The development and overview of all new products, any significant changes to an existing product and all product reviews are governed by our product governance framework.
This includes an ongoing monitoring of each product to assess that the product’s fair customer value complies with the Financial Conduct Authority’s (FCA) requirements. Unum will specifically review the fair value of all its products on an at least annual basis.
Unum has produced specific information on each product in our range to enable distributors to understand the value of a particular product. This includes providing distributors with information on the target market for each of our products.
For example:
Unum may from time to time request information from our distributors to allow us to assess the ongoing fair value of the products and in particular to identify and remedy potential gaps and weaknesses in the product distribution chain. Information Unum may request from our distributors regarding Unum products may include:
Select each product from the drop down menu below to see how Unum is working to ensure fair value specifically relating to that product.
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment, as they are intended to provide similar cover and outcomes for customers, and the target markets are consistent other than for the minimum number of employees as described below. Where there is potential for a product variant to have a different impact on value, this has been considered within the review:
Overall value rating: Provides fair customer value.
Date published: September 2023.
Group Income Protection cover meets the demands and needs of an employer who wishes to provide financial support to their employees if they cannot work due to illness or injury beyond the period outlined in their policy (the deferred period), by paying a proportion of their salary as a monthly benefit.
Product features
Key exclusions
We aim to have a balanced book of business across small, medium, and large employers.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment, as they are intended to deliver similar cover and outcomes for customers and the target markets are consistent (other than for the minimum number of employees as described below). Where there is potential for a product variant to have a different impact on value, this has been considered within the review:
Overall value rating: Provides fair customer value.
Date published: September 2023.
The policy meets the demands and needs of an employer who wishes to provide a lump sum payment, either a multiple of salary or a fixed amount for a member’s dependants if the member dies.
Product features
Key exclusions
We aim to have a balanced book of business across small, medium and large employers.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment, as they are intended to provide similar cover and outcomes for customers, and the target markets are consistent (other than for the minimum number of employees as described below). Where there is potential for a product variant to have a different impact on value, this has been considered within the review:
Overall value rating: Provides fair customer value.
Date published: September 2023.
Group Critical Illness cover meets the demands and needs of an employer who wishes to provide a tax-free lump sum benefit if a member is diagnosed with one of the defined medical conditions or undergoes (or, where applicable, is placed on an official UK waiting list for) one of the surgical procedures covered under the policy.
For benefit to be payable:
Product features
Key exclusions
* For Simplicity Critical Illness, members’ medical histories will not prevent claims for events arising after they join.
We aim to have a balanced book of business across small, medium, and large employers.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment, as they are intended to deliver similar cover and outcomes for customers, and the target markets are consistent (other than for the minimum number of employees as described below). Where there is potential for a product variant to have a different impact on value, this has been considered within the review:
Overall value rating: Provides fair customer value.
Date published: September 2023.
Dental Cover meets the demands and needs of an employer who wishes to provide employees and their dependants (where covered) reimbursement towards the costs of routine and essential dental treatment.
Product features
Key exclusions
We aim to have a balanced book of business across small, medium, and large employers.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
The customer can use the policy under the circumstances they expect.
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbookand the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment as the products are intended to deliver similar cover and outcomes for customers and the target markets are consistent (other than for the minimum number of employees as described below). Where there is potential for a product variant to have a different impact on value, this has been considered within the review.
Overall value rating: Provides fair customer value.
Date published: September 2023.
Optical Cover from Unum Dental can help employees and their dependants maintain good eye health by providing cover towards regular eye exams, as well as providing help towards the cost of frames and lenses, including contact lenses.
Product features
Key Exclusions
We aim to have a balanced book of business across small, medium and large employers.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
Sick Pay Insurance meets the demands and needs of an employer who wishes to provide short-term financial support to their employees if they cannot work due to illness or injury beyond the period outlined in their policy (the deferred period), by paying a proportion of their salary as a monthly benefit.
This product was closed to new employers from 1st May 2022 but allows new employees to join existing employer policies and for employers to renew cover.
Existing customers were migrated from a self-serve administration platform to our core operating platform in January 2023.
Overall value rating: Provides fair customer value.
Date published: September 2023.
Product features
Key exclusions
We aim to have a balanced book of business across small, medium and large employers.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment as they are intended to deliver similar cover and outcomes for customers and the target markets are consistent (other than for the minimum number of employees as described below). Where there is potential for a product variant to have a different impact on value, this has been considered within the review.
Overall value rating: Provides fair customer value.
Date published: September 2023.
These policies are individual (retail) products, which provide the policyholder and their dependants (where covered) reimbursement towards the costs of routine and essential dental treatment.
Product features
Key exclusions
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
The customer can use the product under the circumstances they expect.
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The following policy types have been grouped together for the purposes of this assessment as the products are intended to deliver similar cover and outcomes for customers and the target markets are consistent (other than any differences described below). Where there is potential for a product variant to have a different impact on value, this has been considered within the review.
IIP business closed to new business in 2012 and EIP closed to new business in 2022.
Overall value rating: Provides fair customer value.
Date published: September 2023.
Income Protection meets the demands and needs of an individual who wishes to protect their income if they cannot work or lose essential abilities due to illness or injury beyond the period outlined in their policy (the deferred period) by paying them a monthly benefit.
Product features
Key exclusions
The target market for IIP prior is anyone who:
The target market for EAC is higher risk occupations (where traditional Income Protection is not available or may be prohibitively expensive) or those who do not have an occupation.
The target market for EIP is:
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
This review assesses whether the product provides fair customer value as required under FCA Policy Statement (PS21/5), which includes feedback to CP20/19 and the final rules, and the updated governance requirements in section PROD 4.2 of the FCA handbook and the requirements of Consumer Duty PS22/9.
The product provides a guaranteed cash lump sum if the policyholder is diagnosed with a medical condition or undergoes one of the specified surgical procedures and survives the event by at least 14 days.
For benefit to be payable:
The product closed to new business in 2012.
Overall value rating: Provides fair customer value.
Date published: September 2023.
Product features
Key exclusions
The target market is individuals between the ages of 16-65 who require Critical Illness Cover.
The product is not suitable for:
The product is shown to continue to provide good value to our target customers in each of the following measures of customer value:
This rating is based on metrics and data including:
In case of any questions regarding this Fair Value Statement, please contact us by the email below