The relationship between the need for insurance and family income cannot be overstated. But what are the options that available to you to give your family the protection that they need? Laura Richardson provides some key information for you in her latest article . . .
Sadly, as current circumstances surrounding the Covid-19 pandemic demonstrate, unforeseeable events can occur at any time and can bring widespread disruption to our everyday lives. During these uncertain and unprecedented times, it is no surprise that many of those in Witham and wider Essex are turning to insurance companies to try and mitigate any dangers that may befall them in the near future in view of the close relationship between insurance and family income. With many businesses forced to close, and others running reduced staffing levels, cutting wages or making mass redundancies, it is now more important than ever to ensure that you have a solid plan to fall back upon to protect your family should your income come under threat or should you become unable to work due to a serious illness, long-term incapacitation or even in the event of your death.
Whilst it is impossible to protect yourself from every potential threat, there are a number of ways in which you can financially protect yourself and those who depend upon you in the event that you should become unable to earn a living in view of the close relationship between insurance and family income:
Critical Illness insurance
Critical Illness insurance pays out a lump sum should you be formally diagnosed with one of a specific list of illnesses. Some Critical Illness insurance will also cover various cancer diagnoses. As with any insurance policy you should discuss the details with an independent financial advisor in order to ensure that your chosen product is suited to your needs, and to point out any particular omissions, conditions or restrictions.
Income Protection Insurance
Income Protection insurance usually pays an agreed percentage of your salary for any period of time that you become unable to work due to serious illness or temporary incapacitation. The specifics of each policy vary widely and it is, therefore, crucial that you consult with a financial specialist in order to ensure that your policy will cover your requirements.
Life assurance is guaranteed to pay out a lump sum to your chosen beneficiary when you die. As with the above products, the amount that is paid out will depend upon the policy particulars that you choose. It is common to choose a sum that would pay off the mortgage of the family home, but again, it is always advisable to discuss your needs with a qualified financial advisor before taking out a Life assurance policy.
When it comes to protecting your finances in view of the close relationship between insurance and family income, it is crucial to ensure that your decisions are fully informed with up to date information that you have discussed at length with an experienced independent financial advisor such as through our trusted partners at Andrew Douglas Wills & Legal Services. We welcome enquiries from Witham, Essex or across England and Wales and, what is more, during the Covid-19 pandemic we are offering a fully remote service in order to be able to safely continue to provide our expert services.
For more information on our current remote service provision, or to book your free initial consultation, call Andrew Douglas Wills & Legal Services today.
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