Skandia has cut critical-illness cover rates in its menu-based protection
plan by up to a fifth.
Skandia Protect was launched in January as a CI plan and expanded in May
to include stand-alone life cover and long-term care options.
The company says rates have been cut because sums assured are bigger than
anticipated and because of the high quality of business.
In April, Skandia cut charges on pension policies and at the end of May it
made a similar discount on its MultiIsa funds.
Its LTC and stand-alone life products are being reviewed to determine
whether to extend the move.
The company says 48 per cent of Skandia Protect policies have been sold on
a rolling-term basis which allows the policy to be renewed every 10 years
without further underwriting. A quarter of policyholders have taken out the
cover reinstatement option, which means the policy can be renewed after
making a claim.
Senior marketing manager Lynda Cox says: “The fact that IFAs can tailor
policies to suit each client's needs means it could not be easier to get
comprehensive and affordable cover.”