Key Points to consider when choosing Life Insurance
These are general points please read individual key features of selected products these will be given to you once we have narrowed down suitable plans.
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| We usually get asked to quote for an "X" amount of cover over "Z" years. Whilst we are happy to provide that quote, here are some points that you should consider that may even save you money.
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| Benefit of having two single policies rather that one joint policy. See Links below. The disadvantage is a higher premium to combat this we reduce the cost to at least the standard recommended premium of a joint policy. (min premium £25)
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All our life policies come with Terminal Illness Cover at no extra cost
Terminal Illness Benefit: If the life assured is diagnosed as being terminally ill (i.e. having less than 12 months to live) the life insurance company pays out the full claim. This benefit usually doesn´t pay in the last 12 months of the policy
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Indexation; If your insurance is to cover a mortgage then the amount of insurance needed is a set amount but If the policy is to provide for your family in the event of death or critical illness you need to have indexation. By indexing the cost increases nominally each year with inflation but this means the value in real terms stays the same as the sum assured increases with inflation.
(A figure that you could have live on 15 years ago would be a struggle today!!!)
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Critical Illness this provides cover should you develop one of the listed critical illnesses. For Family cover whilst critical illness for the whole sum assured may be ideal, an alternative is to have Critical Illness cover equal to one or two year´s salary, which could be used to fund private treatment and or provide income whilst you recover. Another option may be an Income Protection Policy this is an alternative strategy to cover salary.
If you are considering Critical Illness are you aware that the conditions covered vary between companies. Therefore the company with the lowest premium may not give you the cover you require. See link Below
If you have any existing health issues different companies view these in very different ways one company may increase premiums by 10% another by 100%.
We can also arrange for any medical issues to be discussed by an insurance company nurse.
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| Think about the term, with family cover many people go for at term up to 65, it may be better to have a shorter policy to when your youngest child is 18 or independent. This could result in cheaper premiums or preferably more cover at the most vulnerable time.
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Also consider what happens when the policy pays out.
a) How quickly do you receive the payment? Wrongly set up policies can take a year or more to payout.
b) Does the payment go to the people you intended? In the way you intended.
c) Do they use the payment in the way you intended? i.e. you may want to leave funds to your children but
only for education or deposit on a house or after a certain age.
We can provide solutions to these questions at no extra cost to you.
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Why are we able to quote major insurance companies at less than their recommended cost? And usually lower than supermarkets and online providers, whilst also giving advice on the most suitable policy for your situation.
We increase our discount as the premium increases as usually our work remains the same whether a £25 policy or a £100 policy
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| Beware of companies quoting Life and Terminal illness as if is Critical illness.
It's a worthwhile addition to a Life policy but it is not Critical illness !!!
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We use a number of different insurance companies who all have different criteria
(i.e. the company with lowest premium for a 20 year old may not be the best for a 60 year old).
Example of how they can vary.
Lowest cost is not always the best value example 21year old Male.
Lowest cost is £5 min premium giving £50,932 of cover over £20 years.
Second Company has a min of £6 giving £114,428 of cover over £20 years.
Third Company has a min of £10 giving £215,834 of cover over £20 years.
If you ask a comparison site for "Cheapest" would you have got best value?
Should you have a number of policies (set up at the same time) we will look at the option of combine the premiums and adjust our discount accordingly.
We can also quote you on the basis that we keep the premium as recommended but increase the sum assured.
All our life quotes come with terminal illness cover included at no extra cost.
When we quote for critical illness we always quote for your "own occupation" (if available) rather than the cheaper "any occupation".
(I.e. insurance companies have different definitions of occupation, if you are a builder you would want to claim if you can't work as a builder. even if you could work in a call centre)
We don't charge extra for putting policies in trust as we consider
that this should be part of standard service.
We don't penalise you for having two single policies rather than a joint policy
even if this is with two different insurance companies.
We don't believe that giving correct advice should be influenced by commission levels
of the amount work involved.
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| Remember when purchasing a property once you have "Exchanged Contracts" you must complete if one of you where to die or have a critical illness you may no longer be able to afford the new mortgage, if insurance is in place (for the amount of the mortgage)at exchange you would no longer need the mortgage. Failure to complete is usually a penalty of 10% the value of the property plus other partie´s legal fees.
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