RL360
LifePlan

The Isle of Man, is one of the world's leading offshore financial jurisdictions, offering international clients scope for tax efficiency.

Isle of Man has an outstanding reputation for investor protection and supervision, resulting in an AA+ risk rating from Standard & Poor’s (as at November 2012) and an AAA rating from Moody’s (as at November 2010).

Policyholders are protected by the Isle of Man Compensation of Policyholders protection scheme.

However, this does not necessarily protect individual investors from poorly suited products.

• LifePlan aims to pay a cash sum on the death or diagnosis of a defined terminal illness of the life assured.
• If selected at the beginning of the policy, LifePlan aims to pay a cash sum if the life assured is diagnosed with a covered critical illness or undergoes a covered medical procedure.

The Isle of Man does not tax any growth or income earned through your policy. So, apart from any withholding tax that may be deducted at source on income arising from investments held in some countries which cannot be reclaimed by us, your investment will grow without any further deductions of Isle of Man tax.

You can also place your protection plan within a trust, which will help you to pass your wealth on tax efficiently.

There are a few disadvantages of the RL360 LifePlan:

1. The charges RL360 deduct from your policy may be higher than those shown in your Personal Illustration.

If that happens you may have to increase your premium payments to maintain the chosen benefits.

2. Future charges may also be higher than those shown in your Personal Illustration.

For example, premium collection charges may change, or switch charges may be imposed at a later date.

3. If the investment return is less than that expected by you and your financial adviser, you may have to increase your premium payments to maintain the chosen benefits.

4. If you choose not to increase your payments and your policy value runs out your benefits will cease.

5. The value of your policy is linked to your chosen investment funds, whose value may fall as well as rise and is not guaranteed.

6. If you stop paying your premiums early your cover may cease.

7. If you take a premium holiday and your policy value drops during that time, your benefits may be at risk.

8. If you change occupation or move country this could affect the level of premiums you need to pay.

NOTE: Cover may not always be available for certain high risk jurisdictions or occupations.

This list contains an overview of the different Benefits that make up LifePlan.

1. Life Benefits: 

• Primary Life Cover:  a Benefit that pays out when the relevant Life Assured dies.
• Term Life Cover:  a Benefit that pays out if the relevant Life Assured dies during a specified period of time as detailed on your Plan Schedule.
• Terminal Illness Benefit:  some life Benefits can be claimed if the relevant Life Assured is diagnosed as terminally ill (subject to conditions and exclusions).
• Accidental Death Benefit:  a Benefit that pays out if the relevant Life Assured dies in an Accident.

2. Life Cover:

This applies to you if any of the following Benefits are detailed on your Plan Schedule:
• Primary Life Cover
• Term Life Cover

When RL360 will pay a claim - 
They will pay a claim if the Life Assured dies during the Term of the Cover.

How much they will pay - 
They will pay whichever of the following amounts is the greatest:
a) the amount detailed on your Plan Schedule; or
b) your Plan Value.

If your Plan Schedule includes Term Life Cover, they will pay, in addition to any other amount payable under condition B1 mentioned above, the amount detailed on your Plan Schedule if the claim is made within the Term of the Cover detailed on your Plan Schedule.

3. Terminal Illness Benefit:

This applies to you if any of the following Benefits are detailed on your Plan Schedule:
• Primary Life Cover
• Term Life Cover

When they pay a claim -
RL360 pay a claim if the Life Assured is diagnosed with a Terminal Illness during the Term of the Cover subject to a few sub-conditions.

How much RL360 pay - 
They pay whichever of the following amounts is the greatest:
a) the amount detailed on your Plan Schedule; or
b) your Plan Value.

4. Accidental Death Benefit:

If your Plan Schedule includes Accidental Death Benefit, RL360 will pay, in addition to any other amount payable, the amount detailed on your Plan Schedule if the claim is made within the Term of the Cover detailed on your Plan Schedule.

When they will pay a claim -
RL360 will pay a claim if the Life Assured dies wholly and exclusively as the result of an Accident within 90 days of that Accident occurring.

How much they will pay - 
RL360 will pay the amount detailed on your Plan Schedule.

5. Repatriation Benefit:

A service that provides the relevant Life Assured’s Beneficiaries with an advance on the Primary Life Cover to assist in transporting the body of the deceased Life Assured to their Home Country. This applies to you if Repatriation Benefit is detailed on your Plan Schedule.

6. Other:

Guaranteed Insurability Option is a feature that allows you to increase your Cover when certain life events happen.

You can take a break from paying premiums as long as the value of the policy is at least twice the total annual premium.

Your policy will need to have sufficient value to fund the entire premium holiday that you are taking, otherwise the benefits may be at risk.

The charges for coverage will continue and premium payment will need to be restarted after the premium holiday ends.

After allowing for charges, your money is invested in the funds of your choosing, from a range of UK authorised and international collective investment schemes.

A full list of available funds can be found in the LifePlan Investment Guide.

You can currently switch between funds free of charge and redirect future premiums into new funds whenever you want.

Under LifePlan you may hold up to 5 individual investment funds at any one time.

You can cash in part of your policy provided that the then remaining policy value is at least USD15,000.

You can also cash in your entire policy at any time after which your benefits will cease.

The fund range provides you with access to direct funds without any initial charges or bid/offer spreads. The only fund charge applied is the underlying annual management charge of the direct fund itself.

For more information read the Protection Fund Guide for LifePlan.

• If you no longer require your plan you can request to “cancel” it. If you do this during the first 2 years you will get no money back.
• After that you may receive an amount back which will depend on your payments, charges and fund growth achieved.
• You can withdraw your application at any time before they issue your plan, without charge.