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Business Protection

Glossary

To make Business Protection simple here is a glossary covering specific terms.

Full A-Z

  • Accident hospitalisation cover

    Found in:

    We will pay the lower of 25% of the amount of cover and £25,000 if you suffer a physical injury due to an accident, which under the advice of a specialist requires a stay in hospital in one of a number of listed countries for at least 28 consecutive days.

    The following are not covered:

    • Any accident caused by a self-inflicted act
    • Any accident caused by taking alcohol or drugs, or where it was a contributing factor
    • Any accident caused by natural causes, or a disease or illness of any kind

    The listed countries are:

    Australia, Austria, Belgium, Bulgaria, Canada, the Channel Islands, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Gibraltar, Greece, Hong Kong, Hungary, Iceland, the Isle of Man, Italy, Japan, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, the Netherlands, New Zealand, Norway, Poland, Portugal, Republic of Ireland, Romania, Slovakia, Slovenia,

  • Alzheimer’s disease or other forms of dementia – resulting in permanent symptoms

    Found in:

    A definite diagnosis of Alzheimer’s disease or other forms of dementia, by a Consultant Neurologist, Psychiatrist or Geriatrician. There must be permanent clinical loss of the ability to do all of the following:

    • Remember
    • Reason; and
    • Perceive, understand, express and give effect to ideas.

    If you’re under 45 years of age, and your claim meets this definition we will pay 1 ½ times the amount of cover. This is subject to a maximum of £200,000 more than your amount of cover.

  • Anderson Principles

    Found in:

    Tax guidelines first laid out for businesses in 1944 by the then Chancellor of the Exchequer, Sir John Anderson.

  • Anderson Rules

    Found in:

    Tax guidelines first laid out for businesses in 1944 by the then Chancellor of the Exchequer, Sir John Anderson.

  • Aorta graft surgery – for disease or traumatic injury

    Found in:

    The undergoing of surgery for disease or trauma to the aorta with excision and surgical replacement of a portion of the diseased or damaged aorta with a graft. The term aorta includes the thoracic and abdominal aorta but not its branches.

    For the above definition, the following are not covered:

    1. Any other surgical procedure, for example the insertion of stents or endovascular repair
  • Aplastic anaemia – complete

    Found in:

    A definite diagnosis by a Consultant Haematologist of complete bone marrow failure which results in anaemia, neutropenia and thrombocytopenia requiring treatment with at least one of the following:

    1. Blood transfusion;
    2. Marrow stimulating agents;
    3. Immunosuppressive agents;
    4. Bone marrow transplant.

    For the above definition, the following are not covered:

    1. Other forms of anaemia.
  • Arteriovenous Malformation (AVM) of the brain – with specified treatment

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you undergo surgery, embolisation or radiosurgery to treat an arteriovenous malformation (AVM) of the brain.

    The following are not covered:

    • Cerebral aneurysm or any other malformations in the brain.
  • Automatic accrual method

    Found in:

    Used by partnerships, this agreement means if a partner dies, their shares automatically pass to the remaining business partners.

  • Bacterial meningitis – resulting in permanent symptoms

    Found in:

    A definite diagnosis of Bacterial Meningitis by a Consultant Neurologist resulting in permanent neurological deficit with persisting clinical symptoms.

    For the above definition, the following are not covered:

    • All other forms of meningitis other than those caused by bacterial infection.
  • Beneficiary

    Found in:

    The beneficiaries receive the money from the trust in line with the settlor's wishes.

  • Benign brain tumour

    Found in:

    A non-malignant tumour or cyst in the brain, cranial nerves or meninges within the skull.

    For the above definition, the following are not covered:

    • Tumours in the pituitary gland
    • Tumours originating from bone tissue
    • Angiomas and cholesteatoma
  • Benign spinal cord tumour - resulting in permanent symptoms

    Found in:

    A non malignant tumour within the spinal canal and originating in, or arising from the spinal cord.

    The tumour must be interfering with the function of the spinal cord which results in permanent neurological deficit with persisting clinical symptoms.

    The diagnosis must be made by a medical specialist and must be supported by appropriate evidence.

    For the above definition the following are not covered:

    1. Cysts
    2. Granulomas
    3. Malformations in the arteries or veins of the spinal cord
    4. Haematomas
    5. Abscesses
    6. Disc protrusion
    7. Osteophytes
  • Blindness - permanent and irreversible

    Found in:

    Permanent and irreversible loss of sight to the extent that even when tested with the use of visual aids, vision is measured at 3/60 or worse in the better eye using a Snellen eye chart.

    If the cause of your client's claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than your amount of cover.

    If their claim doesn’t meet the definition above you may still be able to claim on our additional payment condition – Partial loss of sight. Please see condition 58 in the additional payment conditions section of this policy conditions.

