Protection

Mortgage life Assurance is designed to pay off your mortgage balance in the event of your death. This means that should the policy holder die, the policy will pay off the outstanding mortgage balance.

If you have a mortgage and financial dependants, you need mortgage life assurance. This type of policy will pay off your remaining mortgage balance in the event of your death.

Should you die during the term of your mortgage, you can not just assume that your spouse or partner can just carry on making the mortgage payments even if they can afford to do so. Unless the mortgage was arranged in joint names, the lender could formally demand that the mortgage is repaid. By arranging mortgage life assurance, this type of policy can guarantee to pay out enough to repay your mortgage balance in full.

Yes, term assurance is usually level term, so the policy will pay out the same amount regardless of when a claim is made. With mortgage life assurance, this type of policy is usually decreasing term and is suitable for repayment mortgages.

With decreasing term assurance, as your mortgage balance decreases year on year so does the sum assured. This type of policy can come with a mortgage guarantee that promises to pay the remaining mortgage balance regardless of future interest rate changes. The advantage of this policy is that the premiums are cheaper compared to level Term Assurance.

You will need to consider whether or not your dependants would have sufficient capital to repay the mortgage in the event of your death. For the majority of us, the simple answer is no.

You will also need to consider that even if your dependants could pay the mortgage off in the event of your death, they will have also lost your income; this could have a huge effect on their finances going forward.

At A to Z Finance 4U, our Consultants are qualified and trained to all aspects of Life Assurance. We will carefully review your personal circumstances now and your aspirations for the future.

We will make a recommendation that gives you the peace of mind and the security your family and loved ones need.

Family Income Benefit is an innovative type of life assurance designed to give your dependants a tax free, monthly income in the event of your death.

This policy is suitable for couples who rely on each other’s income and who have young families or have older financially dependent children.

Even if you are single and have no financial dependents, you may want to provide an additional financial security for your parents in their later life.

The main difference between Family Income Benefit compared to Term Assurance or Mortgage Life Assurance is that this policy rather than pay out a lump sum on your death, will pay out a monthly tax free income for the term of the policy.

Term Assurance or Mortgage Life Assurance is designed to pay off your mortgage, but if the worse happens have you considered how your dependents will manage without your income after your death.

At A to Z Finance 4U we will review your current income and expenditure now and assess your income requirements for the future. We will then recommend an annual sum assured; this is amount the policy will pay out each year for the remainder of the term. Payments can be made monthly and are tax free.

Let’s assume that you need a Family Income Benefit Policy that will pay your financial dependants £3,000 a month in today’s money. If your family made a claim 20 years later, would £3,000 be enough?

You can index link your policy and premiums, from the outset, you can link the sum assured to the Retail Price Index, so as inflation increases, the sum assured increases, and this guarantees that your policy retains its value.

Yes, if your dependents decide that a capital sum would be better that receiving a monthly income, they can request that the policy is changed after your death.

Compared to Level Term Assurance and Mortgage Life Assurance, the monthly premiums for Family Income Benefit are generally less expensive.

Can you think of a friend or a family member who has become seriously ill, how about a friend of your parents? One in five of us will suffer a critical illness.

Most of us think that the good health we enjoy now will stay with us forever. Unfortunately, statistics suggest the odds are stacked against us. Statistics confirm that one in five males and one six females will suffer a serious medical complaint at some stage in their life.

Each Assurance company provides comprehensive definitions of what they include as a Critical Illness. Please don’t confuse Critical Illness with Terminal Illness. Level Term Assurance and Mortgage Life Assurance includes Terminal Illness cover at no addition cost. If you have a Terminal Illness, this means that you will not recover from the illness and your doctor or consultant have confirmed that your lifespan can be counted in weeks or months rather than years. In these circumstances, your policy could pay our on diagnosis of your Terminal Illness.

With a Critical Illness, with ever advancing medical science, you have an ever improving chance of surviving a Critical Illness. Illness’s such as breast or testicular cancers are now curable in many cases but are still considered to be a Critical Illness.

Critical Illness Cover is designed to pay a capital sum or monthly income once you are diagnosed with a Critical Illness allowing you have financial peace of mind whilst focusing on getting back to full health.

At A to Z Finance 4U, our Consultants are qualified and trained to all aspects of Life Assurance. We will carefully review your personal circumstances now and your aspirations for the future.

We will make a recommendation that gives you the peace of mind and the security your family and loved ones need.