Immediate Care Fees Plan

Annuity Policy Document

Definitions

Advance

The first payment of the annuity will be due on the Commencement Date with subsequent payments made at the chosen payment frequency of every 4 weeks, monthly, quarterly, half-yearly or yearly.

Annuitant

The person who satisfies the eligibility requirements set out at sections 2.1 (a), (b) and (c) in this policy, who is receiving care and whose name is set out in the schedule to this policy.

Application

The forms you signed to take out this policy. On them you provided personal information and details of the policy that the Annuitant wanted.

Arrears

The first payment of the annuity will be made at the end of the first four week period, month, quarter, half year or year after the Commencement Date, depending on the frequency of payments chosen with subsequent payments made at the chosen payment frequency.

Benefit or Benefits

The sums payable under this policy to a Care Provider.

Cancellation Period

The period expiring 30 days after the Commencement Date (as defined in paragraph 10.2 and the schedule to this policy).

Care

The services provided by the Care Provider.

Care Home

An independent establishment providing care which is regulated by and registered with the National Care Standards Commission (or its replacement or successor or other appropriate body) under the Care Standards Act 2000, or the Registered Homes Act 1994 (as amended), or other appropriate legislation.

Care Provider

An independent person or company who or which is regulated by and registered with the National Care Standards Commission (or its replacement or successor or other appropriate body) under the Care Standards Act 2000, or the Registered Homes Act 1994 (as amended), or other appropriate legislation, who has entered into a contract with us to receive payment direct from us and has entered into a contract with you to provide care to the Annuitant.

Commencement Date

The date identified in the schedule and is the date on which this policy comes into force.

LV=

Means Liverpool Victoria Friendly Society Limited.

Maximum Benefit

The maximum amount payable by us to the Care Provider under this policy. The maximum benefit payable annually is as set out in the schedule.

Month

Calendar month.

NAEI

The National Average Earnings Index compiled and published by the Office of National Statistics.

Policy Year

A period of twelve months starting on the Commencement Date and on each anniversary of the Commencement Date.

Premium

The single lump sum charged by us for the Benefits under this policy which is payable by you.

Review Month

The month in which the maximum benefit is indexed each year, if you have chosen this option. It is the month starting on the twelfth month after the Commencement Date shown in the schedule, and on each anniversary of such date shown in the schedule.

RPI

The Retail Price Index compiled and published by the Office of National Statistics.

Schedule

The schedule sent with and forming part of this agreement.

UK

England, Scotland, Wales and Northern Ireland.

You and Your

The legal owner of the policy as shown in the schedule who has agreed to pay the premium for this policy and, who satisfies the eligibility requirements set out in Sections 2.1 (d) and (e) of this policy.

We, Us and Our

LV= whose registered head office office is County Gates, Bournemouth, BH1 2NF. However your policy is administered at our Hitchin office. LV= Retirement Solutions, Keynes House, Tilehouse Street, Hitchin, Herts. SG5 2DX.

Eligibility

Payment of Benefits

Benefits will be payable by us under this policy to enable the Annuitant to receive care if on the Commencement Date:

• The Annuitant is over 50 years of age; and
• The Annuitant lives in the UK; and
• The Annuitant intends to receive care either at home or in a Care Home from a genuine and independent Care Provider who has signed our Contract for the Payment of Care Provider Fees; and
• You have agreed to pay the premium to us for the Benefits and we have received the premium in full; and
• We have accepted an Application made by you and notified you that it has been accepted.

Cessation of Benefits

We will make no further payments:

• if the Annuitant dies (except solely to a Care Provider for services provided by that Care Provider prior to the Annuitant’s death in accordance with the provisions of this policy). Where the annuity is payable in advance, the last payment date will be the payment due immediately prior to the Annuitant’s death. Where the annuity is payable in arrears, a final payment will be made in respect of the period between the Annuitant’s death and the previous payment date due immediately prior to the Annuitant’s death; or
• when this policy is cancelled or terminated.

Benefits

Provision

We will pay for the provision of care by a Care Provider to the Annuitant up to the maximum benefit payable under this policy.

Frequency of payments

Payments can be made by us to your chosen Care Provider every four weeks, monthly, quarterly, half yearly, or yearly, either in advance or in arrears. The schedule shows how you have agreed that the payments will be made.

When do the benefits become payable?

The date when payments to your chosen Care Provider are due to start is shown on the schedule as the Commencement Date for payments which will be made either in advance or in arrears.

Who will the payments be made to?

At your request we will arrange a contract on our standard terms with a Care Provider whom you have selected to provide care to the Annuitant. Payments will be made direct to the bank or building society account of the Care Provider. Payments can only be made to one Care Provider at any one time, but you may select the Care Provider to whom we make the payments. We will not limit the number of times that you change Care Providers provided you give us 30 days notice in writing of any change of Care Provider that you intend to make, together with his or her contact details, so that we can effect an agreement on our standard terms with your new chosen Care Provider. We will not make any payment to a new Care Provider unless we have a signed contract with that Care Provider.

Income will continue to be paid to the Care Provider until Benefits cease or the Annuitant stops requiring private funding for the provision of care from a Care Provider unless:

• The Annuitant was receiving care in a Care Home and stopped receiving care temporarily in order e.g. to be admitted to hospital or to go on holiday and the Benefits must continue to be paid by us to ensure that the Annuitant’s bed in that care home will be available for him or her when he or she is discharged from hospital, returns from holiday; or
• The Annuitant was receiving care at home and stopped receiving care temporarily in order e.g. to be admitted to hospital or to go on holiday or to leave the home in which he or she was receiving care save that we will continue to pay Benefits in respect of care upon the Annuitant’s return home;

Unless the period during which the Annuitant is not in receipt of care in a Care Home or at home is in excess of six consecutive months in which case we will make no further payments after the expiry of such a six month period.

