The changes include improved definitions, an increase in the level of cover and extending age limits to make sure the protection products can meet the changing needs of customers.
The top reasons for customer claims are cancer, heart attack and multiple sclerosis, so the critical illness changes have focused on those definitions.
Aegon has simplified its heart attack definition by removing the need for specified troponin levels and making it easier to claim, and removed the need to see 3 continuous months of symptoms for multiple sclerosis.
It has also increased the age limit of its income protection cover from 65 to 70, increased the sum assured from £130k to £150k for individual only, and introduced an income promise, to protect the customer against a drop in income after the policy has started.
As part of the changes a joint life separation option has been introduced and all Family Income Benefit policies now offer guaranteed rates.
Dougy Grant, Protection Director at Aegon UK, said:
“We need to recognise the trend of increased life expectancy and longer mortgage terms which means people are continuing to work beyond the traditional retirement age. It is more important than ever to make sure that clients can keep their financial plans on track with a range of protection products that guard against life’s uncertainties.
“As a company it’s our ambition to increase the number of families and businesses that are protected financially. The breadth and depth of the changes recognise the need for advisers to be able to create a package of high quality solutions, within one menu plan, to make sure they can tailor their advice for the individual needs of their clients. The enhancements will meet that challenge and make sure that when these valuable benefits are needed the most, we’ll be there to help support them. We’ve concentrated on the top reasons for making a claim so that we can pay even more claims.”
