Life insurance provides financial cover to take care of your family if you die.
It could replace the loss of your income; pay off the mortgage and cover the cost of raising children until they leave home, giving you peace of mind that, should the worst ever happen, your spouse and children will have financial security at a time when they need it most.
There are several types of Life Insurance policy available and we will ensure we take you through the whole process of ensuring all your options are considered and all the various factors are accounted for when selecting the right policy to suit your needs and we also have access to the whole of the market to ensure act impartially and find you the right cover for you and your family.
There are many different types of life insurance available and the right one for you depends on your own personal circumstances. Taking out life cover is a big step and it’s wise to seek independent and impartial advice before committing to a policy.
The types of life insurance include:
This kind of policy runs for a set number of years and pays out if you die within the term. It’s a good option if, for example, you want to make sure your dependants will be looked after financially to the age of 18 in the event of your untimely passing.
Whole of life cover runs continually, until you pass away. Therefore it is guaranteed to pay out but as a result premiums can tend to be more expensive. Whole of life cover is also known as life assurance.
This type of term insurance and can be a smart option if you need to provide a decreasing level of cover throughout the duration of the policy. Potential pay outs reduce each year of cover to reflect a decreasing balance on something such as your mortgage, which is why it can be one of the cheapest life insurance options.
Increasing life insurance might be an option if you think you’ll require a greater amount of cover as the term of the policy goes on; such as to meet perhaps, university fees or if you’re worried about the cost of living rising dramatically.
If you’re aged 50 or over, your circumstances are often quite different to those in your 20s, 30s and 40s, especially if you’re mortgage free and your children have left home. Your reasons for choosing life cover, therefore, might now be geared towards covering funeral costs or leaving behind an inheritance. Over-50s life insurance is guaranteed to pay out, so it is a kind of whole of life cover and as a result, the premiums often often tend to be higher. Many providers offer guaranteed acceptance without the need for a medical examination.
If you are a couple, having a joint life insurance policy can work out to be cheaper than having two single policies in place. But bear in mind that many policies will only pay out once, that being on the first death. Meaning that if the surviving partner requires any further cover, they will then need to take out a new single policy. Don’t assume you would only need single cover if one of you earns the income and the other stays at home with the children – because if the at-home parent were to die, the working partner might have to give up working or be able to meet expensive childcare costs.
These are set for an initial fixed term, after which the provider can review them if your circumstances change. The variability might not suit anyone on a budget.
There are many different types of mortgages available, so only looking at deals from one lender means you’re unlikely to end up with the best option. Our mortgage advisors have access to the whole of the market, including products not available from high street lenders.
We work for you not the lender and will act solely in your best interests. You can therefore be confident that the mortgage we recommend will be the best available product to suit your circumstances.
At Your Mortgage Options we leave no stone unturned in our whole of market research. We also handle the whole process end to end, including all the paperwork, solicitors and conveyancing.
We take the time to understand your individual circumstances. This helps us to find the right mortgage that works for you and your family. We will assess all that you can realistically afford and guide you through Your Mortgage Options.
Simply get in touch and let us know whether you want level or decreasing cover, whether you need a set term or whole of life policy and the amount of cover you’ll need. We’ll also need to know a few details about you like your date of birth, postcode and whether you’re a smoker or not.
Life Insurance provides the financial protection to cover the loss of your income if you die. The pay-out can be used to clear any debts, pay off your mortgage or just cover the day to day costs of living. It could also pay for your funeral if you haven’t set anything aside for that and can be used to leave a lump sum as an inheritance.
If you’re single with nobody depending on your income, then you probably don’t need life insurance.
But if you do have a partner or family who may struggle to cope financially, then life insurance could offer the help they need at a very difficult time.
Involving a specialist earlier on in the application process gives us more opportunity to help you by looking at your individual circumstances and conducting a whole of market review to find the right policy to fit your needs.
