The financial consequences of having a critical illness or dying prematurely can be catastrophic, yet many adults do not have any form of life or critical illness protection. We all tend to assume we will live a long and fruitful life, believing it will never happen to us. We do not consider the consequences if we are not around to support our family. Dealing with such issues can provide peace of mind, knowing that should the worst happen your family and loved ones will be financially secure and avoid hardship.
Life assurance products vary and do not have to be expensive. With new innovative products, increased competition and more flexibility it is important to review your protection arrangements. Even if you do have some protection arranged already, with changing family and financial situation, it’s even more important to review your needs and protection arrangements.
We can provide an assessment of your needs by looking at your requirements and provide recommendations to suit your individual circumstances. You decide with our help how much cover is required and the time scale or term you feel it is required for. As long as you maintain the premiums once accepted and underwritten by the provider, a set amount will be payable to your elected beneficiaries in the event of your death or critical illness. There is no surrender or maturity value on these policies.
The products we may recommend include:
- Term Assurance – Pays a lump sum in the event of death during the term of the policy.
- Whole of Life Assurance – Will remain in force until the death of the policy holder. There is no term. This type of contract is very useful for inheritance tax planning and some types of business assurance.
- Family Income Benefit – Another form of term assurance but instead of paying a lump sum it provides an income for the remaining term of the policy.
- Critical Illness – Critical Illness is available as an addition to all term assurance plans but can also be purchased on a standalone basis. Critical Illness generally allows for the lump sum benefit to be paid in the event of diagnosis of certain critical illnesses, such as Heart Attack, Stroke, Transplant, Blindness, Total & Permanent Disability and many other illnesses. Most providers use the Association of British Insurers standards for qualifying illnesses and it is very important that you fully understand the payment terms of each illness.
- Income Protection – This policy is designed to provide income in the event you are unable to work due to ill health. The level of premium will depend upon the benefit and the term selected and most policies cease to pay the benefit once the insured is able to return to work. You select a deferred period before the benefit starts to be paid, usually 3, 6 or 12 months. The shorter the deferred period the sooner the benefit will start to be paid, but also increases the premium.