A new menu-based online Life Assurance plan has been set up by ProProtect. To reduce costs, some features of the PruProtect plan are not available with the essentials plan.
To help you in conducting a life assurance comparison exercise, the essentials plan comprises core serious illness cover and level, decreasing or index-linked life cover, unemployment cover and income protection.
These include automatic child serious-illness cover, a guaranteed insurability option for life cover, serious-illness cover and disability cover, optional serious-illness cover for children and immediate cover. However, policyholders can upgrade to the full PruProtect cover at any time.
The essentials plan takes the same severity-based approach to cover as the PruProtect plan so that people are covered for serious illnesses and partial disabilities, not just critical conditions.
The severity-based nature of the plan means that policyholders may get a percentage of the benefit rather than the full cost. This means that payments can be made at an earlier stage of the illness, even if it is not life-threatening.
Essentials provides a great deal of flexibility in that policy holders have a choice on many aspects of their cover such as guaranteed or reviewable premiums, single or joint life, whole life or fixed term and waiver of premium on death, serious illness or capacity.
However, the products could seem complicated due to its flexibility and wide range of options.
