Critical Illness, Mortgage Protection and Keyman Protection
Critical Illness Cover or Critical Illness with Life Cover pays a one-off lump sum (or annual benefit if family income benefit has been selected) if a person covered dies or suffers or undergoes one of the specified critical illnesses or operations, included within the chosen membership.
Could your family pay the mortgage if you suffered a critical illness? A decreasing term life insurance is designed to repay the outstanding balance on your repayment mortgage if you are diagnosed with a defined critical illness (some policies stipulate that payment is made after a 14 day survival period). The amount of cover decreases in line with the outstanding balance on a standard repayment mortgage. This means your premiums are cheaper than they would be on a level term policy and they are set at the outset.
You can choose how much cover you need and how long you want it to last.
As a business owner you may be so busy with day to day responsibilities that it can be easy to overlook the value of one of your most important assets – your staff. It is common for companies to insure their buildings, stock and machinery, but it’s equally important to safeguard against the unforeseen loss of a key person. You can do this by taking out a Keyman Insurance Policy.
Shareholder Protection Insurance
What would happen to the ownership of your business if a major shareholder was to die or become critically ill? Under UK law ownership of his share of the business would not automatically pass to the remaining shareholders, but you can take steps to insure yourself or your company against this set of circumstances through a Shareholder Protection Insurance.