Life cover helps you minimise the financial impact of death or terminal illness.
It’s designed to provide security for a wide range of financial commitments by paying a lump sum on your death. This essential form of protection is used for a variety of purposes such as mortgage commitments, personal debt (such as loans or credit cards), security for business obligations, providing a lump sum to fund your family’s future lifestyle in the event of your death.
If you have debts which you would like paid on your death, or want to create a capital lump sum that your family can draw upon to meet their needs, then life assurance is an essential part of your financial planning.
Funeral plans are a little different to life cover as there are no medical questions are asked.
You are covered immediately for accidental death and not for death by all causes.
If you were to die during the first year that the cover is in place by anything other than by accident, you get the premiums refunded to your Estate or the owner of the policy. If death is in the second year caused by anything other than an accident then the insurer will pay back one and a half times the premiums paid.
From year three onwards you will receive the full level of cover paid for death by all causes.