The RL360 LifePlan is a unit linked, regular premium, whole of life insurance policy, which offers insurance for up to 2 lives assured.
RL360 says that you can choose from a range of options such as primary life cover that pays a cash sum on the death of the life assured and, if selected, critical illness cover that pays a cash sum in the event of a covered critical illness or medical procedure.
The RL360 claims that the LifePlan is a flexible life assurance protection policy which can help you in different scenarios. LifePlan helps you cover a key man in your business or yourself and can be customised to suit your individual circumstances.
Quick facts about the RL360 LifePlan:
Some of the key benefits given by RL360 for the LifePlan include:
1. Family protection:
God forbid a day should come when you are unable to provide for your family, a protection plan offers a lump sum to ensure your family and children's needs are still fulfilled, reducing the financial loss and change in circumstances and lifestyle that come with a sudden or untimely demise.
2. Protect your mortgage or loan:
The plan allows you to minimise loss caused by illness of any key business partners.
3. Protection for life or a specific period:
The RL360 LifePlan allows you to choose a cover for a specific period or the whole of life cover where a specific sum is paid out to your family upon your death.
4. Protect your business:
The LifePlan also allows you to protect your business from the loss of any staff or business partner. This minimises long-term impact of unforeseen circumstances.
5. Protect your children:
The plan can give your children a financial headstart in their education and careers says RL360.
RL360 LifePlan key features:
Key risks of the RL360 LifePlan:
While the risk would entirely depend on the initial commission agreed/setup with the adviser, the key risk factor for individuals seeking flexibility or value is in the establishment charge which pays sales costs such as adviser commissions.
This eats up all premiums for the first two years. Nothing is invested and you cannot get this money back. From year 3 to year 10, you will pay 6% pa (this alone is highly likely to wipe out any growth in funds).
From year 11 onwards, the policy holder pays 2% pa on top of other fees. Since RL360 was subject to a management buy-out and private equity cash injection, it has arguably had more ambitious international distribution policies which include the payment of very high levels of adviser commission.
This may bring with it a number of risks which potential clients should consider prior to entering a policy.
NOTE:
Additionally, here's a free guide that can help you achieve better results. In this guide, you'll learn:
We do not recommend this plan because we believe other, more cost effective and flexible options, exist.
If you already have the LifePlan from RL360, we recommend you get a Second Opinion to ensure you are on track to get and keep the life you want.
There are likely to be much more suitable solutions for you, at a far lower cost.
