When looking at your Life Insurance there are a number of add-ons you can put on the policy, you could look at adding critical illness onto the policy. Critical illness insurance is often confused with terminal illness insurance. Terminal illness insurance is a cover that is often given free of charge and would ensure that the plan paid out if you were diagnosed by a doctor that you had less than 12 months to live. The insurance would pay and enable you to sort your affairs. Whereas critical illness is a different form altogether. This would pay you a lump sum of money if you were to suffer from one of the designated critical illnesses, in the plan you take. The main illnesses covered are heart attack, cancer and strokes. You often find that the men suffer from the heart attacks and strokes and it is the women who get the cancers.
Archive for July, 2009
Life insurance – Terminal Illness and Critical Illness
Monday, July 13th, 2009Term Life Insurance
Friday, July 10th, 2009Term Life Insurance is a widely used form of protection in the UK. This is the most basic form of protection you can buy. In the USA the majority of the insurance sold has an investment element to it also, however in the UK this is not the case. The standard term insurance plan will pay a lump sum of money if you were to die during the policy term. If you were not to die during the term then the plan would not be worth any value and the premiums you have paid are in effect wasted. However if you were to die during the term the sum assured you cover yourself for under the plan would be paid into your estate as a tax free lump sum. This can also be placed under trust and this would mean that the payment can go direct to the specified person you would like it to go to and not be part of your estate. Thus giving attractive inheritance tax exclusions.
Life Insurance
Thursday, July 2nd, 2009Life Insurance is a very popular form of protection insurance. The main reason for its popularity is that it is relatively affordable and offers protection for your family should you die. Many people take life insurance on a decreasing basis; this could be to protect against a mortgage and ensure that should you die, your mortgage would be paid off.
Others may take the insurance to provide family with an income, this would be an ideal form of cover should you be the main bread winner in the family and those left behind are likely to struggle without your income.
Overall it is easy to see the populartiy of this form of protection and it is definately worth considering getting some if you have not got it already.