Life Protection Policy – 4 Smart Insurance Ways to Cover Your Family
Life is uncertain, and no one knows what is going to happen tomorrow. Forward preparing to avoid a sudden loss of income from serious illness or death is also highly necessary. This preparation will help to safeguard and ensure the financial future of you and your loved ones. Therefore, you need to do many other things also to protect your family not only financially, but also from unforeseen circumstances. Mountview Financial Solutions brings 4 smart insurance ways to do that:
What Is Life Protection Insurance?
Life insurance – is a form of insurance that is intended to protect the family from the worse after your death. Money does not avoid the pain, but it can relieve extra financial burden at a tragic moment in your family’s life.
Life insurance is a life insurance scheme that pays a lump sum on the death of the policy holder. This gives the family members a financial shield, allowing you the peace of mind that they are free from financial pressure. A life cover policy can be used to either cover future educational expenditure of your kids or pay off your mortgage.
You may feel the additional need to take out life insurance when you purchase a house, become a parent. Losing anyone close to you will also serve as a wake-up call to remind you to invest in family insurance.
Purchasing the right type and amount of insurance is very important and it depends upon many factors such as children, age, lifestyle, and job benefits play a part in constructing the insurance portfolio. There are, however, four types of insurance that most life insurance advisor prescribe as follows:
Types of Insurance Policy:
#1 – Critical Illness:
Critical Illness (CI) insurance will provide you and your families with a lump-sum pay-out in the case of serious diseases such as heart attacks, strokes and long-term disorders such as cancer and Parkinson’s disease.
Any sick leave provided by the employer and insurance compensation may well be inadequate to meet your financial obligations if you have been out of work for some time, so a substantial amount of money will be very useful in keeping up large bills, such as debt repayments. Be mindful that conditions such as early-stage cancer are not necessarily protected by Critical Illness insurance, so you can review what is covered before taking a policy.
Also Read: Securing Future with Relevant Life Plans
#2 – Life Insurance:
Life insurance guarantees that your family is financially covered in the case of your death. The premium for this kind of policy is generally lower than Critical Illness policy because the policy does not pay in case of policy holders being critically ill. There are 2 different kinds of Life insurance that is Term Insurance and Whole of Life Insurance. In case of Term Insurance, the policy holder is covered for a limited period of time (up to agreed age or number of years). whereas in case of Whole of life insurance policy, the policyholder is covered for whole of life or until you die generally.
Certain occupations and arrangements provide “death in service policy” as part of the employee insurance programme, which may include alternate protections. Check to see if you are qualifying for an integrated life insurance package as long as you stick with your employer.
#3 – Income Protection:
Income Protection Insurance (IP) offers an additional income if you are no longer able to work due to an injury or sickness. Income Protection typically deals with more general health concerns such as muscular-skeletal injuries and mental health concerns such as depression. Talking to a broker will help you discover the strategy that is perfect for you.
Also Read: Level Term Assurance
#4 – Mortgage Protection Insurance:
Also known as decreasing term life insurance package with or without terminal illness, mortgage protection insurance guarantees that any unpaid debt on mortgages will be paid in the case of a covered person death.
Mountview FS can advise on Insurance and can also provide you with brief information about insurance terms and conditions and guidance on the insurance. For more information, you can call us @ 02080950120 or send us your requirements on info@mountviewfs.co.uk!