  • Buy and sell agreements

    Found in:

    Legally binding agreements setting out who can buy shares and at what price.

  • Cancer – excluding less advanced cases

    Found in:

    Any malignant tumour positively diagnosed with histological confirmation and characterised by the uncontrolled growth of malignant cells and invasion of tissue.

    The term malignant tumour includes leukaemia, sarcoma, and lymphoma except cutaneous lymphoma (lymphoma confined to the skin)

    For the above definition, the following are not covered:

    • all cancers which are histologically classified as any of the following:

    – pre-malignant;

    – non-invasive;

    – cancer in situ;

    – having either borderline malignancy; or

    – having low malignant potential.

    • all tumours of the prostate unless histologically classified as having a Gleason score of 7 or above, or having progressed to at least clinical TNM classification T2bN0N0.
    • Malignant melanoma skin cancer that is confined to the epidermis (outer layer of skin).
    • Any non-melanoma skin cancer (including cutaneous lymphoma) that has not spread to lymph nodes or metastasised to distant organs.

    If your client's claim doesn't meet the definition above they may still be able to claim on one of our additional payment conditions if they have suffered from one of the following:

    • Carcinoma in-situ of the cervix (Condition 47)
    • Carcinoma in-situ of the Urinary bladder (Condition 48)
    • Ductal or lobular Carcinoma in-situ of the breast (Condition 54)
    • Prostate cancer (Condition 60)
    • Testicular carcinoma in-situ (Condition 64)

    Please see the relevant numbered condition in the additional payment conditions section of the policy conditions.

  • Capital gains tax

    Found in:

    A tax on capital gains, which is normally only paid when you sell an asset.

  • Carcinoma in-situ of the cervix uteri – requiring treatment with hysterectomy

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you are diagnosed with carcinoma in-situ of the cervix uteri (cervix) that requires treatment with hysterectomy.

    The hysterectomy must have been performed on the advice of a specialist to treat carcinoma in-situ of the cervix.

    The following are excluded:

    1. All grades of dysplasia
    2. Cervical squamous epithelial lesion (SIL) and Cervical intra-epithelial neoplasia (CIN), unless carcinoma in-situ is present
    3. Carcinoma in-situ of any other gynaecological organ (for example the ovary, or the fallopian tube)
    4. Any other disease or disorder of the cervix or other gynaecological organs that is treated with hysterectomy.
  • Carcinoma in-situ of the urinary bladder

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you are diagnosed with carcinoma in-situ of the urinary bladder that has been histologically confirmed on a pathology report.

    The following conditions are not covered:

    1. Non-invasive papillary carcinoma
    2. Stage Ta bladder carcinoma
    3. All other forms of non-invasive carcinoma
  • Cardiac arrest

    Found in:

    Confirmation by an appropriate medical specialist of a definite diagnosis of sudden cardiac arrest that results in unconsciousness, loss of effective circulation and the undergoing of cardio-pulmonary resuscitation to sustain life.

    There must be permanent insertion of an implantable cardiac defibrillator (ICD) or Cardiac Resynchronization Therapy with Defibrillator (CRT –D).

    For the above definition, the following are not covered:

    • Cessation of cardiac function induced to perform a surgical or medical procedure.
  • Cardiomyopathy – of specified severity

    Found in:

    A definite diagnosis by a Consultant Cardiologist of Cardiomyopathy resulting in permanently impaired ventricular function such that the ejection fraction is 35% or less for at least 6 months when stabilised on therapy advised by the Consultant.

    The diagnosis must be evidenced by:

    • Electrocardiographic changes; and
    • Echocardiographic abnormalities.

    The evidence must be consistent with the diagnosis of Cardiomyopathy.

    For the above definition, the following are not covered:

    • All other forms of heart disease, heart enlargement and myocarditis; and
    • Cardiomyopathy related to alcohol or drug abuse.

    If your claim doesn’t meet this definition you may still be able to claim on our additional payment condition – Non-severe cardiomyopthy. Please see condition no. 55 in the additional payment conditions section of this Appendix.

  • Carotid Artery Stenosis - treated by Endarterectomy or Angioplasty

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you undergo endarterectomy or therapeutic angioplasty to correct symptomatic stenosis involving at least 70% narrowing or blockage of the carotid artery. Angiographic evidence will be required.

  • Carotid Artery Stenosis - treated by Endarterectomy or Angioplasty

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you undergo endarterectomy or therapeutic angioplasty to correct symptomatic stenosis involving at least 70% narrowing or blockage of the carotid artery. Angiographic evidence will be required.

  • Central retinal artery or vein occlusion - resulting in permanent visual loss

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you suffer death of the optic nerve or retinal tissue due to inadequate blood supply or haemorrhage within the central retinal artery or vein, resulting in permanent visual impairment of the affected eye.

