Product details of our Key Person Income Protection

• Basis – single life
• Premiums – guaranteed
• Payouts – monthly income, once deferred period has ended
• Payment of cover – level or increasing
• Payment period – 1 year or 2 years
• Deferred period – 4, 8, 13, 26 or 52 weeks.

• Term – 5-20 years
• Age when cover starts – Minimum 18 attained, Maximum 59 attained
• Age when cover ends –  Maximum 70 attained
• Maximum cover amount – 75% of the gross profit attributable to the key person up to a maximum of £250,000 each year.

To help protect against the effects of inflation your clients can choose to increase the amount of cover over the term of their plan in one of two ways:

• Fixed rate – the cover amount will increase at a chosen rate of interest (between 2% and 5%). There’s an extra cost for this option
• Index-linked rate – the cover amount will increase based on the change in the retail price index (between 2% and 10%). There’s an extra cost for this option.

In some situations, your clients can increase their cover within certain limits without providing any medical evidence if there’s an increase:

• in the value of a key person 
• to your business mortgage or loan, but not if there’s an increase in your overdraft
• in the value of a partner’s, limited liability partnership member's or shareholder's interest in the business.

However, if they want to increase the amount of their cover for any other reason, or by more than the specified limits, they may need to supply medical evidence.

We’ll continue to pay your clients a monthly income until:

• the person covered recovers and returns to work
• the person covered is assessed as no longer meeting the definition of incapacitated
• the cover term ends
• the cover payment period expires
• the person covered dies.