Life Insurance
Simply, helping provide financial security for the people who matter most.
Life insurance is designed to provide a lump sum payment if you die during the policy term. While no amount of money can replace a loved one, it may help protect your family from financial uncertainty and provide valuable support when they need it most.
What Happens If You’re No Longer Here?
Most people insure their home, car and possessions.
Yet for many families, the biggest financial asset is the income that supports everyday living.
If you were no longer around:
- Could your family maintain their current lifestyle?
- Would the mortgage still be affordable?
- Could household bills still be paid?
- Would your loved ones have financial security while adjusting to a difficult new reality?
Life insurance is designed to help answer those questions before they become a problem.
How Life Insurance Works
Life insurance is straightforward.
- You choose the amount of cover required.
- You pay a monthly premium.
- If you die during the policy term, a payment is made to your beneficiaries or trust (subject to policy terms and conditions).
The payment can be used however your family needs it most, whether that’s helping to clear a mortgage, replacing lost income, paying household expenses or providing financial stability for the future.
For families who prefer regular ongoing payments rather than a lump sum, Family Income Benefit may also be worth considering.
Parents & Families
Help provide financial support for those who depend on you.
Homeowners
Homeowners may wish to combine life insurance with Mortgage Protection to help ensure outstanding borrowing does not become a burden for loved ones.
Couples
Provide financial security for a partner should the unexpected happen.
Business Owners
Help protect your family’s financial future while allowing business continuity planning to remain separate.
Why People Choose Life Insurance
Financial Security
Provides a tax-free lump sum in most circumstances.
Mortgage Protection
Can help clear outstanding borrowing.
Family Support
Provides financial assistance when it may be needed most.
Peace of Mind
Knowing plans are in place should the worst happen.
Real Life Scenario
Protecting The Family Home
James and Sarah have two children and a repayment mortgage.
If James were to die unexpectedly, Sarah could face the challenge of managing household bills, childcare costs and mortgage payments on a single income.
A life insurance policy could provide a lump sum designed to help clear the mortgage and ease financial pressures, allowing the family to focus on what matters most.
While a lump sum could help clear the mortgage, some families may prefer an ongoing monthly income through Family Income Benefit.
Common Questions About Life Insurance
How Much Life Insurance Do I Need?
The amount depends on your personal circumstances, including mortgage commitments, outstanding debts, family responsibilities and future financial objectives.
How Much Does Life Insurance Cost?
Premiums vary depending on factors such as age, health, lifestyle, occupation, smoking status and the level of cover selected.
Do I Need Life Insurance If I Have Death In Service Benefits?
Employer benefits can provide valuable protection, but they often cease if you change employer. Depending on your circumstances, personal Life Insurance or Income Protection may provide more certainty.
Can I Put Life Insurance Into Trust?
In many cases, policies can be written into trust to help ensure proceeds are paid efficiently to intended beneficiaries. Professional advice should always be sought.
Can I Get Cover With Existing Medical Conditions?
Many insurers consider applicants with existing health conditions, although terms may vary depending on individual circumstances.
How Long Should My Life Insurance Policy Last?
The length of cover usually depends on what you are protecting. For example, parents may choose cover until their children become financially independent, while homeowners often align the policy term with their mortgage. Selecting the right term helps ensure protection remains in place when it is needed most.
What’s The Difference Between Level Term and Decreasing Term Insurance?
Level Term Insurance provides a fixed amount of cover throughout the policy term.
Decreasing Term Insurance is designed so the amount of cover reduces over time, often in line with a repayment mortgage balance.
The most suitable option depends on your objectives and financial commitments.
Can I Have More Than One Life Insurance Policy?
Yes. Many people have multiple life insurance policies for different purposes. For example, one policy may cover a mortgage while another provides additional financial support for their family.
Will A Life Insurance Payout Be Subject To Inheritance Tax?
Life insurance benefits are often outside of inheritance tax planning considerations when policies are written in trust, although each situation is different. Professional legal and tax advice should be sought where appropriate.
Can I Get Cover With Existing Medical Conditions?
Many insurers consider applicants with existing health conditions, although terms may vary depending on individual circumstances.
Can Stay-At-Home Parents Benefit From Life Insurance?
Yes. While a stay-at-home parent may not have a traditional income, they often provide childcare, household management and other support which would be expensive to replace. Life insurance can help provide financial support during a difficult transition.
Is It Possible to Increase My Cover Later?
Some policies include options that allow cover to be increased following major life events such as marriage, having children or moving home. Availability varies between insurers and policy types.
What Happens If I Outlive My Policy Term?
If you survive until the end of the policy term, cover usually ends and no benefit is paid. The policy has served its purpose by providing protection during the agreed period.
Can Self-Employed People Get Life Insurance?
Yes. Life insurance is available to employed and self-employed individuals alike. In fact, self-employed people often place greater reliance on personal protection because they may not have access to the benefits that some employers provide.
When Should I Review My Life Insurance?
It is sensible to review your protection whenever significant life changes occur, including:
- Buying a property
- Getting married
- Having children
- Changing employment
- Taking on additional borrowing
- Starting a business
Regular reviews help ensure your cover remains aligned with your circumstances.
Related Protection Solutions:
Family Income Benefit
Providing ongoing monthly payments rather than a single lump sum.
Learn More →
Critical Illness Cover
Helping provide financial support following specified serious illnesses.
Learn More →
Mortgage Protection
Protection designed around your mortgage commitments.
Learn More →
Income Protection
Helping replace part of your income if illness or injury prevents you from working.
Learn More →
Ready To Protect The People Who Matter Most?
Life insurance isn’t about expecting the worst. It’s about planning responsibly for the people who depend on you.
Whether you’re buying your first policy, starting a family, reviewing existing cover or protecting a new mortgage commitment, we’ll help you understand your options and make informed decisions.