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‘ABI’s plan for CII tiers will make it harder to claim’

The Association of British Insurers’ consultation paper on best practice for critical-illness cover has been slammed by Mac- millan Cancer Relief as making it harder to claim.

The ABI’s CII working party is consulting on whether to introduce two tiers of cover for cancer, including one tier which has a more restricted definition.

Macmillan Cancer Relief believes this will lead to customers having to prove the severity of their illness, making it harder to claim.

Further proposals include measures for future-proof- ing model illness definitions against the effects of med- ical advances.

Working party chairman Nick Kirwan says: “We hope that if the definitions can be more robust, we can encourage more people to enter the market. The product should be clearer and more affordable for consumers.”

Macmillan Cancer Relief head of campaigns and public affairs Ayesha Owusu-Barn- aby says: “The insurance ind-ustry is taking a backward step. This will make it harder for people diagnosed with cancer to claim. What point is there in taking out CI policies in the first place if insurers will not pay out?”

Direct Life and Pensions sales and marketing director Richard Verdin says: “The more we can do to help understand this product at the point of sale the better. We do not want to create a model that is unsaleable.”

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