Scottish Widows has made changes and updated wordings for some conditions on its critical illness Protect plan.
Confirming the changes to Health & Protection, Scottish Widows said they had been made in line with the Association of British Insurers (ABI) minimum standards for critical illness.
It had made changes to the definitions for cancer, heart attack, dementia, neuroendocrine tumours and gastrointestinal tumours to improve clarity for customers on what is and is not covered.
The main plan alteration is the switch to 100% payment for early-stage prostate cancer if treated by prostatectomy (surgical removal of the prostate). For older male individuals this provides an improvement on the previous claim wording.
As a consequence there is a resultant fall in the value of the early-stage prostate cancer condition.
The ABI exclusion, in respect of stage 1 thyroid cancer, has not been adopted.
According to CI Expert, the remaining changes have no or little impact on the payment of claims and in most cases are clarifications.
ABI Condition Changes
Cancer
Cancer coverage has been extended to encompass less advanced cancer of the prostate that is treated by prostatectomy. All other forms of treatment are covered within the additional payment condition ‘Low Grade Prostate Cancer – requiring treatment’.
Neuroendocrine and gastrointestinal tumours have revised definitions so as to meet World Health Organisation protocols and the exclusion for Urothelial tumours has been clarified.
Heart Attack
The exclusion for ‘myocardial injury’ has been reworded to make clear that this is only where there is not a heart attack.
Dementia
A confirmation that mild cognitive impairment is excluded.
Additional Payment Condition Changes
Gastrointestinal Stromal Tumour
A more precise definition of the claim wording.
Neuroendocrine Tumour
A more precise definition of the claim wording.
Providing CIExpert’s verdict on the changes, director Alan Lakey said: “The changes to cancer, heart attack and dementia are those mandated by the ABI in its latest review of the minimum standard wordings and are, or will be, adopted by the majority of insurers with many opting to go beyond the minimum standard.
“Scottish Widows Protect has maintained its position as offering one of the leading plans in the budget arena and demonstrates a sound 93% critical illness claims paid figure for 2022.
“Like most other insurers Scottish Widows has chosen not to adopt the Thyroid exclusion. A few years ago, there were concerns amongst reinsurers that it could give rise to unwarranted claims occurring, as in South Korea, but there now appears to be little appetite to adopt this exclusion and the resulting complexity of trying to explain the subtle reduction in coverage to both advisers and consumers.”