Family is the most import thing to most of us, yet most of us are vulnerable when it comes to protecting our families.
Quite often you hear ‘it will never happen to me’ or ‘I’ll sort it out later’ yet there is no time like the present to protect yourself and your family.
As you can imagine there are a lot of different types of protection policies out there Finding the one that provides adequate cover and the right protection is not as easy as you may think. As Independent Mortgage and Protection Advisers’ we can help you find the one that best meets your requirements.
Some of the main types of policies are:
Does exactly what it says on the tin, it provides a lump sum payment in the event of your death, during the policy term.
A critical illness policy would pay out a lump sum payment if you were diagnosed with a specified condition listed in the policy document during the policy term.
For example, if you take out a 25-year policy with a sum insured of £100,000 and suffer a stroke at any point during that period, you would be able to claim the £100,000.
In 2015 the average age of a claimants was 45 years old and the biggest claim paid was £720,000. Cancer made up the biggest percentage of claims paid at 53% although child claims made up 14% of all claims.
The top three medical conditions suffered by one insurers policyholders continue to be cancer, heart attack and stroke, and amounted to 78% of critical illness claims paid.*
*source AIG Life 2015 statistics
Income protection insurance
How would you pay the bills if you were sick or accidentally injured and couldn’t work?
When the unexpected happens, we know that what matters is peace of mind from a policy you can trust.
An income protection policy pays you a benefit if you can’t work due to ill health or accidental injury, and the benefit starts after an agreed period of time, called a deferred period.
Who is it for?
This type of plan is designed for anyone whom is working (employed or self-employed). Even if your employer provides sick pay, it is unlikely to last for longer than twelve months and so ongoing protection is essential. Plans can be adapted to fit in with any existing protection you might have. As advisors, we can help you find the plan that best meets your requirements.
Whole of life
Whole-of-life assurance is different because your family can make a claim whenever you die. In other words, a claim is assured, hence the name, and the policy is guaranteed to pay out at that point, whenever it might be.
Whole-of-life assurance is more expensive than term insurance because a claim is inevitable. You should therefore compare prices and make sure you can meet the cost – and remember that you could be paying the premiums into your 70s and 80s (most policies are structured so that premiums need no longer be paid beyond a certain age, such as 85 or 90).