Glossary.

This means the employee must be in full active employment, physically and mentally able to perform all the duties associated with their normal job on the day the cover is due to start.

Cover for contributions to a pension you've set up for your employees. It can also cover your liability to pay National Insurance Contributions.

The total Scheme Earnings for all Insured Members.

The first day of each yearly accounting period.

The annual basic rate of benefit paid by the Department for Work and Pensions, after the assessment phase of the Employment and Support Allowance.

The yearly increase in Member's Benefit and/or Additional Benefit (if applicable)

The period between the date an insured member is first unable to work and the date we will start paying benefit.

An employee who you need cover for before their normal entry date within the eligibility conditions.

Premiums payable are calculated by taking account of the annual cost of cover for each member using age and gender rates. We'll adjust premiums at the next annual renewal date to allow for leavers, joiners and changes to the amount of cover. This is also known as Single Premium Costing.

The maximum monetary limit for which we'll normally provide cover without the need for medical evidence for each individual member.

The start date of the policy.

An employee who didn't join the scheme at their first opportunity.

Events in a member's life that you can agree with us (for example getting married or becoming a registered civil partner). After these agreed events, a member may then have the option to change their benefit selection under a flexible benefits package.

The lifetime allowance is £1.8 million.

A second claim for a member within 52 weeks after the first claim for them ended, where the absence is caused by the same incapacity. For linked claims we'll waive the deferred period for the second claim .

A person included for benefits within the Scheme.

The basic benefit we pay to the policyholder to pass on to the Member. This is usually calculated as a percentage of Scheme Earnings.

A medical declaration made by the Member.

The legal contract between the employer and us, which takes effect from the Inception Date and insures the scheme liabilities chosen by the employer.

The Annual Renewal Date.

The scheme the employer has set up to pay the benefits promised to their employees.

The earnings we use to calculate the scheme benefit.

These are benefits that form part of the Employment & Support Allowance and are paid by the Department of Work and Pensions. For Schemes set up on an integrated basis we can also allow for Enhanced Disability Premium & Severe Disability Premium.

A member is incapacitated if in our opinion, an illness or injury prevents them from doing any job, which is considered to be appropriate to their experience, training or education. They are not doing any job other than one which gives rise to payment of a reduced benefit.

The annual rate of the Work Related Activity Component, payable after the assessment phase, of the Employment and Support Allowance payable by the Department of Work and Pensions under statutory provisions.