Under the enhancements Friends Life will now cover 65% of the first £10,000 of a customer’s annual income, and 55% of everything after.
Previous limits were 70% of the first £10,000 of a customer’s annual income, 50% of the next £50,000, and 40% of everything after.
The provider said the move will cover more income for higher earners and means advisers only have to consider two tiers of income. The maximum benefit level will remain at £150,000.
Other enhancements include:
• The inclusion of P11D Form benefits, or ‘benefits in kind’ when calculating the gross income of customers, including company cars, accommodation and company funded scholarships. This will benefit customers by reducing the impact of long term ill health on their lifestyles by allowing them to insure earnings not paid as salary.
• Ease of use for advisers on portals. When advisers select the option to return quotes from providers on the maximum benefit available to their clients, Friends Life will now be visible in the results. This removes the need for advisers to quote with Friends Life separately.
Mark Anders, director of sales and marketing at Friends Life, said: “We believe that everyone should be able to financially protect what matters to them.
“It is not only about covering the monthly bills; it’s also about helping our customers and their families to maintain the lifestyle they have worked hard to achieve. These enhancements are designed to help our customers to do that.”
