Tim Lewis , Senior Proposition Innovation Manager

With Zurich ’ s refreshed critical illness proposition , advisers can create a package of cover for each client that is truly bespoke . Senior proposition innovation manager Tim Lewis tells us what it is all about .

Time and tide wait for no man . Five years on from Zurich ’ s last shake-up of the critical illness ( CI ) market , it has developed a new proposition that allows customers even greater flexibility to secure cover that is right for them and their children both now and in the future .

The most notable changes are an additional level of adult cover for those who want market leading coverage and payout amounts , and a fundamental redesign of children ’ s cover to better suit every family ’ s needs .

Instead of two levels of adult cover to choose from , there are now three . Customers can select from Critical Illness , Critical Illness Enhanced ( previously known as Select ) and a new level of cover called Critical Illness Enhanced Plus .

Covering all the same conditions as Enhanced cover , Enhanced Plus offers larger payout amounts for commensurate higher premiums .

“ This additional , third level of cover moves us into a new part of the market that up until now we haven ’ t competed in ,” says Tim Lewis , the senior proposition innovation manager who was tasked with revamping Zurich ’ s critical illness proposition to the brief of catering for more customers ’ needs and improving customer outcomes .

“ The rationale behind it is that we now have an option for those who want the best coverage in the market with marketleading payouts – and are willing to pay for it .

“ But we attract a lot of CI business already and we also need to make sure we continue to satisfy those who really like what we have done up until now . For them , our core and Enhanced levels are still very compelling .”

Bigger benefits

Aimed at those who want a more comprehensive level of cover , Critical Illness Enhanced Plus offers higher payout amounts for additional payment conditions , such as less advanced cancers .

If the policyholder makes a successful claim on one of these conditions , Zurich will pay out up to £ 50,000 instead of the £ 25,000 included with Critical Illness and Critical Illness Enhanced cover . With all three levels of cover , the policy can be retained and the policyholder can make further claims when eligible .

The other key benefit is that if the policyholder is diagnosed with one of a number of life-changing conditions under the age of 55 and makes a successful claim , Zurich will pay

28 | PROTECTION ADVISER | AUTUMN 2023 | double the cover amount up to a maximum of £ 200,000 . Among the conditions covered are dementia including Alzheimer ’ s disease , motor neuron disease , and Parkinson ’ s disease , as well as heart , kidney , liver and respiratory failure .

Six new conditions have been added to the list of conditions that attract this uplift benefit and the age of eligibility has been raised from 50 previously , giving greater scope for a customer to claim . Once such a claim has been made , the cover will end .

Sharper pencil

Zurich ’ s new CI proposition also feature changes to the entry and mid-levels of cover . “ Our standard cover is comprehensive and still covers the most claimed-on full payment conditions but we have sharpened our pencil in a number of respects ,” says Lewis .

Firstly , Zurich has aligned the product with the Association of British Insurers ’ ( ABI ) recently updated minimum standards for critical illness policies .

Secondly , a couple of conditions have been consolidated to make things more straightforward . ‘ Traumatic brain injury ’ and ‘ hypoxic or anoxic brain injury [ due to a lack of oxygen ]’ have been amalgamated under one simple condition – ‘ brain injury ’.

Thirdly , some conditions have been modified based on the latest clinical practice and cover has been broadened in certain areas to make it easier for customers to make a claim . For example , all five types of pulmonary hypertension are now covered instead of only one previously .

“ We want to improve customer outcomes ,” explains Lewis . “ If we believe that pulmonary hypertension is a serious condition – and it is – then why does it matter what type we cover ?”

Finally , HIV has been removed as a condition in line with the ABI ’ s minimum standards guide and the same step being taken by other providers on the basis that it is no longer deemed a critical illness .

“ This is simply in keeping with what a modern critical illness plan looks like today ,” says Lewis . “ I am old enough to remember the 80s but HIV isn ’ t the condition it was back then . The treatments are such that if you are diagnosed with HIV and you ’ re on top of your treatment , to all intents and purposes your outlook in life is the same as if you never had HIV .”