Partners Life Premium Changes

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Partners Life has announced premium changes for its Mortgage Repayment and Household Expenses benefits.

The changes follow a deep dive analysis by Partners Life of emerging claims trends across all of its product lines.

“One of the trends we have identified is that our Mortgage Repayment and Household Expenses claims experience is closely aligned with our Agreed Value Income Cover experience, despite being priced significantly lower,” it stated in an update to advisers.

“As a result of this analysis, we have decided to bring the pricing of these two benefits into line with our Agreed Value Income Cover pricing, which will result in a 15 percent increase in underlying premium rates for Mortgage Repayment and Household Expenses benefits.”

For new clients, new rates will apply with effect from 1 October 2019 for all new policies and the insurer noted:

  • Advisers will be able to quote using the existing rates or the new rates (it will default to the existing rates) in the Quote System from 10 September
  • From the 17 of September the Quote System will allow advisers the option to either quote using the existing rates or the new rates (it will default to the new rates)
  • From the 24 September the Quote System will automatically use the new rates

For existing clients, the premium increases will take effect on the next policy anniversary on or after 1 October 2019.

The insurer stated that all of the feature and benefits of the two products remain unchanged, along with its contractually built-in client loyalty discount, which clients can rely on to deliver increasing value over time.