flexible loan - payment protection insurance policy

At cahoot, we aim to provide our customers with comprehensive cover and exceptional service at a fair price. But we think you will find being a cahoot customer offers you even more. It is important that you spend a few minutes reading this information as it contains the full details of your policy including the exclusions.

You will find your policy is written clearly and concisely, avoiding jargon and legal terminology.

You will also find information on how to make a claim. As we know you'll want it sorted out quickly, we've kept the claims process simple and hassle-free.

This policy information is available online, so you can refer to it if it is needed. And remember, if there is anything you are unsure of or do not understand or even suggestions on how we might improve our service, please contact us on 0870 607 0829. We would be happy to hear from you and explain any points to you. To help us improve our service and for your and our joint protection, we may record and/or monitor phone calls

Right of Cancellation

1.1. We will let you cancel your policy at any time.

1.2.If you cancel within 30 days of the day of purchase or the day on which you receive your policy documentation, whichever is the later, you will be entitled to a full refund of any premium paid. (Please note that if you have made a claim and subsequently wish to cancel your policy, we may seek to recover the monies paid to you in settlement of the claim.)

1.3. To exercise your right to cancel your policy, please go to the secure zone and cancel payment protection via "account manager".

1.4. If you do not exercise your right to cancel your policy, it will continue in force for the term of the policy and you will be required to pay the premium as stated.
Introduction to the policy

This insurance policy document, for customers who have been granted a cahoot flexible loan, sets out the cover your policy provides. Please ensure you have read the terms and conditions, so that you know exactly what you are covered for.

This insurance has been arranged with CGU Underwriting Ltd and CGNU Life Assurance Limited, members of the Aviva group, for customers who have been granted a cahoot flexible loan and who are eligible for this insurance. These companies are authorised and regulated by the Financial Services Authority.

This policy may only be relied on and enforced by the parties to it, that is you and us and shall not be directly or indirectly enforceable by any third party except that cahoot may enforce its right to require us to pay the insured balance to them in the event of your death.

All communications will be in English. cahoot is able to provide literature in alternative formats. The formats available are:- Large print (as recommended by RNIB), Braille, Audio tape and PC disk. If you would like to register to receive correspondence in an alternative format please contact us via our website for a 'Preferred Communication Request' form.

Definitions

The words which appear in this contract in bold type have specific meanings. These are explained below.
benefit period
The number of months for which we will pay you the monthly benefit in the event of a claim. The maximum benefit period is 12 months in any one claim period. This applies to unemployment or disability claims, or a combination of both.
disability or disabled
Any accidental injury, sickness or disease that happens after the start date and prevents you from doing any work, as certified by a medical doctor registered in the United Kingdom. If you are self-employed, a disability stops you from helping, managing or carrying out any part of the day-to-day running of your business.
employment
Any paid work (including self-employed, contract work, statutory maternity and parental leave) of at least 16 hours per week.
excess period
The number of consecutive days before any monthly benefit is payable. This period starts on the first day you cannot work due to disability or unemployment fixed term contract, a contract for a specific task or a period of training or apprenticeship.
Any paid work of at least 16 hours a week which has a known or implied finish date. (Please also see 'What we will not pay you ' under unemployment cover section below).
insured balance
The amount shown as outstanding on your cahoot flexible loan on:
- the date of your death, in the case of a claim for life cover benefit
- the date you knew of or should reasonably have known of, impending disability or unemployment, in the case of a claim for disability cover or unemployment cover benefit.
loan agreement
The flexible loan agreement made between you and cahoot.
medical condition
Any condition, injury, illness, disease, sickness or related condition and/or associated symptoms, whether diagnosed or not.
monthly benefit
This is 10% of the insured balance under the cahoot flexible loan on the date when you first knew of or should reasonably have known of, your impending disability or unemployment. The maximum monthly benefit payable is £1,500 and is payable 30 days in arrears.
normal pregnancy
- symptoms which normally accompany pregnancy (including multiple pregnancy) which are generally of a minor and/or temporary nature which do not represent a medical hazard to mother or baby or a combination of minor symptoms; and
- childbirth, including delivery by caesarean section or any other medically or surgically assisted delivery which does not cause medical complications.
premium(s)
The amount you pay each month in return for cover under this policy. Your premium will be shown on your cahoot flexible loan statement.
premium rate
The rate that is applied to the outstanding balance in order to calculate the premium. This rate is 77p per £100. (This includes Insurance Premium Tax where applicable).
self-employed
You are self-employed if:
- you are carrying on a business in the United Kingdom alone or as a partner in a partnership
- you can control the affairs of a company you work for because either you, or a relative or spouse, individually or jointly, hold the majority of the voting rights in that company; or
- you can otherwise ensure that the company you work for conducts its affairs according to your wishes.
start date
The date cover starts is the date on which your application for insurance is accepted by cahoot on behalf of us.
unemployed or unemployment
Being out of work and having a jobseeker's agreement with the Department for Work and Pensions in the United Kingdom, (or equivalent in the Channel Islands and Isle of Man), and being available for and actively looking for employment.

