In its statement of best practice for CI cover 2009 review consultation paper, the ABI proposes that TPD, in any current form, should not be included in CI policies. In place of TPD, it has devised a set of model definitions it believes will be clearer for consumers and distinguish CI from income protection.
But some ABI members have previously expressed concern over removing TPD.
Bupa individual protection head of product development Steve Casey says the firm is “strongly” against removing TPD completely from CI plans and says it is important that any replacement meets consumers’ needs.
CBK Colchester principal Peter Chadborn says: “I would not be against removing TPD because most people are motivated to take out CI because they relate to one core definition.”