LV= will switch its protection business to gender neutral rates on 1st December and is offering advisers a “G Day Guarantee” ahead of the gender directive, which comes into force on 21st December 2012.
The mutual reckons switching rates ahead of time offers certainty for advisers by allowing applications in the pipeline by 1st December to be processed on gender specific rates ahead of the deadline.
In addition, if by 1st December an application has further medical evidence outstanding, LV= will offer a “G Day Guarantee” to ensure the business can still be placed on gender specific rates.
The insurer will underwrite the application based on the medical information provided at application and if further medical evidence received is materially different to that given at application, the terms of the policy may be reviewed but cover will remain on gender specific rates.
To provide as much certainty as possible, policies will not be adjusted for small differences in medical disclosure.
However, LV= won’t apply the guarantee to female income protection business, as premiums are set to decrease under gender neutral pricing.
LV=’s head of protection, Mark Jones, says: “We’ve listened to adviser’s requests to provide a clear, simple and common sense approach to pipeline business.”