Customer interests

Question 1

Keyperson cover

Answer 1

Keyperson products are taken out by an employer to cover key employees. They fall into two categories:

• those deigned to provide compensation for loss of profits
• those designed to cover the key employee’s salary

Question 2

Medical inflation

Answer 2

This term generally refers to annual increase in the average cost of medical treatment per insured life. It could reflect increases due to an increase in treatment costs and/or an increase in average incidence.