IMMEDIATE AND DEFERRED CARE PLANS KEY FEATURES

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1 IMMEDIATE AND DEFERRED CARE PLANS

2 HELPING YOU DECIDE The Financial Conduct Authority is a financial services regulator. It requires us to give you this important information to help you to decide whether our Immediate and Deferred care plans are right for you. You should read this document carefully so that you understand what you are buying, and then keep it safe for future reference. WHAT IS THE PURPOSE OF THIS DOCUMENT? Terms and Conditions for Partnership s care plans are available upon request. This document is designed to give you a summary of information to help you decide if our care plans are suitable for you. You should seek professional financial advice and discuss your plans with anyone who may be affected by your financial decisions, which may include your family. Before you make a purchase, you should read this and all other related documents and clarify any questions that you may have. RETAIL CLIENTS We categorise all clients to determine the level of protection they will receive. All clients in respect of Partnership s care plans are treated as retail clients. This gives the highest level of protection under the Financial Conduct Authority rules. If you are in any doubt about the suitability of our care plans, you should clarify this with your financial adviser.

3 CONTENTS 04 IS A PARTNERSHIP CARE PLAN RIGHT FOR YOU? 04 ITS AIMS 05 YOUR COMMITMENT 05 RISKS 07 QUESTIONS AND ANSWERS 14 APPLICATION PROCESS 15 OTHER IMPORTANT INFORMATION 17 GLOSSARY OF TERMS

4 IS A PARTNERSHIP CARE PLAN RIGHT FOR YOU? Our Immediate and Deferred care plans can only pay towards the care costs of one person. Our Immediate care plan is suitable if: You currently require care on an indefinite basis; You want the certainty of payments (called Benefit Payments) towards the cost of your care for the remainder of your life; and You want Benefit Payments to a Registered care Provider to commence immediately or within 12 months. Our Deferred care plan is suitable if: You currently require care on an indefinite basis or if you anticipate the need for such care at the end of a specified period (called your Deferred Period); and You want the certainty of Benefit Payments towards the cost of your care for the remainder of your life once this Deferred Period ends. If you are already receiving care, our Deferred care plan may be suitable if you have sufficient funds to cover the cost of your care for the duration of your Deferred Period. ITS AIMS IMMEDIATE CARE PLAN DEFERRED CARE PLAN To help fund the cost of care including care at home, residential care and nursing care To start paying towards the cost of your care immediately or within 12 months To offer you the option to defer Benefit Payments for between one and five years To make these Benefit Payments gross of tax to a Registered Care Provider on your behalf To guarantee Benefit Payments to your Registered Care Provider for the remainder of your life To start making Benefit Payments gross of tax to a Registered Care Provider on your behalf, when your Deferred Period ends To guarantee Benefit Payments to your Registered Care Provider for the remainder of your life, when your Deferred Period ends To allow you to buy protection on some of the capital you invest in your Immediate care plan, in the event of early death (called capital protection) To allow you to select, at outset, the option for your Benefit Payments to increase (called escalation) to keep pace with rising care costs and inflation 04 IMMEDIATE AND DEFERRED CARE PLANS

5 YOUR COMMITMENT To pay us a single amount to purchase your care plan (called your Premium). To choose the level of Benefit Payments you want us to make. To choose whether you want your Benefit Payments to remain fixed or increase each year. To provide us with your Registered Care Provider s details. To inform us of any changes in your circumstances between the date of your application and the Commencement Date of your care plan (see contact details for general enquiries on page 16). To inform us of any changes in your details after your care plan has been set up (see contact details section on page 16). To ensure that your legal personal representative is aware that they will need to notify us promptly upon your death (see contact details section on page 16). RISKS Total Benefit Payments made by your care plan The total Benefit Payments made by your care plan may be significantly less than the Premium you paid if death occurs early in your care plan. If you die within the first six months of the Commencement Date of your care plan, we will issue a full or partial refund to your estate, depending on the month in which death occurs (see section on Money Back Guarantee on page 10). However, if you die after the first six months of your care plan s Commencement Date, there will be no return of premium to your estate (if you have not selected additional capital protection in the case of our Immediate care plan see below). Capital protection (applicable to our Immediate care plan only) The capital protection option has no cash surrender value at any time and cannot be cancelled. The capital protection sum received may be significantly less than the Premium you paid. Change in circumstances Your care plan cannot be cancelled if you are outside your 30 day cancellation notice period, which is 30 days after you receive your care plan policy documentation and there is no cash surrender value after your cancellation notice period expires. If outside your cancellation notice period your care funding needs change and you require a higher level of Benefit Payments (or you require care funding before your Deferred Period ends), you may need to fund your care from other sources or you may apply for a new Immediate care plan which starts making Benefit Payments immediately. If outside your cancellation notice period, you no longer require care or care funding, your care plan cannot be cancelled but it will lose its tax-free payment status. Payments will be made to you net of tax as your care plan will be treated as a Purchased Life Annuity for tax purposes. IMMEDIATE AND DEFERRED CARE PLANS 05

