New electronic rates for Term
Assurance and Critical Illness
As
part of Legal & General's long term commitment to the
protection market, we will be introducing a further reprice to
some of our electronic premiums for our term assurance
products, with effect from 6 May 2007.
Due to
the intensely competitive nature of the protection market, we
have responded where necessary to recent market movements by
our competitors. This reprice affects electronic
IFA premiums for
Level
and Decreasing Term Assurance and Level and Decreasing Term
Assurance with Critical Illness Cover(CIC) (guaranteed and
reviewable premiums).
Average
premiums will be broadly decreased, however you may notice a
number of premiums remain unchanged or
have increased. This reprice regains our competitive
position particularly on term assurance and term assurance
with guaranteed CIC.
The
new premiums will be available from the following
systems: Legal & General's Online Protection (OLP) and
portals such as the Exchange, Webline, Assure web and Bankhall
Online and Lifequote.
The
table below gives a broad overview of these rate
changes:
Term
Assurance (Life
only)
21% of
premiums will be reduced
73% of
premiums will remain unchanged
6% of
premiums will be
increased
Term Assurance with CIC (guaranteed
premiums)
17% of
premiums will be
reduced
71% of premiums will remain
unchanged
12% of premiums will be increased
Term
Assurance with CIC (reviewable premiums)
17% of
premiums will be reduced
64% of
premiums will remain unchanged
19% of
premiums will be
increased
Our
electronic rates continue to remain more competitive than our
paper rates, thereby supporting electronic
submission.
The
above movements relate to all cells for the products listed,
however please note that the change in premiums will differ
according to the individual quote
details.
Transitional
Arrangements
Current
Rates*
New Rates
Date applications have to be
received by Legal & General Services
Department
6 June 2007
eApplications
received post 6 May 2007 will receive the
new rates**
Last date for policy
authorisation
6 September 2007
N/A
* You will need to follow the usual Online
Protection manual process by contacting your service team, for
applications submitted from 6 May 2007 where you require rates
quoted prior to this date.
** If you have saved a
case and obtained an acceptance in
principle prior to 6 May 2007 and then want to submit the
case via OLP post 6 May 2007, OLP should allow this to
happen as long as the case is not older than four months from
the original quote date.
We understand that in some circumstances it is not
always possible to adhere to the four month pipeline rules.
For example, when the product is mortgage related and the sale
of the property has not completed or the case is still being
underwritten. Therefore, we will extend the deadline to a
maximum of six months from the reprice date for cases where
the delay is out of the agent and the customer's
control.
Contact Us
Our
specialist Protection sales team are only a phone call away.
If you would like further information on the above, please contact
us.
This
is not a consumer advertisement. It is intended for
professional financial advisers and should not be relied upon
by private individuals or any other persons.
