This is not offered as a standard part of a life insurance policy. This type of cover pays on a
doctor’s diagnosis of a critical illness during the course of the life policy. Look for Life can offer
critical illness quotes in addition to the life insurance quote.
This cover provides tax-free replacement income in the event of ill health until you either return
to work, retire, the policy term expires, or death.
Life cover that pays out a fixed lump sum if a person dies within the specified period of the
policy.
This cover increases every year without the need for a medical. This is not as popular as Level
Term, but is important as people may require additional cover in line with increases in their
income and inflation.
This is life cover where the lump sum reduces in line with the outstanding mortgage balance
over time.
Decreasing Term Assurance is similar to Mortgage Protection Assurance, although this cover
decreases at a flat, fixed rate each year as opposed to matching a mortgage, which typically
decreases more slowly in the early years.
This is typically short term cover that can be renewed, without medical underwriting, every
5 - 10 years.
A Level Term life cover policy with the built in option to convert the policy into something
different, such as a Whole of life policy, at a later stage.
This is an open ended life cover policy. It is available either with an investment element or as a
more expensive guaranteed rate, non-investment contract.
Not to be confused with Critical Illness, this benefit simply allows those who are diagnosed with
less than 12 months to live to claim early on a life insurance policy. The benefit is often included
with life cover at no extra cost.
The amount you pay monthly for your life insurance e.g. a “£5 monthly premium” is guaranteed never to increase for the full term of your policy. Guaranteed premiums may be higher than reviewable premiums but are very popular because they allow an individual to budget accurately for their life cover.
Often cheaper initially than guaranteed premiums, reviewable premiums are reviewed regularly by the life insurance company every few years and can be reduced or increased depending upon any claims you make or changes to your circumstances or other factors.