Speculation is mounting that Prudential is to consider launching a new protection product next year ...
Speculation is mounting that Prudential is to consider launching a new protection product next year that would give policyholders lower premiums if they take certain steps to stay healthy.
This came after Prudential's head of proposition and market strategy, insurance, Paul Cowman, revealed the firm would be looking at working more closely with PruHealth, Prudential's joint venture with Discovery.
PruHealth introduced the concept of 'vitality points' when it launched into the private medical insurance (PMI) market in 2004, which offers policyholders significant discounts for adopting healthy lifestyle choices.
However, Cowman would not be drawn on whether such a proposition was on the cards.
He said: "It's one of the options we have got, but we are not discounting anything at the moment."
He added the firm is still focusing on the serious illness cover it launched earlier this year. "On top of our agenda is rolling out the new proposition to IFAs. Any other plans are still way off," he said.
Commenting on the speculation, Jason King, managing director of Torquil Clark Life Insurance, said: "I haven't heard this rumour for a while but it has always been on the cards when you consider PruHealth's approach to the PMI market. It is innovation, and on that basis alone it has to be applauded. The devil will be in the detail though so before anyone can really comment we need to see the product details. It is certainly possible to do, however, it will be interesting to see if this would fit within a fixed term life-only product where prices are already very low and more linked to age and gender than lifestyle."
