When it comes to life insurance, there is a lot to think about. You will need to weigh up your own finances and your family’s needs, taking into account your age and health too. But do not panic, our nowsure agents can help you find the right insurance plan for you.
Here are just some of the life insurance options available in the UK market today:
|Level-Term Life Insurance
||Level-term life insurance is the most popular type of life insurance for parents. It provides a fixed sum of money to your beneficiaries if you die during the term of your policy. The payout remains the same throughout the policy term. The term is a fixed period, typically 5-30 years.
|Decreasing Term Life Insurance
||Decreasing term life insurance is another popular option for dads. The payout decreases over the term of the policy, usually to match your decreasing repayment mortgage or other debts.
|Family Income Benefit Family
||Family income benefit is a type of life insurance that provides a replacement salary to your beneficiaries if you die within the policy term. This can help to provide for your family’s living expenses and ensure that they are financially able to replace the significant loss of income.
||Whole life insurance gives coverage for the rest of your life, rather than for a specific period. This type of policy is usually more expensive than term life insurance but can also come with additional benefits such as savings and investment options.
|Over-50s Life Insurance
||Over-50s life insurance is a type of policy, often whole of life cover, designed for those over the age of 50 who may not qualify for traditional life insurance due to health or other factors. This type of policy provides a fixed payout upon your death, and premiums are usually fixed for the life of the policy.
|Joint Life Insurance
||Joint policies provide coverage for two people, usually a couple. Joint life insurance offers two policies. First death, where both parties are covered until one policyholder dies. When this happens, the sum is payable to the second person on the policy. Or, second death, where the payout will only be payable once both policyholders die, no matter how far apart the deaths are. You may want to weigh up the pros and cons of joint life insurance policies vs. single policies with your partner.
How much life cover is enough and how do I calculate it?
When it comes to setting up adequate protection, we understand that every dad’s situation is unique. We provide quotes tailored to your personal financial circumstances.
If you have children who depend on your income, or you are a stay-at-home parent who takes care of them full-time, consider how they would manage without your usual salary or what the cost of alternative childcare might be.
Currently, the cost of living is increasing and subsequently, the cost of raising children is also rising. Studies suggest that looking after a child to 18 is the highest it has been since calculations started in 2012. The current cost for a couple is over £150,000. And for a single parent, it is over £200,000. This does not include housing, childcare and council tax costs.
Along with your regular payments and outgoings like mortgage payments, monthly rent, or credit card debts, it is also important to think about whether you have enough savings to cover additional costs that may arise if you were to die. There are hundreds of outgoings that often slip our minds, but we are here to help you figure out the correct total of coverage.
How much could a dad expect to pay in life insurance premiums?
Our experience in life insurance has taught us that many individuals fail to go through with life insurance due to the fear of the monthly premium costs.
We are here to tell you that we know you have household bills to pay, and that is why as part of our price comparison service, we hunt around to secure you the right deals and premium costs.
The cost of life insurance can vary depending on numerous factors, including age, health conditions, and lifestyle.
The following aspects are likely to be considered by your life insurance provider when it comes to finalising your policy details and coverage amount:
- Age: Generally, the younger you are when you take out a policy, the cheaper the premiums are likely to be. This is because younger people are considered to be a lower risk to insurers, as they are less likely to have health problems or pass away in the near future.
- Health condition: Your overall health condition can also impact the cost of your life insurance premiums. If you have a pre-existing medical condition or a family history of certain illnesses, your premiums may be higher.
- Lifestyle: If you have a risky lifestyle, such as regularly engaging in extreme sports or smoking, your premiums may also be higher. This is because insurers see you as a higher risk for premature death.
- Coverage amount: The payout amount that you would like your beneficiaries to receive can also impact your premiums. Generally, the higher the payout amount, the higher the premiums will be.
For affordable life insurance cover you can rely on, speak to our team.