British Friendly has created a simplified income protection product to be sold through advisers only.
‘Breathing Space' provides long-term cover, with a payout period of between one and five years per claim where multiple claims are possible, even for the same condition.
The income protection specialist said by removing all financial underwriting advisers had an alternative option to recommend to their clients who have fluctuating incomes.
Mark Myers, CEO of British Friendly, said: "Adviser feedback suggests the new Breathing Space cover will appeal to a wide range of people including manual workers, the self-employed and part-time workers, to provide a cash boost to cover the bills in the event of being unable to work due to ill health.
"Policyholders can be confident that when they claim they will receive the cover they have paid for, as no deductions are made for existing benefits such as sick pay, other insurance pay-outs, or state benefits."
"Breathing Space" includes:
No financial underwriting (either at application or claim stage)
A long-term contract that can run to a maximum age of 65
Cover can be set to pay out for up to one, two or five years per claim
A claim can be made after being unable to work for four weeks
Claims are paid weekly, up to £250 (£13,000pa)
Own occupation cover
No automatic exclusions
Commenting on the new product, Roy McLoughlin of Master Adviser said: "This product feels like a breath of fresh air. Circumnavigating the onerous task of financial underwriting means that this product feels very accessible, which is crucial within such a mandatory part of protection."
Alan Lakey of Highclere Financial Services, added: "Pursuing the ‘simple' design with easy to understand terminology is the aspiration of many insurers."