If you are ineligible for a jobseeker's agreement you must be able to provide alternative proof that you are actively seeking employment in the United Kingdom.

we, us, our, insurer
CGU Underwriting Limited for the Disability and unemployment benefits and CGNU Life Assurance Limited for the life cover benefit.
United Kingdom
England, Scotland, Wales, Northern Ireland, the Channel Islands and the Isle of Man.
you, your, yourself
The person(s) named on the cahoot flexible loan as the insured person(s). If you have a joint cahoot flexible loan the monthly benefit will be split 50/50.

Eligibility

cahoot flexible loan payment protection cover is designed for almost everyone but you do need to check that you are eligible. To get cover under the policy you must meet the following conditions on the start date. You must:
- be aged between 18 or over but under 65;
- live in the United Kingdom;
- be working in paid employment in the United Kingdom; and
- have been in continuous employment for at least the previous six months before the start date and not aware of any impending unemployment. If you have not been in continuous employment for this period, you may still apply for cover, however you will not qualify for any monthly benefit until you have been in continuous employment for at least 6 months.
- if at the start date you are unable to undertake your usual employment due to disability, your disability cover will begin at the start date provided that you return to work within one month of the start date.
- if at the start date you are unable to undertake your usual employment due to disability for more than one month, your disability cover will not begin until you have returned to work for at least one month.
- Unemployment cover does not begin until you have been insured for 56 days and you are not covered for unemployment which you are notified of or which occurs within the first 56 days of the start date of your policy.

Important notes about your policy

When the cover ends
1. All cover under this policy will end, and monthly benefit will stop, if any of the following happens:
  - you reach 65; or
  - you retire from paid employment; or
  - your flexible loan account ends; or
  - your flexible loan account is closed; or
  - you die; or
  - you make a false claim (You will have to return any benefit payments we have made).
  You must tell us immediately when one of the above happens.
2. All cover under this policy will end when any of the following happens:
  - we send 30 days' written notice by second class post to your last known postal address or by email through the secure website of the policy being cancelled if no substitute scheme is being offered; or
  - in the event of our offering you cover under an alternative policy, 30 days' written notice of the policy being cancelled; or
  - you send us 7 days' notice to cancel cover under the policy; or
  - you do not pay us any premium due under this policy.
  This will not affect any monthly benefit due to be paid for claims which occurred before cover ended.
Changing premium and policy terms
We may change the premium rates and terms of cover at any time by giving you at least 30 days notice before the changes are introduced. We will tell you about any change by email, through the cahoot secure website or by post.

