Higher LTV & lower rate : How Tailored Enhanced can deliver better customer outcomes

In a post-Consumer Duty world, asking the right questions has never been more crucial. That goes beyond straightforward appointments and sourcing sessions. To ensure you deliver the best customer outcome, your advice must be detailed and personalised.

Following the return of more2life’s medically enhanced product; Tailored Enhanced, earlier this year, exploring a customer’s medical history and lifestyle is as important as any other factor, as it can make a significant difference - just as it did for Mr Johnson.

Real-life Tailored Enhanced case study
Albert Johnson is a 65-year-old IT consultant from Manchester. On the face of it, he’s a healthy gentleman looking to address his financial concerns before retirement.

However, despite Mr Johnson insisting he’s well for his age, by using more2life’s simple 13-question health and lifestyle questionnaire, his adviser was able to discover that Albert had a few years ago suffered a stroke, has diabetes, and takes regular blood pressure medication.

By incorporating more2life’s health and lifestyle questionnaire into their advice process, and asking the right questions, Mr Johnson’s adviser was able to deliver a better customer outcome.

The better customer outcome

	Highest LTV product in the market	Tailored Enhanced
Age	65
House Value	£450,000
Medical Conditions	Diabetes, stroke, high blood pressure
Max LTV	36.55%	42%
Max Release	£164,475	£189,000
Interest Rate	8.82% MER	8.53% MER

As a result of inputting his medical information when sourcing, Albert’s adviser could secure the 65-year-old an additional 5.45% LTV compared to the highest non-enhanced LTV product on the market. That equated to an extra £24,525.

Also, by recommending Tailored Enhanced, Mr Johnson obtained a lower interest rate - 0.29% MER lower than the highest LTV product on the market.

Tailored Enhanced product features

Medical and lifestyle underwriting
Access up to 54% LTV
Fixed ERCs
Partial repayments available from day one (£50 min, max 10% per year)
ERC exemption on repayment within three years of death/LTC of a partner
Available to customers aged 55-85

Inputting health data
With a reduction in the number of enhanced products on the market during the fallout of the infamous mini-budget in late 2022, it may have become second nature not to delve too deep into your client’s medical and lifestyle background.

But by choosing not to input your customer’s medical information when sourcing, can you really be confident you’re providing the best customer outcome?

At more2life, we understand it can sometimes be difficult to extract the information you need - especially as, in most financial instances, ill health or a lower life expectancy can reduce a client’s available options.

That’s why we’ve created a free 13-question worksheet to use during your appointments to help you ask the right questions.

Download Questionnaire Now
See the higher LTVs for yourself
Still unsure whether asking health and lifestyle questions is worth it? See how more2life’s enhanced LTVs could help you deliver a better customer outcome with our Tailored Enhanced LTV Calculator.

Calculate Now

This article is intended for intermediaries only and has not been approved for customer use.

Learning Lab