Premium deferral update for individual protection customers

It’s more important than ever for customers to have the right protection and to maintain their chosen amount of cover – so it’s there in full to support them and their loved ones when they need it most.

To help our customers contend with the ongoing impact of the Coronavirus we are extending our premium deferral facility for our protection customers until the 31st October 2020 and updating our eligibility criteria.

Individual protection customers, who are struggling financially due to Coronavirus (COVID-19), can apply to defer premiums for 3 months and spread it over the following 9 months. This means customers with life insurance, critical illness, income protection, over 50s or whole of life policies can take a break from payments while retaining their current benefits and levels of cover. We are making this available to customers with personal or business individual protection policies.

Customers will be able to request a premium deferral by visiting this website. Once customers apply, we will take care of the rest of the process – with no requirement for any action from you as their adviser. There will be no change to any policy benefits, ensuring cover remains in place.


Customers can apply for premium deferrals if their finances are negatively impacted because they, or someone in their household:

  • has either been furloughed, working fewer hours or made unemployed after 1st March 2020, however they expect their household finances to recover by the end of the payment deferral period, when normal payments and repayments become due; or
  • is self-employed and hasn’t been able to work or trade due to the Coronavirus, but is now starting to work or trade again, or will be shortly, and therefore they expect their household finances to recover by the end of the payment deferral period, when normal payments and repayments become due.

Customers can also apply if they are acting for a business which holds a policy with Aviva, where the business has been unable to trade due to the Coronavirus, but is now starting to trade again, or will do so shortly, and therefore they expect the business to make normal payments and repayments when they are due after the payment deferral period.  This includes customers with Business Protection or Relevant Life policies.

Aviva reserves the right to request relevant evidence or make further enquiries on customer circumstances before agreeing to a customer request to defer payments.

Customers must not already have the option to miss or defer payments within the existing terms and conditions of their policy.

How does it work?

  • Customers can apply at any time up to 31st October 2020 for their 3-month premium deferral.
  • One 3 month payment deferral can be applied for on each eligible policy by visiting this website where they’ll find full eligibility details and can fill in an online form. (If a customer doesn’t have internet access, they can contact us on the number detailed on their policy documents.)
  • Once submitted, we’ll get back to your customer with a decision.
  • The full benefits provided by the policy will be maintained during the period in which payments are deferred.
  • Normal payments will continue from the 4th month onwards, with the deferred payments being repaid over a period of 9 months or the remaining term of the policy, if shorter.
  • The balance of deferred payments can also be paid as a lump sum by your customer should they wish to accelerate repayment.
  • There will be no impact on commission.
  • There will be no change to your customer’s sum assured or other policy benefits.
  • If a claim is made during the repayment period, we’ll deduct the outstanding amount from the claim payment – as is our normal process.
  • The above applies specifically to monthly premiums. Other premium frequencies may be eligible – please speak to your Aviva contact for details.

If your customer’s financial hardship is expected to last longer than 3 months, it may be more appropriate for you to consider other contractual options with them under their policy terms and conditions where there may be options to permanently alter the policy benefits with a corresponding impact to customer premium. We’ll let customers know that seeking advice from their Financial Adviser is important if they are in any doubt as to the most appropriate course of action for their individual circumstances.

We hope that by offering this premium flexibility, together we can make sure customers can maintain their cover at a time when they may need it most. For more information please visit our website or speak to your Aviva contact.