or 20% of the face or head
Traumatic brain injury resulting in permanent symptoms
Ulcerative colitis treated with total colectomy (removal of the entire bowel)
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Individual Protection – Adviser Guide 11
44 Additional critical illness conditionsAdult serious accident benefitWe will pay £7,500 to a policyholder who is in hospital or another recognised medical establishment, with physical injuries for a minimum of 28 consecutive days immediately following an accident. Their injuries must have resulted solely and directly from sudden, unforeseen, external and visible means and must be independent from any other cause. We will make a maximum of two payments under the policy.
Optional total and permanent disability coverThis is an optional cover for adults, available for an additional charge at the start of a Life Insurance plus Critical Illness policy.
If included, we will make a full claim payment if the insured person is diagnosed as being totally and permanently disabled. After this the policy will end.
On joint life policies, this cover is available to each insured person and there is a separate charge for each person covered.
Please note: Your client must survive for at least 14 days from when they are first diagnosed or where applicable the date of surgery in order to make a claim.
Aortic aneurysm with endovascular repair
Aplastic anaemia of specified severity
Carotid artery stenosis with surgical repair
Central retinal artery or vein occlusion
Cerebral or spinal aneurysm with specified treatment
Cerebral or spinal arteriovenous malformation with specified treatment
Chronic hepatitis B or C
Coronary angioplasty with specified treatment
Crohn’s disease treated with intestinal resection
Diabetes mellitus Type 1
Drug resistant epilepsy treated with invasive surgery to brain tissue
Guillain-Barré syndrome with persisting clinical symptoms
Infective bacterial endocarditis
Less advanced cancers:
• anus – treated with surgery
• appendix, colon or rectum – treated with surgery
• bile ducts – treated with surgery
• breast – treated with surgery
• cervix – treated with surgery
• gall bladder – treated with surgery
• larynx – with specified treatment
• lung and bronchus – with specified surgery
• oesophagus – with surgery to remove the tumour
• oral cavity or oropharynx – treated with surgery
• ovary – with surgery to remove an ovary
• pancreas – treated with surgery
• renal pelvis and ureter – of specified severity
• prostate – requiring treatment
• small intestine – treated with surgery
• stomach – treated with surgery
• testicle – with specified surgery
• thyroid – treated with surgery
• urinary bladder
• uterus – treated with specified surgery
• vagina – treated with surgery
• vulva – treated with surgery
Non-invasive gastro intestinal stromal tumour
Non-malignant pituitary gland tumour with specified treatment
Pericarditis chronic constrictive pericarditis or requiring surgery
Permanent pacemaker insertion for heartbeat abnormalities
Removal of one or more lobes of the lung
Severe sepsis
Significant visual loss permanent and irreversible
Third degree burns covering 10% of the surface area of the body or 10% of the face or head
Urinary bladder removal
Please download our Critical Illness Definitions Guide for a guide to conditions covered
12 Individual Protection – Adviser Guide
Benefits designed for children
Our Life Insurance plus Critical Illness policies automatically provide a number of benefits for children.
Children’s terminal illness coverWe will pay 50% of the cover amount, up to a maximum of £25,000, if a claim cannot be made under any other core or child specific critical illness and your child is diagnosed with a terminal illness and is not expected to live for more than 12 months.
We will also pay the children’s funeral cover benefit early.
Children’s funeral coverWe will pay £10,000 on a death claim for a child. We will make a maximum of two payments under the policy.
Children are covered for 51 of the core critical illness conditions for 50% of your client’s amount of cover (up to £25,000)*
Children are covered for the 44 additional critical illness conditions for 25% of your client’s amount of cover (up to £25,000)
Children are covered for a further six child specific medical conditions for 50% of your client’s amount of cover (up to £25,000):
* Children aged less than five years old are not covered for the core condition of loss of independence. Children are not covered for the core critical illness of Intensive care as they are covered under Children’s intensive care benefit.
Children’s Critical Illness cover Definition of a child is...
• a natural child;• a legally adopted child (who
will be covered from the date of their adoption); or
• a step child by marriage or registered civil partnership (who will be covered from the date of marriage or civil partnership).
For the core and additional critical illnesses the symptoms must be first evident after the start of the policy or legal guardianship of the child began.
Children’s specific illness claims can be made from birth if a policy is taken out before they are born. If a policy is taken out after a child is born, symptoms must be first evident at least 12 months after the policy Start date for a claim to be made.
We protect children for the core and additional illnesses who are:• older than 30 days, and• younger than 18 years, or• younger than 22 years if in
full time education during the period of cover. (This includes work placements, but excludes breaks from education such as a gap year).