    For the above definition the following are not covered:

    • Branch retinal artery or vein occlusion or haemorrhage.
    • Traumatic injury to tissue of the optic nerve or retina.
  • Cerebral aneurysm - with surgery or radiotherapy

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you undergo treatment for a cerebral aneurysm using any one of the following:

    • Craniotomy
    • Stereotatic radiotherapy
    • Endovascular treatment by using coils to cause thrombosis (embolisation)

    For the above definition the following are not covered:

    • Cerebral arteriovenous malformation.
  • Civil Partnership

    Found in:

    (in some countries) A legally recognized union of a same-sex couple, with rights similar to those of marriage.

  • Coma – with associated permanent symptoms

    Found in:

    A state of unconsciousness with no reaction to external stimuli or internal needs which:

    • requires the use of life support systems; and
    • with associated permanent neurological deficit with persisting clinical symptoms

    If the cause of your claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than your amount of cover.

  • Coronary artery angioplasty

    Found in:

    We will pay the lower of 25% of the amount of cover or £25,000 if you undergo any of the following procedures to treat a narrowing or blockage in two or more of the main coronary arteries:

    • Balloon angioplasty
    • Atherectomy
    • Rotablation
    • Laser treatment
    • Insertion of stents

    This procedure must have been carried out on the advice on a Consultant Cardiologist to treat severe coronary artery disease in two or more main coronary arteries at the same time. The procedure must be to treat at least 70% diameter narrowing. If the procedure is only performed on one main coronary artery there must be at least 70% diameter narrowing in another main coronary artery.

    For the purpose of this definition main coronary arteries are described as one or more of the following:

    • Right coronary artery
    • Left main stem
    • Left anterior descending
    • Circumflex

    For this definition the following are not covered:

    • Procedures to any branches of any of the main coronary arteries
    • Any other procedures to treat narrowing or blockage of coronary arteries.
  • Coronary artery bypass grafts (CABG)

    Found in:

    The undergoing of surgery on the advice of a Consultant Cardiologist to correct narrowing or blockage of one or more coronary arteries with by-pass grafts.

  • Corporate debt cover

    Found in:

    Another term for Key Person cover, set-up to pay off corporate debt, like a business loan.

  • Creutzfeldt-Jakob disease

    Found in:

    Confirmation by a Consultant Physician of a definite diagnosis of Creutzfeldt-Jakob disease.

  • Cross option agreement

    Found in:

    An agreement allowing surviving business owners to buy a deceased owner’s share. A cross option agreement can be signed when taking out Share Protection or Partner Protection.

  • Deafness – permanent and irreversible

    Found in:

    Permanent and irreversible loss of hearing to the extent that the loss is greater than 90 decibels across all frequencies in the better ear using a pure tone audiogram.

    If the cause of your client's claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than your amount of cover.

    If their claim doesn’t meet the definition above they may still be able to claim on our additional payment condition – Partial loss of hearing. Please see condition 57 in the additional payment conditions section of the policy conditions.

  • Dementia (including senile dementia) – resulting in permanent symptoms

    Found in:

    A definite diagnosis of dementia by a Consultant Neurologist, Psychiatrist, or Geriatrician.

    There must be permanent clinical loss of the ability to do all of the following:

    • Remember
    • Reason; and
    • Perceive, understand, express and give effect to ideas.

    If your client is under under 45 years of age, and your claim meets the above definition we will pay 1 ½ times the amount of cover. This is subject to a maximum of £200,000 more than their amount of cover

  • Diabetes mellitus Type 1 - requiring permanent insulin injections

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you have a definite diagnosis of Type 1 insulin dependent diabetes mellitus requiring the permanent use of insulin injections that have continued for a period of at least 12 months.

    For the above definition the following are not covered:

    • Gestational diabetes
    • Type 2 diabetes (including Type 2 diabetes treated with insulin)
    • Latent Autoimmune Diabetes of Adulthood

    This condition is not covered under children’s cover.

  • Director’s loan account

    Found in:

    A loan made by a director to the company. This can be made up of money actually loaned, undrawn salary or dividends.

  • Ductal or lobular carcinoma in-situ of the breast – with specified treatment

    Found in:

    We will pay the lower of 25% of the amount of cover and £25,000 if you are diagnosed with ductal or lobular carcinoma in-situ of the breast, that is histologically confirmed, and results in you undergoing surgical removal on the advice of your hospital consultant.

  • Encephalitis – resulting in permanent symptoms

    Found in:

    A definite diagnosis of encephalitis by a Consultant Neurologist resulting in permanent neurological deficit with persisting clinical symptoms.

