FTAdviser.com

Advertising

The ABI has extended the moratorium enabling consumers to take out significant amounts of insurance without having to disclose the adverse results of predictive genetic tests until 2014.

The moratorium, which was established in 2001, covers policies worth up to £500,000 for life insurance, £300,000 for critical illness insurance and £30,000 a year for income protection insurance.

The only approved test is for Huntingdon's disease and for life insurance more than £500,000.

Stephen Haddrill, director general for the ABI, said: "The moratorium on the use of predictive genetic test results works well for consumers. It means people can insure themselves and their families, even if they have had an adverse result from as predictive genetic test. The moratorium has proved effective since its introduction in 2001 and can now continue."

James Brooke, financial architect for London-based Anand Associates, welcomed the news, saying: "It is vital that people can feel confident about having medical tests so they know what they should do with their life, without having to disclose the results at modern genetic tests."

However he understood the ABI’s decision to review the moratorium again in 2014, adding: "It is fair if you are a business that they should be able to review the business practice and revise what they want to do."

He added: "Six years is a very long time in medical science and the treatments and cures available today many were not available six years ago. We may get to 2014 and find that half of the things they can genetically test for, we now have a treatment for or a cure."