Life
insurance

Types of Life Insurance Cover

Level Life Insurance could be right for you.

Level life insurance is designed to pay out a one off cash lump sum if you die during the duration of your policy
You choose the amount you want to be covered for and how long you want to be covered, then pay a set amount every month (certain conditions apply)
The lump sum paid out remains the same throughout the duration of the policy
This type of cover also pays out if you are diagnosed with a terminal illness (terminal illness benefit does not apply in the last 18 months of the policy, and life expectancy must be less than 12 months)
However, level life insurance policies will only pay out once within the agreed time, so if the policy pays out due to a terminal illness claim, the policy and cover will then end. This plan has no cash in value at any time.

It's flexible to meet your needs - you decide how much cover you want and for how long (certain conditions apply)
It's one of the cheapest options for life insurance because the cover is only temporary - when you stop your monthly payments your cover stops too
Monthly payments stay the same throughout the policy.
The lump sum paid out is usually free of personal liability to income tax and capital gains tax and whoever receives it can use it how they like. Whether they choose to pay off the mortgage, do up the house, or take a break, it's up to them.

This product could be for you if you want to leave a fixed lump sum if you were to die while the policy is in force. This amount could be based on the amount you need to help ensure you loved ones are financially secure if you die.
It may also be a useful product if you have an interest-only mortgage as the amount you owe on your mortgage will remain the same over the mortgage term.
This product may also be suitable for writing under trust if you want to leave some money to specific people and avoid the lump sum being subject to inheritance tax. The law relating to tax may be subject to change in the future.