Unum introduces new features to Group Life Proposition

Unum has introduced a range of improvements to its Group Life product in response to the tough economic conditions in the UK economy. The changes cover both policy conditions and the pricing basis and are designed to be appealing to policyholders, particularly those with up to 500 members. The changes include:

• A significant improvement to premium rates across certain key client segments
• A significant uplift to the free cover levels – from £12,000 to £22,000 per member to a maximum of £1million p.a total benefit
• Adverse medical conditions will be ignored  up to the free cover level for both new and existing members
• Improved switch terms where Unum will take on any benefits underwritten by a previous insurer on a ‘no worse terms’ basis
• A reduction of hotspot areas as a result of risk accumulation
• An improvement to travel limitations in respect of members travelling together
• The introduction of a free Bereavement service for dependants covering financial information/debt support, face to face counselling
• The option of a tele-underwriting service
• Waiving the loading for Redundancy cover during the current economic climate this service may be required by more employers

Glenn Thompson, Unum Customer Solutions Director, said:

We are continuously striving to enhance our service offering and these changes will ensure that Unum remains a leading provider in what is a highly competitive market. Employers and claimants will benefit from these latest changes.

The changes were effective from 1st December 2008. The FCL changes will be applied as standard and will remove the necessity for medical underwriting for a significant number of members. This is designed to make placing and renewing business with Unum both quicker and simpler going forward.

All new business placed with Unum on or after 1st December 2008 has received these benefits automatically. Existing business will benefit from the improvements on the scheme’s next annual rate re-test date post 1st December 2008.

ENDS