IPTM8440 - Friendly society tax exempt policies: qualifying policy rules: hybrid policies providing mainly sickness benefits
Where a tax exempt policy
- provides cover for sickness or other infirmity, under which at least 60% of the premium is attributable to that cover, and
- provides a sum assured on death
it will be a qualifying policy under ICTA88/SCH15/PARA4 even if it does not provide the minimum sum assured on death, described in IPTM8420.
The other qualifying policy conditions still need to be met, such as the requirement for a minimum premium paying term and regular premium payments of equal or rateable amount.