Life insurance is designed to provide you with a sum of money in the event of death during the term of the policy under current legislation (2018/2019) this is paid free of tax. The lump sum can then be used by your family and dependants how they choose. This could mean that should the worst happen your family will be taken care of.
The cover can be arranged on a Decreasing or Level Term Assurance policy. A Decreasing Term Assurance will pay out a cash lump sum on death, however, as the term of the policy progresses the cash lump sum paid out will decrease. Generally, this type of cover is cheaper than a Level Term Assurance Policy and this is because on a Level Term the cash lump sum paid out will remain the same throughout the term of the policy.
Critical Illness Cover (CIC)
Critical Illness Cover is designed to support you if you were to be diagnosed with a specific list of critical illnesses for example heart attack, stroke and some cancers; the list will depend on the type and provider of that cover. The cover will pay out a lump sum amount tax-free (under 2018/2019 legislation) which you can use however you need to. For example, it could be used to replace a lost income whilst you are recovering, fund private treatment or make changes to your property if needed.
Ideally, the cover is there to make your finances a little bit easier to allow you the time to concentrate on spending time with your family and getting well. This cover, like Life Cover, can be taken on a decreasing or level term and can tailor your cover to your budget. For example, if money is tight you could look at taking cover for a years salary as some cover is better than none. It is important that you do not just look at the price of the policy but also the illnesses covered and any additional benefits. This is where we can help you to make sure you are protected to the best level for the amount of cover you can get for your budget.
An Income Protection policy is designed to replace a proportion of your salary if you are unable to work as a result of an accident or sickness. Very few of us have sufficient savings in place to support us if we are unable to work for an extended period of time, Income Protection policies can pay an amount until such times as you are able to return to work, you reach retirement or the end of the policy term.
By having something like this in place you will have the peace of mind of a regular on-going income to maintain your bills if you are ill, or have an accident which means you need to take time off work. Many employers will not support their staff financially if they require more than a year off work, when coupled with the low level of state benefits available there is a clear need to consider Income Protection.
Home Insurance can be split into two areas, Buildings and Contents. Buildings Insurance will protect the bricks and mortar of the house against such risks as flood, fire etc. Contents Insurance will protect all of your personal furniture and belongings against such risks as fire and flood but also against theft and in some cases accidental damage. Additional items such as jewelry, bikes, and tools in sheds can also be protected.
It is important to think about your Home Insurance carefully to make sure that you are fully covered and it is important to review your cover annual to make sure that not only you are getting the best price for your cover but that your cover remains suitable for your needs. There are a number of factors that will influence the cost of your policy such as your postcode and previous claims history.
If you are purchasing a property it is important to note that you Home Insurance must be in place at Exchange of Contracts.
Life, Critical Illness Cover, and Income Protection are, to some extent, designed to ensure that you can continue to live in your property. Family Protection is designed to look after your family’s living costs if something were to happen to you, to ensure that the food can still be purchased and the kids can still continue with their swimming lessons for example.
Family Protection is designed to provide a regular income until the end of the policy term which can be a suitable option for those who would rather that any dependants receive a regular income rather than have to deal with a larger lump sum. It also allows you to fit the term of your policy to your family’s circumstances, for example, the term could take your youngest to age 18 or 21. You can also choose to link the policy to inflation meaning that in the event of a claim the benefit amount will keep its spending power.
Family Protection can provide a way of ensuring that your family can maintain the lifestyle you want for them, whether you are around or not.
Please note for these insurance products terms and conditions apply.
This information is a summary only. You will receive a full policy document upon application.
This policy will set out the terms, conditions and limitations of cover provided under the plan.