LIFE INSURANCE
Life insurance is a financial product that pays out a lump sum of money, should you die during your policy term. This lump sum of money can be used by family members who may be dependent on you financially to replace lost household income and help pay for a number of things including mortgage or childcare for a number of years to come.
Life insurance is paid for in monthly premiums and the amount you pay will depend on factors including:
– Your age
– Current health
– Previous health conditions
– Lifestyle
– The amount of cover you require and for how long
Having life insurance in place will give most home owners peace of mind, that should the worst happen, the financial pay-out will help ease the financial burden, especially if you are the main breadwinner in the household or have young children or dependents that you care for.
CRITICAL ILLNESS COVER
Should you be diagnosed with a critical illness, this cover will pay out a tax-free lump sum which will help support you and your family financially whilst you deal with your illness. It is designed to take away the financial stress and worry about how upcoming bills and mortgage payments will be made whilst you concentrate on your getting better.
You may be wondering what the difference between life insurance and critical illness insurance is? Generally speaking, your life insurance policy will only pay out if you pass away during the term of the policy or in some cases are deemed terminally ill. It’s designed to help your family to maintain their lifestyle after you’ve gone, and may be used to cover mortgage payments or support your children’s education. A Critical Illness plan defers in that it is designed to pay out a lump sum on the diagnosis of certain specified illnesses which will vary depending on the cover and provider you choose. This may be important for families who would like to be covered in the event that they are diagnosed with a critical illness and a lump sum of money will be needed to cover any time needed off from work or even to pay for private treatment
At J&M Mortgage Solutions, we will assess your exact requirements and help you find a plan that best suits your needs.
INCOME PROTECTION
Income Protection Insurance is a policy that will pay out for most illnesses and injuries that stop you from working. Depending on the policy, you will usually receive a montly payment until you are able to return to work, up until the end of your policy term or chosen benefit period.
This type of insurance is suitable for anyone whois working, which include both employed and self employed and provides protection if you are out of work for a long period.
FAMILY INCOME BENEFIT
Life insurance policies will pay out a one-off lump sum to the policyholder’s beneficiaries following his or her death. In addition to life insurance, people with children will also consider having Family Income Benefit as this type of policy will provide a regular benefit , either monthly or annually and can be viewed as a replacement for the salary you were bringing into the household, giving your family financial security and the ability to meet everyday living costs, until children are no longer dependant.
We can discuss the policy with you and figure out what amount of income would be needed for your family to be financially stable should you pass away.
HOME INSURANCE
It has become second nature to ensure buildings and contents insurance are in place and most mortgage lenders will ask if you have buildings insurance before completing on the purchase of a property as condition of their mortgage offer.
When taking out buildings insurance, there are a number of factors to consider when it comes to insuring your property, and the cover of your policy will depend on factors such as the building type, the history of the building and whether it is in a high-risk flood or subsidence area.
Your contents insurance should factor any high-value belongings that you may want to be covered. These could include objects such as laptops, jewellery, bicycles, watches and more.
Unlike building insurance, contents insurance isn’t mandatory, but many homeowners also opt to take out this type of insurance as it can protect contents and personal possessions against fire, flood and theft
Whilst J&M Mortgage Solutions do not provide this service directly, we work closely with First2Protect, and are able to pass on your details and arrange a convenient time for First2Protect to give you a call and provide a no-obligation quote for both building and contents insurance.
We are unable to provide you with advice in this area however we can introduce you to an authorised and regulated Financial Adviser who can provide you with specialist advice in this area.