Life insurance: What you need to know

Life insurance can provide financial help for your loved ones when the unexpected happens.

Family smiling

If you’re thinking about getting covered, but not sure where to start, we’ve put together this useful guide to answer some of the questions you may have.

Why should you get life insurance?

With a life insurance policy you can help to lift some of the financial worries that your family might experience by:

  • Leaving a sum of money for your family to help provide financial support, for example to help pay off your mortgage
  • Providing cover for dependants if they can no longer live off your income
  • Leaving an inheritance for your family when you die
  • Being able to pay off any outstanding debts that your family may have to take on
  • Helping cover your funeral expenses

What factors affect the cost of life insurance?

When getting a quote, our provider Covéa Life will ask you some questions to get to know you better. The answers you give will determine the quote you get. Here are some of the factors that may come up:
  • Your age – the price of a life insurance policy will generally increase as you get older
  • Your health – keeping fit and healthy benefits your finances too! Covéa Life will ask about your health and well being including information about your height and weight, blood pressure, cholesterol and even your family medical history
  • Your lifestyle – your lifestyle will be taken into consideration such as if your are a smoker or take part in high-risk activities you may have to pay more for your cover
  • Your job – similar to your lifestyle, the type of job you have may affect your quote

There seems to be lots of types of Life Insurance. What is the difference?

At Swinton, we offer different types of cover through our provider, Covéa Life Limited, whatever you insurance needs may be.

Term Life Insurance

  • Pays out a lump sum if you die during the policy term
  • Fixed premium during the term of your policy providing certainty of the amount you pay each month
  • Some benefits include terminal illness cover as standard, allows for one other person to be insured and you can choose the amount of cover you want

Term Life Insurance & Critical Illness

  • Pays a lump sum should you be diagnosed with one of the illnesses covered during the policy term which can be used as you wish

Over 50's Whole of Life Insurance

  • Guaranteed acceptance for UK residents aged 50-80 (both inclusive), no forms to fill in and no medicals
  • Pays out a lump sum if you die - could help towards funeral expenses, any outstanding debts or to leave a gift for loved ones
  • Fixed premium from the start and you will not pay a premium after your 85th birthday

What are the most common life insurance myths?

Still have some questions unanswered? We’ve busted four life insurance myths to help clear things up. 

1. ‘I’m not married and have no children, so don’t need life insurance’

Although you don’t have dependants or someone relying on your income, you should still consider life insurance. The payout could cover any debts you leave behind or funeral costs that your family would have to take care of.

2. ‘My partner is the breadwinner so only they need cover’

You may not be employed, but you may need insurance. For example, if you’re a stay-at-home parent and the worst should happen, you may need cover for childcare and day-to-day expenses.

3. ‘I’m young, I don't need to get life insurance until I'm older’

You don’t know how you will be feeling tomorrow, nobody does. Taking out a life insurance policy can help you and your family with financial peace of mind if you have an accident or contract a serious illness.

Plus, the younger you are when you take out life insurance, the cheaper the monthly premium will be.

4. ‘Life insurance is a hassle to buy’

Taking out a policy can seem daunting and full of lots of weird words, that’s why at Swinton we offer three simple cover options for you to choose from. Plus, Covéa Life's friendly and knowledgeable team will chat through your options with you.

For more information on life insurance or to get a quote, visit https://www.swinton.co.uk/more/life

All cover is quoted for and arranged by Covéa Life, who provide a non-advised service and are part of the same group of companies as we are. Covéa Life are authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority

Topics