On 13 June 2020, Vitality, one of the UK Armed Forces’ preferred life and serious illness insurers, announced changes to how they underwrite and offer cover to serving personnel and reservists.
For some time, Vitality and one other mainstream insurer have been among the few able to offer comprehensive critical/serious illness cover without operational exclusions.
The changes
With immediate effect, Vitality’s terms are as follows:
- Higher-risk roles (for example, fast jet pilots, helicopter aircrew, bomb disposal): any Serious Illness that results directly from an accident, injury or wound while undertaking duties related to your occupation will be excluded.
- All other UK Armed Forces personnel (including reservists): a theatre of war exclusion applies to Serious Illness cover. Any Serious Illness that results directly from an accident, injury or wound in an active theatre of operations or an area of hostility, war or conflict will be excluded.
We believe this is a significant change and it is important the Forces community is aware. We also understand the last remaining mainstream insurer without operational exclusions is expected to change its terms, although no dates have been confirmed at the time of publishing.
This raises key questions when choosing critical illness cover for serving personnel and highlights the value of impartial advice from specialists in military life and insurance.
Our services
At Forces Family Finance, our advice is tailored to your occupation and personal circumstances, creating a package that fits you and your family, including preparation for leaving service where relevant.
Book a completely free review and recommendation session. Our contact details are here.
Key points to consider
These changes do not apply to life cover or to existing policies.
There may be alternatives worth considering with the right advice.
You may wish to act sooner rather than later to secure comprehensive cover while it remains available.
PAX remains available with an optional life/critical illness add-on; however, note the limitations:
- Only three illnesses covered (cancer, stroke and heart attack), with limited definitions.
- Maximum 15 units of cover (£60,000).
- A claim on critical illness may reduce the amount payable on death.
Depending on your circumstances, you may be eligible for a payment from the Armed Forces Compensation Scheme, but this should not be relied upon as your primary financial protection.
We make every effort to ensure this information is correct at the time of publication. We cannot accept responsibility for subsequent policy changes. This post does not constitute formal financial advice; please speak to an adviser about your specific circumstances. If you believe any information is inaccurate, contact us so we can amend it.
Image: Defence Imagery, Crown Copyright 2019
