Co-operative Insurance Society is launching a life assurance Isa.
The Isa which will be available on a mini and maxi basis, will invest in the society's Platinum Plus flexible with-profits savings plan.
The minimum investment requirements are £250 for lump sum investments and £25 a month for regular contributions.
It has no fixed term and withdrawals can be made at anytime, but these could be subject to encashment penalties.
The current bonus rate on Platinum Plus is 4 per cent, which includes a special 0.5 per cent first anniversary bonus for new investments before April 6, 2000.