6 Meeting the cost of your care needs Benefit Payments are not guaranteed to cover the entire cost of your care. If you choose not to have your Benefit Payments increase every year, you will be responsible for funding any increases in your care costs that are in excess of your Benefit Payments. If the level of escalation you choose is less than the increase in your care costs, you will be responsible for funding the shortfall yourself. If your care plan is already making Benefit Payments and the level of escalation you choose is more than the increase in your care costs, the excess will be paid directly to you and treated as a Purchased Life Annuity and taxed in accordance with HMRC rules. Your financial adviser will explain this to you in detail. In the case of our Immediate care plan, if you choose to link your Benefit Payments to the Retail Price Index (RPI), they could increase or decrease over time, as RPI can increase or decrease. In the event of negative inflation (a decrease in RPI), your Benefit Payments would be reduced and your Immediate care plan could pay less than when your care plan first started. Your financial adviser will explain this to you in detail. Taxation and Access to State Benefits Some State Benefits are means tested and the Benefit Payments from your care plan may affect your entitlement/ability to claim. Your financial adviser will explain this to you in detail. Although Benefit Payments are not subject to taxation under current legislation, the rules governing taxation are subject to review and change in the future and depend on individual circumstances. Your financial adviser will explain this to you in detail. In the event that any payments are made to you after you die, these will be included in your estate for Inheritance Tax purposes. Your financial adviser will explain this to you in detail. In the case of our Deferred care plan, if when your Deferred Period ends you are not in receipt of care or you are not in receipt of care from a Registered Care Provider, your Benefit Payments will lose the tax-free payment status and will be made net of tax as a Purchased Life Annuity. Your financial adviser will explain this to you in detail. 06 IMMEDIATE AND DEFERRED CARE PLANS

7 QUESTIONS AND ANSWERS How do our care plans work? For a single lump sum payment (called your Premium), you purchase one of our care plans which secures a regular Benefit Payment to your Registered Care Provider for the remainder of your life, no matter how long you live. In the case of our Immediate care plan, Benefit Payments commence immediately or within 12 months of the Commencement Date of your care plan. In the case of our Deferred care plan, Benefit Payments commence when your Deferred Period ends (after one to five years). We will write to you three months before the end of your Deferred Period to confirm your Registered Care Provider details. You must select your Deferred Period at the outset of purchasing your Deferred care plan. Benefit Payments will be made directly to your Registered Care Provider and will be made gross of tax/tax-free. Benefit Payments are made either monthly or every 28 days. Benefit Payments are always made in advance. Our Deferred care plan: Your Deferred Period You may select between one to five years to defer your Benefit Payments. You will be responsible for covering all of your care costs during your Deferred Period. Once selected and your care plan is in force, your Deferred Period cannot be changed (neither shortened nor lengthened). Your Deferred Period must be whole years, for example, 1, 2, 3, 4 or 5 years. Your Deferred Period begins on the Commencement Date of your Deferred care plan. For example, if we receive your Premium on 15th November 2017 (Commencement Date) and you select a Deferred Period of two years, your Deferred Period will end on 14th November Benefit Payments on your Deferred care plan will commence on 15th November 2019 and will continue for the remainder of your life. When will Benefit Payments start on my care plan? Our Immediate care plan Your Immediate care plan starts on its Commencement Date. This is the date we receive your Premium. Benefit Payments to your Registered Care Provider will commence immediately once your Immediate care plan has been set up. Your first Benefit Payment will cover the period beginning on the Commencement Date of your Immediate care plan. Example: Premium received on 25th August, Immediate care plan set up on 28th August. Your first Benefit Payment will cover the period beginning on 25th August (your Commencement Date), even though your care plan may have been set up a few days later. You may choose to have your Benefit Payments start at a later date up to 12 months in the future. However, at the end of this period, a lump sum or arrears payment will be made to your Registered Care Provider. This will cover the total number of Benefit Payments that should have been paid since your Commencement Date. IMMEDIATE AND DEFERRED CARE PLANS 07

