How is LifePlan changing on 1 July 2019?
With the final phase of the Isle of Man Conduct of Business Code (COB) coming into effect on 1 July, we look ahead to the changes we are making to our protection product, LifePlan, to be in line with the new regulations.
Personalised Key Information Document (KID)
One of the key pillars of the COB code is the introduction of a personalised KID. The KID describes the main features of LifePlan, who the product is aimed at and highlights all the fees and charges. The amount of commission you receive will also be shown in percentage terms.
COB rules state the KID document must be signed by the plan owner and submitted as part of the application process. To make life as easy as possible, we have designed the KID to be produced as part of the Illustration process. So once the KID is printed out, the plan owner will need to sign it, and you’ll send it to us as with the completed application form and signed illustration.
If you make any changes to the terms of the plan after the application and KID have been sent to us, we would require you to produce a new, signed KID and re-submit it.
Amendments to literature
There are very minor changes to LifePlan application forms and Terms and Conditions. The changes relate to referring to the personalised KID within the checklist and elsewhere within the literature.
You can request printed copies of the updated literature from your local RL360 sales office. All PDFs will be available on our dedicated adviser website www.rl360adviser.com from 1 July.
LifePlan illustration system
The existing illustration system will be updated for 1 July to include the personalised KID. We will send you details of how to access the updated illustration system before 1 July.
Acceptance of current version LifePlan applications
New business applications for LifePlan written on the current, pre-1 July 2019 basis, will be issued up until 31 December 2019 so long as the application was:
- signed before 1 July 2019. No applications dated after 30 June will be issued without an updated KID that includes commission disclosure
- submitted and received by RL360 before 1 August 2019
The Isle of Man COB code will set the regulatory benchmark for other jurisdictions to follow. We believe the Code will bring about better outcomes and even greater protection for your clients. It’s also an opportunity for you to write even better and more persistent business.
We have also just published a COB explainer video. You can view the video at www.rl360adviser.com/change
If you have any further queries, please contact websupport@rl360.com