The Best Life Insurance Deals Online

Summary
It is always sensible to understand precisely what you want in the way of insurance as only you know your own position.  We make clear what you need to be aware of and how to continue it when you have it.

Stephen Jines, Managing Director of investments at Cambridge based financial adviser AGT Independent Financial Services Ltd, counsels that it is very shortsighted of people not to have Life Insurance  cover and/or Critical Illness Cover as he insists that life has two potential risks – either being alive too long and passing away too soon.  “Its absolutely crucial to have some insurance in place – especially if you have got a young family,” he states. “In these uncertain times you need to build your own little stronghold because nobody else is can do it for you.”

Richard Hart at Moneynet says now is the ideal time to invest in such insurances as there are lots of very cheap premiums around due to to the fierce competition for business within the insurance industry. “The price of life cover has fallen – fallen about forty per cent in five years. It has never been as cheap,” he states. “The critical illness market paid out on 84 per cent of claims in 2004 – up from seventy eight per cent  the previous year.”

Be aware of what insurance cover you already have before you take out any more.  Do you already have investment policies or does your company pension fund give you any other cover?

The simplest way to estimate how much cover you require is to work out how much you would need to retain the same level of living over a year and then multiply it by 25 years.  The minimum amount needed should settle all debts and and leave a lump sum for your family.

Getting the best deals
When deciding on your policy it is very important to read the guide that many insurers have of the illnesses and conditions that they deal with. It will record everything and should be very clear and easy to understand.  You will also need to review the documentation of the crutial features of the cover which will take account of all exclusions and benefits.

When someone takes on the responsibility of a home loan they are usually counselled to take out critical illness insurance but should shop around and not just take the first insurance policy suggested. You need to consider a range of life insurance quotes.

If you start paying these insurances when you are young they are noticeably cheaper, very different to leaving it until you are older, when insurance cover goes up quite apppreciably.

Insurance premiums can also be lowered by giving up smoking.  Mary Lakes, head of protection at AxA Insurance says ” as well as giving a longer and healthier quality of life, giving up smoking can save people a vast amount of money.”

If you quit smoking you can take off as much as a 1/4 off  life insurance, critical illness  insurance and income protection insurance premiums because the evidence that we now have proves that smoking can instigate critical illness and exacerbates any other existing health conditions.

If your circumstances change you may have to alter your policy. Under no circumstances imagine that once you have bought your insurance policy that you can just continue with your life and dismiss it. Always be very aware of the insurance cover you have and be sure that, should your circumstances alter, or, is going to change your insurance must have capacity for these adjustments.  Clear examples are changing jobs, or do you intend to have more children; frequently think about everything that may raise your living costs and must be to be covered if you are unable to work.

The sale of life insurance policies is regulated by the Financial Services Authotity (FSA).

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