Why should I consider relevant life policies?
A relevant life policy is an alternative way of providing a lump sum on death for an individual, without the need to set up a registered group life scheme.
The policy is aimed primarily at two groups:
- High-earning employees who have substantial pension funds and do not want their death in service benefits to form part of their lifetime allowance.
- Small businesses that do not have enough eligible employees to warrant a group life scheme.
Relevant life policies can also be used by directors of the company.
- We've increased the amount an individual can be covered for under a relevant life policy from a maximum of 4 times the annual salary to 15 times the annual salary.
This is equivalent to providing up to 4 times salary as death in service benefits and up to 11 times salary as a lump sum that could either be invested to provide an income or be used to buy an annuity as an alternative to a widow's or dependent's pension.
Please make sure your application is clearly marked 'relevant life.'
The relevant life policies toolkit 
We've put all of our relevant life policy information into one handy toolkit. It should help you with every step of the relevant life sale.
Download 'the benefits of relevant life policies' PDF
Size: A4 - 8 pages - 1.42mb
Online publication date: Feb 10
Business generation
We've created 2 different approach letters which you can use by cutting and pasting the contents into your letterhead.
Approaching clients
Our approach letter introduces the client to the tax benefit of a relevant life policy.
Download 'relevant life policy' approach letter doc
Size: A4 - 1 page - 22kb
Online publication date: Nov 09
Approaching professional introducers
Our approach letter highlights the opportunity relevant life policies offer.
Download 'relevant life policy - accountant' approach letter doc
Size: A4 - 1 page - 21kb
Online publication date: Nov 09
Client facing
Let the taxman help pay for your life assurance
This sales aid shows who relevant life policy is suitable for, the limits to the cover and the maximum amount of cover allowed under this type of policy. It also explains the taxation around relevant life policy and why the taxman effectively pays for the policy. And on the back it explains the advantages of using a discretionary trust.
Download 'let the taxman help pay for your life assurance' PDF
Size: A4 - 2 pages - 67kb
Online publication date: May 10
Helping Hand
This sales aid shows the help and support Working Transitions and RED ARC can give the client, their family and the business. And talks more broadly about the benefits of our Helping Hand service and the fact that it’s included in all of our menu-based plans.
Download 'key person protection gives your client more' PDF
Size: A4 - 2 pages - 1.68mb
Online publication date: May 10
Could your business be left paying the price of unprotected success?
This tells the real-life story of Philip Carter and the price his family paid when he died unexpectedly and without business insurance. This sales aid demonstrates that no matter how successful you are some protection is a good idea. The story is shocking but powerful and it’s a great way for the adviser to highlight the need for protection to clients, and overcome objections.
Download 'Could your business be left paying the price of unprotected success?' PDF
Size: A4 - 1 pages - 70kb
Online publication date: Aug 09
Adviser facing
Questions you should ask your client
This sales aid is designed to help the adviser who isn’t experienced in business protection to ask their client the right questions. It includes an area specifically addressing relevant life policy.
Download 'Questions to ask for business protection cover' PDF
Size: A4 - 2 pages - 535kb
Online publication date: Aug 09
Does your client need death in service benefits without a group life scheme?
This adviser-facing sales aid highlights what type of client relevant life policy is suitable for and explains the benefits of using relevant life policy. On the back, we explain how to put a relevant life policy on risk.
Download 'relevant life policy sales aid' PDF
Size: A4 - 2 pages - 120kb
Online publication date: Jul 09
Bright Grey relevant life policy trust & nomination forms
The relevant life policy trust is specially designed to be used for plans owned by an employer who wants to provide life cover for an employee outside of a registered group life scheme.
You should use this form if:
- the plan is owned by an employer
- the employee is the person covered
- the benefits are to be paid to the employee's dependents.
Download 'Bright Grey relevant life policy trust & nomination forms' PDF
Size: A4 - 15 pages - 115kb
Online publication date: May 10
Trusts
Deed of appointment & assignment – relevant life policy trust
You can use this Deed to transfer the ownership of a plan from the Trustees to the insured employee named in the Trust (the Member), for example, if the employee is retiring.
Download 'deed of appointment & assignment – relevant life policy trust' PDF
Size: A4 - 4 pages - 68kb
Online publication date: Jun 10
Deed of appointment to benefit (absolute) – relevant life policy trust
You can use this Deed to appoint that the plan proceeds in the trust are to be held for specific beneficiaries within the wider group of discretionary beneficiaries, as determined by the Trustees after a claim has been paid. The plan proceeds can then be distributed to the chosen discretionary beneficiaries.
Download 'deed of appointment to benefit (absolute) – relevant life policy trust' PDF
Size: A4 - 6 pages - 71kb
Online publication date: Jun 10
