The often-overlooked benefits of life insurance

Most investors and savers are encouraged to protect their wealth and their family with life insurance.

Despite this, it is estimated that only 30 per cent of people in the UK have life insurance.

Protections like life insurance are often ignored as people assume they only offer a single or few benefits compared to the cost.

However, some considerations are often overlooked:

  • Chronic illness benefit – Most current life insurance policies can offer funds to help cover the expense of long-term care or chronic illness.
  • Supplemental retirement income – The cash value of a life insurance policy may also be useful as an emergency fund or used to supplement pension income.
  • Mortgage protection – This is the most common reason people take out a life insurance policy. If the primary income-earner of your family were to pass away, a life insurance policy could provide the funds to pay off a mortgage.
  • Protecting family – If you marry or have children, life insurance can ensure your dependents financial needs are met.
  • Income protection – Often provided as an add on to some life insurance policies, this can provide a regular income should you be made redundant or have to leave work due to a long-term illness or injury.

If you want peace of mind that you and your family will be cared for, come what may, then you should consider taking out a life insurance policy.

Seeking professional independent financial advice can help you find protection products that suit your needs and ensure your loved ones are cared for financially in future.

Link: 7 Overlooked Reasons to Consider Life Insurance