Canada Life Group Insurance has met the conditions set by the Association of British Insurers (ABI) Statement of Best Practice for Critical Illness Cover on their group product.
These changes have been implemented well ahead of the April 2007 deadline and Canada Life believes that they are the first company in the group insurance market to fully comply with these guidelines.
The ABI announced the new best practice strategy following a full review of their policy governing Critical Illness cover. The most significant alterations to the policy are as follows:
- The introduction of a generic description of critical illness cover to improve consumer understanding.
- The use of more descriptive headings for critical illnesses in marketing material to improve clarity about what is, and is not, covered.
- Changes to the model critical illness definitions to help reduce the need for future changes and to improve consistency.
- The extension of the number of conditions for which a model definition is available, to improve clarity and to make it easier for consumers to compare policies.
- The extension of the use of generic terms to include terms that can be used as part of the critical illness definitions, or as part of a glossary to improve consistency and clarity.
These changes are intended both to improve the protection available to consumers, and to make it easier for people to compare critical illness policies when researching the best deal.