Flexible Life Plan

Protecting your family’s future with our whole of life plan

The Flexible Life Plan is a whole of life policy which pays a cash lump sum on the death of a named adult. The life cover on a whole of life policy will continue for as long as you pay the premiums.

The Flexible Life Plan has many advantages which include providing a lump sum for your family when you die. A cash sum can never replace a loved one but it can help to ease the financial burdens a family can suffer for example, losses arising from mortgage debt, school and university fees, or a sum to live-off or invest after your death.


The Flexible Life Plan can be tailored to your specific needs. You can choose:

  • cover for 1 person (single life) or 2 people (joint life), for example, for you and your spouse, partner or registered civil partner.
  • the level of cover and the amount you pay for this cover (known as the premium). We will calculate the cost of providing this cover for the first 10 years based on a number of factors including your health, lifestyle and occupation. You can choose to pay a higher premium amount to reduce the likelihood of the premiums increasing at the 10 year review.
  • a level of cover which is affordable and meets your needs. For example, at the start of your policy you can decide whether you want the cash sum on your death to repay the whole mortgage amount. Alternatively you can choose a lower level of cover and use savings to repay the balance.

to place your policy within one of our free trusts, which will allow you to choose who will receive the cash sum paid on your death which will reduce your potential inheritance tax bill.  By placing a Flexible Life Plan policy within a trust you can also make sure your family receives a cash sum before probate is obtained.

You can vary the level of cover you need:

  • If your circumstances change then on each policy anniversary you can increase or decrease the level of cover
  • You can set-up your policy so the level of cover increases automatically each year (the annual increase option)
  • You can increase the cover if you get married, on the birth or adoption of a child or if your mortgage increases. If the reason for taking out the policy is estate planning then you can increase the cover if:
    • value of your estate increases your inheritance tax liability.
    • UK Government changes the inheritance tax rates or bands and this means your prospective inheritance tax liability increases.

A professional adviser can help you to calculate your prospective inheritance tax liability.

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.

At the start of your plan you can choose to pay an additional premium which will mean if you were unable to perform your own occupation for a continuous period of six months due to illness or an accident, you wouldn’t have to pay any premiums. This benefit will continue for as long as you are unable to work, but expires when you reach the age of 65 or the policy ends. 

You can choose to invest the premiums you pay in up to four life funds. You can choose from our range of 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. You can change your fund selection at any time. The cost of the on-going life cover is taken from these funds.

The value of investments can fall as well as rise.

If you stop paying the premiums on your policy then after 28 days the policy will become paid-up. The monthly cost of providing the life cover will be calculated and the life cover will continue until the investment element has been depleted. The policy will then lapse without any value. We will contact you if you miss a premium.

The Flexible Life Plan is designed to pay a cash sum if you or another named individual dies during the life of the policy. The Flexible Life Plan can provide cover for many circumstances including family protection, inheritance tax planning, business protection or key person cover (on an individual, trust or corporate basis).

Interested In More? Why Not Look At...

Delta Discounted Trust Account

For your clients who want an income and to reduce their inheritance tax liability


Premiere Discounted Trust Account

For your clients who want an income and to reduce their inheritance tax liability


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.

Stonehaven UK Limited and MGM Advantage Life Limited, trading as Canada Life, are subsidiaries of The Canada Life Group (U.K.) Limited. Stonehaven UK Ltd is authorised and regulated by the Financial Conduct Authority. MGM Advantage Life Limited is authorised and regulated by the Financial Conduct Authority.