"We expect the use of animal or artificial organs to become more common, so we’re making sure our policies are future-proofed."
- Rachael Welsh, Head of Marketing & PR at Guardian
To ensure protection policies are “always ready for today rather than 30 years ago,” Guardian Financial Services (Guardian) entered the market in 2018 with its cover upgrade promise. This means existing customers can benefit from new and improved definitions.
Speaking exclusively to Protection Reporter, Rachael Welsh, Head of Marketing & PR at Guardian (pictured), explained that its upcoming cover upgrade reflects its commitment to future-proofing protection policies for years to come.
Guardian has added definitions for lobectomy and removal of urinary bladder to its Critical Illness Cover (CIC) and children’s cover - necrotising fasciitis has also been added to its CIC policy.
Lobectomy, the removal of a lung lobe, is a common surgery within the NHS, particularly for lung cancer. Likewise, the removal of urinary bladder (also known as cystectomy) is a relatively common procedure for treating bladder cancer.
In the past, insurers have been criticised for ‘playing the numbers game’, introducing obscure definitions that are relatively low risk in terms of claims. When asked what prompted Guardian to add these procedures, Rachael said, “We’re very conscious of not playing that game […] our proposition team is constantly monitoring the market to identify emerging conditions that we’re not covering but could benefit our customers.”
Furthermore, Guardian has extended its children’s cover to include the policyholder’s partner’s children, recognising the prevalence of blended families in modern society.
The insurer defines partner as “someone you’re married to, in a civil partnership with, or have been living with as if you were married or in a civil partnership for more than two years at the date that the claim is made.” Evidence such as bank statements may be requested at point of claim to prove both adults are financially responsible for the children in that household.
“We know that some of our competitors include partners’ children as blended families in the UK are now more common than your traditional Mum, Dad, and two kids. Advisers have also been asking for this, so we’ve made that change,” she explained.
Guardian has removed surgery cover as a separate partial payout definition - which paid 25% of the cover amount when a policyholder was placed on the NHS waiting list - and enhanced each of the individual definitions it applies to.
Previously, the insurer covered eight definitions: aorta graft surgery, coronary artery bypass grafts, heart valve replacement or repair, insertion of a defibrillator following a cardiac arrest, pneumonectomy, pulmonary artery surgery, structural heart surgery, and total colectomy.
Moving forward, Guardian will make 100% payments on twelve definitions, adding benign brain tumour, cardiac arrest (including insertion of a defibrillator), cardiomyopathy, major organ transplant, open-heart or structural heart surgery, and peripheral vascular disease.
Guardian will also provide a 50% payout up to £50k for lobectomy or angioplasty when a policyholder is placed on the NHS waiting list (or once they’ve undergone the surgery).
Discussing why its surgery cover had previously been a partial payout definition, Rachael highlighted that “NHS waiting lists weren’t what they are today. We’ve made this change to support policyholders experiencing delays. There’s nothing worse than getting told you’ve got six months to wait for surgery, having to take time off work, and your cover hasn’t paid out.”
Moreover, Guardian’s major organ transplant definition has been enhanced to cover transplants using artificial organs or those sourced from animals. Rachael said it’s important that insurers move with the times in terms of medical advancement, “We expect the use of animal or artificial organs to become more common, so we’re making sure our policies are future-proofed.”
To keep customers informed, Guardian is launching a cover upgrade checker tool. This resource is bespoke and allows policyholders to check the definitions in their policy, as well as any changes made since they took it out.
Guardian will make an adviser-specific version of this tool available on its website.
In response to its latest cover upgrade, Alan Lakey, Director at CIExpert, has praised the insurer as having “always been known for quality.” He described Guardian’s cover upgrade promise as a “perfect example of how our industry can challenge itself to provide better customer outcomes.”
In 2023, Guardian paid its first ‘cover upgrade’ claim. The policyholder had received a definite diagnosis for Parkinson’s disease and suffered from an associated tremor. But they hadn’t yet experienced muscle rigidity, so wouldn’t have met the definition purchased in July 2019.
However, Guardian’s cover upgrade promise allowed them to assess the claim based on the current Parkinson’s definition available and pay the claimant.
