A recent study predicts that more than a third of over-60s will be living in private rented accommodation by 2040.
Adult payments within the Critical Illness Extra plan move up from the current lower of £25,000 or 25% of the sum insured to the lower of £30,000 or 25% of the sum insured.
L&G said it wants to raise awareness of the importance of IP in protecting a client’s lifestyle and income.
The products are a 1-year fix at 5.3% and a lifetime tracker at 4.4% above the Bank base rate, both to 75% loan-to-value.
However the rest, including Governor Mark Carney, felt the committee was better waiting for May economic forecasts before acting.
Remortgage shared ownership products will also see the max LTV increase from 85% to 90%.
He will succeed Jeremy Duncombe on 14 March.
Residential products are 3-year fixes at 1.74% to 60% loan-to-value and 1.85% to 75% LTV, as well as a 4-year fix at 1.99% to 60% LTV and 7-year fix at 2.24% to 75% LTV.
L&G has launched a press campaign called Mortgage Myths – Value of a Mortgage Broker with the remit of promoting the value of intermediaries in the press.
L&G’s product covers most tenants including professional or working people, students and people in receipt of DSS benefits.