Commercial Union has appointed an independent care consultancy to provide its long term care policyholders with expert advice at the point of claim.
Grace Consulting will work closely with all of Commercial Union’s Well-being Insurance claimants to ensure they have advice and support particular to their individual needs.
The company will also help obtain specialist equipment and services and carry out regular assessments to check provision is satisfactory.
Sandy Johnstone, long term care development manager for Commercial Union, said proper, independent advice was essential for those clients needing care.
Johnstone added that the involvement of Grace Consulting did not negate the role of the intermediary: “We will involve the IFA at the time of claim if it can add value. But when people claim, it really has nothing to do with personal finance, it’s tied up with social issues.”
He added: “The IFA’s structure of reward – his level of commission – reflects the lengthy advice process needed when the customer is purchasing the policy. But there is not much commission paid when the claim is resolved.”
Commercial Union is also reducing the rates of its Wellbeing policy. The highest rate changes are for women as they usually live longer than men and therefore have a greater need for financial support in old age.
The reduction in rates comes after recent research conducted by Commercial Union which showed that only 12% of women in London and the South East want to be looked after by family if they require long term care in old age.
Overall the survey reveals a shift from a desire for care to take place in the family. Nationally, just 13% of women aged under 55 would choose this option.
However, this figure rises to 21% for women aged 55 or more who traditionally may have looked after their own parents in the home.