Disability cover
1. What we will pay you
  If you are continuously disabled for at least 30 consecutive days, we will pay you the following:
  - 1/30th of the monthly benefit for each day of your disability payable monthly in arrears. This is payable from the 61st full day of disability and will be backdated to the 31st day of your disability; then:
  - The full monthly benefit for each following month of your disability; then:
  - At the end of your disability, 1/30th of the monthly benefit for each day of your disability from the last date on which monthly benefit was paid up to the last day of your disability.
  - The monthly benefit until either:
    - the insured balance has been cleared; or
    - up to a maximum of 12 monthly benefit payments have been made in all for any one benefit period, whichever occurs first.
2. If two periods of disability (each caused by or resulting from the same physical or mental condition or disease) are not separated by at least 3 consecutive months of employment, the two periods will be added together when we work out whether we have paid the maximum benefit. A further excess period will not apply. We will not pay monthly benefit for the period of employment in between.
3. After we have paid the maximum benefit, you will not be able to make another disability claim for the same disability until you have actively worked at your employment for at least six consecutive months. Statutory maternity leave can form a part of these six consecutive months.
4. After we have paid the maximum benefit for a disability claim, you will qualify to make another disability claim for a different disability when you have actively worked at your employment for at least one month. Statutory maternity leave can form a part of the one month.
5. What we will not pay you
  Monthly benefit for any disability caused by or resulting from the following:
  - Any medical condition which you had on the start date, or any medical condition for which you received treatment for advice during the 12 months before the start date. This will not apply where you have been symptom free and have not consulted a doctor or received treatment for the medical condition in the 24 months prior to your claim. If you have had appointments to see a doctor within the 24 months prior to your claim but these appointments were not kept, the exclusion will apply unless you have been formally discharged.
  - Putting yourself in dangerous situations without taking reasonable precautions.
  - Self-inflicted injuries, cosmetic surgery or other treatment which is not medically necessary.
  - Any claim caused by or resulting from drinking alcohol.
  - Taking drugs. This does not include any drugs prescribed by your doctor (registered in the United Kingdom ), except if they are to treat drug addiction.
  - War, invasion, revolution, radioactive contamination or any similar event.
  - Normal pregnancy unless it develops into a complication which is diagnosed by a doctor or consultant who specialises in obstetrics. The payment of monthly benefit will be from the date a complication is diagnosed.
6. We will not pay you any monthly benefit:
  - While you are detained in prison under the direction of a court of law. This will not apply if you are later acquitted.
  - For the excess period.

Unemployment cover
1. What we will pay you
  If you are continuously unemployed for at least 30 consecutive days, we will pay you the following:
  - 1/30 of the monthly benefit for each day of your unemployment payable monthly in arrears. This is payable from the 61st full day of unemployment and will be backdated to the 31st day of your unemployment; then:
  - The full monthly benefit for each following month of your unemployment; then:
  - At the end of your unemployment, 1/30th of the monthly benefit for each day of your unemployment from the last date on which monthly benefit was paid up to the last day of your unemployment.
  - The monthly benefit until either:
    - the insured balance has been cleared, or
    - up to a maximum of 12 monthly benefit payments have been made in all for any one benefit period, whichever occurs first.
  Unemployment will not begin until after the end of any period for which you receive payment instead of working your notice (that is payment in lieu of notice). You will then have to be unemployed for 30 consecutive days before you will be able to make a claim.
2. If two periods of unemployment are not separated by at least 3 consecutive months of employment, the two periods will be added together when we work out whether we have paid the maximum benefit. A further excess period will not apply. However we will not pay monthly benefit for the period of employment in between.
3. After we have paid the maximum benefit, you will not be able to make another unemployment claim until you have worked at your employment for at least 6 consecutive months.
4. What we will not pay you
  You will not receive monthly benefit for any of the following circumstances:
  - The excess period.
  - Unemployment which you are notified of or which occurs within 56 days of the start date.
  - You have retired and do not intend to seek further employment.
  - Unemployment after a period of casual, temporary or occasional work.
  - Unemployment which is a normal or seasonal occurrence in your line of work.
  - Unemployment which you knew of, or should reasonably have known of, on the start date.
  - A period of unemployment for which payment in lieu has been received.
  - Unemployment caused by, or resulting from:
    - misconduct; or
    - your resignation, voluntary unemployment or voluntary redundancy.
  - While you are detained in prison under the direction of a court of law. This will not apply if you are later acquitted.
  - War, invasion, revolution, radioactive contamination or any similar event.
  - Self-inflicted injuries, cosmetic surgery or other treatment which is not medically necessary.
  - Taking drugs. This does not include any drugs prescribed by your doctor (registered in the United Kingdom ), except if they are to treat drug addiction.
  - Any claim caused by or resulting from drinking alcohol.
  - Putting yourself in dangerous situations without taking reasonable precautions.
  - Unemployment after the end of a fixed-term contract, a contract for a specific task or a period of training or apprenticeship. However this exclusion will not apply;
    - If you have been in continuous employment on a yearly fixed-term contract, a contract for a specific task, or a period of training or an apprenticeship with the same employer and your contract has been renewed at least once; or
    - If you have been in continuous employment on a fixed-term contract, a contract for a specific task, or a period of training or an apprenticeship with the same employer, and your contract has been renewed at least once; or
    - If you were originally employed on a permanent basis by the same employer but were transferred to a fixed-term contract by the employer without a break in employment; or
    - If you have been in continuous employment with the same employer on an individually negotiated fixed-term contract, a contract for a specific task, or a period of training or an apprenticeship basis for at least six months, we will pay monthly benefit until:
      
