Friends ProvidentSelect protection

Overview: The plan can be arranged to include one or more of the following types of cover:

• Life cover - level or decreasing

• Critical illness (CI) cover - level, decreasing or increasing

• Life or earlier CI cover - level or decreasing

• Income protection (IP) cover - level or increasing

• Housepersons cover - level

• Unemployment cover - level

Minimum acceptable age attained at commencement for insured: 18

Maximum age at commencement of insured for accelerated CI: 54

Minimum policy term: Five years. 10 years for decreasing cover, six years for reviewable and level cover.

Maximum expiry age: For accelerated CI, 69 for reviewable premiums and 64 for guaranteed premiums.

Maximum term (yrs) for accelerated CI cover: 35 years

Maximum sum assured where accelerated CI is included: The maximum for any one life is £500,000.

CI cover as a % of life cover: The plan can include as many types of cover as the client needs including more than one of the same type. Each type of cover chosen is written as a separate independent policy within the plan.

Plans allowing a choice of interest rate assumptions: Default interest rate is 8% if the clients fall outside the guarantee.

Guaranteed premium rates for accelerated CI: Payment amounts stay the same throughout the cover term. This can be up to 25 years, as long as the policyholder is under 65 at the end.

Default waiver definition of disability:

Definition of own occupation – The life assured is totally unable, because of illness or accidental injury, to perform the material and substantial duties of their employment and is not engaged in a remunerative occupation. Employment means each and every remunerative occupation of the life assured immediately prior to incapacity.

Definition of incapacity assessment criteria – If the life assured is not eligible for the own occupation definition of incapacity, the following will apply:

The life assured is totally unable, because of illness or accidental injury, to perform two of the following five tests without the help of another person but with the use of appropriate assistive or corrective aids or appliances:

• Walking – Able to walk 200 metres on a flat surface without having to stop or suffering severe discomfort.

• Bending – Able to get into or out of a standard saloon car and able to bend or kneel to pick something up from the floor and straighten up.

• Communicating – Able to answer the telephone and take a message.

• Reading – Having the eyesight required to be able to read a daily newspaper.

• Writing – Having the physical ability to write legibly using a pen or pencil.

• Unable because of illness or accidental injury to conduct an independent basic existence (i.e. is confined to the home or hospital, or unable to cook, do light housework and dress themselves.)

Or, shown to be suffering a psychotic or well defined mental illness which is medically uncontrollable despite treatment by a consultant psychiatrist. Or, if the cover runs beyond the 65th birthday and the life assured becomes or remains disabled after that date, 'disabled' means that the life assured is totally unable because of illness or accidental injury to perform, without the assistance of another person, three or more of the following Activities of Daily Living:

• Transferring – The ability to move from a bed to an upright chair or wheelchair and vice versa, or to get on or off a toilet or commode.

• Continence – The ability to manage bowel and bladder functions such that an adequate level of personal hygiene is maintained.

• Dressing – The ability to put on, or take off, secure and unfasten all necessary garments and, as appropriate, any braces, artificial limbs or other surgical appliances.

• Mobility – The ability to move indoors from one room to another on a level surface in the life assured's normal place of residence.

• Feeding – The ability to feed oneself once food has been prepared and made available.

• Washing – The ability to wash in the bath or shower (including getting into or out of the bath or shower) such that an adequate level of personal hygiene can be maintained.

Waiver benefit covers both lives: On joint life plans waiver can apply to either or both lives.

Plan allows inclusion of IP benefit: Yes

Option to vary term after start date other than by insurability: Yes

Plan permits variations to sum assured other than Gauranteed Insurability Options (GIOs): Yes

GIOs: The following are special events:

• The marriage of the life assured.

• The birth of a child (or children in the case of a multiple birth) to the life assured.

• The legal adoption of a minor or minors by the life assured.

If the policy schedule states that this option is included, the option is available whenever any of the special events occur provided that:

• The special event occurs prior to the 55th birthday of the life assured (or of the eldest life assured if there is more than one.)

• The option has not been exercised more than once during the period three years ending on the day of the special event.

• All premiums under this policy have been paid up to the date of the special event.

The sum assured under any policy effected by exercising this option shall not exceed whichever is least of:

• 50% of the sum assured under this policy current at the time the option is exercised.

• £50,000

• Three times the sum assured current at the time the option is exercised less the total sum assured under all previous policies effected under this option

Mortgage increase and extension option: If the policy schedule states that this option is included, the option is available on the life assured's completion of a further medical advance or a new increased mortgage or on the extension of a mortgage with a recognised institutional lender, provided that:

• The life assured (or elder of the joint lives assured) is under the age of 55 at the time the option is exercised

• This policy has been kept in force for the full sum assured up to that time

The sum assured under a new policy shall not exceed whichever is the least of:

• Twice the sum assured under this policy current at the time that the option is exercised

• £150,000

• The amount of the mortgage at the commencement of the new policy.

Total number of CI conditions covered: 29

• Cancer

• Coronary artery bypass surgery

• Heart attack

• Kidney failure

• Major organ transplant

• Multiple sclerosis

• Stroke

• Aorta graft surgery

• Benign brain tumour

• Blindness

• Coma

• Deafness

• Heart valve replacement or repair

• Loss of limb

• Loss of speech

• Motor neurone disease

• Paralysis/paraplegia

• Parkinson's disease

• Terminal illness

• Third degree burns

• Aids through assault

• Aids blood transfusion

• Aids occupation

• Alzheimer's disease

• Bacterial meningitis

• Creutzfeldt-Jakob disease

• Open heart surgery

• Pre-senile dementia

• Progressive Supranuclear Palsy

Children's CI and disability benefit: CI cover automatically includes cover for the children of the lives assured between the ages of 30 days and their 18th birthday. They are covered for the following conditions: