Life Insurance - Protect your family in the event of your death
How much cover do I need-
This type of policy does exactly what it says; it pays a lump sum in the event of your death before the end of the term of the policy.
The policy also pays out if you are diagnosed with a terminal illness, being an illness that is guaranteed to end your life within 12 months of being diagnosed. In that case, the provider will pay out on the production of the necessary paperwork and medical reports to allow you and your family to deal with your financial affairs and not to have to worry about anything other than making the most of the time you have left.
Premiums are guaranteed meaning that the sum assured and premium will remain the same for the life of the policy.
It is worth noting that some providers will not pay out under the terminal illness element of the policy if the claim is made within the last 18 months of the policy. However, if you die within the last 18 months of the policy, the provider should still pay out the sum assured.
Life insurance with critical illness-
This is the same as straight forward life insurance but has critical illness cover as part of the policy.
The critical illness cover provides cover in the case that you take ill with a critical illness. A critical illness is one which may not necessarily cause your death but may well substantially affect your life. You may be out of work for 12 months whilst you are recovering or you may not return to the job you did before you took ill. The critical illness payout enables you to concentrate on recovering from your illness rather than worrying about your financial affairs.
Critical illness cover is always cheaper when part of a life insurance policy. The critical illness cover is paid out of the life insurance fund meaning that if you have a critical illness claim, there may not be any life insurance cover left especially if the policy has the same level of cover for both life insurance and critical illness. If the critical illness cover amount is less than the life insurance cover amount, then the difference will be left after the critical illness claim for any life insurance claim before the end of the term of the policy.
Mortgage life insurance-
This type of policy does exactly what it says; it pays a lump sum in the event of your death before the end of the term of the policy in order to pay off your mortgage balance at the time of death before.
The policy also pays out if you are diagnosed with a terminal illness, being an illness that is guaranteed to end your life within 12 months of being diagnosed. In that case, the provider will pay out on the production of the necessary paperwork and medical reports to allow you and your family to deal with your financial affairs and not to have to worry about anything other than making the most of the time you have left.
Mortgage Life Insurance policies are designed to be used with a repayment mortgage i.e. where you are paying off capital and interest over the life of the mortgage. They are not to be used with an interest only mortgage. The sum assured decreases over the life of the policy in line with your mortgage so that if death occurs at any point during the term of the policy, there will be enough insurance left in the policy to pay off the mortgage balance assuming you have not increased your mortgage balance or extended the term of the mortgage once the insurance policy has been taken out.
Premiums are guaranteed meaning that the premium will remain the same for the life of the policy.
It is worth noting that some providers will not pay out under the terminal illness element of the policy if the claim is made within the last 18 months of the policy. However, if you die within the last 18 months of the policy, the provider should still pay out the sum assured.
Mortgage life insurance with critical illness-
This is the same as mortgage life insurance but has critical illness cover as part of the policy.
The critical illness cover provides cover in the case that you take ill with a critical illness. A critical illness is one which may not necessarily cause your death but may well substantially affect your life. You may be out of work for 12 months whilst you are recovering or you may not return to the job you did before you took ill. The critical illness payout enables you to concentrate on recovering from your illness rather than worrying about your financial affairs.
Critical illness cover is always cheaper when part of a life insurance policy. The critical illness cover is paid out of the life insurance fund meaning that if you have a critical illness claim, there may not be any life insurance cover left especially if the policy has the same level of cover for both life insurance and critical illness. If the critical illness cover amount is less than the life insurance cover amount, then the difference will be left after the critical illness claim for any life insurance claim before the end of the term of the policy.
Trusts-
All the insurers that Adviser Financial deals with provide a free of charge service allowing you to put a trust in place on your life insurance policy. At Adviser Financial we also offer a free of charge service when it comes to putting the trust in place on your life insurance policy. We will guide you through the process of setting up the trust and make sure it is registered properly at the insurer.
A trust ensures the sum assured goes exactly to where you wish it to go, avoiding probate delays and in most cases inheritance tax if you die
The process is simple; we need to know who you want the trustees and beneficiaries to be. Once we have that information, we help to draft the trust document and send that to you for signature. When we receive the signed trust document, we send that to the insurer for registration and then send the registered trust form back to you to put with your policy documents. Trustees are the people you want to manage the money from your life insurance policy and ensure it goes to the beneficiaries
Click here for more information
Adviser Financial is one of the UK’s leading life insurance brokers and therefore best placed to search the entire market to ensure you get the right cover at the lowest possible price.
See how we can help you;
How much cover do I need-
Choosing the right level of cover can sometimes be tricky, especially if you want to protect your family. If you are taking out cover to protect your mortgage, choosing the right amount of cover is fairly straightforward. To ensure your mortgage is paid off if you were to pass away, your cover should match your mortgage debt.
If you have an interest-only mortgage, your mortgage debt stays the same throughout the term of the mortgage. Choosing a level term policy will ensure this debt is paid.
If you have a repayment mortgage, your mortgage debt reduces over the term of the mortgage. A properly arranged mortgage protection policy will reduce in line with your mortgage, so the cover amount you choose should match the current outstanding balance on your mortgage.
If you wish to protect a partner and/or children, the amount of cover you choose will depend on how many dependants there are, and the standard of living you wish them to have. You may also need to take into consideration other debts that may need to be paid.
The level of cover will also of course depend on your budget, as it's important to take out cover that's affordable to you.
If you have an interest-only mortgage, your mortgage debt stays the same throughout the term of the mortgage. Choosing a level term policy will ensure this debt is paid.
If you have a repayment mortgage, your mortgage debt reduces over the term of the mortgage. A properly arranged mortgage protection policy will reduce in line with your mortgage, so the cover amount you choose should match the current outstanding balance on your mortgage.
If you wish to protect a partner and/or children, the amount of cover you choose will depend on how many dependants there are, and the standard of living you wish them to have. You may also need to take into consideration other debts that may need to be paid.
The level of cover will also of course depend on your budget, as it's important to take out cover that's affordable to you.
What type of cover is right for me?
For information on what life insurance is right for me, expand the boxes below.
Straight forward life insurance-
The policy also pays out if you are diagnosed with a terminal illness, being an illness that is guaranteed to end your life within 12 months of being diagnosed. In that case, the provider will pay out on the production of the necessary paperwork and medical reports to allow you and your family to deal with your financial affairs and not to have to worry about anything other than making the most of the time you have left.
Premiums are guaranteed meaning that the sum assured and premium will remain the same for the life of the policy.
It is worth noting that some providers will not pay out under the terminal illness element of the policy if the claim is made within the last 18 months of the policy. However, if you die within the last 18 months of the policy, the provider should still pay out the sum assured.
Life insurance with critical illness-
This is the same as straight forward life insurance but has critical illness cover as part of the policy.
The critical illness cover provides cover in the case that you take ill with a critical illness. A critical illness is one which may not necessarily cause your death but may well substantially affect your life. You may be out of work for 12 months whilst you are recovering or you may not return to the job you did before you took ill. The critical illness payout enables you to concentrate on recovering from your illness rather than worrying about your financial affairs.
Critical illness cover is always cheaper when part of a life insurance policy. The critical illness cover is paid out of the life insurance fund meaning that if you have a critical illness claim, there may not be any life insurance cover left especially if the policy has the same level of cover for both life insurance and critical illness. If the critical illness cover amount is less than the life insurance cover amount, then the difference will be left after the critical illness claim for any life insurance claim before the end of the term of the policy.
Mortgage life insurance-
This type of policy does exactly what it says; it pays a lump sum in the event of your death before the end of the term of the policy in order to pay off your mortgage balance at the time of death before.
The policy also pays out if you are diagnosed with a terminal illness, being an illness that is guaranteed to end your life within 12 months of being diagnosed. In that case, the provider will pay out on the production of the necessary paperwork and medical reports to allow you and your family to deal with your financial affairs and not to have to worry about anything other than making the most of the time you have left.
Mortgage Life Insurance policies are designed to be used with a repayment mortgage i.e. where you are paying off capital and interest over the life of the mortgage. They are not to be used with an interest only mortgage. The sum assured decreases over the life of the policy in line with your mortgage so that if death occurs at any point during the term of the policy, there will be enough insurance left in the policy to pay off the mortgage balance assuming you have not increased your mortgage balance or extended the term of the mortgage once the insurance policy has been taken out.
Premiums are guaranteed meaning that the premium will remain the same for the life of the policy.
It is worth noting that some providers will not pay out under the terminal illness element of the policy if the claim is made within the last 18 months of the policy. However, if you die within the last 18 months of the policy, the provider should still pay out the sum assured.
Mortgage life insurance with critical illness-
This is the same as mortgage life insurance but has critical illness cover as part of the policy.
The critical illness cover provides cover in the case that you take ill with a critical illness. A critical illness is one which may not necessarily cause your death but may well substantially affect your life. You may be out of work for 12 months whilst you are recovering or you may not return to the job you did before you took ill. The critical illness payout enables you to concentrate on recovering from your illness rather than worrying about your financial affairs.
Critical illness cover is always cheaper when part of a life insurance policy. The critical illness cover is paid out of the life insurance fund meaning that if you have a critical illness claim, there may not be any life insurance cover left especially if the policy has the same level of cover for both life insurance and critical illness. If the critical illness cover amount is less than the life insurance cover amount, then the difference will be left after the critical illness claim for any life insurance claim before the end of the term of the policy.
Trusts-
All the insurers that Adviser Financial deals with provide a free of charge service allowing you to put a trust in place on your life insurance policy. At Adviser Financial we also offer a free of charge service when it comes to putting the trust in place on your life insurance policy. We will guide you through the process of setting up the trust and make sure it is registered properly at the insurer.
A trust ensures the sum assured goes exactly to where you wish it to go, avoiding probate delays and in most cases inheritance tax if you die
The process is simple; we need to know who you want the trustees and beneficiaries to be. Once we have that information, we help to draft the trust document and send that to you for signature. When we receive the signed trust document, we send that to the insurer for registration and then send the registered trust form back to you to put with your policy documents. Trustees are the people you want to manage the money from your life insurance policy and ensure it goes to the beneficiaries
Click here for more information
