Royal London will not add CI to relevant life

clock • 2 min read

Royal London is the next insurer to confirm it will not add critical illness cover to its relevant life policy after conversations with HMRC, COVER can exclusively reveal.

Last week Legal & General confirmed it would not be adding CI to its relevant life plan.  In January 2016, Aviva released a relevant life plan with a critical illness component. Several insurers and industry experts said they would seek further clarification from the revenue on the tax position of such plans before deciding to launch a plan or not. Other industry figures praised the plan's innovation.  Under relevant life plans, policy payments are not taxed as a benefit in kind but industry figures argued that the CI element to the Aviva policy would change this rule, causing poli...

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