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Is it worth getting mortgage protection insurance?

If you cannot afford to cover your full mortgage balance, it is worth getting a policy with a lower payout. It is better than not having anything in place. As with all health-related insurances, pre-existing conditions will not be covered.

If you are ill, can you still get life insurance?

You can qualify for a life insurance policy even if you already have pre-existing health problems.  You need to complete a medical questionnaire, and the providers will give you an indicative decision.

I have a pre-existing condition, can this be treated if I take out Private Medical Insurance?

Private health insurance companies do not typically treat pre-existing conditions that have been diagnosed before the plan has been taken out.

How is the NHS any different to the services using Private Medical Insurance?

Private Medical Health Insurance is there to provide quicker access to treatment for acute medical conditions. The appointments will be often quicker and therefore if you have an underlying condition, this may be diagnosed quickly.

You may also have quicker access to various hospitals, consultants and treatment that may be difficult with the often long NHS waiting lists. To find out which company will provide the best private medical insurance for your circumstances, we can go through the options with you.

What is the minimum and maximum age for an income protection plan?

The age is 18 to buy a plan, the maximum age is the day before 60th birthday to buy a plan.

Should I buy life insurance when I am young?

Life insurance policies is always cheaper in annual premiums the younger you are when you buy the policy. Also if your health is good it will also translates to lower insurance costs and buying a policy younger also lowers the chances of having an illness like diabetes or heart disease.

What is the significance of Family History on a life application form?

Some conditions are genetic and can run in families, e.g. diabetes or certain cancers. If the insurer deems you a high risk for the condition they may request a medical screening or they may add on exclusions or raise the monthly premium.

It’s very important that you are sure about the family member, the exact name of the condition and when they were diagnosed, otherwise you may have an incorrect outcome to your application.

As with any insurance policy, if you do not disclose all information required, you may not receive a payout.

Are life plans taxable?

If you have decided to take out life insurance plan to provide a lump sum or a regular income to your loved ones when you die, there is usually no income or capital gains tax to pay on the proceeds of the policy.

When I die, will my family have to pay any tax on the life insurance payout?

The payout is not subject to any taxes but if you have any Inheritance or if the payout forms part of your estate it may be beneficial to place your policy in trust. Before you do this, you need to speak to an adviser.

Should the level of my life insurance change over time?

This depends on the type of insurance you’ve taken out. For example if you are covering your mortgage then the amount will decrease in line with the amount with the loan. The monthly premium you pay will be the same each month.

If you have opted for RPI your premium and amount paid out will be in line with this each year. Please note that some insurers will only offer this for the first few years and if you decline it each year, it will no longer be available for you.

What is the difference between Terminal Illness and Critical Illness?

Both these refer to serious medical conditions. The difference is that a critical illness gears to a specified serious injury, illness or medical episode, and terminal illness means your hospital consultant expects the illness will lead to death within the next 12 months. 

Is there a difference between Life Assurance or Life Insurance?

No, they are both the same thing using different terms.

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