Life is unpredictable and making sure your family is adequately provided for, should the worst happen, is a big responsibility. You may wish to ensure that:
- Your mortgage and loans are repaid if anything happens to you.
- Your monthly commitments i.e. mortgage and loan payments and living expenses are covered in the event of you being unable to work through accident, sickness or unemployment.
- Your family either receive a lump sum or regular income if anything happens to you.
- You and your family can receive private medical insurance cover.
- You and your family’s long-term care issues are covered.
There are many types of life and income protection insurances including:
The most common form of Insurance is ‘Term Insurance’. If your main concern is protecting your family or dependants, term insurance is often the cheapest way that you can buy the cover you need. Term insurance pays out if you die within a set period of time (the ‘term’). Term Insurance is also often used for Mortgage and Loan Protection.
Income Protection Insurance is designed specifically to provide replacement income if you are unable to work following an accident or sickness. Income protection policies (often called Permanent Health Insurance or PHI) can provide for a regular income to be paid up to your normal retirement age.
Accident, Sickness and Unemployment (ASU) insurance pays out a regular amount for a limited time, such as 12 to 24 months – if you can’t work for health reasons or redundancy. It is mainly used to cover a specific expense, such as a mortgage or loan repayments.
Critical Illness Cover – Pays out a lump sum if you are diagnosed with a life-threatening condition, such as some forms of cancer and/or a heart attack. The lump sum can be used to replace your income, repay mortgages or loans, or for any other purpose.
Private Medical Insurance assists with the payment of your hospital and treatment bills if you wish to ‘go private’ for your medical treatment needs. This, therefore, often allows you the chance to choose when and where your medical treatment is carried out.
Long Term Care Insurance covers the cost of being looked after – usually in old age – if you can no longer manage on your own. The best way to avoid becoming a burden to your family in these circumstances is to take out some form of Long Term Care Insurance.
Why not contact us for all your ’Life Assurance & Protection Advice’ requirements.