Protecting you and yours in the event of death

Before making any decisions about insurance, you need to think about what is important to you, including protecting your family, home, lifestyle and income. Ask yourself how you and/or your family would cope in the event of illness, injury or premature death.

Life insurance

pays out a lump sum if you die unexpectedly. It can be used to pay off outstanding debts or your mortgage, and to provide financial security for your loved ones.

Family income benefit

pays out a regular income for a set term to your dependents if you die unexpectedly.

Terminal illness cover

This is normally included with life cover policies for no additional cost and shouldn't be confused with critical illness cover. 'Terminal illness' means that you have been informed your illness will lead to death within the next 12 months. Where this cover is included in a policy, the plan will pay out the life cover prior to death, allowing a policyholder to put their affairs in order before they die. The plan will only pay out once and will not pay again on actual death - you need to think of it as a payment in advance.

It is important to check the T&Cs of any plan before taking out cover.

If you are sceptical about insurance, refer to the Money Helper Protection insurance – tips and myths. Remember that some protection is better than none, and you can get quotations for a set budget.