Flexible Life Plan

Whole of life cover which protects your clients’ future

The award-winning Flexible Life Plan (FLP) can provide life cover for individuals for the rest of their lives. The FLP combines the protection benefits of a reviewable whole of life plan with the investment structure of a traditional international bond, whereby a portion of each premium is invested into up to four funds from our Core fund range.

 

Individual policies can be structured in one of four ways:

  • Standard or balanced cover – this structure aims to keep your premiums level throughout your lifetime. A portion of each premium is invested in life funds to help offset the increased cost of the life cover at each review (as a result of the life assured’s age, health and other circumstances).
  • Maximum cover - provides the maximum level of life cover which can be maintained at the lowest cost for the initial 10-year period. At each review, the client can either choose to increase the premium amount to maintain the current level of cover or reduce the sum assured to maintain the current premium amount. Unlike standard (balanced) cover there is little or no investment growth on maximum cover.
  • Target cover - this is a mixture of standard and maximum cover where the premium is designed to provide a specified amount of life cover for a specified number of years. Part of each premium covers the plan charges and the rest goes into the chosen Core funds.
  • Premium and benefit specific cover - this allows the client to choose both the level of cover and the level of premiums they want to pay. Part of each premium is used to meet the plan charges and the balance goes to the chosen Core funds.

 

The FLP has been recognised as the Best Protection Product (UK Offshore) six times by International Adviser (2009 to 2013 and 2015).

  • The Flexible Life Plan can be tailored to your clients’ needs:
    • Single life, joint life first death or joint life last survivor basis.
    • Large sums assured can be covered.
    • Your clients can choose to place their policy within one of our range of free to use trusts. This allows the client to choose who will receive the cash sum payment from their policy.

The  FLP has a number of options including:

  • Guaranteed insurability options on marriage, child birth, adoption, an increase in mortgage and a change in the inheritance tax threshold announced by the UK government.
  • Indexing the sum assured (annual increase option).
  • The opportunity at each policy anniversary to increase or decrease the sum assured.
  • Waiver of premium option.

The value of investments can fall as well as rise and you should speak to a professional adviser to ensure that any investment is suitable for you.

The Core fund range includes over 150 funds managed by Canada Life’s own award winning investment team and other well-known and respected investment companies such as Jupiter, Investec and M&G.

The funds being invested in can be changed at any time without charge.

We will notify your client and you if premiums cease. If premiums remain unpaid for 28 days then the policy will become paid-up and the life cover will end when the investment element of the plan has been depleted by the on-going costs of providing the cover.

The Flexible Life Plan will appeal to clients looking to provide a lump sum for their family on death, which can be used to repay debts and/or replace their salary or other form of income. 

The plan will also appeal to people who are looking for high quality service which is backed by a published service charter. Our service charter includes a monetary payment in the unlikely event we fail to deliver on our stated turnaround times.

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This website is for UK professional advisers only and is not approved for use by private customers.

Canada Life Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Canada Life International Limited and CLI Institutional Limited are Isle of Man registered companies authorised and regulated by the Isle of Man Financial Services Authority.

Canada Life International Assurance (Ireland) DAC is authorised and regulated by the Central Bank of Ireland.