      - the date the fixed-term contract, contract for a specific task, period of training or an apprenticeship would have ended;
      - we have made the maximum number of benefit period payments; whichever is earlier.
Life cover

We will pay cahoot the following, if you die: The insured balance (less any payments you have missed, including any fees or interest for late payments) up to a maximum of £20,000. Our liability under this policy will then end.
- War, invasion, revolution, radioactive contamination or any similar event.
- Self-inflicted injuries, cosmetic surgery or other treatment which is not medically necessary.
- Taking drugs, unless they are prescribed by your doctor (registered in the United Kingdom ) for treatment.
- Any claim caused by or resulting from drinking alcohol.
- Putting yourself in dangerous situations without taking reasonable precautions.

Further borrowing

If we have not collected a premium from you for more than 90 days because you did not owe anything under the flexible loan and then you borrow under the flexible loan, the following exclusions will also apply from the date of that borrowing:
1. You will not receive monthly benefit for any disability or unemployment caused by, or resulting from:
  - Any medical condition which you had on, or for which you had received treatment or advice during the 12 months before, the date of the further borrowing. This will not apply where you have been symptom free and have not consulted a doctor or received treatment for the medical condition of 24 months prior to your claim. If you have had appointments to see a doctor within the 24 months prior to your claim but these appointments were not kept, the exclusion will apply unless you have been formally discharged.
2. You will not receive monthly benefit for unemployment in the following circumstances:
  - if your unemployment ends within 56 days of that date; or unemployment that you knew of, or should reasonably have known of, on that date.

Temporary employment after unemployment

If you have the opportunity of temporary work whilst claiming monthly benefit, you must notify us to establish how your claim will be affected. Your claim may be suspended for the period of temporary work if it is less than 6 months. When the temporary work finishes your claim will continue to run and we will treat it as one continuous claim until we have paid an amount equal to the amount payable for the benefit period or you have returned to work.
Temporary employment taken immediately after unemployment, but before a claim has commenced, will not adversely affect your claim. If before your period of temporary employment you were not unemployed for at least 30 days you will need to complete the excess period. If you had already completed this excess period (or once you have completed this excess period ) you will be entitled to 1/30th of the monthly benefit as described in section 7. The monthly benefit will not be paid whilst your claim is suspended for the period of temporary employment.

Claims

You will immediately need to complete a claim form, which can be obtained by contacting cahoot via "account manager" through the secure website or telephone 0870 607 0829.

You will immediately need to complete a claim form, obtained by telephoning us through the secure website.

cahoot,
PO Box 254,
1 New Augustus Street,
Bradford BD1 5LL.

If you need any help in completing the claim form, please contact us on 0870 607 0829. For your and our joint protection telephone calls may be recorded and/or monitored.

Life cover claims
In the event of a claim for life cover benefit, your personal representative(s) should notify cahoot (at the address detailed above) providing evidence of:
- Your death
- The existence of a current cahoot flexible loan account in your name
- Your date of birth.

