Royal London launches pioneering life cover for people with diabetes
25 April 2017
Royal London announces today the launch of its pioneering Diabetes Life Cover. People with Type 1 or Type 2 diabetes can find the process of applying for life cover off-putting due to requests for medical evidence. That’s why Royal London has created life cover designed specifically for diabetics, a first in the UK Protection market that has revolutionised the customer experience.
The customer journey is underpinned by the Kalibre insurtech platform that uses an innovative risk assessment approach, supported by continuous underwriting. The platform revolutionises the process of buying life insurance for people living with Type 1 and Type 2 diabetes by improving the time taken to accept an application from weeks to less than an hour. The product is available from a small number of adviser firms with plans to launch to the wider market later this year.
There is built in flexibility to reduce premiums by up to 40% to reflect how well the customer is managing their diabetes by simply sharing their annual HbA1c test result. Premiums are guaranteed never to rise higher than the starting premium to give clients certainty that they will be able to maintain their cover.
Debbie Kennedy, Group Head of Protection Strategy at Royal London said: “Our Diabetes Life Cover is specifically designed for people who have diabetes, using a real time, robo-underwriting process to make it easier for advisers to secure life cover for their customers at point of sale. According to Diabetes UK over 4 million people in the UK are living with diabetes. Securing life cover for people who have been diagnosed with a chronic condition is not always straightforward and can involve detailed medical questionnaires, followed by exclusions, additional premiums or being declined cover, depending on the nature of their condition and how well they manage their health. We built our proposition to support these types of customers as the process of applying is one of the main reasons they give for not taking out life cover. At Royal London, we want to provide products and services that help customers with chronic conditions get the cover they need at an affordable premium.”
Royal London worked with Blue Circle Life (part of South African life insurer AllLife Group) to design and develop the Kalibre Platform.
Ross Beerman, CEO of AllLife Group said: “We are delighted to have entered into a relationship with Royal London, extending our Kalibre sales and underwriting platform for diabetics to the global market for the first time.
Our innovative algorithmic pricing and robo-underwriting approach was designed to deliver affordable cover to Type 1 and Type 2 diabetics who actively manage their heath. This approach to life insurance means the ability to deliver a great customer experience to diabetics, as well as offer competitively priced, easily accessible life cover to those individuals others might regard as uninsurable.”
Diabetes Life Cover terms and benefits:
- A quick and simple application process tailored to people with diabetes;
- Immediate cover if accepted;
- Cover available to clients with high HbA1c levels;
- If the diabetes improves and we have an annual HbA1c blood test results, the premium can go down;
- Clients have access to the Helping Hand service, with access to a specialist diabetes nurse for support and advice.
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For further information please contact:
020 7506 6719
Notes to editors:
The eight firms in the initial phase of the product launch are Aberdein Considine, Create Finance Ltd, Eclipse Financial Management, Finance Advice Centre; Lifesearch, Moneysworth, My Finance Friend, Sharpe Financial Services, Sort me my Financial Services Ltd and The Insurance Surgery.
Diabetes Facts and Statistics:
- Around 700 people a day are diagnosed with diabetes. That’s the equivalent of one person every two minutes;
- Since 1996, the number of people diagnosed with diabetes in the UK has more than doubled from 1.4 million to almost 3.5 million;
- It is estimated that there are around 1.1 million people in the UK who have diabetes but have not been diagnosed.
- Therefore there are an estimated 4.5 million people living with diabetes in the UK.
About Royal London:
Royal London is the largest mutual life, pensions and investment company in the UK, with Group funds under management of £100 billion. Group businesses provide around 9.0 million policies and employ 3,253 people. (Figures quoted are as at 31 December 2016)
AllLife is in the business of changing people’s lives, through the provision of affordable life insurance to people living with HIV and Diabetes. AllLife revolutionised the South African life insurance market by being the first to offer affordable life cover to the ‘uninsurable’. The company’s innovative products, for people living with HIV and Diabetes, use a continuous underwriting approach that helps to increase life expectancy and the quality of life for their clients. AllLife continues to reduce stigma and open up life cover to diabetics globally, via its Kalibre robo-underwriting platform. The first global roll-out of the Kalibre platform was in April 2017 with the UK’s Royal London. For more information, visit: alllife.co.za.