Life assurance terms can be confusing. Some of the more common terms are explained
below but if you are uncertain about any points please ask one of our
independent financial advisers
for an explanation
Reviewable or guaranteed premiums
Type of premium
Life assurance companies offer policies on either a reviewable or guaranteed
premium basis. The insurance company can increase or reduce premiums on
reviewable policies, normally at any time, whereas a guaranteed premium policy
provides the security that the premium is fixed for the duration of the policy.
Life assurance policies can be established on a single owner or joint owner
basis. Policies arranged on a joint life basis will pays out the death benefit
on the death of the first life, unless the policy is to be used for inheritance
tax purposes when it will pay out on the second death. A policy is automatically
cancelled once it pays out the death benefit.
If you take part in certain hazardous activities you will be required to complete
a supplementary questionnaire. Activities include; caving, climbing, diving, motor
racing and other extreme sports.
In most instances the life assurance company will simply use the medical information
disclosed on the application form to make a decision about your life assurance
application. For higher levels of cover, or if you have disclosed a previous medical
condition, they will normally write to your GP for a copy of your medical notes. If
you are applying for a high level of benefit you may be asked to attend a medical
examination with an independent doctor. We will advise you of any medical examinations
or supplementary hazardous activities questionnaires that might be required.
Insurance companies regularly investigate claims. If you fail to disclose a fact material
to your application, any claim under your policy may be rejected. If you are uncertain
whether you should disclose any facts about your health we recommend you include these
details on your application form.
Terminal illness benefit
If you have been diagnosed as terminally ill with a life expectancy of less than 12 months
the life insurance company will normally pay out the death benefit under the life assurance
policy. The policy will then be cancelled and no benefit paid on your death.
Waiver of premium
This is an optional extra benefit that can be added to most life assurance policies.
Waiver of premium benefit is designed to pay your premiums if you have been unable to
work as a result of illness or injury.
Additional benefits can include increasing cover, renewable and convertible policies.
Life assurance can also be arranged on a whole of life basis and can include critical
illness benefit and permanent and total disability benefit. New life assurance
policies can be placed into a suitable trust. Learn more about
Critical illness insurance
provides protection against serious illnesses such as cancer
and heart attack. Obtain an online
critical illness quote now.
Whole of life policies do not have set term. Visit our
to learn more about the
different types of life assurance policy available.
To request a quote
Complete our online life assurance
or call one of our specialist
life assurance advisers to request your free life assurance quote. As an internet
based firm of
independent financial advisers
we provide advice over the telephone,
via email and through the post. Dealing with you in this way allows us to discount
our commissions to provide you with the lowest priced life assurance quotes.
Help & advice
There are many different options to consider when choosing life assurance and it
makes sense to take advice from a qualified specialist who is independent and can
offer you products and services from the whole of the market place. Please call
one of our
independent advisers or
to discuss the different options
available to you and to request your life assurance quote.