One of the least costly forms of insurance is called mortgage decreasing term insurance which is a type of cover that pays out to cover your mortgage if you die within a set term. As mortgage debt decreases over time, the amount it pays also decreases. This tends to be cheaper than level term life assurance as the insurer usually has to pay a lot less. However, if you were concerned to leave a lump sum for your dependants to cover any other debts and ongoing spending, a level term life insurance policy, which is more expensive, may be what you need.
Whole of life insurance tends to be investment-linked life insurance policies, which are often used to mitigate inheritance tax, as the amount paid should cover the inheritance tax bill on death, and the policy runs out when you die, instead of after a fixed time. Life insurance investments are investments operated through life insurers. If you are single and have no dependents then maybe you will be wondering whether you need life insurance but, if you do have dependents, such as a partner and/or children or anyone else who relies on your income, then you have to ask yourself: what would happen financially to the people you love if you died? It is a difficult question to deal with but Enable’s IFA's in Bishop's Stortford have experience of helping people making sure that they have the right cover.
Issued by: Enable Independent Financial Life Planners • 25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 - Fax: 01279 657339 Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority. It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us. NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE
No comments:
Post a Comment