FSA may scrap age 70 protection rule

The actual change would mean redefinition of a ‘pure protection contract’ and affect intermediaries and firms operating under the ICOB regime, as they are currently prevented from selling products to consumers who have a protection need beyond the age of 70. As it stands, financial services firms offering pure protection contracts, such as level term assurance and family income benefit, have to alter the regulatory regime requirements under which products can be sold if the policy is likely to pay out on the death of a person beyond the age of 70 insured, or if it is likely to extend beyon...