• Cerebral palsy
• Children’s intensive care benefit
• Cystic Fibrosis
• Hydrocephalus
• Muscular dystrophy (MD)
• Spina bifida myelomeningocele or myelogchisis
Individual Protection – Adviser Guide 13
Support Services
At Canada Life, we believe insurance is about much more than just a financial benefit.
We provide our customers with a comprehensive set of Support Services, at no additional cost
Bereavement Counselling Losing someone close can be devastating – no one should go through it alone. Our bereavement counselling service provides up to four telephone sessions with a qualified counsellor.
Probate Helpline Our Probate Helpline provides access to probate experts who can help employees with will writing, administration of estate, finding missing beneficiaries and applying for probate.
Note: Personal Nurse Service and Second Medical Opinion are also available if the Life Assured or a child are diagnosed with a terminal illness.
Personal Nurse ServiceProvides long-term practical and emotional support over the phone with the same qualified nurse, for individuals who make a critical illness claim.
Second Medical Opinion service Provides a second opinion from a UK consultant on the diagnosis and treatment of a medical condition to give confidence that a diagnosis and treatment plan is suitable. The service is available for individuals who make a critical illness claim.
PersonalCare PersonalCare is a personal assistance programme that provides professional counselling for any issue, either face-to-face or by telephone. You’ll also have access to support on everyday matters such as finding childcare or eldercare, legal issues and debt management.
Support Services for Life Insurance
Extra Support Services for Life Insurance plus Critical Illness
14 Individual Protection – Adviser Guide
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* 2017 ONS Statistics for Average UK Weekly spend, overlaid against available Perks on LifeWorks Offers.
Cinema ticketsUp to 25% off
1000+ DiscountsSave £1,928 per year*
Electrical savingsPhones, smart watches and computers
Restaurant dealsEat out andsave money
3000+ dealsWorkout for less
Save on billsCut the cost of everyday bills
Theme parks & attractionsUp to 20% off
Coffee shop vouchersTreat yourselfto a coffee
HolidaysSave on hotels, flights and car hire
Confidential Counselling24/7 Support on a
wide range of issues
Wellbeing HubUse our wellbeing resources and reach your health goals
Included FREE with our cover
Individual Protection – Adviser Guide 15
Our comprehensive range of protection policies suits every budget and level of cover.
Cover and benefits – at a glance
Product features Life Insurance Life plus Critical Illness
Limits that apply
Minimum and maximum plan term
3 & 40 years 3 & 40 years
Minimum age of insured person at start
18 years 18 years
Maximum age at start 80 years 65 years
Maximum age at end 85 years 70 years
Maximum sum assured Insured person’s age
Maximum total sum assured
Insured person’s age
Maximum total sum assured
18-40 £1,000,000 18-40 £750,000
41-45 £750,000 41-45 £450,000
46-50 £600,000 46-50 £350,000
51-55 £400,000 51-60 £200,000
56-60 £300,000 61-65 £100,000
61-80 £150,000
Waiver of premium – disability period
13 weeks 13 weeks
Waiver of premium end 70th birthday 70th birthday
Product features Life Insurance Life plus Critical Illness
Overview
Terminal Illness benefit – right to the end of the plan
Yes Yes
Adult serious accident benefit No Yes
Optional waiver of premium benefit (additional cost)
Yes Yes
Optional Total and permanent disability benefit (additional cost)
No Yes
Accidental death benefit while application is processed
Yes Yes
Unpaid premium period which triggers a policy to end.
60 days or x 2 unpaid premiums
60 days or x 2 unpaid premiums
Inflation-linked option available (not available for decreasing policies)
Yes Yes
Increase option available Only if accepted on standard terms
Only if accepted on standard terms
16 Individual Protection – Adviser Guide
Critical Illness Benefits – at a glance
Product features Cover provided
Benefits
Adult death benefit 100% of the amount of cover
Adult terminal illness benefit 100% of the amount of cover
Adult total and permanent disability benefit (optional benefit)
100% of the amount of cover
Adult core critical illness benefit 100% of the amount of cover
Adult additional critical illness benefit 25% of the amount of cover (up to £25,000)
Child core critical illness benefit 50% of the amount of cover (up to £25,000)
Child additional illness benefit 25% of the amount of cover (up to £25,000)
Child specific critical illness benefit 50% of the amount of cover (up to £25,000)
Adult serious accident benefit £7,500
Children’s terminal illness 50% of the amount of cover (up to £25,000)
Children’s funeral cover £10,000
Number of critical illness conditions
Core critical illness 52
Additional critical illness 44
Child specific critical illness 6
Product features Life plus Critical Illness
Maximum number of payments
Adult serious accident benefit 2
Children’s funeral cover 2
Core, additional and children’s critical illness (Single life plans)
4
Core, additional and children’s critical illness (Joint life plans)
6
Example maximum number of payments
£100,000 single life plan 9 payments – totalling £235,000
×2 adult serious accident claims (£7,500 each)
×4 additional critical illness claims (£25,000 each)
×2 children’s funeral claims (£10,000 each)
×1 adult core critical illness, terminal illness, death or total and permanent disability claim (£100,000)
£100,000 joint life plan 11 payments – totalling £285,000
×2 adult serious accident claims (£7,500 each)
×6 additional critical illness claims (£25,000 each)
×2 children’s funeral claims (£10,000 each)
×1 adult core critical illness, terminal illness, death or total and permanent disability claim (£100,000)
Individual Protection – Adviser Guide 17
Our underwriting approach
We’ve invested in technology to make our application process as straightforward as possible.
