Julie Higman, income protection product manager of Aviva, says reviews of income protection needs should take place annually or if the client advises their circumstances have changed.
She says Aviva sends out annual review documents to all customers as their circumstances may have changed financially.
Martin Sincup, income protection manager of LV, says a review should existing earnings, employer sickness arrangements, savings and household income should be reviewed whenever there is a change in circumstance.
He says advisers will also need to discuss how long they will need the cover for and for what situations.
Mr Sincup says: “It is essential that advisers carefully consider the definition of incapacity of each policy as this varies.
“Taking out an income protection policy, which includes the ‘own occupation’ definition of incapacity means that an insurer would pay out if a person was unable to work in their current occupation.
“However a policy that uses the ‘suited occupation’ definition of incapacity provides a reduced degree of cover as the insurer may ask the client to work in an occupation for which you are suited.”
