Term Life Insurance

key features

its aims

• To provide a tax-free cash lump sum if you die
• To provide a tax-free cash lump sum if you are diagnosed with a terminal illness

 

your commitment

• To pay regular monthly premiums for the term of the plan

 

risk factors

• The plan does not have a cash-in value at any time
• If you stop paying premiums the policy will end and you will not be paid any benefits
• No advice on investments has been given. If you are unsure as to the suitability of this product you should seek advice from an Independent Financial Advisor. You may have to pay for this advice.
• The tax treatment of the benefits may change

 

example 1 for a single life policy

For a female non-smoker aged 29
Term: 20 years
Sum Assured: £100,000
Monthly premium: £7.00
Terminal Illness Benefit: £50,000 plus the remaining sum assured of £50,000 on death within the remaining term of the policy

 

example 2 for a single life policy

For a male non-smoker aged 29
Term: 20 years
Sum Assured: £100,000
Monthly premium: £8.50
Terminal Illness Benefit: £50,000 plus the remaining sum assured of £50,000 on death within the remaining term of the policy

 

example 3 for a joint life policy

For a male aged 29 and a female aged 29 who are both non-smokers holding a joint life policy
Term: 20 years
Sum Assured paid on first death: £100,000
Monthly premium: £13.83
Terminal Illness Benefit paid on first terminal illness claim: £50,000 plus the remaining sum assured of £50,000 on death within the remaining term of the policy

 

your questions answered

what is engage Life Insurance?

• It is a life insurance policy that provides life cover for a minimum of 10 years
• The premiums are payable monthly by Direct Debit.

 

who can apply?

• Any UK resident aged 18-60.

 

what are the benefits?

• Life Cover - The policy will pay out a tax-free lump sum if death occurs while the policy is in force
• Terminal Illness Benefit - If you are diagnosed with a terminal illness before the last year of the policy you can choose to take 50% of the sum assured. Premiums will then stop and the remaining sum will be paid out if you die before the end of the policy.

 

what is a terminal illness?

• A terminal illness is an incurable condition that both a specialist medical consultant, who holds an appointment at a major hospital in the UK and our own medical adviser agree, will cause death within 12 months of you letting us know you have the illness.

 

are the benefits guaranteed?

• The benefits payable for a valid claim are guaranteed so long as you pay all of your premiums and you have provided all of the relevant facts in your application
• The premiums and levels of cover quoted in all of the product literature are based on standard terms of acceptance. The premiums and levels of cover are subject to individual assessment and depend on various factors such as age, gender and health.

 

can I take out Joint Cover?

• You can take out joint cover with your partner
• The policy will pay out on the person who dies first, the premiums will stop and the policy will end
• The terminal illness benefit will pay out on the first terminal illness claim. Premiums will then stop.

 

are there any charges?

• All of your premiums are used to cover the cost of life cover and expenses.

 

can I change my mind?

• Yes, you have 30 days from when you receive your policy documents to change your mind and cancel the policy. This is your legal right. You will receive a full refund of any payments you have made
• You can end your policy at any time after the 30 days by letting us know in writing. You will not receive a refund of any premiums paid.

 

what about tax?

• All benefits paid out are free from income and capital gains tax
• The benefits may be subject to inheritance tax unless your policy is written in trust
• In certain circumstances a chargeable event may occur where a policy has been assigned.

Note: This information reflects our understanding of current HM Revenue and Customs practice, which may be subject to change.

 

can the policy be written in trust?

• Yes, please call 0800 085 0700 to request a trust form.

 

can I nominate a beneficiary?

• Yes - but please note that a nomination cannot be amended or revoked except by lapsing the policy and applying for a new policy with or without a nomination. A new policy would be subject to the terms, conditions and premium applicable to you at that time.

WARNING - This contract has no cash-in value at any time.

 

will any commission be paid?

• If a third party introduces you to us we may pay them commission. Any commission will be paid in a single lump sum as soon as the policy is set up. Full details will be sent with your policy documents but can be provided in advance on request.

 

further information

additional member protection

engage is a member of the Financial Services Compensation Scheme. This is designed to protect you as a policyholder if we can't meet our obligations to you. The compensation paid depends on the type of business and the circumstances of the claim. Most types of investment business are covered for 100% of the first £30,000 and 90% of the next £20,000, so the maximum compensation is £48,000. You can request information on the scheme by calling 0500 848 265.

 

money laundering

Under the current Money Laundering Legislation and other statutory and regulatory requirements, there is a requirement to obtain proof of the identity of people who wish to take out a life, pension or investment contract. We may ask you to supply documents as evidence of your identity and your address. If this information is not supplied within 30 days of our request, we reserve the right to cancel the policy and any premiums you have paid will be refunded.

 

Direct Debit Guarantee

This Guarantee is offered by all Banks and Building Societies that take part in the Direct Debit Scheme. The efficiency and security of the Scheme is monitored and protected by your own Bank or Building Society. If the amounts to be paid or the payment dates change, engage will notify you 10 working days in advance of your account being debited or as otherwise agreed. If an error is made by engage, or your Bank or Building Society, you are guaranteed a full and immediate refund from your branch of the amount paid. You can cancel a Direct Debit at any time by writing to your Bank or Building Society. Please also send a copy of your letter to us.

 

law

The contents of the Key Features reflect our understanding of current law which may be subject to change.

In any legal dispute the law of England and Wales will apply.

 

language

The language in which the policy will be supplied and in which we will communicate will be English.

 

complaints

If you would like a copy of our complaint handling procedures or if you want to complain, please call 0800 085 0700.

If you are unhappy with how we have handled your complaint, you can complain to the Financial Ombudsman Service.

If you decide to make a complaint it will not affect your right to take legal action.

 

additional information available

The Policy Conditions and Table will be sent with your Policy Documents but you can request a copy in advance. A copy of your application and our Memorandum and Rules can be provided on request.

For more information call: 0800 085 0700. Calls may be recorded for security and training purposes.

engage Mutual Assurance, Hornbeam Park Avenue, Harrogate, HG2 8XE

tel: 01423 855000 fax: 01423 855181

engage Mutual Assurance is a trading name of Homeowners Friendly Society Limited (HFSL), Registered and Incorporated under the Friendly Societies Act 1992, Registered number 964F. Authorised and regulated by the Financial Services Authority (FSA). HFSL's FSA Register number is 110072. You can check this on the FSA's Register by visiting the FSA's website www.fsa.gov.uk/register or by contacting the FSA on 0845 606 1234.

801008/007