Premium reduction for full cancer exclusion
We will identify the reduction in our underwriting process and let you know what the lower premium will be. If your client takes up the offer we will reduce our price for them.We can not apply this to policies where we have already applied a full exclusion.
Of those we manually underwrite, an additional 75% are offered termsAs we don’t ask for a doctor’s report, there are unfortunately some pre-existing conditions like cancer, heart attack or stroke, where we are unable to offer terms.
However, weighed up against the time taken to get a doctor’s report – especially when customers are looking for a ‘buy now’ price –
Dedicated underwriting teamWhere additional information is required, we use:
75% of customers are accepted immediately
An application can be underwritten and terms offered in under 20 minutes
We don’t ask for GP reports
Whilst we appreciate the value these can add, we can get all the answers needed by carefully worded questions and trusting the customer disclosure instead.
75%
Questions to the adviser
Medical Screening
Tele Interview
for example when blood tests are required
For clients with a family history of cancer we will reduce the cost of a Life Insurance plus Critical
Illness policy by up to
20%when we apply a full
cancer exclusion.we believe our approach is putting the customer first.
18 Individual Protection – Adviser Guide
Maximum cover and underwriting limits
The tables below show the maximum sum assured in your client’s age category.
Life Insurance Life Insurance plus Critical Illness
NOTEA Nurse screening examination includes a cotinine (nicotine) test for non-smokers.
Age Maximum Sum Assured
Nurse Screening Examination required from
18-30 £1,000,000 £800,001
31-35 £1,000,000 £750,001
36-40 £1,000,000 £700,001
41-45 £750,000 £500,001
46-50 £600,000 £400,001
51-55 £400,000 £300,001
56-60 £300,000 £200,001
61-65 £150,000 £100,001
66-70 £150,000 £50,001
71-75 £150,000 £50,001
76-80 £150,000 £25,001
Age Maximum Sum Assured
Nurse Screening Examination required from
18-30 £750,000 £450,001
31-35 £750,000 £400,001
36-40 £750,000 £400,001
41-45 £450,000 £350,001
46-50 £350,000 £250,001
51-55 £200,000 £150,001
56-60 £200,000 £150,001
61-65 £100,000 £75,001
Individual Protection – Adviser Guide 19
Summary
We want to be easy to do business with, so you spend more time with your customers and less time on administration:
Speed of decisionA standard terms case could be underwritten and activated in under 20 minutes
Real time updatesDuring the application process our system keeps you and your client informed of the likely price and outcome
75%
Pre-Sale UnderwritingOur system allows you to pre-sale client disclosures allowing an accurate price to be given to the client ahead of application
75% of customers are accepted immediatelyOur online application allows as many as possible to get immediate acceptance
A wide range of Support ServicesOur Support Services give policyholders somewhere to turn when they need a little help. Some of them are free to use from day one
Comparison Service PartnersYou can currently obtain quotes through five comparison services:
• IRESS
• The Protection Platform (UnderwriteMe)
• iPipeline
• Webline
• True Potential
Life Insurance (Advised) Level Term and Level Term Critical Illness have a comprehensive level of features and benefits.
More information is available on our website: www.canadalife.co.uk/individual-protection
Canada Life Limited, registered in England no. 973271. Registered Office: Canada Life Place, Potters Bar, Hertfordshire EN6 5BA. CLFIS (UK) Limited, registered in England no. 04356028 is an associate company of Canada Life Limited. Registered Office: Canada Life Place, Potters Bar, Hertfordshire EN6 5BA.
Canada Life Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority
ID6442 – 221R(B)
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