For group life schemes
Aegon Scottish Equitable, a provider of pensions, life insurance and asset management services, has increased its maximum free cover benefit to GBP1.25m from GBP1m for all new schemes and for existing group life schemes at renewal or next rate review.
Group life cover pays out a lump sum or pension to an employee’s dependants if they die whilst in the company’s employment. It’s economically reassuring for employees to know that their employer will make financial provision for their dependants. Aegon Scottish Equitable offers five different products in its group life family.
The company has said that the free cover benefit terms also apply to group income protection for existing schemes of GBP100,000, again at renewal or rate review. The reason the changes have been made has been to reduce the amount of underwriting and to provide quicker, immediate full benefit cover for scheme members, according to Aegon.
Simon Bailey, head of marketing and head of service for employee benefits at Aegon Scottish Equitable, said: We’re constantly working to provide our customers with market competitive products. By increasing free cover, we’ve reduced the impact of underwriting on senior staff. That means more time in the office, particularly important in these economic conditions. We want to make it easier for our customers to do business with us.