PLAN & PROTECT

LIFE COVER
POLICY SUMMARY
 Policy summary

PLAN & PROTECT

THIS POLICY SUMMARY WILL HELP YOU DECIDE IF PLAN & PROTECT LIFE COVER IS
RIGHT FOR YOU. IT DOESN’T PROVIDE THE FULL DETAILS OF THE POLICY, YOU CAN FIND
THESE IN THE TERMS AND CONDITIONS AND YOUR POLICY SCHEDULE.

YOU SHOULD KEEP YOUR POLICY DOCUMENTS TOGETHER IN A SAFE PLACE.

IT MAY ALSO BE A GOOD IDEA TO LET YOUR FAMILY KNOW YOU HAVE THIS COVER.

PLAN & PROTECT LIFE COVER IS PROVIDED BY SCOTTISH WIDOWS LIMITED,

PART OF LLOYDS BANKING GROUP.

1
 Policy summary
WHAT IS PLAN & PROTECT LIFE COVER?
Plan & Protect Life Cover is a life insurance policy that
you take out for a chosen period of time.
It will pay out a cash lump sum if you die
before the policy’s end date. If the policy is for
two people, it will normally pay out to the
person who is still alive if one person dies.
If we pay out the cover amount, we’ll stop
collecting your monthly payments and the
policy will end.
If a claim isn’t made before the policy’s end
date, the policy will end and nothing will be
paid out.
The policy has no cash-in value at any time.
This means you won’t get any money back if
you cancel it before the policy’s end date.
When you apply you must be a UK resident and aged
between 18 and 59. The shortest time you can set up
a policy for is five years. Your policy must end before
you reach age 70.
You can take out more than one Life Cover policy but the
maximum amount of Life Cover you can have across all
Plan & Protect policies is currently £500,000. You can
also have up to £500,000 of Body Cover in addition to
your Life Cover policy.
You should review your amount of cover on a regular
basis. If your circumstances change in the future, the
level of cover you have chosen may not be enough to
meet your protection needs.
what matters
2
Once your policy has started you can’t make any changes
to your cover.
We may need to make changes because of things outside
of our control, such as changes in law, regulations or tax
rules. We might also need to make changes if there was
an error in your policy documents which is fair for us
to change.
HOW MUCH DOES MY POLICY COST?
What you pay each month is shown on your quote
and will depend on:
• your age at the start of the policy,
• if you smoke,
• the amount you want to be covered for,
• how long you want the policy to last, and
• your answers to the medical questions.
What you pay each month includes all
charges and will never change.
There will never be anything else to pay us for the cover
you choose.
To keep your cover in place, you must pay us the amount
shown on your policy schedule every month by Direct
Debit, until the policy’s end date.
Depending on the date you choose for your payments to
be collected, we may not collect the first payment until
a month after the policy has started. This means the last
payment may be collected up to six weeks after the
policy has ended or has been cancelled.
Protect
most
 Policy summary

If after 15 years someone covered by the policy were to

TYPES OF COVER die, you can see from the graph that we’d pay out
£63,206 on a policy with decreasing cover. For a policy
You can choose level or decreasing cover. with level cover we’d pay out £100,000.

120,000

  Level cover 100,000

The amount of cover you choose stays the same
until the policy ends. 80,000

60,000

  Decreasing cover 40,000

This would typically be chosen to protect a
repayment mortgage. The amount you are 20,000
covered for will decrease slightly each month
in a similar way to the amount owed on a
5 10 15 20 25
standard repayment mortgage. To calculate the
rate of decrease, we’ll assume a set mortgage Decreasing Level
rate of 8% a year. What we pay out might not be
enough to pay off the outstanding mortgage if,
for example:
WHAT WILL STOP MY POLICY
PAYING OUT?
• your mortgage interest rate goes above 8%,
We might not pay some or all of a claim, and
• the amount you’ve borrowed is more than
could cancel your policy, if you don’t answer all
the amount of cover you choose,
the questions we ask during the application
• the period of time you are covered for under process honestly and completely. If we cancel
the policy doesn’t match the term of the the policy, we may not refund your payments.
mortgage, or
We may also not pay a claim if we don’t receive
• your mortgage repayments go into arrears.
all the information we ask for at the time of
What you pay each month will never change. the claim.

If you miss three months’ payments, we’ll cancel the cover

at the end of the third month, the policy will be cancelled
The diagram opposite shows how level and decreasing
and we won’t refund any payments you’ve made.
cover works. In this example, we’ve assumed:

WILL MONEY FROM A CLAIM BE TAXED?

Under current tax rules there will be no tax to pay on any
the cover amount the policy will end the mortgage cash sum paid out. However, inheritance tax may be
is £100,000 after 25 years interest rate is 8% payable if it forms part of your estate. If you’re worried
about inheritance tax, we recommend that you speak to
a solicitor.
Please remember that tax rules can change.

3
 Policy summary

HOW CAN I CONTACT YOU OR MAKE A CLAIM?

If you have any questions about your policy please call us on:

0330 678 1060

If someone covered by this policy has died, please call:

0800 085 8310

We are open from 9am to 5pm, Monday to Friday. Calls may be recorded and monitored
to help us improve our service.
or write to us at:

SCOTTISH WIDOWS LTD, PO BOX 1140, ST ALBANS, AL1 9UQ

Please ask us if you’d like this policy summary in large print, braille or audio.

4
 Policy summary

CAN I CHANGE MY MIND? SCOTTISH WIDOWS’ FINANCIAL

You can change your mind about taking out this policy
within 30 days of the start date shown on your policy
schedule. We will refund any payments you’ve made so far.
You can of course cancel the policy any time after this
period has ended but we won’t refund any payments
you’ve made.
STRENGTH
We publish a Solvency and Financial Condition Report
(SFCR) each year. This gives information about how our
business is performing and its financial strength.
You can find it at www.scottishwidows.co.uk/about_us/
financial_information/solvency-2-returns.html

HOW CAN I COMPLAIN? LAW

If something has gone wrong we’d like to put it right. Your policy is governed by the law of whichever part of the
Please call us on 0330 678 1060 or write to us at the UK you lived in, or normally lived, when you took it out.
address on page 4.
The information in this policy summary is our
If you’re not happy with our response, you can complain to: interpretation of the law and HM Revenue & Customs
The Financial Ombudsman Service, Exchange Tower, rules and practices at the date we published it. If there
London E14 9SR are changes to tax rules or other laws then this may
affect your policy.
Telephone 0800 023 4567
Email complaint.info@financial-ombudsman.org.uk
Website www.financial-ombudsman.org.uk
Alternatively, if you bought your policy online, you can
submit a complaint through the European Online Dispute
Resolution Platform at https://webgate.ec.europa.eu/odr
The ODR platform will refer the matter to the Ombudsman
for further action.

FINANCIAL SERVICES COMPENSATION

SCHEME (FSCS)
Your policy is fully covered by the Financial Services
Compensation Scheme (FSCS). This means that in the
unlikely event that Scottish Widows went out of
business, your policy wouldn’t be affected and you’d
remain covered. More information is available from
the FSCS who can be contacted on 0800 678 1100
or 0207 741 4100 or visit www.fscs.org.uk

5
 Scottish Widows Limited. Registered in England and Wales No. 3196171. Registered office in the United Kingdom at 25 Gresham Street, London EC2V 7HN.
Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Financial Services Register number 181655.

56441 09/18