AFI's schemes offers vegetarians a 25% discount for the first year of their policy
The UK's four million vegetarians are to be offered cheaper life assurance in a new scheme launched by Animal Friends Insurance (AFI).
Vegetarians will receive a 25% discount for the first year of their policy, which will work by rebating the commission paid to AFI. Any profits made from sales will be donated to animal welfare groups.
The agency decided to offer the scheme after research carried out by the Oxford Vegetarian Society found that vegetarians are 39% less likely to develop cancer than meat eaters and 30% less likely to develop heart disease.
Applicants who wish to qualify for the policy must follow a similar procedure to that of non-smokers and sign a legal declaration stating they are vegetarian. Policyholders who do not tell the truth and subsequently die may not have a valid claim if their cholesterol levels indicate they ate meat.
The policy has been criticised for only offering a one-year discount, but the agency is currently in discussions with Liverpool Victoria, who underwrite the scheme, to change this. Chris Fairfax, marketing director at AFI, said: 'We are working with underwriters so we can be in a position to offer long-term discounts. 8% of the population is thought to be vegetarian, and we have had discussions with a number of life offices who are interested in the scheme.'
Roger Edwards, product marketing manager at Scottish Provident, received the news with caution and said it could be difficult to assess whether applicants have been eating meat or not.
Edwards said: 'We are always open to things that increase peoples' level of cover, although I would not like to see a lot of claims turned down because people have cholesterol in their body.'
