LV= has launched a relevant life cover product allowing employers to set up life cover either for their employees or company directors in a tax-efficient way.
LV='s Relevant Life Cover is based on LV='s standard Flexible Protection Plan (FPP) Term product, which includes terminal illness cover and guaranteed insurability options. It has the same application options, including online, tele-interview or paper, and high underwriting limits.
However, the cover must end before the insured reaches 75. The policy can only provide life and terminal illness cover, and must be written into trust from the outset.
In addition, employees insured under the Relevant Life Cover policy automatically qualify for the LV= Executive Assistance Plan which offers access to a telephone counseling service, a legal issue helpline and a confidential health and wellbeing advice line.
A continuation option will be offered if the insured leaves employment. If this happens, the policy will be cancelled, but if cover is still required it can be re-issued as a normal life protection policy with the insured as the policy owner instead.
If the insured moves to a new employer, a new Relevant Life Cover policy can be set up, and taken over by the new employer.
Mark Jones, head of protection at LV=, said: ""LV='s Relevant Life Cover is designed to help employers to attract and retain the best people within their business by offering their employees valuable life protection at a reduced cost to the business. The continuation option means that the employee can feel confident that they are able to remain protected even if they change employer.
"The LV= Executive Assistance Plan is automatically included which means that employees are able to benefit from having the policy even if they do not make a claim."