8 Payment Frequency You may choose for your Benefit Payments to be made either every calendar month or every four weeks (28 days). This must be selected at outset. Example: Benefit Payments amount: 30,000 per year. If you have chosen for your Benefit Payments to be made every calendar month, we will divide the annual amount into 12 equal payments 30,000/12 = 2,500 per calendar month. If you have chosen for your Benefit Payments to be made every four weeks or 28 days, we will divide the annual amount into 13 equal payments 30,000/13 = 2, Your Commencement Date may not necessarily be the 1st of the month but the date we receive your Premium. However, if your Benefit Payments are made on a monthly basis (as opposed to every 28 days or four weeks) you may choose for your Benefit Payments to be paid on a specific day in the month, such as the 1st of the month (if this is the date your care fees are due). In this case, if your Commencement Date is the 25th August and you require your Benefit Payments to be made on the 1st September, we will make the first Benefit Payment on the 1st September. This will be the Benefit Payment for the month of September, but it will also include the amount covering from your Commencement Date (25th August) to the 31st August. Each subsequent Benefit Payment will be made on the 1st day of the month and will cover the entire month. We will write to your Registered Care Provider to give them the breakdown of your Benefit Payments. How can I protect against the rising cost of Care? Escalation Your Benefit Payments will remain the same each year unless you choose for them to increase each year (called escalation). You may choose to have your Benefit Payments increase each year from 1% to 8% in whole percentages (1%, 2%, 3%, 4%, 5%, 6%, 7%, 8%). By default, the first time your Benefit Payments will escalate will be on the first anniversary of the Commencement Date of your Immediate care plan. Example: If your care plan has a Commencement Date in August, your Benefit Payments will first escalate in August of the following year. You may also choose for your Benefit Payments to increase in a specific month, other than the anniversary of your care plan, such as April, when most care providers increase their Care fees. In that case, your Benefit Payments will increase each April by the percentage you have selected. Example 1: If your Commencement Date is in August and you choose an escalation month of November, your Benefit Payments will first escalate in November of the same year in which your care plan was set up and then each November thereafter. Example 2: If your Commencement Date is in August and you choose an escalation month of April, your Benefit Payments will first escalate in April of the following year. Escalation must be selected at the outset of setting up your care plan and cannot be changed or removed once your care plan has been set up. For example, if you choose to receive Benefit Payments of 30,000 per annum with escalation of 5% on the anniversary of your care plan: Your new monthly Benefit Payment will rise by 5% from 2,500 to 2,625, if your care plan pays monthly. Your new 28 day Benefit Payment will rise by 5% from 2, to 2,423.08, if your Benefit Payments are paid every four weeks or 28 days. This method will be used each year to calculate your escalation and your Benefit Payments will escalate in the same month each year. 08 IMMEDIATE AND DEFERRED CARE PLANS