Disability claims
Please arrange for a medical practitioner (who is registered in the United Kingdom ) to fill in the relevant section of the claim form.
Unemployment claims
Please arrange for an Official from the Department of Work and Pensions or Benefits Agency and your previous employer to fill in the relevant sections of the claim form.
If you are self-employed and are making an unemployment claim, you must also provide evidence that:
- You stopped work because you could not find enough work to meet all your reasonable business and living expenses and declared this to the Inland Revenue, and
- The unemployment is not a normal occurrence in your line of work.

Job advice service
If you claim you will receive details of our back to work services which are free, confidential and independent.

You can get expert advice on dealing with redundancy, seeking work, career changes and benefits paid by the state.

If your claim is for Accident or Sickness, you could get expert advice to help you understand your condition and, where appropriate, additional help to speed your recovery.
Unemployment and disability claims
- We will contact you within 14 days of receipt of your claim form.
- If any further evidence is needed to support your claim, we will contact you.

Important notes
After you make a claim, you must supply, at your reasonable expense, all evidence we reasonably ask for to prove your claim. You must agree to any medical examination which we arrange and pay for. We may contact your past employers or other insurers for information about you.
We reserve the right not to pay any monthly benefit unless we receive your claim form within 180 days from the incident causing the claim.

You cannot receive disability and unemployment monthly benefit at the same time.

We may delay or suspend paying your monthly benefit if we do not receive all of the documentation reasonably requested (such as monthly declarations of continuing disability or unemployment or medical questionnaires) or we find the documentation unsatisfactory.

All claim payments will be made direct to your cahoot flexible loan account to be applied in reduction of the outstanding balance.

We will not pay any claims supported by a false declaration or found to be fraudulent, unfounded or intentionally exaggerated. In such a case, your cover will be cancelled and we have the right to recover any benefits already paid under the claim.

In some instances this monthly benefit may affect your rights to Jobseekers Allowance, Income Support, Housing Benefit or Council Tax Benefit (or if your partner makes a claim for Working Families Tax Credit or Disability Working Allowance). This does not affect everyone claiming under this policy but in the event of a claim you should advise the Benefits Agency of this insurance.
Switching between claims
During your claim, if you need to you can switch from unemployment to a disability claim or the other way round.

You cannot claim for both disability and unemployment at the same time.

Any claims separated by more than 3 consecutive months will be dealt with as separate claims. For claims separated by less than 3 consecutive months please refer to the table below.

claims separated by less than 3 consecutive months:

Nature of 1st claim	Nature of 2nd claim	Time between claims	Is your claim a new claim or is it a continuation of the 1st claim
Unemployment	Unemployment	less than 3 months	continuing
Disability	Disability related to the 1st claim	less than 3 months	continuing
Disability	Disability unrelated to the 1st claim	less than 3 months	new*
Disability	Unemployment	no time in between claims	continuing
Disability	Unemployment	less than 3 months	new*
Unemployment	Disability	no time in between claims	continuing
Unemployment	Disability	less than 3 months	new*
* If your claim is a new claim, a further excess period will apply

General information

cahoot is a division of Abbey National plc. Abbey National plc, which is authorised and regulated by the Financial Services Authority, only advises on its own Life Assurance, Pension, Mortgage, and Collective Investment Scheme products and acts as an Insurance Intermediary for General Insurance.

Your insurers are covered by the Financial Services Compensation Scheme ("FSCS"). You may be entitled to compensation from the scheme if they cannot meet their obligations. This depends on the type of business and the circumstances of the claim. Insurance advising and arranging is covered for 100% of the first £2,000 and 90% of the remainder of the claim, without any upper limit. Further information about compensation scheme arrangements is available from the FSCS.

The parties to a contract of insurance covering a risk in the United Kingdom are allowed to choose the law applicable to the contract. In the absence of any written agreement to the contrary the law applying to this contract and our relationship with you will be that applying in the country where you usually live, where this is within the United Kingdom. Otherwise English law will apply.