    For the above definition the following are not covered:

    • chronic fatigue syndrome and myalgic encephalitis.
  • Equalisation of premiums

    Found in:

    When it comes to Share Protection and Partnership Protection, it makes sense for the business owners to pay an appropriate share of the premiums. Age, health and lifestyle affects the cost of cover, so splitting the total premium by the number of business owners might not be the fairest way of dividing the cost.

  • Gifted benefits

    Found in:

    The benefits from the plan that the settlor wants to give to someone else.

  • Heart attack – of specified severity

    Found in:

    Death of heart muscle, due to inadequate blood supply, that has resulted in all of the following evidence of acute myocardial infarction:

    • New characteristic electrocardiographic changes (or findings on a heart scan); and
    • The characteristic rise of cardiac enzymes or Troponins

    The evidence must show a definite acute myocardial infarction.

    For the above definition, the following are not covered:

    • Other acute coronary syndromes or angina without myocardial infarction
  • Heart valve replacement or repair

    Found in:

    The undergoing of surgery on the advice of a consultant cardiologist to replace or repair one or more heart valves.

  • HIV infection – caught in a specified list of countries from a blood transfusion

    Found in:

    Infection with Human Immunodeficiency Virus resulting from:

    • A blood transfusion given as part of medical treatment;
    • A physical assault; or
    • An incident occurring during the course of performing normal duties of employment;

    after the start of the policy and satisfying all of the following:

    • The incident must have been reported to appropriate authorities and have been investigated in accordance with the established procedures.

    Where HIV infection is caught through a physical assault or as a result of an incident occurring during the course of performing normal duties of employment, the incident must be supported by a negative HIV antibody test taken within 5 days of the incident.

    • There must be a further HIV test within 12 months confirming the presence of HIV or antibodies to the virus.
    • The incident causing infection must have occurred in one of the following countries:

    Australia, Austria, Belgium, Bulgaria, Canada, the Channel Islands, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Gibraltar, Greece, Hong Kong, Hungary, Iceland, the Isle of Man, Italy, Japan, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, the Netherlands, New Zealand, Norway, Poland, Portugal, Republic of Ireland, Romania, Slovakia, Slovenia, Spain, Sweden, Switzerland, the United Kingdom and the United States of America.

    For the above definition, the following is not covered:

    • HIV infection resulting from any other means, including sexual activity or drug abuse.
  • Idiopathic pulmonary arterial hypertension – of specified severity

    Found in:

    A definite diagnosis of idiopathic pulmonary arterial hypertension that has caused permanent and irreversible impairment of heart function which is classified by a Consultant Cardiologist as at least class III on the New York Heart Association (NYHA) scale of functional capacity

  • Idiopathic pulmonary arterial hypertension – of specified severity

    Found in:

    A definite diagnosis of idiopathic pulmonary arterial hypertension that has caused permanent and irreversible impairment of heart function which is classified by a Consultant Cardiologist as at least class III on the New York Heart Association (NYHA) scale of functional capacity.

  • Inheritance tax

    Found in:

    A tax payable on an estate when someone dies.

  • Key Person cover

    Found in:

    A life insurance policy (with or without critical illness) taken out by a company on the life of an employee or director. This is often referred to as Key Man Cover or Key Man Insurance.

  • Kidney failure – requiring permanent dialysis

    Found in:

    Chronic and end stage failure of both kidneys to function, as a result of which regular dialysis is permanently required.

  • Life of another

    Found in:

    Life Insurance taken out on the life of another person.

  • Limited company

    Found in:

    A business run by directors on behalf of shareholders.

  • Limited liability partnership

    Found in:

    A business owned by two or more people, who are liable up to the amount of money they invested in the company.

  • Liver failure

    Found in:

    A definite diagnosis, by a Consultant Physician or other appropriately qualified medical professional, of irreversible end stage liver failure due to cirrhosis resulting in all of the following:

    • Permanent jaundice,
    • Ascites, and
    • Encephalopathy.

    For the above definition, the following is not covered:

    • Liver failure secondary to alcohol or drug abuse.
  • Loss of hands or feet – permanent physical severance

    Found in:

    Permanent physical severance of any hand or foot at or above the wrist or ankle joints.

    This definition qualifies for an enhanced payment at claim. Your client will receive double their cover (up to a maximum of £200,000 on top of their original cover) if their claim is as a result of an accident.

  • Loss of independent existence – unable to look after yourself ever again

    Found in:

    Confirmation by a Consultant Physician and our Chief Medical Officer of loss of independent existence through illness or injury resulting in a permanent inability to perform at least three of the six tasks listed below ever again.

    The Consultant Physician and our Chief Medical Officer must reasonably expect that the disability will last throughout life with no prospect of improvement, irrespective of when the cover ends.

