wants to leave his or her dependents destitute, so if you
are taking out a mortgage, you really ought to consider -
at the very least - taking out some life assurance to
cover the mortgage.
It is possible to provide protection with ether a decreasing
term assurance plan, where the level of cover reduces broadly
in line with your reducing debt, a level term plan where the
cover remains at the level you took it out at or a whole of
life policy which runs for as long as you want and may provide
some money when you cash in.
Term assurance is usually bought to cover the mortgage term
only and nowadays is extremely competitive. This means you
can obtain high levels of cover for relatively low premiums,
although remember there is no residual value when the policy
Level term assurance offers a guaranteed lump sum in the event
of death during the policy. Decreasing term is a popular option
that is sold with repayment mortgages and is usually a cheaper
option than level term assurance.
It is also possible to take a plan with cover against a critical
illness. This aims to pay out a lump sum on the diagnosis
of a serious illness such as a heart attack or a cancer. Whist
these plans can be expensive they can offer useful peace of
mind. The market can be complicated with some companies offering
a narrow range of illnesses and some offering a much wider
range not necessarily at a higher monthly cost.
Get in touch with us if you’re concerned that you’re
not providing enough protection for your dependents. We believe
all clients have a unique set of circumstances. As independent
financial advisers we conduct a review of your situation and
help you identify the cover that best suits your circumstances.
Our service is not redistricted to our local area. We have
clients all over Great Britain. We are able to help wherever
you are in the UK. If you would like to discuss you circumstances
in confidence, please do not hesitate to get in touch on City
Investments 01244 317788