In reality, not everybody needs life insurance. However if your loved ones depend on your income for things like paying the mortgage and other living expenses, life insurance should not be something you completely ignore.
At The Cheapest Life Insurance we understand more than most that having life insurance can provide comfort and peace of mind for you and your family during what could be difficult times. So in today’s blog we’re going to run through some of the reasons for having life insurance and what it could bring to you.
So what does life insurance do?
Life insurance is a policy taken out with an insurance company that can pay your family or dependents a lump sum or even payments on a regular basis if you die.
Are all life insurance types the same?
There are a number of life insurance types that all offer cover. Some will be more suitable than others and depend on your personal circumstances or needs.
For example, a whole of life policy will pay if you die as long as you keep paying your premiums.
Whereas something like Term life Insurance will pay during a specified period of time. This might be a term that runs for five, ten or even thirty years. Any sums paid are only paid during this term, so if you die after the policy has lapsed you will not be covered.
What life insurance doesn’t cover?
Life insurance only covers your family when you die. It does not cover you for things like critical illness cover for example.
What kind of exclusions are there with life insurance?
Most life insurance policies have exclusions for things that they don’t cover. For example, if you were to die due to alcohol abuse or undertake high risk activities that are considered dangerous, you may find that you are not covered under your policy.
It is always best to check any life insurance policy for what exclusions there may be so you know exactly what you are covered for.
Do you actually need life insurance?
If you have family that rely on your income for paying things like the mortgage or you have children a life insurance policy can be a good investment and offer peace of mind.
While there are Government benefits that may be provided to your loved ones if you die, they are considerably less than what you probably earn now. Therefore, unless you are happy with this scenario it is a good idea to get life insurance, so that you can make sure they are secure should the unfortunate happen.
If you are unsure about life insurance, why not try our life insurance calculator to get an idea as to what kind of cover you might need or use our ‘quick quote’ life insurance form and one of our qualified advisers will call you back with a free, no obligation quote.