9 In the case of our Deferred care plan, the Benefit Payments you have selected will increase during your Deferred Period even though Benefit Payments to your Registered Care Provider have not yet commenced. Therefore, when Benefit Payments to your Registered Care Provider start, they will be at the relevant escalated amount. Retail Price Index (RPI) (Only available on the Immediate care plan) On our Immediate care plan, you have the option to link your Benefit Payments to the Retail Price Index (RPI). If you choose to link your Immediate care plan to the RPI, this would mean that your Benefit Payments would be based on the 12 (twelve) month movement in the RPI as at three months prior to your care plan s anniversary date, with the adjustments coming into effect on the anniversary of your Commencement Date. Please note: The RPI option cannot be selected in conjunction with capital protection or the fixed escalation options. What are the charges? All of our administration charges are factored into the cost of your care plan at the outset and we will not make any additional charges. Adviser Charge If your financial adviser makes a charge for advice given (called adviser charge), we are able to facilitate this payment on your behalf. This will be added to your Premium. Alternatively, you may make this payment directly to your financial adviser. Details of any adviser charge to be made to your adviser or other intermediary will be shown on your quotation. Can I make changes to my care plan after it has been set up? Once your care plan has been set up, it cannot be changed. If subsequent to setting up your care plan you require additional Benefit Payments, you may purchase an additional Partnership Immediate care plan or an alternative income-generating financial product in the open market, to make up the shortfall in your care fees. Any additional Partnership care plan will require a new application and will be medically underwritten to ensure that the cost reflects your age and health conditions. Can I cancel my care plan? If you change your mind for whatever reason, you have the right to cancel your care plan within 30 days of receiving your care plan policy documentation. This is called your cancellation notice period. You cannot cancel your care plan once this 30 day period has expired. Cancelling your Immediate care plan If you choose to exercise your cancellation rights, we will return 100% of your Premium less any Benefit Payments we have made to your Registered Care Provider and any adviser charge we may have facilitated on your behalf. Example: Premium 100,000 + Adviser Charge 5,000 = Total Purchase Price 105,000 First month s Benefit Payment made to your Registered Care Provider = 2,500 We will return the sum of 97,500 to you ( 100,000-2,500) Cancelling your Deferred care plan If you choose to cancel your Deferred care plan, we will return 100% of your Premium less any adviser charge we may have facilitated on your behalf. IMMEDIATE AND DEFERRED CARE PLANS 09

10 Example: Premium 100,000 + Adviser Charge 5,000 = Total Purchase Price 105,000 We will return the Premium of 100,000 to you We can only return this amount to the original source from which it came. If we were paid by cheque from your own bank account, we will return the Premium to that account. What happens if I go into hospital if my care plan is making Benefit Payments? If your Registered Care Provider requires you to continue paying Care fees in order to reserve your place at the care home, we will continue making Benefit Payments while you are in hospital. Otherwise we will suspend your Benefit Payments during this time. When you return to your Registered Care Provider or move to a new Registered Care Provider, we will recommence making Benefit Payments. The first Benefit Payment will include an arrears payment for the period in which you were hospitalised and not receiving any Benefit Payments. If you would like to receive your Benefit Payments into your own bank account while you are in hospital, we can make them directly to you, but this would mean losing the tax-free payment status, as your care plan would be converted into a Purchased Life Annuity. If you decide to do this, you will be able to re-convert it to a care plan to pay a Registered Care Provider at a later date. (Your financial adviser will explain this to you in more detail). Please see contact details section on page 16 if you would like further information. What happens if I no longer need Care? If while receiving Benefit Payments, you leave care at any time in the future, for whatever reason, you must tell us because we would need to cease making Benefit Payments to your Registered Care Provider. We can then make Benefit Payments directly to you but your care plan would lose its tax-free payment status as it is converted into a Purchased Life Annuity. However, we will be able to re-convert it to a care plan to pay a Registered Care Provider at a later date. Please see contact details section on page 16 if you wish to contact us for further information. What happens to my care plan when I die? Your care plan ceases immediately upon your death and no further Benefit Payments will be made. Your next of kin or legal personal representative must let us know immediately of your death either by telephone or in writing. See contact details section on page 16. If you die within the first six months of the Commencement Date of your care plan, a percentage of your Premium will be returned to your estate. See section on Money Back Guarantee below. If you die after six months of the Commencement Date of your care plan, there will be no payment to your estate unless you choose capital protection (available on an Immediate care plan only), which may return a percentage of your Premium to your estate, should there be a residual capital protection Sum when you die. See capital protection section on page 12. Any Benefit Payments made by us after your death as a result of us not being notified will be treated as an Overpayment. It is the responsibility of your estate to repay any Overpayments to us and we will request any such payment from the Executor/Administrator of your estate. Overpayments must be repaid in full. Can I protect my investment? Money Back Guarantee ( MBG ) We offer a Money Back Guarantee as standard on all our care plans during the first six months of their Commencement Date. This feature cannot be removed. However, there is no extra charge to you. 10 IMMEDIATE AND DEFERRED CARE PLANS

