What is life insurance?
Life insurance helps give your family financial protection should you pass away within the policy term. It lets you leave a lump sum behind – helping your loved ones maintain their living standards or pay mortgage costs.
It’s up to you how much cover you want although most insurers will have limits, usually up to £5 million pounds. Life Insurance is generally available from just £6 a month.
To get a quote we ask a few basic questions to help connect you with a broker from one of our partners who are all based in the UK.
Do you need life insurance?
Take the time to consider how much money your loved ones might need to maintain their living standards if you were to pass away. This might include costs such as bills, mortgage repayments, school fees and any other debts you might need to repay.
How long do I need cover for?
When it comes to how long you need cover for, think about how long your dependents will need financial support, or when your partner may retire.
Joint or separate life insurance policy?
If you and your partner would like combined cover, you can take out a joint policy. This pays out once and won’t provide cover for the second person after the first passes away. You can also both take out two separate policies. So once your insurers pays out for one person their policy will end – but the second person’s policy will continue.
Types of life insurance
Level Term cover is a fixed amount of cover for a set period of time. Your premium remains the same unless you choose an option like indexation which increases your cover and premiums with inflation. This type of policy can be used to cover expenses like mortgages, education or provide a lump sum to replace lost income.
This type of policy is typically chosen to cover a mortgage or a loan. This cover decreases over the term of the policy and because of this is cheaper than level cover.
Critical Illness cover helps protect you if you become critically ill during the policy term. It pays out a tax-free lump sum that you can use however you like – whether that’s to help cover health-related costs, monthly expenses, or lost income while you get better.
FIND OUT MORE
This type of cover is different in that it pays a percentage of your salary every month in the event that you are not able to work due to illness or disability for a period of time. It stops paying out once you are well enough to return to work.
Of course the above is just a simple summary. There are many options your advisor can guide you through when you get a quote, options like Family Income benefit or Indexation are worth considering. They will explain what these mean and answer any other questions you may have.
At Life Protection Direct we will help you find an advisor who will take the time to listen to your needs and get you a quote that's right for you and not just generate an automated quote online.
What does Life Insurance cover?
Protection if you die
The insurer you are covered by pays a lump sum if you pass away during the policy term – simple as that
Receive your lump sum payment early if you're diagnosed with a terminal illness that meets their definition and you're not expected to live longer than 12 months. Once payment is made your policy will end and no further claims will be paid
Flexible length of cover
You can choose the length of cover you need – from short-term to 50 years or so, depending on your insurer
A separation benefit
If you separate from your partner, you may be able to split your joint policy into single policies (Insurer dependent)
WHAT'S NOT COVERED
Not paying your premiums
If your payments stop, so does your cover
No cash-in value
These types of policy have no cash-in value at any time
Death outside the policy term
You choose how long your policy lasts. Once it's finished, then your cover will stop and your insurer won't pay out if you die
Suicide and self-inflicted injuries in the first year
Generally you won't be covered if you die in the first 12 months of the policy as a result of suicide or intentional, self-inflicted injury
The above is a general summary of what various policies do/do not cover in the UK. Please check your specific policy to ensure it meets your needs.
Choose from the UK's leading Life Insurance companies
Legal & General, Aviva, Vitality, Liverpool Victoria and Zurich are just a few of the insurers our panel of advisors work with to find you the best life insurance cover. They can help you navigate the various policies to make sure you get the right policy for you. What's more because they work with many of the UK's leading insurers they could help you save money on on a new policy as well as replacing your existing cover.
Life & Critical Illness insurance
Add optional Critical Illness cover
When you apply for life insurance, you can add critical illness cover.
A Critical Illness Plan pays out a lump sum if you are diagnosed with or have surgery for one of the critical illnesses covered by the insurers plan.
Critical Illness is cheaper than most people think so it's worth getting a quote, you can even choose different amounts of cover so match your budget. For example you could have life insurance for £100k and £50k of critical illness cover, by doing this it will reduce your premiums.
For more information and a quote please fill in the enquiry form and and one of the advisors from one of our partner brokers will call you back.
Get a quick quote
Got 5 minutes? That’s how long it takes to fill out our short form. Once we have it we will refer you to a qualified and experienced advisor who will provide you with your quote.
Remember, you can add critical illness cover when you apply for life insurance.