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Product category: Protection
News Release from: LifeSearch | Subject: Protection
Edited by the Insidemoneytalk Editorial Team on 13 February 2008

LifeSearch launches unique claims
guarantee pilot with AXA

Protection specialists LifeSearch has linked up with AXA to trial a protection product that is guaranteed to pay out on death.

The life insurance product, which is being offered by a pilot group of LifeSearch advisers over the next few months, will guarantee full payment if a claim is made after a two-year period, even if consumers haven't disclosed important health information on their application form as they will be underwritten at outset, rather than at claim stage.The pilot will test the appetite of consumers to buy such a product, which could help to rebuild trust in the industry and give customers real peace of mind.All applications will be tele-underwritten, which AXA statistics show reduces non-disclosure to just 1.23%, and applicants will undergo a medical.LifeSearch and AXA will be reviewing the pilot before deciding whether to offer a guaranteed product on a permanent basis.Matt Morris, Policy Adviser at LifeSearch, said: "One of the problems with protection insurance is the worry that it might not pay out due to non-disclosure This product removes any possibility of a claim being declined for this reason

Consumers need to know that if the worst should happen there will be money to pay off their mortgage or look after their family."Iain Mallon, Head of Protection at AXA, said: "We're delighted to team up with LifeSearch to offer this innovative new product.

We hope it will help build trust in the market and go some way to closing the huge protection gap that exists in the UK.

"Our claims philosophy is to pay all valid claims, and this guarantee is an extension of that belief.".

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