Insurance can be a complicated business and it is important to ensure that you are getting the right cover for what you want.
Over the next few posts, I’ll try to explain the different types of policy and what they cover you for.
I’ll start with what is probably the most important insurance and that’s life cover.

Life insurance

As the name indicates, this insurance protects your loved ones financially if you die.

A frightening, staggering, number of people don’t have life insurance, even though it is really quite cheap – about the cost of a few of your favourite coffees each week. That’s not a lot for the peace of mind of knowing that your loved ones are protected if you die.

Plus, you can also guarantee the monthly premiums, meaning they will never increase in price.

People don’t hesitate to take out insurance for other things – their car, house and contents, even a mobile phone. But ask them to insure their own life and they hesitate.

The reason is pretty obvious. People – and in particular the young – don’t think or don’t want to think that anything bad is ever going to happen to them. Sadly, it can and does happen to us, young or old, when we least expect it.

And if the worst happens, what will happen for your partner or for any family that you have?

If you died, how would they pay the bills, even keep a roof over their heads?

I always ask customers: how would you pay the mortgage, the bills, the shopping, gas and electricity?

Life insurance pays out when you die and protects people against disaster. At the very least people must protect their mortgage, so at least that cost is covered.

The simplest type of life insurance is level term insurance, where you can insure yourself and/or your partner for a set amount which will only be paid out if you die within an agreed period – the higher the amount of cover and longer the term, the more the policy costs. The amount of cover you choose will stay the same throughout the term of the policy.

There are other types, like whole of life insurance, which pays out when you die, rather than for just a fixed period and decreasing term life insurance, which is there to primarily protect your mortgage. As your mortgage amount decreases then the decreasing term life policy reduces in line with the mortgage amount.

With life insurance, it’s important to get expert, personal advice to ensure you choose the right policy that fits your needs.

For a free, no obligation discussion on any insurance or mortgage-related issue, please give me a call on 01723 384558 or 07767 692 653 or email me at mgrayshan@googlemail.com