Press releases

Legal & General announce changes to 5 star Critical Illness Cover.

Bonnie Burns, Protection Product Technical Director
Bonnie Burns
Protection Product Technical

13 January 2011

Bonnie Burns, Protection Product Technical Director
Bonnie Burns
Protection Product Technical

Legal &General has made some significant improvements to its 5 star Defaqto rated Critical Illness cover.

The key changes are as follows:-

  • Policy expiry limit extended from age 65 to 70
  • Children’s cover improved, allowing multiple claims up to £50,000
  • Third degree burns definition improved
  • The ability to quote for CIC on sums assured up to £3 million.

Legal & General recognise that trends show that we are all living longer and we may have to work past retirement age of 65 due to financial pressures. Many people may now find themselves working over the age of 65, for a variety of reasons, either to help fund their retirement, because they want to work longer or to help children and grandchildren. Due to the difficulties in the housing market too, people may also be taking out mortgages later and for longer and so may need to protect loans that go on past the age of 60 or 65. Thats why Legal & General have extended their maximum expiry age on their CIC product to 70.

Legal & General cover is currently 5 star rated by Defaqto, the independent financial research company, and includes 40 illnesses in total.

Commenting on the new changes, Bonnie Burns, Product and technical Director for Legal & General said, “ I am delighted that we have made these enhancements to our CIC policy. More and more people are working beyond the age of 65 and taking out mortgages that run to age 70 and this practice is likely to continue. Feedback from customers and advisers has told us that they want a CIC product that supports their changing financial lifestyle. I am confident that these important changes to our CIC product will meet the needs of customers now and for the future.”


Notes to editors

The information contained in this press release is intended solely for journalists and should not be relied upon to make any financial decisions.

* Office of National statistics

Changes to be introduced from 9 January 2011:

Extended Age Limits

To reflect current market conditions, the maximum age at expiry for all Critical Illness Cover Plans has been extended from age 65 next birthday to age 70 next birthday.

Increase in Maximum Sum Assured Limits

To maintain our competitive market position, we’ve also increased the maximum sum assured limits as follows:

Pre 09/01/11From 09/01/11

Own occupation

  • Personal Protection - £1million
  • Business Protection - £2 million
  • Market total - £2 million

Own occupation 

  • Personal Protection - £2 million
  • Business Protection - £2 million
  • Market total - £2 million

 Fats definition

  • Personal Protection - £1 million
  • Business Protection - £2 million
  • Market total - £2 million

 Fats definition

  • Personal protection - £3 million
  • Business protection - £3 million
  • Market total - £5 million

Children’s cover is included automatically with all our critical illness plans. If a valid claim is made under children’s cover we’ll pay out 50% of the sum assured up to a maximum of £25,000.

In the event a valid claim is made for a child, and the parent or parents have more than one Legal & General policy with Critical Illness Cover a payment can be made under each policy. However the maximum total amount we’ll pay under all policies for the same child will be £50,000.

Changes to Third Degree Burns Definition

We’ve widened this definition to make it easier for customers to claim under this definition.

The current definition is as follows:
Third Degree Burns – Covering 20% of the surface area of the body or 50% of the face or head

This will now change to:
Third Degree Burns – covering 20% of the surface area of the body or 20% of the face or head.

For more information please contact:

Alyson Bowcott

Alyson Bowcott
PR Manager, Legal & General Group

t: +44 (0) 20 3124 2092
m: +44 (0) 7764 582574

About Legal & General

Legal & General Group Plc.

Registered Office: 
One Coleman Street 

Registered in England. Registered Number: 1417162.

Legal & General Group Plc is a holding company, subsidiary undertakings of which are fully authorised as appropriate under the Financial Services and Markets Act in respect of their investment activities in the UK.

© Legal & General Group Plc 2011