Legal & General has announced that customers with existing increasing cover protection policies will soon benefit from greater flexibility, allowing them to decline annual cover increases for up to three consecutive years without losing the option altogether.

The change, which takes effect from 1 January 2026, brings existing policyholders into line with new customers who have had access to the same feature since April 2025.

The enhancement applies across L&G’s life insurance, critical illness cover, whole of life protection and income protection products. It allows customers to pause annual cover increases — normally linked to the Retail Prices Index (RPI) — if they wish to manage premiums during periods of higher inflation or changing financial circumstances, while retaining the ability to accept increases in future years.

Increasing cover policies are designed to maintain the real value of protection by ensuring both premiums and cover amounts rise with inflation. The new option gives policyholders more control without undermining the long-term resilience of their protection.

Pippa Keefe, commercial director of retail protection at L&G, said: “This enhanced flexibility, which was offered to new customers in April, ensures that existing customers will also benefit from more flexible, future-proof protection that evolves with their needs.

“The enhancement also demonstrates our ongoing commitment to listening to valuable feedback from our network and delivering positive outcomes for advisers and their clients for both new and existing policies.”

The update follows adviser feedback calling for more adaptable products that can respond to changing economic conditions, particularly in light of the recent volatility in inflation.