No one really likes to think about a premature death, but if you have dependents who rely on you for financial support, family life cover can offer reassurance and stability if any unfortunate circumstances occur. If you’ve recently gotten married, cohabiting or have a child, it might have triggered you into seeking out life insurance decisions.
What is the value of family life cover? The answer is, simply, that it is invaluable, yet it isn’t at the top of the priorities list for many. In 2016, 500,000 parents in Ireland have no mortgage protection or life insurance (Irish Life, 2016), meaning their families are at risk of heavy financial pressure.
What can family life cover provide for? From household bills, outstanding loans to mortgage payments, it offers monetary assistance to make sure your loved ones are supported. It allows them to maintain their current lifestyle. The costs are very little – particularly if you’re a non-smoker – and there are varieties of the level of cover you can apply for depending on your needs and preferences.
What Do You Need to Consider?
If you’re thinking of shopping around it’s worth taking the following into account:
- Your age
- What insurance you are entitled to at your workplace, if any
- Your current situation / number of dependents
- Have you got a mortgage? What monthly costs do you now have?
- Your medical history
- Your family’s medical history
All the above can affect which cover is best for you and your family. Are there any patterns of inherited conditions such as diabetes, heart disease or cancer in your siblings or parents? Do you smoke, are you overweight or have a high blood pressure? Things that might surprise you are all taken into account and of course, every company is different.
Calculate your monthly income and the loss to your family if you died and take into account stately payouts in benefits. The impact of a familial death financially can last up to fifteen years, hence how important it is to decide the appropriate amount of cover. Furthermore, consider whether your partner currently works and, if not, would they have to start working in the event of your death?
Be aware of what’s called the ‘critical years’ in your familial situation, particularly the ages of your children and when they will reach teenagehood. Is it likely that they’ll apply to university or higher education in the future? Though these are events that seem a lifetime away, early planning can cut monthly costs and place you and your loved ones in the best position should anything go wrong.
There’s a diverse market out there with a lot of information to consider, which is why Full Circle Financial researches other similar companies and strives to secure you with the competitive premium. Keep in mind that you may also qualify for generous tax relief on the premiums you pay, so please feel free to contact us to see what options are available to you.
If you’re concerned about the onset of a serious illness or income protect, we offer a variety of plans if you’re unable to work — check out our Products & Services page for more information!