Types
of life insurance
Over £ 700 million of life insurance is sold
over the internet in the UK every month!
Let's face it, you simply can't get faster than applying
Online and you can literally save thousands
of pounds by selecting an online life insurance specialist.
Term Insurance
It's fundamental role is to provide a cash lump sum
if you die during a specified number of years (which
you decide). When you plan your finances, this lump
sum can be used in a number of ways. The obvious use
is to pay off the mortgage but you may have other debts
to cover, or the family may need a lump sum to help
them re-establish their lives. Other people use Term
insurance to simply to leave a lump sum gift to a friend
or loved one.
There are three types of term insurance:
- Level term insurance - the premium and cover stays the same throughout the term of the insurance policy
- Increasing term insurance - the cover increases each year . This is not very common but can be good if you want to take account of inflation or increased earnings
- Decreasing term insurance - this is often used for repayment mortgages. The cover decreases over time throughout the policy as you pay off your mortgage
Critical Illness Insurance
Critical illness can devastate family life and the
longer you survive the greater the financial problem.
Family income drops and the debts remain. Furthermore,
many illnesses incur additional expenses - for example,
adapting the home or car and your partner may have to
give up work to look after you. Critical Illness Insurance
is designed to cover this situation. It pays out a lump
sum as soon as you are diagnosed with a serious illness.
Dependants Income Insurance
Its role is to provide a regular income, as opposed
to a lump sum, for your dependents if you were to die
whilst the insurance was in force. It is important to
understand that this income ceases when the term you
took the insurance for is completed.
|
