Protection provider LV= has improved its critical illness cover, adding a new enhanced payments feature which will pay up to double the original cover if the customer is diagnosed with certain illnesses.
Under the new feature, clients will receive 150 per cent of cover if they are diagnosed with one of a number of neurological diseases before the age of 45 and 200 per cent of cover for certain conditions if it is as a direct result of an accident, such as loss of speech, paralysis of a limb or a traumatic head injury. There is a cap of an additional £200,000 on this feature.
LV= now offers cover on 59 conditions, compared to 48 before the changes, which includes nine new partial payment conditions.
The new full payment conditions are cardiac arrest and pneumonectomy, while the new partial payments include accident hospitalisation cover, arteriovenous malformation of the brain, carcinoma in situ cervix, carcinoma in situ urinary bladder, minor stroke, minor heart attack, non-severe cardiomyopathy, partial third degree burns and testicular carcinoma in situ.
LV= has also added two new Association of British Insurers + definitions (definitions which go beyond the required ABI minimum) which are motor neurone disease and terminal illness.
It has also increased the maximum age for taking out its CI cover from 60 to 65 and the number of illnesses children are covered for now match the number adults are covered for, excluding total permanent disability.
LV= head of protection Mark Jones says: “Suffering a heart attack or a stroke are two of the most common reasons that we pay claims, so leading the market by adding partial payments for both of these conditions will make a big difference in being able to make a claim. The new unique benefits, such as double cover payment, we believe will also make our CI cover stand out.”
CIExpert founder Alan Lakey says: “This is the first serious attempt at a hybrid approach between traditional critical illness and the PruProtect concept of severity-based payments. This will really set the bar for other insurers.”