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Concept of safe united family

All lenders will, as a condition of the mortgage, require you to take out buildings insurance against your property. This will cover you financially for any damage to your building (e.g. from fire, flood or wind), but what about you?

You may want to think about how you’d manage to pay your mortgage if you were unable to work because of illness or injury, or how your loved ones would cope if you were no longer around.

There are several kinds of insurance that you could look at to safeguard your home and your ability to pay for it:

Critical Illness – Critical illness protection will provide you with a source of income if you are diagnosed with a critical illness specified in your plan. It is commonly paid out in a lump sum and can help cover any debts, cost of care and any other additional expenses.

Life Assurance – A life insurance policy can help provide for your family in the case of an untimely death. It is normally paid as a lump sum payment and can be used to help pay off any debts or mortgage while at the same time giving your family additional money to replace your lost income.

Income protection – Income protection will give you a regular monthly tax free income if you are off work for a prolonged period because of an accident or illness.

Business Protection – Key person insurance is taken out by businesses to protect against the financial loss that could result from the death of a key individual or employee. The insurance provides financial compensation for the loss of the key individual to the business.

Relevant Life Policy – This relatively recent development for company directors and owners allows them to pay for their Life Insurance through their businesses. Due to their structure, RLPs are allowable as a business expense and hence the cost can be deducted from profits prior to tax being calculated. It has been used by several of our clients as a tax efficient way to protect their families.

At Credius we offer independent, knowledgeable advice on protection in the form of life insurance, critical illness, income protection and private medical insurance. We can help you to identify the appropriate cover and match it to your mortgage value to give you and your loved ones the protection you need.

Want to know more? Call us today on 020 7562 5858 for a free consultation or email info@credius.com.
For more about protection and the other services we offer, please visit our website or you can always stay up to date by signing up to our free insurance information newsletter on our website.

Next time – Completing the sale – The final step

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