Family Life Insurance
Family members play an important role in the life of every individual. These people act as a pillar of strength and motivation when we’re in the dumps, selflessly there for us all our lives. They deserve a good life even when you’re not there to take care of them. The best way to give back to your family is by buying a family life insurance. That way, they can fondly remember how you thought about their future well in advance.
What Is a Family Life Insurance?
A family life insurance is not a separate type in itself, though they often call it like that. It’s yet another description of a normal life cover. A single policy is for an individual while a joint policy is for two people together, for example, husband and wife. Over 50’s life insurance can be taken out by couples above the age of 50 from Aviva life or any other insurance companies. In case the worst happens, the insurer will pay your beneficiaries (can be your children) according to the type and level of protection you’ve taken. This gives a level of financial security to your family and helps them bear with your loss.
Can I Insure My Children Too?
Your children can be insured, no doubt, providing they have are at least 18 years when you wish to insure them. A Critical Illness policy will cover their life if they develop any health condition, one that is mentioned in your policy. You should check whether this option can be added if you have an existing life insurance policy.
Can I Get a Pay out on Both Deaths If I Take a Joint Life Policy?
Unfortunately, that’s not possible. A joint life policy has been made for couples. If either partner passes first, the pay out will occur. Joint life cover, though held jointly by both individuals guarantees only a one-time lump sum after to the dependents. The policy ends after the first person’s demise. There is no second pay out.
How Much Will It Cost Me?
There is no fixed premium for family life insurance. A quick online comparison should help you. The policy may vary according to the following factors:
- Your age
- The status of your health
- Your smoking history
- The level of cover you desire
Is it worth It?
For a single person with no dependents, a life insurance policy is of little or no value. But this is rarely the case. If you’re planning to marry or start a family, you can show your love for your wife and children by taking out a life cover with your partner. That way, your family is sure they’ll always have enough money to fall back on.
How Can My Family Use the Proceeds?
That’s for them to decide. Once the insurer pays your family a lump sum, they have no say with regard to how your loved ones use the money. Most often, they can:
- Repay a mortgage or other outstanding debts in full
- Spend on day-to-day expenses
- Use it for funeral costs
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