Life Cover
You can protect your family or loved ones who depend on you when you are no longer around by purchasing life cover. This can cover your mortgage and other expenses to ensure that they will be taken care of in the event of your death.
What Is Life Cover?
Life cover will be gifted to your loved ones as either a fixed cash sum or a monthly payment and will keep them safe and secure financially. like with many other types of insurance you choose a benefit level of your preference and state what payments you want the policy to cover.
There are few types of Life Cover you can opt for when looking for this type of insurance.
1. Fixed Term Policy.
2. Mortgage Repayment Plan
Fixed Term Policy
This policy type allows your dependants to receive a fixed amount in the event you die for a set period of time in years. once the policy expires there will be no payments eligible to receive.
Mortgage Repayment Plan
This policy type will cover you for the length of your mortgage in the even of your death. this cover is best suited if you or your partner and family want to make sure that if either of the policy holders passes then the outstanding mortgage will be paid off.
To keep costs down you can also select a depreciating pay-out option that will decrease the pay-out inline with your outstanding mortgage amount. As you pay off your mortgage over the years insured the total amount repaying goes down and the pay-out for your life policy will also go down until the mortgage is paid off and the insurance ends.
How much will Life Cover Cost me?
The cost of Life Cover will vary depending on specific criteria. things like your age, if you smoke, your lifestyle and health all effect the total cost of a policy as a rule of thumb the younger you are the lower the risk of death so a policy will be cheaper. there are other options that can help bring down the cost e.g using a fixed price so it does not increase over time or choosing an increasing price which the initial premium will be lower than a fixed term or exploring the depreciating term policy's mentioned above.
