From just a few pence a day depending on the level of cover you require, life insurance will pay out a lump sum to your family should you pass away.
If the worst were to happen we want to make sure that the ones you love are protected and are not left struggling. We can make sure that any mortgage would be fully repaid or we can make sure that a lump sum is left to your survivors.
At Key Mortgages and Protection, we can advise you on the level of cover you need.
This will differ from person to person depending on their circumstance. For example, people with children, a partner or a spouse who are financially dependent on them as well as people with a mortgage.
You can get life insurance with a pre-existing medical condition but it may increase the cost of the policy. However, if you fall into a category that is considered ‘high risk’ your policy may not payout in the event of death due to that condition or issues related to that condition.
A life insurance plan usually only covers death, not illness or disability but some policies may payout on diagnosis of a terminal illness. However, if you have a serious illness when you take out the policy you may not be covered from the cause of death from complications from that illness.
In the UK, you will not need to pay tax on the proceeds of a life insurance policy. However if the value of your estate is more than £325,000 there will be a 40% inheritance tax that will be deducted from your pay out.
Although life insurance policies given by your employers are low cost, the policies’ face value may not be high enough to financially benefit your family if the worst should happen.
Although not legally required, you can update your life insurance policy to reflect a change in circumstances.