What life insurance cover is available to me?
Friday, October 17th, 2008The covers which are available to you are Life Cover, Critical Illness Cover, Life or Earlier Critical Illness Cover, Income Protection Cover, Mortgage Income Protection Cover, Accident Sickness Cover, Unemployment Cover and Payment Protection Cover.
With regards more specifically to Life Insurance you can make changes to your policy even after the policy has started. You could do this by increasing or decreasing the sum assured agreed at the start of taking out your Life Insurance policy. However if you were to increase the sum assured you would then typically on a monthly basis pay extra than the premium first agreed or if you were to decrease the sum assured you would then typically pay less on a monthly basis. Any changes that are made to the policy are subject to term and conditions specified at that moment in time. Changes can be made where there is no need for any further information which are called Guaranteed Options such as if you get married, adopt or child or have a baby, move house or change doctors, or have a change in career. Guaranteed option can only typically be applied if the person taking out the policy is aged 50 or under at the commencement of the policy and was accepted on standard terms.
When applying for Life insurance some providers will give you what they call Free Cover if you are a UK Resident and under the age of 60 before the application have been received. Free Cover is only given on a temporary basis whilst the application is in process and only starts once the provider has been given Direct Debit Instructions.