For the purposes of the Data Protection Act 1998, the joint Data Controllers in relation to any personal data you supply are cahoot, CGU Underwriting Limited and CGNU Life Assurance Limited

cahoot will pass your information to the insurer, its associate companies and agents for the purposes of administering your policy and processing any claim(s) which you may make. cahoot may also share your information with Abbey National Group companies to advise you of any products or services that may be of interest to you and it may also be disclosed to regulatory bodies for the purposes of monitoring and/or enforcing our compliance with any regulatory rules/codes. Your information may also be used for research and statistical purposes and crime prevention. It may be transferred to any country, including countries outside the European Economic Area for any of these purposes and for systems administration.

With limited exceptions, and on payment of the appropriate fee, you have the right to access and if necessary rectify information held about you.

In order to assess the terms of the insurance contract or administer claims which arise, we may need to collect data which the Data Protection Act defines as sensitive (such as medical history or criminal convictions). By proceeding with this insurance, you signify your consent to such information being processed by us or our agents.

To assist in the prevention and detection of fraud we may at any time:
- Share information about you with other organisations and public bodies including the police;
- Check and/or file your details with fraud prevention agencies and databases, and if you give us false or inaccurate information and we suspect fraud, we will record this.
We can on request supply further details of the databases we access or contribute to.

Our promise of service

cahoot, CGU Underwriting Limited and CGNU Life Assurance Limited care about the service we provide for our customers. We make every effort to maintain the highest possible standards.
Although we set ourselves high standards, if we do not meet your expectations and you are dissatisfied in some way we would like to know. If you follow the steps below your complaint will be dealt with in the most efficient way possible.

Please send your complaint via our secure website, call us on 0870 6000 655, or write to us at:

Customer Relations,
cahoot,
Friars House,
Manor House Drive,
Coventry,
CV1 2TE.

CGU Underwriting Limited and CGNU Life Assurance Limited are members of the Aviva group. Norwich Union, a division of the Aviva group handle the complaints on behalf of the insurer.

If you are still not satisfied write to:

The Customer Services Manager,
Norwich Union,
PO Box 254,
1 New Augustus Street,
Bradford,
BD1 5LL.

If the matter is still not resolved, write to:

The Chief Executive,
Norwich Union Insurance,
PO Box 6,
Surrey Street,
Norwich,
NR1 3NS.

They will make sure that your case is examined thoroughly by Senior Management.
Should all of the above steps fail to solve the problem, you may refer the dispute to the Financial Ombudsman Service, but only if you have already referred the matter to Norwich Union. We are bound by the Financial Ombudsman's decision, but you are not. The address is:

The Financial Ombudsman Service,
South Quay Plaza,
183 Marsh Wall,
London,
E14 9SR.
Tel: 0845 0801 800

The existence of the Financial Ombudsman Service or the insurer's own internal arrangements, does not affect your right to take legal action against the Insurer.

CGU Underwriting Limited, Registered in England and Wales.
Registered number: 94405,
Registered office: St Helens, 1 Undershaft, London, EC3P 3DQ.
A member of the Aviva group. Authorised and regulated by the Financial Services Authority.

CGNU Life Assurance Limited, Registered in England.
Registered number: 226742,
Registered office: 2 Rougier Street, York YO90 1UU.
A member of the Aviva group. Authorised and regulated by the Financial Services Authority.

cahoot is a division of Abbey National plc.
Abbey National plc is registered in England.
Registered number: 2294747,
Registered office: Abbey National House, 2 Triton Square, Regent's Place, London, NW1 3AN.

To help us improve our service, we may record or monitor phone calls.

flexible loan - payment protection insurance policy

Right of Cancellation

Introduction to the policy

Definitions

benefit period

disability or disabled

employment

excess period

insured balance

loan agreement

medical condition

monthly benefit

normal pregnancy

premium(s)

premium rate

self-employed

start date

unemployed or unemployment

we, us, our, insurer

United Kingdom

you, your, yourself

Eligibility

Important notes about your policy

Disability cover

Unemployment cover

Life cover

Further borrowing

Temporary employment after unemployment

Claims

claims separated by less than 3 consecutive months:

General information

Our promise of service