    The insured person must need the help or supervision of another person and be unable to perform the task on their own, even with the use of special equipment routinely available to help and having taken any appropriate medication.

    The tasks are:

    • Washing – the ability to wash in the bath or shower (including getting into and out of the bath or shower) or wash satisfactorily by other means.
    • Getting dressed and undressed – the ability to put on, take off, secure and unfasten all garments and, if needed, any braces, artificial limbs or other surgical appliances.
    • Feeding yourself – the ability to feed yourself when food has been prepared and made available.
    • Maintaining personal hygiene – the ability to maintain a satisfactory level of personal hygiene by using the toilet or otherwise managing bowel and bladder function.
    • Getting between rooms – the ability to get from room to room on a level floor.
    • Getting in and out of bed – the ability to get out of bed into an upright chair or wheelchair and back again.

    For the above definition, disabilities for which the relevant specialists cannot give a clear prognosis are not covered.

    If the cause of your client's claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than their amount of cover.

  • Loss of speech – permanent and irreversible

    Found in:

    Total permanent and irreversible loss of the ability to speak as a result of physical injury or disease.

    If the cause of your client's claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than their amount of cover.

  • LV= Business Care

    Found in:

    Consists of:

    Business Legal Advice Line for business owners, providing free legal advice 24/7 on business issues including; HR, health & safety, risk, and legislation.

    Personal Advice Line which offers 24/7 access to legal, counselling and health advice to the policy owners, those insured and those remaining employees not covered by an LV= business protection policy from LV=.

  • Major organ transplant - from another person

    Found in:

    The undergoing as a recipient of a transplant from another person, of bone marrow or of a complete heart, kidney, liver, lung, or pancreas, or a whole lobe of the lung or liver, or inclusion on an official UK waiting list for such a procedure.

    For the above definition, the following is not covered:

    • Transplant of any other organs, parts of organs (other than those specified above), tissues or cells
  • Motor neurone disease – resulting in permanent symptoms

    Found in:

    A definite diagnosis of motor neurone disease by a Consultant Neurologist. There must be permanent clinical impairment of motor function. All forms of motor neurone disease are covered including spinal muscular atrophy.

    This definition qualifies for an enhanced payment. Your client will receive 150% of their original cover (up to a maximum of £200,000 on top of their original cover) if they’re diagnosed before the age of 45.

  • Multiple sclerosis – with persisting symptoms

    Found in:

    A definite diagnosis of Multiple Sclerosis by a Consultant Neurologist that has resulted in either of the following:

    • clinical impairment of motor or sensory function, which must have persisted for a continuous period of at least 3 months; or
    • two or more attacks of impaired motor or sensory function together with findings of clinical objective evidence on Magnetic Resonance Imaging (MRI scan)

    All of the evidence must be consistent with multiple sclerosis.

  • Multiple system atrophy – resulting in permanent symptoms

    Found in:

    A definite diagnosis of Multiple System Atrophy by a Consultant Neurologist. There must be evidence of permanent clinical impairment of either:

    • Motor function with associated rigidity of movement
    • The ability to coordinate muscle movement
    • Bladder control and postural hypotension

    If you’re under 45 years of age, and your claim meets the above definition we will pay 1 ½ times the amount of cover. This is subject to a maximum of £200,000 more than your amount of cover

  • Neuromyelitis optica (Devic's disease) – with persisting symptoms

    Found in:

    A definite diagnosis of Neuromyelitis optica by a Consultant Neurologist. There must be current clinical impairment of motor or sensory function, which must have persisted for a continuous period of at least 3 months.

  • Non-severe cardiomyopathy – definite diagnosis

    Found in:

    We will pay the lower of 25% of the amount of cover and £25,000 if you are diagnosed with cardiomyopathy by a Consultant Cardiologist resulting in permanently impaired ventricular function such that the ejection fraction is more than 35%.

    The diagnosis must be evidenced by:

    • Electrocardiographic changes
    • Echocardiographic abnormalities

    The evidence must be consistent with the diagnosis of cardiomyopathy.

    For the above definition the following are not covered:

    • All other forms of heart disease, heart enlargement and myocarditis; and
    • Cardiomyopthy related to alcohol or drug abuse
  • Open Heart Surgery – with surgery to divide the breastbone

    Found in:

    The undergoing of open heart surgery requiring median sternotomy (surgery to divide the breastbone) on the advice of a Consultant Cardiologist to correct a disease or defect of the heart,

    For the above definition, the following are not covered:

    1. any percutaneous, transluminal or other procedure that does not involve median sternotomy
    2. investigative procedures
  • Ovarian tumour of borderline malignancy / low malignant potential - with surgical removal of an ovary

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you are diagnosed with an ovarian tumour of borderline malignancy / low malignant potential that has been positively diagnosed with histological confirmation and has resulted in surgical removal of an ovary.

