| Immortality is no big deal. Just imagine | | | | term insurance, of which the following are |
| getting up on a Monday morning 52 times a | | | | the more usual examples. |
| year for the rest of eternity. Really only | | | | |
| two advantages of eternal life spring to mind | | | | Family Income Benefit is one of the best and |
| - you could start reading 'War & Peace' and | | | | must have been developed with bereaved |
| know that you would have time to finish it, | | | | families in mind. The death of the policy |
| and you wouldn't need life insurance. | | | | holder during the term of the insurance |
| However, as mere mortals, maybe we shouldn't | | | | releases a tax free sum which will be paid |
| start on a very long book and we should take | | | | every year right through to the end of the |
| out life insurance, because we none of us | | | | term. Costs for this type are at a minimum |
| know just how long we have got. | | | | because the term during which the payments |
| | | | would be made is constantly reducing. |
| Not particularly cheerful advice, but very | | | | |
| practical. Can you really face the idea of | | | | Level term insurance is very straight |
| departing this life and leaving behind little | | | | forward. It is well suited to covering the |
| more than the memory of you? If you have | | | | capital portion of an 'interest only' |
| family or other dependants, it is vital that | | | | mortgage, because the value of cover is |
| you provide for their futures especially if | | | | determined at the outset and is retained for |
| you are the main breadwinner. The trauma of | | | | the whole of the term. |
| the loss would be quite enough for anyone to | | | | |
| cope with, without having to worry about how | | | | A Decreasing Term policy on the other hand is |
| they are going to manage financially, and | | | | better suited to covering a repayment |
| maybe even contemplate the loss of their | | | | mortgage, as it decreases in value over the |
| home. | | | | term to nil at the end, effectively shadowing |
| | | | the reducing balance of the mortgage. The |
| So if you haven't got adequate life cover or | | | | premiums are correspondingly low. |
| perhaps have no life insurance of any sort, | | | | |
| you should take action to correct that | | | | An Increasing Term mortgage maintains its |
| situation without delay. Perhaps you have | | | | value throughout the term by taking the |
| considered it and perhaps you have even had a | | | | effects of inflation into account, and is |
| look at what is available, and then put off | | | | best suited to fulfilling a lump sum |
| doing anything about it because there are too | | | | requirement at a constant value. The premiums |
| many options and it is difficult to know | | | | are correspondingly high. |
| which to opt for. This is absolutely | | | | |
| understandable because there are so many | | | | Finally it is worthwhile mentioning Whole of |
| variations that anyone could be forgiven for | | | | Life cover which is not actually term |
| being confused - but procrastination will not | | | | insurance, as the cover provided is effective |
| put food on the table for your dependents | | | | to the end of the life of the insured person, |
| when you are gone. | | | | subject only to the premiums being paid as |
| | | | due. The insured amount, plus the value of |
| So you need information. The following is a | | | | any benefits accruing to the investment, is |
| general guide to what is available, which | | | | paid out on the death of the insured |
| should enable you to decide more or less | | | | |
| which types of cover may be best suited to | | | | The above few examples give a generalised |
| your needs. The fine detail is avoided | | | | guide to some of the policies which are |
| because that is best left to the experts, | | | | available, and should allow you to talk to a |
| whom you should be able to approach with a | | | | broker and discuss your needs in detail. It |
| rough idea of what you are looking for, and | | | | may well be that more than one type of cover |
| equally important, which types would not be | | | | will be required to meet all your needs, but |
| suited to your needs. | | | | find a brokers via the internet (which is an |
| | | | excellent source), and they will provide |
| Term insurance in one of its forms is likely | | | | guidance. |
| to meet most needs. Its name indicates that | | | | |
| it provides cover for a period which is | | | | Once settled you can relax, content that you |
| agreed between the company providing the | | | | have taken care of your dependents needs, and |
| policy and the insured individual. At the | | | | if you are really adventurous you could start |
| end of that term all cover ceases and there | | | | reading 'War and Peace'! |
| is no cash value remaining. Payment against | | | | |
| the policy will usually be in the form of a | | | | Life insurance and mortgage insurance from |
| lump sum on the death of the insured. | | | | |
| | | | Express life insurance provides its customers |
| There are a variety of different forms of | | | | with loads of information about life |
| cover available under the umbrella name of | | | | insurance. |