At your request, if the Annuitant ceases to require privately funded care on a permanent basis, we will arrange for payments to be made directly to the Annuitant or another third party.

How much will We pay?

We will make payments up to the maximum benefits as set out in the schedule. If the cost of care and/or services provided is more than the maximum benefit payable by us, you will have to pay the difference to the Care Provider.

Where payments are made to any party other than a Care Provider, the income payments will be reduced by an amount appropriate to take into account any tax liability imposed by legislation.

Payment reviews

If you have selected the option for payments under this policy to be indexed each year, the rate of indexation will be shown in the schedule.

If the rate of indexation is a fixed percentage per annum, the maximum benefit will be increased by that percentage each year from the Review Month.

If the rate of indexation is based on the RPI or NAEI, the percentage change in the relevant index over the twelve month period ending three months prior to the Review Month will be calculated each year and used to update the maximum benefit payable from the Review Month.

Charges

If we agree to provide a service at your request which is not within the range of services usually provided by us within this policy we may make a charge. We will tell you how much this charge will be for any such service and how it can be paid by you.

Premium

You have agreed to pay the Premium for this policy to us and no Benefits will be payable by us until we have received the Premium in full.

Start of this policy

This policy comes into effect as a legally binding contract on the Commencement Date shown in the schedule.

Accurate Information

Your application

We have relied on information given to us on or in connection with your application.

Incorrect information

If any information given is incorrect or incomplete we may be entitled to treat this policy as being void from the start or we may alter the terms of this policy.

Information

Documentary proof We will not pay any sum under this policy if you fail to provide us with any proof, information or documentation which we ask for at any time and as frequently as we consider necessary. This is at your own expense (if any). At various stages during the period of this policy, we may require any one or more of the following (and we may also require other documents or information which are not shown below):

• Proof that the Annuitant is receiving care from a Care Provider;
• Proof that the Annuitant needs to receive care from a Care Provider;
• Proof that your chosen Care Provider is independent from you and properly regulated or accredited to provide care to the Annuitant;
• The Annuitant’s death certificate or other documents relating to your and the Annuitant’s capacity;

Changes of circumstance

Please write to us as soon as reasonably practicable if:

• You or the Annuitant change your name. Please send us the original of any certificate or deed poll. Once we have taken details from it for our records, it will be returned to you. If you or the Annuitant simply decide to use another name, please write and tell us.
• You move house. Please send us your new address;
• You become bankrupt;
• You are acting under a Power of Attorney or an Enduring or Lasting Power of Attorney and the powers that have been given to you change;
• There is a change to the Care Provider. Please notify us immediately and we will send the appropriate forms for completion to you;
• The Annuitant ceases to require privately funded care.

Failure to comply

If you fail to comply with any of the requirements in paragraph 7 or 8 we shall be entitled to withhold or suspend payment or cancel this policy (on 21 days written notice from us to you that we will withhold or suspend payment or cancel this policy).

Currency and place of payment

All payments to us or by us under this policy shall be paid in the UK in the currency of the UK in force at the date of payment.

Customer care

The following points are information which we are required to advise you.

Choice of law

The law of England and Wales will apply. All communications will be in the English language.

Cancellation

If you are not satisfied with your cover under this policy, please write to us at the address set out at the end of this policy within 30 days of the Commencement Date. Your cover will then be cancelled from the Commencement Date without charge. After the first 30 days, your cover may be cancelled by you by giving notice in writing. No refund of any of the premium will be payable after 30 days.

Compensation rights

The Financial Services Compensation Scheme (FSCS), as established under the Financial Services and Markets Act 2000, is responsible for the payment of compensation in the event of default. In the event that LV= is unable to meet its obligations, the FSCS may arrange to transfer our policy to another insurer, provide a new policy, or if these actions are not possible, provide compensation.

For long term insurance (such as pension plans or life assurance) the first £2,000 of a claim is protected in full. Above this amount, the Scheme covers up to 90% of the value of the policy if the company goes into liquidation.

Data Protection

Your information will be held by the Liverpool Victoria group of companies and added to our customer databases. It may be used to keep your records up to date, for business analysis and market research purposes. We will not include you in direct marketing campaigns in relation to LV= business conducted through a financial intermediary. We may pass your details to other carefully selected organisations but only for the purposes mentioned above. Subject to payment of a fee, you can ask for a copy of the personal information we hold about you by writing to LV= Retirement Solutions, Keynes House, Tilehouse Street, Hitchin, Herts, SG5 2DX For details of the Liverpool Victoria group of companies please refer to www.LV.com

Assignment and surrender value

You cannot transfer your rights or interest in this policy to any other person. This policy will not have any value if it is cancelled or terminated.

Rights of third parties

The parties do not intend any term of this agreement to be enforceable by any party pursuant to the Contracts (Rights of Third Parties) Act 1999 other than you or us.

Amendments

No change in this policy shall be valid unless it is written on the policy document or attached hereto and signed in either case by an official properly authorised by us.

Complaints procedure

For further information, or if you wish to complain about any aspect of the service you have received, please contact: LV= Retirement Solutions Keynes House Tilehouse Street Hitchin Herts SG5 2DX Telephone 0800 783 7533 If your complaint is not dealt with to your satisfaction, you can then refer it to the: Financial Ombudsman Service South Quay Plaza 183 Marsh Wall London E14 9SR Telephone 0845 080