    For the above definition the following are not covered:

    • Removal of an ovary due to a cyst.
  • Own life in trust

    Found in:

    A life insurance taken out by someone on their own life, written in trust.

  • Owners Insurance

    Found in:

    Another term for Partner Protection or Share Protection.

  • Paralysis of limbs – total and irreversible

    Found in:

    Total and irreversible loss of muscle function to the whole of any one limb.

    This definition qualifies for an enhanced payment at claim. Your client will receive double their cover (up to a maximum of £200,000 on top of their original cover) if their claim is as a result of an accident.

  • Parkinson plus syndromes – resulting in permanent symptoms

    Found in:

    A definite diagnosis by a Consultant Neurologist of one of the following Parkinson plus Syndromes:

    • Parkinsonism-dementia-amyotrophic lateral sclerosis complex
    • Corticobasal ganglionic degeneration
    • Diffuse Lewy body disease

    There must be also permanent clinical impairment of at least one of the following:

    • motor function; or
    • eye movement disorder; or
    • postural instability; or
    • dementia

    If you’re under 45 years of age, and your claim meets this definition we will pay 1 ½ times the amount of cover. This is subject to a maximum of £200,000 more than your amount of cover.

  • Parkinson’s disease – resulting in permanent symptoms

    Found in:

    A definite diagnosis of Parkinson’s disease by a Consultant Neurologist. There must be permanent clinical impairment of motor function with either associated tremor or muscle rigidity.

    For the above definition the following are not covered:

    • Parkinsonian syndromes/Parkinsonism.

    This definition qualifies for an enhanced payment. Your client will receive 150% of their original cover (up to a maximum of £200,000 on top of their original cover) if they’re diagnosed before the age of 45.

  • Partial loss of hearing

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you suffer permanent and irreversible loss of hearing to the extent that the loss is greater than 70 decibels but less than 90 decibels across all frequencies in the better ear using a pure tone audiogram.

  • Partial loss of sight – permanent and irreversible

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you suffer permanent and irreversible loss of sight to the extent that even when tested with the use of visual aids, vision is measured at 6/60 or worse in the better eye using a Snellen eye chart, or visual field is reduced to 20% or less of arc as certified by an Ophthalmologist.

  • Partial third degree burns – covering 10% of the body’s surface area or affecting 25% of the area of the face or head

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you suffer burns that involve damage or destruction of the skin to its full depth through to the underlying tissue and covering at least 10% of the body’s surface area or affecting 25% of the area of the face or head.

  • Partner Protection

    Found in:

    A life insurance arrangement put in place by partners to protect the ownership of their partnership.

  • Partnership

    Found in:

    A partnership is defined as the relationship that exists between persons carrying on business with a view to a profit.

  • Partnership Protection

    Found in:

    A life insurance arrangement put in place by partners to protect the ownership of their partnership

  • Pneumonectomy – removal of an entire lung

    Found in:

    The undergoing of surgery to remove an entire lung for disease or trauma.

    The following are not covered:

    • Partial removal of a lung (lobectomy) or lung resection or incision.

    If your claim doesn’t meet the definition above you may still be able to claim on our additional payment condition – Removal of one or more lobe(s) of the lung. Please see condition 61 in the additional payment conditions section of the policy conditions.

  • Probate

    Found in:

    The legal process in England, Wales and Northern Ireland of confirming who can deal with an estate after someone dies, before the assets of the estate can be distributed according to the terms of the will, or if there is no will, the rules of intestacy. Probate in Scotland is governed by Scots law.

  • Progressive Supranuclear Palsy – resulting in permanent symptoms

    Found in:

    A definite diagnosis, by a Consultant Neurologist, of Progressive Supranuclear Palsy.

    There must be permanent clinical impairment of eye movement and motor function with associated tremor, rigidity of movement and postural instability.

    If your client is under 45 years of age, and their claim meets the above definition we will pay 1 ½ times the amount of cover. This is subject to a maximum of £200,000 more than their amount of cover

  • Prostate cancer

    Found in:

    We will pay the lower of 25% of the amount of cover and £25,000 if your client is diagnosed with a tumour of the prostate gland histologically classified as having a Gleason score between 2 and 6 inclusive provided:

    • the tumour has progressed to at least clinical TNM classification T1N0M0; and
    • treatment included the complete removal of the prostate gland or external beam or interstitial implant radiotherapy, or High Intensity Focused Ultrasound, or Hormone therapy, or Cryotherapy.

    For the above definition, the following are not covered:

    • Experimental treatments, or
    • Observation
  • Pulmonary artery surgery – for disease only

    Found in:

    The undergoing of surgery on the advice of a Consultant Cardiologist for disease of the pulmonary artery to excise and replace the diseased pulmonary artery with a graft.

