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Did you know that recent research from Beagle Street suggests that 10 million young UK adults don’t have life insurance? Are you one of those 10 million?

Among the 2,000 young adults surveyed (aged 18-40), 28% admitted they hadn't considered life insurance. 27% cited affordability as a barrier, while 20% blamed the current cost-of-living crisis.

However, the consequences of lacking life cover or income protection can be significant. What would happen without your primary earner? Your family could face substantial vulnerability.

We aim to demystify this process. We've explored key policies you can consider, from income protection and life insurance to critical illness cover and mortgage protection insurance. If you have questions, we're here to help and alleviate some of the stress.

• Life Cover: Also known as 'term life insurance' or 'death cover', this policy pays a lump sum when you die. The money goes to your nominated beneficiaries, providing financial support in the event of your death.
• Income Protection Insurance: Think of this as 'disability income insurance' or 'income replacement insurance'. It offers a regular income stream if you're unable to work due to illness, injury, or disability. Your policy will replace a portion of your lost income, typically through monthly payments.
  • Short-term income protection insurance: Designed for temporary coverage, lasting from a few months to a couple of years. It features shorter waiting periods and is more cost-effective. Ideal if you have substantial emergency funds or work in a profession with higher short-term disability risks.
  • Long-term income protection insurance: Provides extended coverage suitable for individuals facing prolonged periods out of work. Benefit periods can extend until retirement age, offering long-term financial security despite higher premiums.
  • Guaranteed Income Protection Insurance: Offers a guaranteed income stream, beneficial for those without substantial safety nets or with large families reliant on your income.
  • Own-Occupation Income Protection Insurance: Specifically for careers where returning to work might be challenging due to specialised skills or conditions.
  • Any-Occupation Income Protection Insurance: Provides coverage if you cannot perform any job matching your education, training, or experience, though it may offer less comprehensive coverage compared to own-occupation policies.
  • Renewable Income Protection Insurance: Allows policy review, typically annually, aligning with your changing financial circumstances for added security.
• Personal Accident Insurance: Provides financial protection against accidental injuries or death, offering lump sums or benefits covering accidents at home, during travel, or at work.
• Redundancy Insurance: Also known as 'unemployment insurance', this policy offers financial security if you lose your job due to redundancy. It covers a percentage of your previous income for a set period.
• Mortgage Protection Insurance: Specifically designed to cover mortgage payments in cases of disability or involuntary unemployment, ensuring financial stability during challenging times.

Navigating these options can be overwhelming. Let us assist you in finding the perfect plan for your budget and lifestyle.

Contact us today for detailed guidance on premiums, eligibility, waiting periods, and more.

SPEAK TO AN ADVISER

Sources:

• https://www.covermagazine.co.uk/news/4209920/10m-adults-life-insurance?
• https://www.bestinsurance.co.uk/income-protection-insurance/types-of-income-protection-insurance/