Group protection FAQs
About the scheme
Do I need to tell Legal & General when a new employee joins the scheme?
For standard group protection schemes, we don't normally need to be told about individual new entrants to the scheme as long as they:
- meet the eligibility conditions of the policy;
- want the standard level of cover;
- are joining at their first opportunity and
- have benefits below the free limit.
Contact us if you are unsure or if the employees do not meet the criteria above.
Employees joining the scheme ahead or later than the eligibility requirements will need to complete a PDF file: Group protection discretionary entrant application for cover PDF size: 146KB , unless they join within the period described under 'early entrant' and 'late entrant' in the technical guide.
What about when an employee leaves the company?
For most standard policies, we don't need to know when a member leaves.
For schemes with an exact cost accounting basis, we do need to know the date the member leaves the scheme at the next renewal.
However, it's important you tell us if someone who is being underwritten, leaves the scheme so that we don’t keep chasing any outstanding requirements. Also, please tell us if someone who is being assessed for or receiving a benefit, leaves the scheme so we can make any necessary adjustments.
What happens if a company's name changes?
You should contact us as soon as there's a change in the name of the company so that we can update our records.
What should I do if a company is being taken over or bought out?
If the employees of the new company are to be covered by the policy, we need to be told in advance so we can assess:
- who might need underwriting;
- whether an 'activity at work' clause is to apply;
- whether the rate will change; and
- the extra premium we need.
We'll also ask you for details of the workforce:
- benefit formula;
- date of birth or age;
- along with the claims history of the new groups (if previously insured); and
- the locations where they are based.
What other changes do I need to tell Legal & General about?
We also need to be told about other changes including:
- the sale of the company; or
- change of eligibility or benefit multiple.
How long do you guarantee rates for?
We normally guarantee premium rates for two years (or a period agreed at the quote stage). The guarantee ceases to apply if:
- The benefit or membership from one annual renewal date to the next varies by more than 25%.
- The eligibility conditions are changed.
- The benefit formula or scheme earnings definition is changed in any way.
- A new employer joins the scheme or a participating employer leaves it.
Let us know if any of these things happen, so we can review our terms.
When do I need to supply more membership data?
Around six weeks before the annual renewal date, we’ll send a renewal pack asking for information about the members and benefits covered, together with a request for a deposit premium so that cover is maintained during the renewal process.
Based on this information, we’ll produce an account for the year ahead and make any adjustments for leavers, joiners and salary increases in the previous scheme year. We’ll also request medical evidence for any members who’s benefit level is over the free limit and any late or discretionary entrants, that we don't already know about.
What happens at a rate review?
Our rates are normally guaranteed for two years and then we’ll carry out a rate review. This takes into account various factors of the policy that we use to calculate the premium and allows us to check that they are still appropriate.
The rate is likely to be recalculated if the membership or aggregate benefit differs by more than 25% since the last renewal.
Before the end of the guarantee period, we’ll send a reminder pack and a form asking for the following information:
- List of scheme members with age, sex and benefit details.
- Any changes to the company since the last review date.
- Latest postcode details of where employees are based including overseas members.
We’ll usually advise you of the new rate and then an account will be issued which will be effective from the review date.
Group life assurance and dependants' pensions
What is group life assurance and dependants' pension?
Group life assurance and dependants’ pensions is also referred to as death in service benefits. They pay a lump sum and/or a regular dependant's pension if a member dies in service.
What is an event limit?
An event limit is the maximum amount we will pay out on one ore more policies if a catastrophic event was to occur, such as a terrorist attack.
Group income protection
What does activity at work mean?
An 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.
The actively at work condition may apply to employees joining the scheme or to existing employees whose benefit is increasing. The terms for your policy will be included in the quote you accept as the terms will be unique for each business.
Group critical illness cover
What is group critical illness cover?
Group critical illness cover provides members with a lump sum if they are diagnosed with a critical illness and survive for a specified period, that is covered under the policy. There are pre-existing and related conditions that we won’t cover which you should read before setting up a policy. You can read more about these exclusions here.
What conditions will my employees be covered for with group critical illness cover?
All standard policies are automatically covered for all the conditions listed under our core option. In addition to this, we also offer our additional option at an extra cost which can include up to a further 26 conditions. There are some exclusions that we won’t cover, which we refer to as pre-existing and related conditions. You should read What's not covered before you make your decision.
Where can I find a member's declaration form?
You can download an interactive PDF file: Group protection member declaration form PDF size: 259KB . Don't forget that you can request a tele-interview instead of completing our member’s declaration form. To do this, download our tele-interview contact sheet PDF file: Group protection telephone interview PDF size: 84KB .
Why should I choose a tele-interview instead of completing a member's declaration form?
Tele-interviews allow a quick and easy way to capture all the necessary medical information that we require. They often allow us to make a decision faster than if a member’s declaration form is completed.
Is there a charge for tele-interviews?
It's provided at no extra cost.
What is ONEderwriting?
ONEderwriting is a medical underwriting process where we will medically underwrite once and then in most cases never again.
Under the ONEderwriting approach, when will you need medical evidence?
- When the member’s benefit is more than the free limit.
- Employees who are joining outside of the policy’s normal eligibility conditions.
- Employees who are joining on a discretionary entrant application Group protection member declaration form PDF: 3.89MB for cover basis.
- If their benefit entitlement increases at a later date after providing medical evidence, we may need to ask for more depending on the amount of the increase and any special terms that already apply.
- We may set terms and conditions that specify when medical evidence may be needed outside the normal requirements.