Minimum acceptable monthly premium: The minimum monthly premium is based upon the minimum benefit a...
Minimum acceptable monthly premium:
The minimum monthly premium is based upon the minimum benefit amount, which is £200 a week of benefit (£10,400 a year).
Maximum age at attained at entry:
The maximum age attained at entry is 59. The minimum term is five years.
Retirement ages:
A policyholder may choose any retirement age between 50 and 65, subject to the minimum term of five years. Should the policyholder wish to extend the retirement age, this will be subject to medical underwriting and a minimum term of five years.
Increase the retirement age after start date - other than guaranteed insurability options (GIOs):
Changes to selected retirement age are available. A minimum term of five years until retirement is required. The retirement ages are between 50 and 65.
Increase benefit subject to underwriting:
The flexibility of this policy enables an insured to increase or decrease their benefit when their circumstances change. Should the policyholder wish to decrease their cover, they only need to give notice in writing to Pioneer's head office and the decreased entitlement will then commence immediately.
GIOs available:
Policyholders may increase their benefit to a maximum of 40% of their taxable income without supplying medical evidence on every third policy anniversary or if one of the following events occurs:
n They get married or enter into a civil partnership
n Either the policyholder or their partner give birth to a child
n They take out or increase a mortgage on their primary residence
Maximum age to exercise GIO:
Increasing insurance options. This option does not apply after a policyholder's 50th birthday.
Benefit amount index linked:
If the policyholder has selected the indexation option, their benefit will be adjusted annually by the retail price index (RPI) to a maximum of 3%, and their premiums will be adjusted accordingly in line with the contribution tables. If they are in receipt of income protection (IP) benefit, the benefit will increase annually by the RPI up to a maximum of 10% a year. Pioneer will use an equivalent index if the RPI is
not available.
Add indexation:
Indexation can be added after commencement. This would be subject to underwriting.
Age used when costing indexation increases:
Rates increase on the anniversary date, resulting in the premiums for the index-linked increases in benefit being calculated in line with the age of the member.
Premium increase with age:
The rates under the Pioneer contract will increase as the client gets older, in line with the published rate table. The premium rates under this contract are guaranteed throughout the contract.
Career break available:
The life assured must inform Pioneer in writing if they wish to take a career break in order to take advantage of this option. The policy will then be altered to provide cover on the same basis as houseperson's cover, with a maximum limit of £10,400 a year. Premiums will be adjusted accordingly.
Provided the life assured returns to work within 52 weeks of the effective date of this alteration, then the policy will be reinstated to provide the benefit level immediately prior to the career break, without the need for further medical underwriting.
Long-term career break
Provided that cover has been in force for a continuous period of
36 months from the commencement date, a life assured
may elect to suspend cover if they choose to take a long-term career break. At the time this option is exercised, a date for the reinstatement date of benefits must be specified by the policyholder. The time until reinstatement of the cover must be two, four, eight or 10 years.
Benefits will be reinstated without the need to provide evidence of health. During the period of the career break, an annual premium equal to 10% of the full annual premium is payable. The long-term career break will not be available after the life assured's 50th birthday.
Suspension of cover:
Provided that cover under this policy has been in force for a continuous period of 36 months from the commencement date, a life assured may elect to suspend cover under the policy in certain circumstances.
Houseperson cover available:
If the life assured is a bona fide houseperson and not in gainful employment, a benefit of up to £10,400 a year can be paid. Evidence of income would not be required by Pioneer in the event of a claim, but it will require medical evidence. Premiums will be adjusted accordingly.
Relapse benefit available:
The terms of the policy are unaffected by the number of times a policyholder claims. If they receive benefit and claim again from the same cause within six months of returning to work, the deferred period will not apply, provided that they have not gone back to work against the advice of their doctor.
Disability counsellors:
Following a serious illness or injury, many people need assistance in adapting to the difficulties of a new lifestyle. Pioneer Friendly Society can provide a policyholder with information and support from its Health Claims
Advisory Service, completely free of charge.
In addition, an innovative scheme for all policyholders has been negotiated with GO Private, which provides discounted health screening, self-pay solutions for hospital treatment and loans for treatments, subject to status.
Maximum percentage of income insurable:
A policyholder's IP benefit must not exceed 40% of their personal
taxable income up to a maximum benefit level of £100,000 a
year. In the event of any successful claim, Pioneer guarantees to pay the insured benefit less payment from any other similar insurances, continued payment from employment and pension payments due to ill health.
The annual personal taxable income from the policyholder's employer is defined to include the following:
n Gross salary
n Regular commission and bonuses received (averaged over the last three years)
n Regular overtime
n P11D benefits in kind, as long as these will be lost in the event of incapacity
n Dividends
Self-employed income:
Self-employed income is the annual gross personal taxable income from the policyholder's business less any amounts allowable as expenses against income tax and before deduction of income tax and National Insurance contributions.
Other income that may reduce the benefit:
In the event of any successful claim, Pioneer guarantees to pay the insured benefit less payment from any other similar insurances, continued payment from employment and pension payments due to ill health.
Standard definition of disability:
An 'own occupation' definition is offered throughout.
Deferred period:
Policyholders can choose between day one cover, one, four, eight, 13, 26 and 52-week deferred periods.
Two deferred periods in one plan:
Split deferred period contracts are available with a maximum of two deferred periods per policyholder. Benefit payment will be made fortnightly.
Number of exclusions applying to the plan:
There is one exclusion, which is normal pregnancy.
