Legal & General has amended its joint life policies to protect surviving policyholders who would have suffered due to a partner's non-disclosure.
The insurer is now offering single life policies to those who would previously have had their joint life policy cancelled as a result of non-disclosure from their partner.
Traditionally on joint life plans where one of the policyholders dies during the term, if there is evidence of reckless or deliberate non-disclosure the claim would be declined and policy cancelled, leaving the surviving policyholder without cover.
This person could then potentially face much higher premiums if they were to apply for a new policy and their health had deteriorated in the intervening period.
L&G will now offer a single life policy and the premiums would remain as if that person had taken out a single life policy originally, rather than a joint one.
Russ Whitworth, underwriting and claims director for protection at L&G, says: "It is pretty rare for us to cancel a joint life policy as a result of significant non-disclosure, but it does happen.
"We think it is fairer to set up a single policy and only charge the premium they would have paid at the time, rather than to make them apply again."
