Royal London has eased its mental health underwriting aimed at ensuring more customers can secure protection – with some conditions being covered that previously would have been rejected.
The changes mean that for disability cover such as income protection, a greater number of customers with minor conditions will now be accepted on standard terms, while in other cases cover will be available with a rating instead of an exclusion, so full protection can be offered.
More customers with milder symptoms who have been treated with counselling, cognitive behavioural therapy (CBT) or similar psychological therapies will now be accepted on standard terms.
In addition, customers with a past history of suicide attempt, suicidal ideation or inpatient treatment may now be offered terms for life or critical illness where they were previously unavailable.
The issue of problems surrounding securing cover for those who have tried to take their own lives was raised in a Health & Protection analysis on underwriting earlier this month by Cura Financial Services co-managing director Alan Knowles.
Knowles acknowledged there had been some improvement on covering historic suicide attempts, but pointed out that insurers still ask people about them.
“Why do we make people go through that? Why do we make them relive that? Is it really relevant that someone has tried to take their life 40 years ago? They’re obviously in a very different position now,” he said.
Recent underwriting changes
Royal London’s latest changes follow other adaptions of the mutual’s underwriting philosophy this autumn for customers who move to less risky jobs or are seeking to shorten their deferred period and for customers with a family history of diabetes or heart disease.
Craig Paterson, chief underwriter at Royal London, (pictured) said: “The improvements to our underwriting of mental health conditions continues our theme of focussing on evidence-based underwriting while boosting access to insurance.
“Mental health conditions are the most commonly disclosed by customers applying for protection.
“This, combined with recent global events and the challenging economic environment, serves to demonstrate our commitment to regularly review and enhance our offering, allowing more people to protect themselves and their families.”