11 If you die within the first six months of the Commencement Date of your care plan, we will return a percentage of your Premium to your estate as detailed in Table 1 for our Immediate care plan and Table 2 for our Deferred care plan. Money Back Guarantee on our Immediate care plan Example: If your Premium costs 100,000 and you die within the first month, we will return 100% of the Premium to your estate less the first month s Benefit Payment we would have made to your Registered Care Provider. Month 1 starts on the Commencement Date of your Immediate care plan. Therefore, if the Commencement Date is 25th August, month 1 will start on 25th August and end at 23:59 hours on the 24th September. Months 2 through 6 will be calculated in the same way. The amount that will be returned to your estate will be 50% if you die within the second or third month of the Commencement Date of your Immediate care plan. If death occurs in months 2 or 3, the Benefit Payments for months 1 and 2 (and 3, if applicable) will be deducted from the Money Back Guarantee amount that we return to your estate. See Table 1 for details. As in the example above, month 2 starts on the 25th September and ends at 23:59 hours on the 24th October. If death occurs between months 4 and 6 of the Commencement Date of your Immediate care plan, 25% of your Premium will be returned to your estate. As above, the total Benefit Payments made up until the date of death will be deducted from the Money Back Guarantee Sum due to your estate. If death occurs after the sixth month, there will be no return of Premium to your estate. TABLE 1: CALCULATION OF MONEY BACK GUARANTEE IMMEDIATE CARE PLAN PREMIUM MONTHLY BENEFIT MONTH MBG % TOTAL BENEFIT PAYMENTS MADE TO DATE MBG CALCULATION MBG AMOUNT RETURNED TO YOUR ESTATE 1 100% 100,000 (100% of 100,000) 2, ,000 2,500 MBG % less Total Benefit Payments Made 97, % 50,000 (50% of 100,000) 5,000 (2 months payments) 50,000 5,000 MBG % less Total Benefit Payments Made 45, ,000 (No adviser charge) 2,500 in advance 3 50% 4 25% 50,000 (50% of 100,000) 25,000 (25% of 100,000) 7,500 (3 months payments) 50,000 7,500 42,500 10,000 25,000 10,000 15, % 25,000 (25% of 100,000) 12,500 25,000 12,500 12, % 25,000 (25% of 100,000) 15,000 25,000 15,000 10,000 IMMEDIATE AND DEFERRED CARE PLANS 11

12 Money Back Guarantee on our Deferred care plan Example: If your Premium costs 100,000 and you die within the first month, we will return 100% of the Premium. Month 1 starts on the Commencement Date of your Deferred Care Plan (not from the Commencement of the deferred period). Therefore, if the Commencement Date is 25th August, month 1 will start on 25th August and end at 23:59 hours on the 24th September. Months 2 through 6 will be calculated in the same way. TABLE 2: MONEY BACK GUARANTEE DEFERRED CARE PLAN MONTH MBG DUE % EXAMPLE 1 100% 100, % 50, % 50, % 25, % 25, % 25,000 Capital protection (only available on our Immediate care plan) If you wish to protect your investment for longer than the initial six months Money Back Guarantee period, capital protection is an option that is available on our Immediate care plan. This is sold as a separate Decreasing Term Assurance policy and will incur an additional cost. Capital protection allows you to protect between 1% to 75% of your Premium (in whole percentages). Examples of capital protection options are: 1%, 2%, 10%, 22%, 25%, 50%, 60%, 74%, 75%. The percentage of your Premium that you choose to protect is called your capital protection sum, which you select at outset. As capital protection is a Decreasing Term Assurance policy, it means that your capital protection sum decreases in line with the Benefit Payments made by your care plan. The longer your Immediate care plan runs, the higher the number of Benefit Payments made, thereby reducing the capital protection sum that is likely to be returned to your estate. Capital protection, therefore, may not be of benefit to someone who is expected to live very long (unless a very high capital protection sum is selected), as there is a risk that the Benefit Payments made will be greater than the capital protection sum. If this happens, there will be no return of Premium to their estate. Table 3 shows how capital protection is calculated. Monthly Benefit Payments: 2,500 Escalation: 5% Premium: 100,000 Capital protection: 40% Capital protected sum: 40,000 (40% of 100,000) 12 IMMEDIATE AND DEFERRED CARE PLANS

