My Extra Benefits is a package of optional add-ons that can be added to the Society’s Income Assured Plus and My Earnings Insurance income protection policies.
Fracture Benefit pays a £1,000 lump sum if the customer suffers a fracture of one of the named bones in the cover. The benefit is not dependant on an income protection plan claim being paid. Only one claim per accident/incident is payable and only one claim in any 12 month period can be paid. Fracture Benefit is combined with Hospitalisation Benefit, which pays £50 a night after three consecutive nights in a UK hospital and is then backdated to the first night’s stay. Maximum benefit is 21 nights in any 12 month period. Fracture & Hospitalisation Benefit costs £4 a month as an add-on.
Working Life Death Benefit pays £5,000 if the customer dies during their working life and before age 70. The benefit costs £5 a month.
Choosing both benefits costs £9 a month. Premiums are both fixed and guaranteed.
The options are available to those aged 16-64, including existing policyholders. Both benefits can run to age 70. Both benefits are underwritten but, for existing clients, just three medical questions are asked.
What They Say
Chief executive Paul Hudson said: “As a mutual, we are always seeking ways to provide even better care for our members, in addition to providing advisers with innovative and appealing products that allow them to best serve their clients. After speaking to the adviser community, it is clear there is demand for these benefits, which will add further value to our two established income protection products.”
What We Say
"Income protection can be seen as a dull but worthy product, so it’s interesting to see providers looking to add benefits that should broaden its appeal. Cirencester Friendly has chosen to do so by adding on fracture and hospitalisation benefits (combined) and also a life insurance benefit. You can choose either or both (although there’s no discount for adding both).
"Given the high cost of funerals and many people’s lack of life cover, this could be a simple way of ensuring your funeral costs are paid, while the fracture and hospitalisation benefits could be useful if a claim is made too. Could you do better with conventional life insurance and a health cash plan? Probably – but that could be more expensive, harder to arrange and more complex.
"These benefits are likely to appeal more to what we used to call the ‘blue collar’ market than to city whizz kids – but that’s no bad thing and that market certainly needs to consider IP type benefits. These benefits could make the IP proposition just a little more tempting.
"One minor criticism ([nd it is one we could make of other providers too] – is that at least one part of the website is horribly out of date. It refers to ‘2014 will see the introduction of…’. Doubtless that will be remedied by the time you read this…