  • Relevant Life Cover

    Found in:

    A tax-efficient life insurance policy offered by companies to provide death-in-service benefits to their employees. This is sometimes referred to as a Relevant Life Policy.

  • Removal of one or more lobe(s) of the lung – for disease or trauma

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you undergo the removal of the whole of one or more lobes of the lung due to underlying disease or trauma. The surgery must be carried out on the advice of a Consultant Physician.

  • Settlor (trusts)

    Found in:

    The person or people who sets up the trust and chooses the trustees to administer the trust and decide who the beneficiaries will be.

  • Severe Crohn’s disease* – surgically treated

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you have been diagnosed with Crohn’s disease with fistula formation and intestinal strictures.

    A definite diagnosis must have been confirmed by a Consultant Gastroenterologist of Crohn’s disease, with fistula formation and intestinal strictures.

    There must have been two or more bowel segment resections on separate occasions. There must also have been evidence of continued inflammation with ongoing symptoms, despite optimal therapy with diet restriction, medication use, and surgical interventions.

    We won’t pay a claim under this condition if we have already paid a claim for Severe ulcerative colitis (policy conditions, Condition 63)

  • Severe lung disease

    Found in:

    Confirmation by a Consultant Physician of severe lung disease where there is permanent impairment of lung function evidenced by all of the following:

    • The need for daily oxygen therapy for at least 15 hours per day for a minimum of six months, and
    • Forced Vital Capacity (FVC) being less than 50% of normal, and
    • Forced Expiratory Volume at 1 second (FEV1) being less than 40% of normal.
  • Severe ulcerative colitis* – with operation to remove the entire large bowel

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if you have been diagnosed with severe ulcerative colitis and have undergone an operation to remove the entire large bowel (total colectomy)

    A definite diagnosis of ulcerative colitis must have been confirmed by a Consultant Gastroenterologist

    We won’t pay a claim under this condition if we have already paid a claim for Severe Crohn’s disease (See the policy conditions Condition 62)

  • Share Protection

    Found in:

    A life insurance arrangement put in place by shareholders to protect the ownership of their business. The policy can also include critical illness cover. This is sometimes called Shareholder Protection.

  • Shareholder Protection

    Found in:

    A life insurance arrangement put in place by shareholders to protect the ownership of their business.

  • SME

    Found in:

    A small to medium enterprise - a business with 0 - 250 employees.

  • Sole trader

    Found in:

    An unincorporated business owned by one person that may or may not have employees

  • Sole trader insurance

    Found in:

    Another term for Key Person cover. If the sole trader dies, the proceeds from Key Person cover can be used to clear business debt (which would otherwise be inherited by the sole trader’s next of kin).

  • Stroke – of specified severity

    Found in:

    Death of brain tissue due to inadequate blood supply or haemorrhage within the skull that has resulted in all of the following evidence of stroke:

    • Neurological deficit with persisting clinical symptoms lasting at least 24 hours; and
    • Definite evidence of death of tissue or haemorrhage on a brain scan

    For the above definition, the following are not covered:

    • Transient ischaemic attack
    • Death of tissue of the optic nerve or retina /eye stroke.
  • Succession planning

    Found in:

    A process for identifying key and important people within the business with a view to having a clear plan in place should one of them leave, become critically ill, or die.

  • Surgical removal of an eyeball

    Found in:

    Surgical removal of a complete eyeball as a result of injury or disease.

    For the above definition the following is not covered:

    • Self inflicted injuries

    If the cause of your claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than the amount of cover.

  • Systemic Lupus Erythematosus

    Found in:

    A definite diagnosis of systemic lupus erythematosus (SLE) by a Consultant Rheumatologist resulting in:

    • permanent impaired renal function evidenced by a glomerular filtration rate below 30ml/min/1.73m2 and
    • urinalysis showing proteinuria or haematuria; or
    • permanent neurological deficit evidenced by one of the following persisting clinical symptoms – paralysis, localised weakness, dysarthria (difficulty with speech), dysphagia (difficulty in swallowing), difficulty in walking or lack of co-ordination.

    For the purposes of this definition:

    • seizures, headaches, fatigue, lethargy or any symptoms of psychological or psychiatric origin will not be accepted as evidence of permanent neurological deficit.
  • Tax

    Found in:

    Business Protection can offer potential income tax, capital gains tax (CGT), corporation tax and inheritance tax (IHT) relief.