13 TABLE 3: CALCULATION OF CAPITAL PROTECTION MONTH BENEFIT PAYMENTS TOTAL BENEFIT PAYMENTS MADE CAPITAL PROTECTED SUM REMAINING CAPITAL PROTECTED SUM MONEY BACK GUARANTEE 1 2,500 2,500 40,000 37,500 97, ,500 5,000 40,000 35,000 45, ,500 7,500 40,000 32,500 42, ,500 10,000 40,000 30,000 15, ,500 12,500 40,000 27,500 12, ,500 15,000 40,000 25,000 10, ,500 17,500 40,000 22, ,500 20,000 40,000 20, ,500 22,500 40,000 17, ,500 25,000 40,000 15, ,500 27,500 40,000 12, ,500 30,000 40,000 10, ,625 32,625 40,000 7, ,625 35,250 40,000 4, ,625 37,875 40,000 2, ,625 40,500 40, After 15 months of Benefit Payments, there will be no capital protection sum left to return to your estate. Like the Money Back Guarantee, capital protection is calculated from the Commencement Date of your Immediate care plan. Therefore, for your benefit, if death occurs in the first six months of your care plan, we will calculate which of the two (Money Back Guarantee and capital protection) returns the higher sum and pay that amount to your estate. In this example, if death occurred in the first three months of Commencement Date, Money Back Guarantee will be paid as it is higher than the remaining capital protection sum. If death occurs after month three, capital protection will be paid as it exceeds the Money Back Guarantee due. IMMEDIATE AND DEFERRED CARE PLANS 13

14 APPLICATION PROCESS Partnership s care plans can only be sold through an authorised financial adviser. You should seek financial advice if you are considering one of our care plans. 1. Application: Your financial adviser sends us a completed application form (a Power of Attorney may apply on your behalf) giving us details of your care costs, escalation, adviser charge and other details relating to your care. 2. Medical Evidence/Underwriting: You give us permission to approach your GP and/or Care Provider for your medical records in order to medically underwrite your case: a. We write to your GP for a report which gives details about your health. b. We may also write to your care home manager for a report on your ability to perform your day-to-day activities. If you are not receiving care, this report will not be applicable. 3. Quotation: We will issue you with a quotation and offer you terms which we will send to your financial adviser. 4. Acceptance: Your financial adviser will discuss your quotation with you and/or your Power of Attorney and if you think the care plan is right for you, you accept the care plan. 5. Completion: You send us the Premium and other documents to set up your care plan. 6. Care plan issue: We set up your care plan and send you policy documentation. 7. *Deferred Period: During the Deferred Period, you are responsible for paying your own Care costs. 8. Active Benefit Payment Period: Benefit Payments to your Registered Care Provider will commence and continue for the remainder of your life. Any shortfall between the Benefit Payments made by your care plan and your care fees will have to be paid by you. If your care fees are less than your Benefit Payments the excess will be treated as a Purchased Life Annuity. 9. Policy end: Your care plan will end upon your death. *Applicable only to our Deferred care plan 14 IMMEDIATE AND DEFERRED CARE PLANS

15 OTHER IMPORTANT INFORMATION Law Your care plan will be governed by English law and is subject to the exclusive jurisdiction of the Courts of England and Wales. However, if you are a resident in Northern Ireland you can also bring proceedings in Northern Ireland, and if you are a resident in Scotland, you can also bring proceedings in Scotland. Your policy documentation will be written in English and we will always write and speak to you in English. Compensation The Financial Services Compensation Scheme will prevent a customer from losing money because the insurer is unable to pay them what they owe due to financial reasons. In this event, they will arrange to transfer your care plan to another insurer, provide a new plan or, if this is not possible, provide compensation. The scheme will ensure you will continue to receive 100% of your Benefit Payments. Further information about compensation arrangements is available from The Financial Services Compensation Scheme, who can be contacted at: Financial Services Compensation Scheme 10th Floor, Beaufort House, 15 St. Botolph Street, London EC3A 7QU Website: fscs.org.uk/contact-us Complaints If your complaint is in relation to the financial advice you received then you should contact your adviser in the first instance. If your complaint is in relation to any aspect of our products or services please contact: The Quality Assurance Team, Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey, RH2 7RU Telephone: If you are not satisfied with the way your complaint is handled, you can contact: Financial Ombudsman Service Exchange Tower, London E14 9SR Telephone: (calls to this number are now free on mobile phones and landlines) (calls to this number cost no more than calls to 01 and 02 numbers) complaint.info@financial-ombudsman.org.uk Website: Making a complaint does not affect your right to take legal action. Full written details of our complaints procedure can be found at: wearejust.co.uk/your-money/protection-and-regulation/making-a-complaint/ To see our Solvency and Financial Condition Report, please visit justgroupplc.co.uk/investors/resultsand-presentations/regulatory-returns IMMEDIATE AND DEFERRED CARE PLANS 15

