Skandia Protect has extended its immediate cover facility to provide a hedge against inheritance tax...
Skandia Protect has extended its immediate cover facility to provide a hedge against inheritance tax (IHT) liabilities.
Clients who are IHT planning by taking out life cover under trust can now get immediate cover while Skandia underwrites the cases, Shelley Robertson, protection brand manager at Skandia said.
The immediate cover facility is available for those under 65 years of age who want to take out cover of between £250,000 and £2m.
Robertson said: 'With the recent surge in house prices it is becoming more common for people's homes to take up a bigger percentage of their estate at death.
As a result, in many cases this will use up most of a client's IHT allowance. By taking out life insurance under trust, the IHT bill can be paid without touching a client's assets, giving the deceased's family financial peace of mind.
'Nearly 50% of all the whole of life policies we sell are written in trust, which indicates intermediaries are looking to protect their clients from IHT liability where possible.'
As well as guaranteeing premiums will never be reviewed, Skandia Protect whole of life cover also offers a permanent inflation option for life, a long-term care conversion option, and guaranteed insurability options.
Skandia launched Skandia Protect in January 2001 as a menu-based single package plan.
Contact: 0800 917 2957 or visit www.skandia.co.uk.
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