Decreasing Term Assurance is also known as mortgage protection and is taken out over the same period as your Repayment Mortgage. The life assurance value of the policy is designed to decrease in line with your mortgage balance and pay out in the event of your death during the term of the plan. This plan offers a very cost effective way of covering your mortgage. Critical illness Cover and Waiver of Premium benefits are an important addition to this plan and should always be considered.
Level Term Assurance
Level Term Assurance is taken out over the same period as your Interest Only Mortgage and will pay out the same amount of money if you were to die anytime during the plan term. It can also be used for personal life assurance to provide a lump sum benefit to any dependants or loved ones that you have. Critical illness Cover and Waiver of Premium benefits are also an important addition to this plan and should always be considered.
Waiver of Premium
Waiver of Premium is an add on to the above policies and is used to provide you with the benefit of your life assurance or critical illness premiums being paid for you if you cannot work because of ill health or sometimes unemployment. There is usually a deferred period when you have to pay the premiums for the first part of your claim. Your premiums will generally be met until you return to work or the plan term ends.
Other Life Assurances
There are certain other life assurance plans such as whole of Life policies that require more specialist advice and we can put you in touch with an adviser who can help in these matters.
Critical illness Cover
Critical illness Cover can be taken out as a stand alone plan or attached to a life assurance policy that is used to protect a mortgage or personal life cover. The policy will pay out the Sum Assured during the term of the plan in the event of someone being diagnosed as having one of a range of Specified Critical illnesses such as some forms of cancer, heart attack, stroke etc. or becoming totally and permanently disabled and surviving for a certain period beyond the diagnosis date.