  • Terminal illness - where death is expected within 12 months

    Found in:

    A definite diagnosis by the attending Consultant of an illness that satisfies both of the following:

    • The illness either has no known cure or has progressed to a point where it cannot be cured; and
    • In the opinion of the attending Consultant, the illness is expected to lead to death within 12 months.
  • test

    Found in:

    This is the main content for the glossary item

  • Testicular carcinoma in-situ – requiring surgery to remove at least one testicle

    Found in:

    We will pay the lower of 12.5% of the amount of cover and £12,500 if your client is diagnosed with, and have specified treatment of carcinoma in-situ of the testicle (also known as intratubular germ cell neoplasia unclassified or ITGCNU), histologically confirmed by biopsy, and as a result treated with orchidectomy (complete surgical removal of the testicle).

  • Third degree burns – covering 20% of the body’s surface area or affecting 50% of the area of the face or head

    Found in:

    Burns that involve damage or destruction of the skin to its full depth through to the underlying tissue and covering at least 20% of the body’s surface area or affecting 50% of the area of the face or head.

    This definition qualifies for an enhanced payment at claim. Your client will receive double their cover (up to a maximum of £200,000 on top of their original cover) if their claim is as a result of an accident.

    If their claim doesn’t meet the definition above they may still be able to claim on our additional payment condition – Partial third degree burns. Please see condition 59 in the additional payment conditions section of the policy summary.

  • Total permanent disability – of specified severity

    Found in:

    Your Policy Schedule states whether this is included and, if so, which of the following types of cover applies.

    This condition is not covered under children’s cover.

    Although you don’t need to tell us if you change your occupation after your policy starts, we will assess any claim based on the occupation that you were in when you became ill or had the accident which prevented you from working. We will use the type of cover shown on your Policy Schedule.

    If you are not in paid or unpaid work at the time of the claim, then the work tasks definition will apply irrespective of the cover shown on your Policy Schedule.

    • (a) Own occupation – unable to do your own occupation ever again.
    • Loss of the physical or mental ability through an illness or injury to the extent that you’re unable to do the essential duties of your own occupation ever again.

      The essential duties are those that are normally required for, and form a significant and integral part of, the performance of your own occupation that cannot reasonably be left out without affecting your ability to carry out your occupation.

      Own occupation means your trade, profession or type of work you do does for profit or pay. It is not a specific job with any particular employer and is irrespective of location and availability. The relevant specialists must reasonably expect that the disability will last throughout life with no prospect of improvement, irrespective of when cover ends or the insured person expects to retire.

      For this definition, disabilities for which the relevant specialists cannot give a clear prognosis are not covered.

    • (b) Work tasks – unable to do 3 specified work tasks ever again
    • Loss of the physical or mental ability through an illness or injury to do at least 3 of the 6 work tasks listed ever again.

      The relevant specialists must reasonably expect that the disability will last throughout life with no prospect of improvement, irrespective of when cover ends or the insured person expects to retire.

      You must need the help or supervision of another person and be unable to perform the task on your own, even with the use of specialist equipment routinely available to help and having taken any appropriate prescribed medication.

      The work tasks are:

      - Walking – the ability to walk more than 200 metres on a level surface

      - Climbing – the ability to climb up a flight of stairs and down again, using the handrail if needed

      - Lifting – the ability to pick up an object weighing 2kg at table height and hold for 60 seconds before replacing the object on the table

      - Bending – the ability to bend or kneel to touch the floor and straighten up again

      - Getting in and out of a car – the ability to get into a standard saloon car, and out again

      - Writing – the manual dexterity to write legibly using a pen or pencil, or type using a desktop personal computer keyboard

      For this definition, disabilities for which the relevant specialists cannot give a clear prognosis are not covered.

      It is important to understand that for us to pay a claim under either own occupation cover or work tasks cover, we need to be satisfied that your disability is expected to last for the remainder of your life, irrespective of when your policy ends, or when you retire.

      This means we won’t pay a claim if we determine you are only partially or temporarily disabled, or the medical evidence we have received in connection with your claim indicates that your disability is not expected to last for the remainder of your life.

      We will pay a claim if the medical evidence we have received in connection with your claim shows you have received all reasonable treatment options, these have been given a reasonable time to work, and have still failed to show any improvement in your symptoms.

      This condition is not covered under children's cover

  • Traumatic brain injury – resulting in permanent symptoms

    Found in:

    Death of brain tissue due to traumatic head injury resulting in permanent neurological deficit with persisting clinical symptoms.

    If the cause of the claim was as a direct result of an accident then we will pay twice the amount of cover. This is subject to a maximum of £200,000 more than the amount of cover.

  • Trust

    Found in:

    A trust sets aside a potential benefit to a specified person, people or charity (the beneficiaries), which is managed by a trustee or trustees and makes sure that the money from your client’s policy is paid to the right people, quickly and tax efficiently.

  • Trust deed

    Found in:

    This is the legal document that establishes and governs the trust.

  • Trustees

    Found in:

    Manage the trust fund for the beneficiaries. This includes making any claim under the policy.

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