16 How to contact us For general enquiries contact us: Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey RH2 7RU Tel: Web: wearejust.co.uk If you need to contact us AFTER your care plan has been set up to tell us about: Changes in your details, such as Care Provider or Power of Attorney details If you are hospitalised The death of the policyholder Money Back Guarantee Overpayments/underpayments Address: Partnership Unit 11B McMullen Road Darlington DL1 1AX Telephone: Please use your care plan number starting with DA, LA or CP This document does not include all definitions, exclusions or terms and conditions and it should be read with your illustration/quotation and/or your policy documentation. Policy documentation is available on request. All details are correct at the time of going to press (December 2016). 16 IMMEDIATE AND DEFERRED CARE PLANS

17 GLOSSARY OF TERMS Adviser Charge The amount you agree to pay your financial adviser for any advice given to you. Benefit Payments The amount that we will pay to your Registered Care Provider for the remainder of your life. If you choose escalation, this amount will increase each year. Cancellation Notice Period You have 30 days from the date you receive your care plan policy documentation to cancel your care plan. You must return a fully completed cancellation notice to us during this period. Capital Protection This feature allows you to buy protection of some of the capital you invested in your Immediate care plan. You can protect up to 75%. Care Normally referred to as Long Term Care, this is assistance provided to you on an ongoing basis for the remainder of your life because you are unable to take care of yourself and your conditions are not likely to improve. Commencement Date The date on which we receive your Premium. This is the date from which your cover will start. Decreasing Term Assurance In terms of Partnership s Immediate care plan, the capital protection sum decreases in line with the level of Benefit Payments made to a Registered Care Provider. As the number of Benefit Payments increases, the capital protection sum decreases until it reaches zero. Deferred Period This is the period you select, from one to five years, in which you forgo any Benefit Payments. During this period, you are responsible for covering your own care costs. Escalation The percentage by which your Benefit Payments will increase each year if you so choose. Gross of Tax/Tax-Free The value of your Benefit Payments before any taxes due have been deducted. Money Back Guarantee We promise to return a proportion of your Premium to your estate if you die within the first six months of your care plan Commencement Date. Overpayment If we make Benefit Payment to your Registered Care Provider after you have died or changed care providers because your estate or you have not informed us, such a payment will be classed as an Overpayment and must be returned to us. IMMEDIATE AND DEFERRED CARE PLANS 17

18 Premium The cost of your care plan (this figure does not include your adviser charge). Purchased Life Annuity An annuity that is bought with an individual s own capital but is subject to tax. Registered Care Provider In order to qualify for tax-free Benefit Payments, you must be receiving care from a care provider which is registered with one of the following Care Authorities in the UK: Care Quality Commission (CQC) in England Care and Social Services Inspectorate Wales (CSSIW) in Wales Scottish Commission for Regulation of Care in Scotland Regulation & Quality Improvement Authority (RQIA) in Northern Ireland Retail Price Index (RPI) Official measure of the general level of inflation as reflected in the retail price of a basket of goods and services. 18 IMMEDIATE AND DEFERRED CARE PLANS

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20 Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey RH2 7RU * wearejust.co.uk *All calls are recorded for training and monitoring purposes. If you require this document in an alternative format please contact us. Partnership is a trading style of the Partnership group of Companies, which includes; Partnership Life Assurance Company Limited (registered in England and Wales No ). Partnership Life Assurance Company Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Part of Just Group plc. LTC1552B 11.17